By Yogesh Sharma
Senior BJP leader and former finance minister Yashwant Sinha today described the condition of Indian economy as calm before the storm saying that even in three and half years Modi government could not solve two basic problems it inherited when it came to power in 2014.
The problems of NPA of banks and pending projects was very much and moves of demonetization and GST only further aggravated the situation. Sinha who is here on a three day visit of Gujarat addressed media in the morning and a public meeting in the evening in which attacked both Prime Minister Narendra Modi and Finance Minister Arun Jaitely both for the pathetic condition of the Indian economy.
He said that the main effect of these adverse policies was that private investment has reduced to almost zero and government alone cannot undertake herculean task of investment. Industrial production has also touching new lows. As a result, he said, employment generation has come down to a very low level.
He said that government had an excellent chance to improve situation when it came to power as it was lucky on the front of price of crude oil in international market. He said that crude oil price came down to 29 dollar a barrel in August 2014. . But we did not pass on the benefits to the consumers. We captured the benefit through taxation. When there was too much of pressure, only Rs 2 excise was brought down.
Old projects have not moved forward and no new projects have been taken up. The NPA of around 8 lakh crore still remains. Due to this the growth rate has fallen, he said, adding that the growth rate that stood at 4.7% during the UPA regime was in fact at 3.5% now in reality and not 5.7% as claimed.
Now it is coming up and it is around 60 Dollar. If it touches 70 dollar, it will create storm in Indian economy, he said. He said that Indian economy was on one leg and that is also not in its control as it is international price of crude oil.
He said that Indian economy depends on domestic demand and domestic saving while the government is out to try foreign investment. This will not work. Trump will not come here to grow Indian economy.
He said that the idea of opposition free political system was very dangerous. There should be consensus on government policies. He said, however, to conceal its failure Modi government has extended deadline of its election promises by three years. He said that the election promises should be filled in five year term, but now government says that they will be fulfilled in 2022 instead of 2019.
At the media interaction he said Jaitley who has been elected to the Rajya Sabha from Gujarat is a “burden” on the people of the state. “I want to tell you that I do not consider the finance minister a Gujarati,” said Sinha. He might have been elected from Gujarat, but he is a burden on you. If he had not been elected from here, then a Gujarati would have got a chance in the Rajya Sabha.