Monday, July 06, 2009

Lack-luster budget: Dr. JP


The Lok Satta Party today described the Union budget as lack luster. There is little to write home about it barring the Government’s outlay crossing the Rs.10 lakh crore mark.

Talking to the media, Lok Satta Party President Dr. Jayaprakash Narayan said that Union Finance Minister Pranab Mukherjee had formulated the budget with an eye on the elections in a few States in the next few months. He allowed the golden opportunity to craft a historic budget in the context of a global recession and a stable government and steady growth in the Indian economy in the country to slip through his fingers.

Dr. JP pointed out that no bold attempt had been made to create either employment opportunities or boost agricultural growth since the focus was on winning the upcoming elections in States. Since 70 percent of farmers are outside the institutional fold, they are not going to benefit from the increase in agricultural loans.

Dr. JP said: “Even now, the allocation for healthcare in the country remained where it was for decades – only one percent of the GDP. Educational allocations still remain at 3.5 percent of the GDP. There is no concerted attempt to eliminate poverty. Instead, there is a conscious attempt to give short-term sops to the poor to use them as vote banks, while perpetuating poverty.

“The revenue deficit also has reached 4.8 percent of the GDP or about Rs.215,000 crore. That means, the Government is spending only for day-to-day expenditure about Rs.600 crore more than its income every single day. The interest burden has exceeded Rs.300,000 crore, and this year’s additional debt alone is Rs.400,000 crore. If the States’ deficits are added, the combined fiscal deficit will probably reach 12 pre percent of the GDP. There is no road map to reduce the fiscal deficit. As a result, the younger generation is going to inherit a crushing burden of debt on account of the Governments’ profligacy.”

3 comments:

  1. Your analasys also lacks lustre.You have not suggested spending on higher education and reasearch in technology.India had to still import hitech goods and services for defence and other condumer elctronic service.THis is adding burden to forex, which is also needed much for petroilium imports.
    Regarding TDP comments on LSP ,you should also introspect.You have not critise lrge scale corruption of congress which can be termed as licenced looting.THou corruption is not new,but this type large scale corrption was first time indias history.Sakshi news paper and TV created fake and non existant companies for investment with adreeses od residential apartments.But JP eagarly went to the inaguaration of them and prised the mafia senor and junior with words like "putrotsahamu"they might have given few thousands remuberation for JP's attnedence but even attending such meetings of corrpt mponey companies will bring bad name to people irrespectiveof their personal character.

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  2. AnonymousJuly 07, 2009

    Lenin,
    I don't think JP will say no to any function which is done legally, has good no.of audience, and if he has time.

    Without any second thought, I can say that, the speech that Dr.JP has given in the sakshi inauguration, is one of his best speeches. You might have thought whatever he spoke are praises. But, the same words can also be seen as criticisms. Many people who listened to that speech said, he talked in such a way that, one could not understand whether he is praising or abusing.

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  3. Dear JP Sir,

    You have rightly pointed out the flaws in budget 2009.But can you go a step forward and actually publish your plans if you were the finance minister how would the budget would be.I am not asking the actual figures but various areas which you would spend in and the priorities.
    Will you keep waiting for power or publish what you will do if given power and get wide support from public and force government to implement your ideologies from outside the government.

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