NEW DELHI, May 14: Continuing his strong advocacy for the supremacy of legislature in the law making process, Finance Minister Arun Jaitley today said all the constitutional institutions in the democracy should draw their own ‘Lakshman rekhas’ and abide by it.
“Every democratic institution should not only introspect but practice restrain,” Mr Jaitley said in an exclusive interview to All India Radio. In wide ranging interview, the Finance Minister touched upon several important aspect of the contemporary state of affairs of the economy, including the growth rate, banking reforms and the issue of black money.
He said never before series efforts and stringent measures were put in place as much the present Government did to bring black money back stashed abroad. The Government was able to prevent tax evasion to the tune of Rs 71,000 crores, he said adding that those keeping their undeclared money abroad were given last chance to voluntarily declare it and pay 60 percent tax. The measure resulted in the inflow of Rs 4500 crore of money in the country, he said.
The Finance Minister said India can achieve even better growth rate, if there is a favourable monsoon this year. “I think first important factor, which is beyond our control, is that the world starts growing faster. So if, global tail winds support us, then our ability to grow faster will be there. But that’s something not in our control”, he added.
The second important factor is oil and commodity prices must remain at a moderate level. The present regime suits us, because as net buyers, we are buying at a cheaper price and therefore, we are saving a lot of money. The third important factor is that India’s private sector has to get more active.”
On Goods and Services Tax Bill, Mr Jaitley said it has been a testing proposition as far as reforms are concerned. Slamming the Congress for opposing GST Bill merely on political grounds, he said he was trying his best to make Congress come around.
Mr Jaitley said the Bill will be put to vote in next Parliament session even if Congress continues to oppose it. “Only one political party, the Congress, and thats a political opposition. Thats not an ideological opposition. I am trying my best to talk to them, so that they can come around. And if they don’t, then, we’ll have no option but to put it to vote,” he said.
To a question on ease of doing business, Mr Jaitley said the reforms ushered in last year had brought us up in global rankings. He said the enactment of the Bankrupcy Law will lead to upward movement regarding India’s ranking. But he also noted that the most important area affecting India’s ranking is the construction, building and real estate sector.
Replying to a question on Direct Benefit Transfer scheme, the Minister said Government was not cutting subsidies but rationalising them. He elaborated that the objective of the Government is to ensure that the subsidies reach the poor. Saying that DBT was successfully implemented in LPG distribution, he informed that it is being tried in other areas like fertiliser and food.
“We’re not cutting subsidies. We are rationalising them. Subsidies must reach the vulnerable. Subsidies must only reach the poor. Thats the objective of the Government. And therefore, in LPG, we’ve successfully implemented it. And I think the next stage is that we’re trying other areas like fertiliser and food- pilot schemes, whether similar schemes are possible or not,” he said.
Mr Jaitley also said Government has taken number of initiatives to boost country’s growth, such as concentrating on rural areas, liberalising economy, and removing discretions and wasteful subsidies. (UNI)
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