Read IMF report on progess under NDA: Jaitley
New Delhi, Aug 26 : Referring to the latest International Monetary Fund (IMF) report on India, Finance Minister Arun Jaitley on Sunday said that it was only with NDA coming to power in 2014 that the economy had undergone a transformational change.
In postings over both Twitter and Facebook, Jaitley, who resumed his duties earlier this week, said that a comparison of the data released in 2014 and 2018 proved that high inflation, fiscal deficit and current account deficit, besides a standstill in the infrastructure and power sectors, as well as in allocation of natural resources, were some of the failures of the previous UPA government.
"We have come a long way. The last four years have seen a series of reforms, both legislative and otherwise, which have been carried on by the Government. The system has been substantially cleaned up and made more transparent," Jaitley posted on Facebook.
"Decisiveness has led to easier decision making and made the economy stand out before several other countries. I would urge all to read these two reports (IMF), the copy of which are now publically available," he said.
"The tightening of global liquidity has increased external pressures and heightened the focus on India's macroeconomic imbalances (high inflation, large current account and fiscal deficits) and structural weaknesses (particularly supply bottlenecks in infrastructure, power and mining)," The Finance Minister said regarding the report's references to the situation in 2014.
"Growth is expected to slow to 4.6 per cent this fiscal year, the lowest level in a decade, reflecting global developments and domestic supply constraints. Headline CPI inflation is expected to remain near double digits for the remainder of the fiscal year. The current account deficit is narrowing, driven by a significant improvement in exports, robust remittances flows, and a rapid diminution of gold imports.
"Nonetheless, India has very little room to adopt countercyclical policies, constrained by persistently-high inflation, and sizeable fiscal and external imbalances. Spillovers from renewed external pressures interacting with domestic vulnerabilities are the principal risks," he said referring to the situation in 2018.
"Stability-oriented macroeconomic policies and progress on structural reforms continue to bear fruit. Following disruptions related to the November 2016 currency exchange initiative and the July 2017 goods and service tax (GST) rollout, growth slowed to 6.7 per cent in FY 2017/18, but a recovery is under way led by an investment pickup", he added.
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'Wrong format': Speaker UT Khader rejects APMC Minister Shivanand Patil's resignation
Bengaluru: Minister for Textiles and APMC Shivanand S Patil resigned as MLA on Friday, stating that he was accepting a challenge from expelled BJP legislator Basanagouda Patil Yatnal to contest a by-election against him, but Karnataka Assembly Speaker UT Khader rejected the letter on grounds that Patil's resignation was not in the right format.
The minister, who is the MLA from Basavana Bagevadi, had requested the Speaker in his letter to accept his letter only if Yatnal too resigned as legislator of Vijayapura to contest against him.
Yatnal too, however, has rejected Patil's challenge, calling it only a drama. Stating that a conditional resignation was not acceptable, Yatnal added that he would not resign unless the minister's resignation letter was accepted.
Yatnal had recently criticized Patil and Congress MLA from Hungund Vijayanand Kashappanavar for protesting against him in Vijayapura city for his allegedly defamatory comments on Muslims. Yatnal had also challenged both Congress leaders to face him in by-elections from their respective constituencies.
On Friday, Patil submitted his resignation, saying he was accepting Yatnal's challenge and would take on the MLA in a by-election from Basavana Bagevadi.
