LS-BUD-DEBATE

Need for financial sector reforms: Oppn in Lok Sabha

New Delhi, Feb 10 () The Opposition in Lok Sabha onMonday expressed concern over the "decline" in investment inthe country and said the expected GDP growth rate and taxcollection figures appear unrealistic.

Participating in the discussion on the Union Budget2020-21, BJD member B Mahtab said that investment in Indiahas been the main driver of growth, but it has beendeclining since 1991.

"We are measuring GDP growth... more the investment, thegrowth would be faster and quicker," he said.

In this Budget, he said, adequate corrective measures arenecessary.

The banks were not in a position to lend forinfrastructure, Mahtab said, adding that government shouldnot lose sight of wider reforms in the public sector.

"There is a need to bring competition within the bankingsector," he said.

NCP's Supriya Sule termed the budget as "long andtiresome" and attacked the government saying "they are livingin a fairy-tale world".

The Budget, she said, exposed the failure "of thisgovernment when it comes to fiscal health".

She said while the government is talking about achievingUSD five trillion economy, "we are not even barely crossingfive per cent (growth)."

She said that the government was talking about bullettrain but the fact was not even a single acre of land wasacquired for the same.

"They are in fairy-tale world... they live in make-believe world," Sule said.

She was also of the view that there was a need forrevival of economy and promotion of private sectorinvestment.

Expressing apprehension over the Budget numbers, PreneetKaur (Cong) said presumption of 10 per cent nominal GDPgrowth and 12 per cent rise in tax collection seem "optimistand unrealistic given the low economic growth and fallingexports".

Agriculture sector seems to be an area of concern, shesaid, adding, Pradhan Mantri Fasal Bima Yojana needs to bereviewed.

For the benefit of farmers, he said, the premium needs tobe shared by both the Centre and the state.

Observing that Indian growth story is at cross-roads,Kaur said that cautious pragmatism has crept in and thecountry has fallen in middle income trap.

However, BJP MP Aparajita Sarangi said there is a balancebetween intent and content, and vision and provision in theBudget.

"We have moved from policy paralysis to policy actionunder the Narendra Modi government," she said.

The focus is on growth and the Budget will strengthen thefoundation of Indian economy in the new decade, she said.

The Budget promotes six major sectors against thebackdrop of current economic scenario, she said, adding itwill help facilitate investment, spur consumption whilegiving a push to infrastructure and fillip to agriculturesector.

Observing that the this is an age of technology, Sarangisaid the Budget has recognised this and made severalannouncements in this regard. The technology will help easeliving condition of people, she added.

Rubbishing the opposition claim of reduction in ruralBudget, she said the government has always pitched in whenthere was a need in the past.

On spurring investment, Sarangi said the Budgetannouncement of abolishing Dividend Distribution Tax (DDT)will free up about Rs 25,000 crore for the corporates.

Besides, National Infrastructure Pipeline will promoteinvestment in the infrastructure building. SID DPRT RT