Finance Minister Nirmala Sitharaman, a prominent leader of the BJP, raised important questions regarding the fiscal responsibility of the Congress party in implementing social welfare schemes. She specifically questioned whether the Congress is aware of the cost involved in fulfilling their promises, such as providing Rs 1 lakh to women from below poverty line families. Sitharaman emphasized the need for transparency and realistic planning in budgeting for such schemes, unlike the lofty promises made by the Congress party.
Sitharaman highlighted the difference in fiscal management between the BJP government under PM Modi’s leadership and the previous UPA government. She noted that despite the challenges posed by the Covid-19 pandemic, the current government has maintained better fiscal discipline and debt management. The central government’s debt-to-GDP ratio has improved over the years, showcasing a more stable and sustainable approach to managing finances.
The Finance Minister also pointed out the discrepancies in the fiscal numbers presented by the UPA government, noting that they resorted to window dressing to hide high fiscal deficits. She highlighted the various policy misadventures and scams that occurred during the UPA regime, leading to significant losses for the exchequer. In contrast, the current government’s focus on Direct Benefit Transfer (DBT) has helped curb leakages and corruption, resulting in substantial savings for the government.
A comparison of India’s debt-to-GDP ratio with other countries revealed that India has managed to maintain a relatively lower debt ratio compared to several other major economies. This signifies a more stable economic position for India, despite the challenges faced globally.
Overall, Sitharaman’s analysis underscores the importance of prudent fiscal management and transparency in budget planning. The contrast she draws between the fiscal policies of the BJP government and the Congress party sheds light on the critical issues facing economic governance in India.
