Hitting out at the Narendra Modi government over the issue of price rise, former Finance Minister P. Chidambaram said on Tuesday that the “wrong policies of the Modi government and its inept management of the economy” are to be blamed for inflation.
Addressing a press conference at the All-India Congress Committee (AICC) headquarters, Mr. Chidambaram demanded that the price of petrol, diesel and LPG be brought down immediately, import duties reviewed and GST rates reduced on goods of mass consumption.
“We hold the Central government under the leadership of Prime Minister Narendra Modi directly responsible for the high inflation… It is not being caused by rising demand, rather the wrong policies of the government and its inept management of the economy,” Mr Chidambaram said. “Let me caution the government: the issue of high inflation will not go away if you pretend it does not exist,” he added.
Debate in Parliament
The veteran Congress leader said the Congress party would demand a full debate on price rise during the coming monsoon session of Parliament and coordinate with other Opposition parties to seek relief for the common people.
Mr. Chidambaram said the government and the Reserve Bank of India had set an inflation target of 4%, plus or minus 2%, but the consumer price inflation had already breached the upper limit of 6%.
He pointed out that the Central government collected around ₹4.2 lakh crore for itself every year by imposing cess on petroleum products. “This is exploitation and greed of the worst kind.”
Asked about stock markets doing well even during the pandemic, he said, “It only concerns the corporate sector, the listed companies. Let’s not take stock market as an indicator of the health of the economy. It’s like putting a thermometer in your mouth and saying, ‘your ECG is fine, your liver is fine and your kidneys are fine”.
Unemployment up
He said while food inflation was now at 5.58 %, pulses inflation was at 10.01%, fruits inflation at 11.82%, transport inflation at 11.56%, fuel & light inflation is at 12.68% and Oils & Fats inflation is at 34.78%.
“Will the government please tell the people what they should eat, how they should light their homes, and how they should go to work? Inflation even in a normal time would be intolerable. The present is not a normal time. A pandemic is raging in the country. Unemployment has risen to 8.1 per cent and Inflation has broken the back of the people,” he said.
