New Delhi/Lucknow, Aug. 17 (ANI): The Bharatiya Janata Party (BJP) on Saturday charged the country’s economist Prime Minister, Dr. Manmohan Singh, with failing to improve the performance of the economy, and said the present government lacks both direction and vision.
BJP spokesperson Prakash Javadekar criticised the government’s lackluster approach to boosting economic performance, and said the main opposition party would raise this issue in both Houses of Parliament next week.
“The biggest failure of this government, or the economist PM, is to manage the economy and people are suffering because of their failure. Congress is responsible because they have no direction and no vision. NDA gave them a very sound economy and they destroyed it completely,” he said.
Javadekar further said investors are not at all confident about the present state of the economy despite receiving assurances from both the Prime Minister and Finance Minister P. Chidambaram.
“The tremendous fall in the rupee is an indication of an ailing economy. Despite the speech of the Finance Minister and the PM’s speech from the Red Fort, the country does not feel confident. The investors, domestic or international, do not feel confident and that’s why what we are witnessing a free fall of the rupee which is a worrisome indicator,” he said.
“The prices of all commodities are bound to go up. The inflation will be up and this will put tremendous pressure on common man,” he added.
Meanwhile, Congress leader Jagdambika Pal said blamed decreasing exports for the slow inflow of money into the economy, resulting in the fall of the rupee.
“One of the reasons for the rupee fall is that we have to import 80 percent crude oil from abroad and we are paying them in dollars. Today, we are importing several items, and unfortunately, our exports have decreased, and there is no inflow of money into the economy,” he said.
Finance Minister P. Chidambaram on Friday commenting on the rupee dropping to a historic low of 62 rupees per dollar, and said this is a time for calm and reflection.
Chidambaram said the markets have taken a hit all over the world.
He added that nothing has happened in the Indian economy between Wednesday and Friday morning.
“Nevertheless, the markets have taken a hit and that is reflecting in the rupee also. But we have taken a number of measures; a number of measures are being taken. Let’s wait to see what the first quarter growth rates are,” said Chidambaram.
“And I have no doubt in my mind when calm is restored in the market, people will begin to understand that Indian market indicators must basically reflect Indian market conditions. They should not be sensitive to data coming out of the US. So, I think that is a time for calm. This is a time for reflection and let us see what happens next week,” he added.
The rupee dropped to a historic low of 62 rupees per dollar on Friday on good demand for the US currency from banks and importers in view of sharp fall in equity market.
The rupee resumed slightly higher at 61.35 rupees per dollar as against the last closing level of 61.43 rupees. It moved in a range of 61.32 rupees and 62 rupees per dollar during the morning deals. (ANI)