 "PM defends Rajan, rebukes Swamy")
Breaking his silence over the Raghuram Rajan episode, Prime Minister Narendra Modi today said people who have questioned the patriotism of the outgoing Reserve Bank of India governor were doing him “great injustice”. The PM termed the attack on Rajan and other Finance Ministry officials as “improper” and declared that “no one is bigger than institutions”. The PM didn’t refer to anyone by name but said those indulging in “publicity stunts” should not think that they were furthering the cause of the nation.
The PM strongly advocated the need for the Goods and Services Tax (GST) reform and hoped that the arithmetic, after the recent biennial elections to the Rajya Sabha, could pave the way for its passage in the forthcoming monsoon session. He singled out the Congress for stalling the government’s legislative agenda in the Upper House, including the GST constitution amendment, and termed those opposing the Bill as “anti-poor”.
The PM responded to questions on a range of issues, from foreign policy to poor job growth, in an 85-minute interview to private news channel Times Now. Nowhere did he refer to his party’s Rajya Sabha member Subramanian Swamy by name, but seemed to say much both on Rajan as well as the GST that runs counter to Swamy’s statements on either of the two issues.
In recent past, Swamy has doubted the patriotism of not just Rajan but also of Chief Economic Advisor Arvind Subramanian, attacked other finance ministry officials and made disparaging tweets that seemed directed at Finance Minister Arun Jaitley. The Finance Minister’s defence of officials was met by Swamy announcing that Jaitley can say whatever but he speaks only with the PM and party president Amit Shah. Swamy, brought into the Rajya Sabha earlier this year at the behest of the Rashtriya Swayamsevak Sangh (RSS) and a section of the Bharatiya Janata Party leadership, told industry lobby Indian Merchant Chamber on June 17 that the GST will be “no game changer”, and reminded the audience that Modi as Gujarat chief minister had opposed the tax reform.
Party officials, in off the record briefings, have been conveying to media persons that the BJP doesn't agree with Swamy’s views but also that only the PM or Shah can make him fall in line. In a message that seemed aimed at both Swamy as well as his backers in the RSS, the PM asked people to conduct themselves responsibly and said anybody who thought they were bigger than institutions were wrong. “It is my clear message. I have no confusion about it,” he said, indications that the rift between a section of the RSS and Modi government was widening.
In the interview, the PM stoutly defended Rajan. The PM pointed at the plethora of media reports in May-June 2014 that had wondered whether he will allow Rajan to complete his term. “But Rajan completed his entire tenure…,” Modi said. In an echo of Rajan’s statement that had announced that he was unlikely to pursue a second term at the RBI but will always serve his country, the PM said Rajan’s patriotism “is no less than any of ours”. Modi said his experience with Rajan was good and he appreciated the work Rajan had done. In comments that should assuage Non-Resident Indians willing to work for the government but unnerved after Swamy's attack, Modi said: “As much as I know Raghuram Rajan, whatever post he holds, wherever he is, he is someone who will continue to serve the country. He is someone who loves his country. Therefore, it's not like the nation won't get Rajan's services. Rajan is not that kind of a person,” the PM said.
On other issues, Modi reiterated the need for simultaneous elections to the Lok Sabha and state assemblies, asserted that the Uttar Pradesh polls will be fought on the issue of development and advised the media to not make “heroes” out of those who claim to be BJP spokespersons and make irresponsible statements. He said development was the panacea to communal tensions as well. Modi said the investigation into the Agusta helicopter scam was on, and that it will be conducted professionally without targeting people. Modi said the scam was pulled off by those who had perfected this art and it was evident that they enjoyed a “shield”. On willful defaulters like industrialist Vijay Mallya who have gone overseas, the PM said: “I will show them what rule of law is.”
The PM bemoaned the parliamentary logjam. He, however, said it was wrong to paint the entire opposition with the same brush as there were several non-NDA parties that have supported the legislative agenda of the government. He said GST will help the poor of UP, Bihar, Odisha and Bengal and its chief ministers – Akhilesh Yadav, Nitish Kumar, Naveen Patnaik and Mamata Banerjee – were keen for it to be passed. Modi said that only one party, the Congress, made opposing the GST a “prestige issue”. “But I will keep trying to convince…even if I have to go to someone’s house,” he said.
On the issue of unaccounted money, Modi accused the UPA government of allowing people with ‘black money’ opportunities from 2011 to 2014 to conceal it. The PM defended his Pakistan outreach and said his government was engaging with the democratically elected government in Islamabad, but there were other non-state actors that were also at play in that country. On India-US relations, Modi said India has been late in realizing that it was no longer a bipolar world.
On New Delhi’s bid for an entry to the Nuclear Suppliers Group, the PM said the process has started on a “positive note” and will be pursued in conformity with the rules of the 48-member grouping. He said India and China disagreed on several issues but dialogue will continue. The important change, Modi said, was that India was keeping its concerns in unambiguous terms in front of China. Modi defended his frequent overseas tours. He said it was important for him to meet foreign leaders to dispel any misconceptions that they might have about him as an individual by reading media coverage about him.
The PM said the cornerstone of his government’s policies was ‘Antyodaya’ or the welfare of the poorest. On the criticism that his government has failed to generate jobs, the PM said the data on job generation has failed to capture the job growth spurred by the MUDRA scheme, that has disbursed loans to nearly 3.48 crore people.
The PM said a correct assessment of his government’s two years in office should be made by comparing it with the last 10 years of the UPA, and not at the altar of the expectations that his election campaign had generated. On the promise that each Indian would have Rs 15 lakh in their bank accounts, Modi said: “That is something the opposition raises during elections. Let them have some issue to talk about.”
