Jaswant Singh: I am at a loss to grasp what is the central point that you — with all your experience — are trying to deliver to the country? What is the focus that you wish the nation to address to?
Is it a reversion to command economy? Is it that you are reasserting the need for a socialist economy? Are you placing the public sector banks back on the commanding heights of the economy? I am unable to discern that central purpose — not because I am deficient in understanding, but because I do hold that this very important document, which comes only once a year and is a statement of the fiscal policy of the government, is deficient in conveying what has happened and why has this happened.
I personally feel there are far too many economists in this government. I believe that there are more economists infesting this government than any other government. Despite all these economists, all this is happening, raising a very serious question. You are surely familiar with the saying ‘too many cooks spoil the broth’. But, these ‘too many cooks’ are not simply ‘spoiling the broth’, Mr Finance Minister, they actually do not let the broth to be cooked. That is why, we suffer this deficiency.
The budgetary speech that you so eloquently and at such length made has addressed too many demands being placed on it. Therefore, you are putting too many ingredients into this speech. Forgive me for pointing out, it really gets nowhere.
When I examine this document or other aspects, I investigate flaws, hopelessly disjointed, shambling efforts of our government to balance the Budget — to run railways, manage coalition, attend to the demands of an obstreperous Parliament and ensure fiscal prudence. All very big goals are accompanied by bigger bourses. All are, Mr Finance Minister, on your able shoulder. Now, I wish there were more ministers to share your responsibilities because all these burdens are on you.
I am told that you had to even draft the reply of the honourable railway minister.
Finance Minister Pranab Mukherjee: I am already overburdened. Do not add to my burden.
Jaswant Singh: That is why, I marvel at your government. I marvel at your government because despite all your efforts, it is still working. That is why also, I quite often ask myself a question. Is it a government or an illusion? Most of the times, I am frank with you that the government now that we have the benefit of working under is not just an illusion. It is only a notion… (interruptions)
Sir, my good friend Shri Pawan Kumar Bansal is making a very philosophical point. That is why, I submit, Mr Finance Minister, Sir, and you would admit that I am not rude when I say we are now having to suffer a government that is condemned to perpetual crisis — one crisis after another. The other day I said, and I said it in all sincerity, that we want you to succeed. I am personally committed to your success because if you succeed, it is good for the country. But, Mr Finance Minister, you seem and your government seems determined not to succeed. Now, how are we to address that?
You said the other day in a different context that you have managed your coalition much better than we managed. I am not in competition of coalition management, but if this is an example of managing coalition, very well…
Mr Finance Minister, I will come to your speech proper. I do not wish to re-read your speech or even to define the parameters, but I have tried to condense what you said in your speech and what was contained in the Economic Survey, which is otherwise a very fine document because whatever the finance minister is unable to contain in his speech always can be there. The Economic Survey very briefly is optimistic on growth improving in the coming year and also in the year after that. It also identifies, and quite rightly, fiscal consolidation as the central challenge to revive investment growth and contain aggregate demand, because if aggregate demand is not contained, it has a twin fallout. These are the index of inflation going up and the current account deficit widening. All these are eminently acceptable and reasonable.
The Economic Survey also calls for getting energy prices right. Again, who can dispute that? It is easier said than done to set energy prices right, so that technical and commercial losses in the power sector are reduced. It is a very big thing, but the Economic Survey fails to identify, which I am sorry to say, Sir, that you too as finance minister really do not identify. The Economic Survey cannot display political courage. Mr Finance Minister, when I compare my present days of coming to Parliament with that of the earlier days — this is my ninth term now — when I first used to come, the kind of limousines today crowd Parliament or crowd the streets of Delhi persuade me to recommend to you that please increase petrol prices straightaway.
You have increased petrol prices a few times earlier, and you have met with a considerable amount of hue and cry against it. But, I have not seen any reduction whatsoever in the traffic on the roads of Delhi or the kinds of limousines that come into Parliament. Along with that, for long, you will not be able to resist it now — if you permit me to say — for obvious reasons. I do not want to labour the point of why you cannot resist petrol price hike. It is because of the international situation, Iran, etc. But you cannot also resist doing so for diesel. This is not a politically popular point, but it is economically and fiscally a vital point.
It is a requirement that states must cooperate to stamp all power thefts. Power theft in the country is rampant, except in some states, and if you continue to steal power, then we will always be short of power. Investment has also suffered, and quite rightly the Economic Survey points it out, as your speech also indicates it. But, in addition to that, may I point out how decision-making is almost at a standstill.
Excerpts from BJP Member of Parliament Jaswant Singh’s speech on the Union Budget in the Lok Sabha, on March 22
