Fiscal transparency

Apropos the very thought-provoking and analytical article by Sanjaya Baru (Aug 17), it cannot be gainsaid that fiscal transparency is urgently needed in our country. The quasi-fiscal activity unfortunately represents a serious deficiency in our compliance with the IMF code about fiscal transparency. It is to be hoped that the report of the Advisory Group on Fiscal Transparency will soon be implemented in actual practice through the introduction of the Fiscal Responsibility and Budget Management Bill.

The oil pool account should be dismantled to pave way for part compliance with the code of fiscal transparency. Further, the deficit has still not been checked and the unfinished agenda of fiscal reforms has to be voluntarily completed. It is to be hoped that the finance ministry will pursue fiscal reforms instead of allowing a crisis to develop.

One of the other areas in which transparency could be attempted is the preparation and circulation of proposed income-tax amendments. There should be a national debate instead of their being placed through the Finance Bill, which leaves little time for debate in the public and Parliament.

—R N Lakhotia, New Delhi

Are they guilty?

Apropos the controversy over the means employed by Tehelka, can we really say that these women were exploited? They were employed to put into practice their trade and earned money in the bargain. Is this exploitation? Moreover, can their type of activity be called work in the usual sense? As for the moral aspect, the less said the better. Take a look at the materialistic world we live in — a world where money is everything and there is no value for human life. As for Tehelka not making a voluntary disclosure about the means used, that’s fine too, unless it is proved that women were actually forced to act as prostitutes.

At the end of the day, corruption and misdeeds of politicians, bureaucrats and in fact, all public functionaries must be brought to light and the guilty punished. Currently, this is not happening.

—Mahesh Kumar
on e-mail

Rural economy

Finally, the government has realised that it is the rural economy which can give a real boost to the industrial and service economy. The continued downturn in agriculture has affected the entire economy, especially industrial production and the services sector. Even per capita foodgrain consumption has come down by 40 gms per day. All these distressing facts speak volumes about the importance of agricultural economy. It is high time that the government pays utmost importance to this sector by enhancing investment particularly to increase yields, and providing modern facilities for storage and marketing of agro-products. Only these will make Indian farmers globally competitive.

It is also essential to bring utilise more land for cultivation. This can be done by making 60 per cent of our wasteland arable through modern techniques. It is also suggested that we enter into collaborations with Israel, utilising that country’s expertise in this field. There is a vast scope for agri exports which could be tapped to garner not only foreign exchange but to provide jobs to rural labour. The government should concentrate on the agricultural economy to achieve GDP growth of 10 per cent, which is essential if the basic needs of our people are to be met and China’s challenge is to be faced.

—B L Tekriwal, Mumbai