Modi rule weakened economy, govt misleading people with hollow claims, says Chidambaram

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Published: May 8, 2019 5:23:59 PM

The Modi government is misleading the people with hollow claims, even as economy is treading a weak path, former finance minister P Chidambaram said.

The private expenditure, government expenditure and fixed investment rates have also fallen in the last five years, Chidambaram noted.

The Modi government is misleading the people with hollow claims, even as economy is treading a weak path, former finance minister P Chidambaram said, adding the next government has enough work to do so as to repair the damage done by the Bharatiya Janata Party (BJP). Several indicators show that the economy is facing a slowdown, the veteran Congress party leader also said on Wednesday.

The people have begun to raise their voices as the elections near an end, he added. The report by the economic division of the Finance Ministry for March is an indictment of the state of the economy, he noted.

Taking stock of a media report on the CSO’ data and GDP series, Chidambaram said it appears the MCA-21 data, which has not been made public, is faulty as 35 per cent of companies in the data do not exist.

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There is not even a single parameter which shows the economy is in good shape, he added. According to the March 2019 report, the GDP growth fell from 8.2 per cent to 7 per cent in the last 3 years. The gross fiscal deficit and capital expenditure remain flat and inflation rose from 3.1 per cent to 4.2 per cent, the former finance minister also said.

The private expenditure, government expenditure and fixed investment rates have also fallen in the last five years, Chidambaram noted.

Speaking about the government’s flagship programme Pradhan Mantri Ujjwala Yojna, Congress spokesperson Jaiveer Shergill said that it has turned out to be a failure. It must serve as a warning sign to people that the Modi can’t be trusted, he added.

The report by the Comptroller and Auditor General (CAG) noted that  the number of households with LPG connections that were using an average of 6.27 cylinders a year in FY16 decreased to 5.6 after the scheme was launched, he noted.

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