Even as the economy sees a slowdown, the outspoken BJP leader Subramanian Swamy has come out with a five-point formula to rescue it and boost growth. The new steps range from scrapping personal income tax to printing more currency notes for boosting infrastructure sector. “Five steps to rescue economy: 1. Abolish personal income tax 2. Reduce prime lending rate to 9% 3. Raise bank term deposit rate to 9% 4. Make corporate R&D & employees children education expenditure tax deductible 5. Print notes liberally for infrastructure construction”, Subramanian Swamy tweeted.
“Five longer term steps: 1. Three crop seasons for all farmers , permitting or assisting pooling of land. Coastal irrigation by desalination of sea water. Fight in WTO for market access for agriexports. Raise yield per acre by IARI input packs,” he also tweeted.
Also read: HC raps RBI: Why do you keep changing currency note features even after demonetisation
On growing power demand, the Harvard-educated economist said that the government must promote hydrogen fuel vehicles and generate power by Thorium reactors. The government should also allocate nearly 4 per cent of GDP to R&D so as to boost innovation.
The Rajya Sabha MP had claimed a couple of years back that he wrote a 16-page letter to Prime Minister Narendra Modi warning him about the economy which is facing several challenges. Since the economy is in a tailspin, there is a need to introduce new steps to revive it, he had then said in an interview to a TV channel. “Last May, I wrote to the Prime Minister a 16-page letter with stats from his own departments to show that there are five storm signals,” he had said.
Meanwhile, the economy is undergoing a stagnation on account of fall in consumption demand. Several global financial institutions have also slashed India’s growth projections for the ongoing fiscal, owing to uncertain economy, poor monsoons and global disruptions.