Arthavarta | 11.5 | Sanjeev Chandorkar
(Economy) If the country’s economy is going through a difficult period, citizens must respond to the government’s appeals wherever possible – there is no reason to disagree on this.
(Economy) However, citizens can only trim a few branches of the problem tree, and only as far as their reach extends. The impact of that has its limitations. What the central government has in its hands carries hundreds of times more impact. The government must act on that.
(Economy) If the goal is to reduce gold imports, tell the stock market-listed jewellery companies to stop aggressive marketing. Look at the marketing and sponsorships happening through TV serials – and increase GST on jewellery.
(Economy) If foreign exchange reserves are to be maintained, ban capital investments abroad and purchase of real estate in foreign countries through the Liberalized Remittance Scheme.
If edible oil imports are straining foreign exchange, give domestic oilseed farmers inflation-indexed guaranteed prices for the next ten years. Make provisions for it in the budget.
Increase GST on private vehicles (not goods transport). And strengthen urban or state public transport enterprises by providing thousands of comfortable, safe, and affordable buses for city and intercity travel. Stop defaming them by constantly crying about losses. Do whatever is necessary to improve their fuel efficiency.
These are just a few draft suggestions. More can be added. They need not be implemented as-is, but can be put into practice after thorough debate weighing the pros and cons.
The job of political leadership is to formulate economic policies and laws, and implement them. The biggest and most unique authority is the one granted to them by the people. No other agency in the country holds this authority.
But if even a hint is given of implementing the above or similar suggestions, the market will deliberately be crashed, and domestic and foreign capital along with their spokespersons will flex their muscle.
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