State of economy deeply worrying: Manmohan Singh

In a statement, the former PM said the last quarter GDP growth rate of 5 per cent signals that 'we are in midst of a prolonged slowdown'.

Published: 01st September 2019 11:04 AM  |   Last Updated: 02nd September 2019 08:16 AM   |  A+A-

Former Prime Minister Manmohan Singh (Photo | PTI)

By Express News Service

NEW DELHI: Former Prime Minister Manmohan Singh on Sunday tore into the Narendra Modi-led government urging the latter to put aside its “vendetta politics” and do something about the deepening economic slowdown, which he described as “man-made”. Lamenting that the current state of economy was truly worrisome, he urged PM Modi to reach out to saner voices to steer the country out of the crisis. 
The former PM singled out the two most disruptive moves by the Modi government — demonetisation and GST rollout — as the major reasons for the current slowdown. 

“Our economy has not yet recovered from man-made blunders of demonetisation and a hastily implemented GST,” he said, adding that institutions were under attack and their autonomy was being eroded.

Singh said, “The state of the economy today is deeply worrying. The last quarter’s GDP growth rate of 5% signals that we are in the midst of a prolonged slowdown. India has the potential to grow at a much faster rate but all-round mismanagement by the Modi government has resulted in this slowdown.”

In a hard-hitting statement targeting the government, Singh noted that entrepreneurs, farmers and the youth deserve better treatment and that the country cannot afford to continue in this fashion. Singh said he was particularly worried about the manufacturing sector, whose growth has come to a screeching halt at 0.6%.

Speaking on RBI’s recent transfer of `1.76 lakh crore to the government, Singh —  a former RBI governor – said the move will test the resilience of the central bank. “There is a gaping hole in tax revenues. Tax buoyancy remains elusive as businessmen are hounded and tax terrorism continues unabated. Investor sentiments are in doldrums. These are not the foundations for economic recovery,” he said.

Attributing the massive joblessness to the Modi government’s policies, Singh said most vulnerable workers will be hit by the large scale job losses. “Rural India is in terrible shape as farmers are not receiving adequate prices and rural incomes have declined,” he said. 

Stay up to date on all the latest Nation news with The New Indian Express App. Download now
(Get the news that matters from New Indian Express on WhatsApp. Click this link and hit 'Click to Subscribe'. Follow the instructions after that.)

Comments

Disclaimer : We respect your thoughts and views! But we need to be judicious while moderating your comments. All the comments will be moderated by the newindianexpress.com editorial. Abstain from posting comments that are obscene, defamatory or inflammatory, and do not indulge in personal attacks. Try to avoid outside hyperlinks inside the comment. Help us delete comments that do not follow these guidelines.

The views expressed in comments published on newindianexpress.com are those of the comment writers alone. They do not represent the views or opinions of newindianexpress.com or its staff, nor do they represent the views or opinions of The New Indian Express Group, or any entity of, or affiliated with, The New Indian Express Group. newindianexpress.com reserves the right to take any or all comments down at any time.

flipboard facebook twitter whatsapp