EDITORIAL
THE
BACKDOOR
The backdoor is not as
simple. For the layman it happens to be the door in the
back part of the building. Reference to Chambers
dictionary however gives it entirely different
connotation. According to it, when used as adjective
back-door means 'unworthily secret' or 'clandestine'.
This means it is totally in the negative sense. Unworthy,
clandestine etc are indeed not good adjectives for the
gentlemen and fall in the domain or acts performed by
rogues and villains. Backdoor is usual feature of any
house or bungalow meant for cross ventilation, better
light and of course as alternative to the front door. It
is okay upto this as long houseowner uses it for any
purpose. But back-door has also been the favourite of
thieves for entry inside the house. Welcome visitors
perforce knock at the front door. So are the inmates.
Cine world has been using the back-door themes in many
pictures. Even print media reflects that most of the
dacoities thus reported are through the back-door.
Back-door has also been in the reckoning for the lovers.
The beloved could keep it unlatched for the lover for
that pre-arranged mid-night tryst. Lovers of course have
no malafides. It is somewhat impulsive, compulsive and
irresistible temptation to be closer to the beloved one
because of many restrictions in vogue, during sun-light
sessions. Some children in their adoloscent age also like
to use the backdoor, may be with the connivance of mother
who has softer heart for the offkins. Front door entry.
..more
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The
Inside Truth-VII
J&K
Governor Saxenas
dinner created an event
From B L Kak
The event after sundown. When? On October 21, 1998.
Where? Raj Bhawan, Srinagar, the capital city of
Kashmir.. ...more
Panchayats
and
elections
By Prof Anmol Singh
Panchayat is the council of ''wise and Noble'' men of a
village. It is a village-based body...more
Teachers
evaluations
by
students
ACADEMIC PULSE
By Prorf S K Bhalla
The other day a College of Education operating in Jammu
organized a debating contest on...more
Strikes,
agitations
and
their settlement
By Babu Ram Sharma
In a democracy strikes, protests and agitations are the
recognised peaceful methods........more
Check
this
fundamentalism
immediately!
Tales of Travesty
By Dr. Jitendra Singh
In his book "India Wins Freedom" published
within a few......more
Budget
2001-02
Bonanza
to industry
By: K.R. Sudhaman
The first budget of the new millennium has certainly came
as a bonanza.....more
|
The
Inside Truth-VII
J&K
Governor Saxenas dinner created an
event
From B L
Kak
The event
after sundown. When? On October 21, 1998.
Where? Raj Bhawan, Srinagar, the capital
city of Kashmir. Occasion? Dinner hosted
by the Jammu and Kashmir Governor, Mr
Girish Chandra Saxena. Purpose?
Get-together. Invitees? Among others,
Admiral Bhagwat, Chief of the Naval Staff
(CNS), his wife, Mrs Nilofer Bhagwat, and
the US Ambassador to India, Mr Richard
Celeste.
That
Admiral Bhagwat sought to pursue the
policy of transparency even after the
Vajpayee Government dismissed him from
active service can be borne out by the
inclusion in his book of the
question-answer session that took place
between the US envoy, Mr Richard Celeste,
and Mrs Niloufer Bhagwat at the Srinagar
Raj Bhawan during the dinner hosted by
the Governor, Mr Saxena.
And
Admiral Bhagwat has termed as "very
interesting" the questions asked by
Mr Richard Celeste. Admiral
Bhagwats loaded observation :
"The main question that arises from
this discussion is as to who in the
Ministry of Defence was keeping the US
Ambassador so well briefed?"
Mr
Celestes question: What is
happening between the Chiefs and the
Ministry of Defence?
Mrs.
Bhagwats reply: It is only a
turf issue, I suppose.
Mr
Celestes question: Is it all
that simple? Do you advise the CNS on
matters, which arise out of the
MoDs questioning?
Mrs.
Bhagwats reply: The Military
are self-opinionated
they
dont take advice.
Mr
Celestes question: Is there a
conflict of interest between your kind of
work and the Admirals role and
responsibility?
Mrs.
Bhagwats reply: I dont
take military cases. Ours is a
democrattem. It is a tribute to our
Governments. They do not see it in the
way you put it.
Mr
Celestes question: What is the
difference between the Sri Krishna
Commission of Enquiry and the Jain
Commission of Enquiry?
Mrs.
Bhagwats reply: You have had
your own experience with the Warren
Commission inquiring into the
assassination of John Fe Kennedy. Several
red herrings were thrown before the Jain
Commission (including the CIA
involvement). The Jain Commission had to
base some of the findings on hypothesis,
whereas in the Sri Krishna Commission,
everything in the report is based on
facts and evidence.
Before
Admiral Bhagwats visit to Kashmir,
he had an important interaction with Mr
Brajesh Mishra, Principal Secretary to
the Prime Minister, Mr Atal Behari
Vajpayee. But before that meeting on
September 8, 1998, Admiral Bhagwat has an
input from "a senior
personality" that Mr George
Fernandes had told him (Mr Brajesh
Mishra) that his Defence Secretary, Mr
Ajit Kumar, had conveyed to him that
Admiral Bhagwat was "inciting"
the Army Chief.
"This
gentleman", Admiral Bhagwat says in
his book, "who was on close terms
with Mr Fernandes, had in turn told him
(Mr Fernandes) what had come to his
knowledge that some senior officers of
the Armed Forces had begun to play a game
of communal divide". Mr Brajesh
Mishra had, during his meeting with
Admiral Bhagwat, asked him whether he
knew about a letter which Mr George
Fernandes had addressed to the Prime
Minister. Admiral Bhagwat replied in the
negative.
The
book has divulged that Mr Brajesh Mishra
then proceeded to tell Admiral Bhagwat
that Mr Fernandes, in his letter to the
PM, had referred to his (Admiral
Bhagwats) lack of amenability to
civil control. He said that he would like
to offer a word of advice to all the
three Chiefs of Staff that they had to
show more deference to political
authority. Mr Brajesh Mishra, Admiral
Bhagwat says, was obviously referring to
a meeting of the Army Chief, Gen. VP
Malik, and the Prime Minister on J&K
border escalations.
The book
has quoted Mr Brajesh Mishra as having
told Admiral Bhagwat that the best thing
would be to "clear the air"
with the Defence Minister. On his return
to his office, Admiral Bhagwat fixed up a
meeting with the Defence Minister at 4.45
pm on Wednesday, September 9, 1998.
Admiral
Bhagwat has revealed: "When I went
to meet the Minister, he got up to
receive me. We shook hands and I went
straight to the subject Brajesh
Midshra told me that you had written a
letter to the PM about the CNS
I
have come to clear the air. Completely
avoiding the subject, he was at his
diplomatic and disarming best
and
said, he had stated in every forum,
Cabinet meetings, discussions with my
colleagues that you are the most cerebral
officer in the Armed Forces
I had
praised you for your vision, commitment
to long term national goals, specifically
as regards the air defence ship and the
submarine building plan and you have my
unstinted support in all".
Responding
to another question from Admiral Bhagwat,
Mr George Fernandes, as stated in the
book, told him:
"No
no
please dont
misunderstand. As a Minister in previous
Governments also, I wrote letters to the
Prime Minister and the President, once in
two months or so. It is only for
information as to how things are
progressing in my Ministry
I only
referred to your using strong language
and some gaps in communications with you
as the Navy Chief. I should have, I would
have talked to you about my
perceptions".
Admiral
Bhagwat, in a obvious reference to the
controversial Defence Minister, has
emphasised that it is the "duty of
the Government of the day to ensure in
letter and spirit that the basic features
of the Constitution are strengthened and
never permitted to be undermined or
subverted". And his warning:
"Any other course would lead the
country to a path of self-destruction
which ids a one way street. The poison of
hateful politics spreads fast and it will
make us a Yugoslavia, Bosnia, Kosovo or
Chechnya".
(Concluded)
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Panchayats
and elections
By Prof
Anmol Singh
Panchayat
is the council of ''wise and Noble'' men
of a village. It is a village-based body.
In olden times, villages would choose
noble and wise men from amongst
themselves to make a council or Panchayat
to look after the well being of villagers
and the village. Truthfulness and
justness was the watch-word of a
panchayat. The person chosen for the
panchayat is called ''PANCH''. The word
Panch has nothing to do with the figure
'five'. The word was used for very noble,
wise and godly person. Thus they would
say Panch-Parmeshwar. So much was the
respect and regard for the Panch. The
word of Panchs was final for the
villagers and they would take it as
divine wisdom. The Panchs of a village
would solve the problems of the villagers
and villagers would live happily.
Our
neighbouring country, Nepal has a well
defined Panchayat system. Before
independence, villages had their own
Panchayats in our country. After
independence Government of India resolved
to introduce Panchayat Raj. It was aimed
at the upliftment of the villages through
Panchayats. As, ours is a democratic
polity, the village Panchayats also got
involved in party Politics. The democracy
was exploited to the hilt. The ''noble
and wise'' of the villages were elected
rather than chosen by the villagers. The
political parties started giving mandate
to the candidates desirous of fighting
elections and winning the same for the
party. The political parties, claim the
states on the basis of panchayat
elections. Thus villager lost his say in
choosing the ''wise and noble'' as Panch
of the village-the Panch Parmeshwar!!
Party politics has changed the concept of
panch and Panchayat. A political party
wants its candidate to win the seat, no
matter, what means he or she adopts to
win. Gandhiji said means should be noble
to meet noble ends. But post-independence
polity paid no heeds to what Mahatma
Gandhi desired, Practised or advised in
this regard.
They
say-all is fair in love and war and
especially the ''War of Votes''. Money
and muscle power, food and wine- which
ever works, is put to use for the 'noble
cause of the party'; Forget about the
voter. He is of no consequence after
voting.
In our
state, panchayat elections are being held
these days. These are not being fought on
party-lines. They say, these elections
are being held after a long gap of twenty
three years. When were these held last
time, few people remember, but these were
not held the way, it is being done now.
Sarpanchs and Panchs filed their
nomination papers. They were given the
option to withdraw. They were allowed to
canvass in the true democratic fashion.
About 200 to 250 votes were allowed to
vote for a panch and neary 1500 to 2000
voters were to vote for a Sarpanch. For
this small number of votes by and large,
voters did not assert their wisdom or
they were not heeded to and the aspirants
(candidates) tried their luck by the most
democratic method, they had seen their
peers practising in the assembly and
parliamentary elections. Loudspeakers,
hand-bills, posters were used and door to
door canvassing was done by the candidate
in small segments of villages. The
loud-speakers blared round the clock.
Hand-bills and posters decorated every
conceivable place in the village houses
and lanes. Some candidates came out with
appeals, for getting the low literary
rate of villagers. The door to door
canvassing of many candidates from same
locality embarrassed the voters as much
as cracking sound of loudspeakers stunned
them. To crown it all the liquor flowed
through the narrow lanes of the villages
in sample quantity. Some candidates
treated the votes with food and tea,
others helped (corrupted) them with
money. Where lady candidates were in
field, their husbands pleaded for their
spouces in true ''Bharti Pati'' style.
The day of voting and after results were
equally embarrasing for the small
segments of village voters. It is not
clear what plans, what menifestos or
schemes the elected nobility of the
villages have in their regarding
upliftment of their villages.....but the
heat and dust created during election may
not be repeated. Afterall, the village
community is a wellknit society from
times immemorial. They had been using
their wisdom to keep the environ of the
village pleasant.' Baradaries' have lived
in harmony and have been managing their
own affairs. In some villages, this time
also the community used their collective
wisdom and chose their Panchayat
representatives unanimously, and saved
themselves from the electionering
cresendo, in true panchayat spirit.
As the
panchayats for different villages are
being formed and the panchayat Raj is
being ushered in our state also, it is
expected that the villages will be taken
care of in right perspective. It is
expected that, under panchayat Raj, (i)
the villagers will get the facility of
SULAB Scheme, started by the Central
Government long ago.
There will
be no human excreta scattered around the
villages and village fields. This will
check nematode infection among village
children and save them from anemia. (ii)
The Panchayats will also take care of the
drainage sysem of the villages. Cesspools
will not be there to breed mosquitoes.
Malaria/filaria/viral fevers spread by
mosquitoes will leave the villages alone.
It will be a great achievement of
panchayats on village health front. (iii)
The drinking water and its contamination
will also be taken care of by the
panchayats. This will check the spread of
waterborne diseases like diarrohea and
dysentery in villages (iv) It is expected
that panchayats will also ensure the
efficient functioning of village school
and all village children will avail of
the opportunity of receiving elementary
primary education, thereby ensuring 100
percent literacy. (v) They will also
ensure the efficient functioning of
village/Block. dispensaries so that
villagers get medical aid if and when
required. (vi) Panchayats may also
educate the villagers regarding the
dangers of drinking and smoking, and also
about the dangers of deadly AIDS. (vii)
Panchayats can also educate villagers
regarding problems of over population.
(viii) The villagers will get the
guidance to go in for improved methods of
agriculture, other professions and
vocations practised there. (ix) There is
ample scope of cottage industry in our
villages. The panchayats can ensure the
suitable cottage industries for their
respective villages. Numerous jobs can be
generated in the village itself. Under
the noble and wise guidance of Panchayat,
village youth can start numerous
profitable jobs and market their produce
in the nearby towns and cities. This is a
chance to translate the dreams of Mahatma
Gandhi regarding the prosperity of
village and the development of a
prosperous and strong India.
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Teachers
evaluations by students
ACADEMIC PULSE
By Prorf S K Bhalla
The other day a
College of Education operating in Jammu organized
a debating contest on the topic of immense
educational value which reads "Should
Teachers Be Evaluated For Their Promotion By The
Students" through readers of the news items
were eager to as certain in great details the
view point of the contestants and the Chief Guest
thereby leaving many an ignorant person like me
in complete darkness. Anyhow, the topic needs and
in-depth study by all those who are in one or the
other way connected with the trends in the world
of education.
First, we should
frankly admit that by and large teachers at all
levels are scared of any sort of evaluation by
the students since they like to place themselves
on a very high pedestral and do not accept being
knocked off their perch. The proposition of
evaluation by their taught is an anathema to them
and the person writing on these lines is their
enemy No. 1. Those who preside over the destiny
of the nation would never like to be judged by
anyone. At some point of time a proposal had been
mooted on these lines which was outrighty
resented by teachers and ultimately scotched. The
irony of all this lies in the fact that too often
we say students are the best judge of a teacher.
At a time when the
noble procession of teaching has been reduced to
salesmanship in many case on account of dichotomy
between what is being professed and practiced the
mode on an experimental basic must be initiated
in J&K and for achieving the desired results
the necessary changes may be incorporated as and
when required after due deliberations.
The students in
our institutions come from a cross section of
society with varied educational, social and
economic background as also I.Q. So there is very
danger that at times their opinions may be biased
and prejudiced. Moreover, it is not possible for
all of them to assess many things impartially.
The problem of swelling numbers is also there.
Should we abandon the while thing? Not at all in
a hurry.
As the mode of
evaluation of teachers is likely to be different
at varied levels to start with at least at the
level of Colleges and beyond Secondary School
stage we should stress on the three basic points
and not beyond that for the time being as it may
give sleepless nights to many. These are (i) the
degree of punctuality in engaging the classes (2)
the percentage/mode of covering the course in
each quarter of a session and (3) the general
conduct of a teacher. All of us know that a not
more is even hidden in these three points.
These three points
though appear very simplistic are sufficient to
keep the teachers in a state of alertness as it
has been that conflicting versions are given by
teachers and taught even regarding first two
points many a time. Moreover, we need an
impartial agency to sift the grain from the husk
for which efforts can be made.
The intention here
is not at all to injure the sentiments of anyone
but on seeing the usual unreported complaints of
bunking the classes by a few, multiplication of
on the campus problems, coercing directly in a
few but indirectly in many a case for attending
the evening educational clinics and the general
disturbed environment in our institutions these
days, the points stressed upon need consideration
by those who are genuinely interested in any sort
of betterment.
Here it shall not
be wrong to write that a lot more is also
expected from educational leaders. They shall
have to set an example of dedication, honesty,
probity, sincerity and fellow feeling to be
emulated by teachers which shall ultimately
percolate down to the level of the students. Why
not initiate a debate on this score to reach some
sort of understanding? Let the teachers not set
glittering tiaras on their pretty heads but forge
ahead with all their might as the whole society
especially youth are looking towards them.
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Strikes,
agitations and their settlement
By Babu Ram Sharma
In a democracy
strikes, protests and agitations are the
recognised peaceful methods of projecting
problems and ventilating grievances by the
aggrieved people to the concerned authorities
when in the normal course their problems are not
resolved. Generally, people are peaceful and
exercise patience except when their sufferings
cross the limit of their endurance and justice is
not done.
Ours is a
democratic set-up and in a democracy
high-handedness does not work. Fair-play and
justice govern it and ensure welfare, of the
people, merit not mediocrity coupled with
nepotism inspire it. Democracy is a peoples'
government. The interests and concern of the
people shape public opinion about functioning of
the Government. Public opinion, therefore,
matters most for the health and existence of the
people's Government. It is essential that
peoples' representatives in a democracy involve
themselves with the peoples' problem and help the
Government solve them in a peaceful manner
democratically rather than making political
capital out of them. The public issues agitating
the people may, for example, be (i) collective
killing of innocent and peaceful citizens and or
ethnic cleansing forcing minorities migration by
Pak - sponsored militancy in J&K State. (ii)
Abductions, ransom, exploitation of communal
sentiments, (iii) students' flare-up against
irregular admissions in Medical Colleges, the
poorest power supply affecting studies,
agitations and consequent loss of academic
session (iv) camouflaged irregular appointments
on "compassionate
grounds/"Rehbar-a-Talim Scheme" etc.
adversely affecting the highly educated
un-employed and the over-ageing ones (v) Hikes in
prices, fares etc. (vi) less production due to
poor water and power supply pushing up inflation
etc. Democracy abjures violent and co-ercive
methods of resolving problems which are common to
the governed and their Government. Timely,
sympathetic, helpful and negotiated settlement of
issues are called for. There is no ground for
arrogance, authoritativeness and suppression of
agitations. The festering wounds of the sufferers
need balm, dressing and treatment by the
authorities. There is no scope for provocations
and vengeance either on the part of the
Government machinery or the protestors. All
demonstrations should be democratic and peaceful.
There should be no stoning, violence and burning,
damaging of public property. The rowdy and
anti-social elements amongst the demonstrators
must be cautioned to be peaceful or excluded or
in default the demonstration must be halted
Violence vitiates the atmosphere and creates
ill-will. Explosive situations must be diffused
in the interests of peace, tranquility, normal
work, business and economy. As a matter of fact,
there is no ill-will between the protested and
the police-the law and order enforcement
machinery of the peoples' Government. All the
Government services are paid out of taxes
collected from the people and so the Govt.
services need to be responsive to the peoples'
difficulties. Similarly it behoves on the
protestors not to take law into their own hands
and ventilate their anger and resentments on
police. Targetting police and destroying our
public property in our loss. Police comprises our
own people. It is to protect our life and
property, maintain law and order and bring to
book the criminals. If we start attacking our own
protectors, who will save us. We must co-operate
with the police and un-mask the wrong-doers and
our enemies. We must not, therefore, indulge in
destructions to compel the police to use force -
lathi-charge, tear gassing, firing to disperse
the unruly mob infilterated by anti-social and
hostile elements. Use at force rather excessive
force is highy undesirable in any case by any
party. Public weal and welfare calls for
public-spirited quick actions by the arbiters of
power so as not to allow the matters to aggravate
and become explosive. Even in intractable cases
all settlements and agreements must be reached by
amicable negotiations, consultations, discussions
etc. so conducive for the affected people, the
democratic Government and the national interests.
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Check
this fundamentalism immediately!
Tales of Travesty
By Dr. Jitendra Singh
In his book
"India Wins Freedom" published within a
few years after independnece, Maulana Abul Kalam
Azad wrote that the partition of India would not
have taken place if only Jawaharlal Nehru had
demonstrated a little more discretion while
dealing with Mohammad Ali Jinnah and if only
Nehru had refrained from making a rather
controversial Statement about the Cabinet Mission
Plan in 1946. Maulana Azad's contention was,
however, never accepted unquestioningly and while
Azad blamed Nehru and the Congress for partition,
Jinnah went on to describe Azad as a "show
boy" of Nehru and the Congress.
The Taliban's
relentless drive to destroy the ancient Buddha
statues has a direct bearing in the context of
the Indian subcontinent. Certain things ought to
be checked well in time before these begin taking
the toll of history. If the partition of India
was allowed to come through in the unspoken hope
that it would help pacify religious
fundamentalism, the consequences were just the
contrary with religious fundamentalism increasing
by each day to assume its present heinous form.
The same can be said of the Taliban's mad crusade
which if not checked in time could lead from bad
to worst.
Even though the
Mullahs have traditionally played a crucial role
in Muslim politics, what is being witnessed today
is a definite retrograde march with Muslim
fundamentalists gaining more and more ground in
South-East Asia. One of the main reasons for this
retrogression is that countries like Afghanistan,
Pakistan, Bangladesh, Indonesia and Malaysia have
never been exposed to significantly long periods
of democratic rule. In Pakistan and Bangladesh,
on the other hand, the long periods of military
rule have enabled the Mullahs to gain ground
because the Army rulers there used the Mullahs to
counter the political parties. It is an
eye-opener observation that in any of the
elections in Pakistan the religious parties have
not be able to get more than 5 percent of the
votes. In Afghanistan too, the present Taliban
regime has resorted to the most perverted
practice of fundamentalism in a bid to seek
credentials for its undemocratic rule.
In other words,
the rising tide of Muslim fundamentalism is not
inspired by any ideology or religious commitment
but it is simply a handy tool for seeking
political mileage. And, unfortunately, India is
fast becoming the capital of this malaise. Note
the thoughtless statement made by Delhi's Shahi
Imaam linking Taliban's autocratic anti-Buddha
campaign to Ayodhya's Babri Masjid - Ram Mandir
controversy. The Delhi Imam forgets the basic
fact that the Ayodhya's Masjid - Mandir conflict
has taken so long to resolve primarily because an
amicable solution is being sought within the
parameters of democracy and secularism. Another
fact which the Delhi Imam conveniently overlooks
is that he can deliver such outrageous statements
only because he is a citizen of liberal India and
not citizen of an authoritarian Pakistan or
autocratic Afghanistan.
Be that as it may,
it is in the interest of India's Mulsim community
itself that the right thinking citizens and the
more enlightened intellectuals amongst them must
take up cudgels against such foolish campaigns
which in the long run threaten to deter the
progress, prosperity and emancipation of none
else but the Muslim himself. The question for
them to ponder is not whether they are Muslims or
non-Muslims but the real question for them to
address is what kind of future do they wish to
leave for their children in the new millennium.
More than anybody
else, it should be directly a concern of the
common man irrespective of whatever religion or
faith he subscribes. More than anybody else, it
is Umapathy's concern. The bard drops the
cue: "Yeh Jo Madarase Ke Bigdhe Hue Hain
Mulla, Inhe Mahkhaane Mein Le Aao Sanvar
Jaayenge!"
***
Budget
2001-02
Bonanza to
industry
By: K.R. Sudhaman
The first budget
of the new millennium has certainly came as a
bonanza to the Indian Industry as it provides a
'new deal' to kick-start the economy. It has for
sure attempted to revive the feel-good factor,
which was fast evoporating due to slowdown of the
economy mainly due to poor performance of
Agricultural, Industrial and Services sectors.
But the problem is that the Finance Minister
Yashwant Sinha seems to have totally forgotten
the salaried and middle-class in the budget, as
they don't form a decisive constituency in the
elections.
Sinha is right in
saying, "good economics is good politics and
bad economics is no good politics." But one
wonders whether the interest of the middle-class,
which forms the intelligentsia of the society,
does not constitute good economics. Middle class
and pensioners are certainly not a constituency
in the elections; so ignoring their interest
might be good politics, as they may not matter in
terms of votes in the upcoming assembly elections
in five states, but certainly not good economics
as protecting their interest is equally
important.
Sinha's argument
is that the budget should look at the larger
interest of the society. Over the years an
impression has been created that it must attempt
to give something sections of the society and
that this notion needed to be dispelled. It is
not necessary that the Budget should contain
something for every section of the society. This
argument is certainly valid but take for instance
the reduction in interest rates on small savings
schemes. It is a step in the right direction as
it attempts to align the rates with similar
schemes of banks and that it has been done to
move on to a lower interest regime to bring down
cost of borrowing which has remained high in the
country compared to global standards.
But one should not
forget that lower interest regime is fine when
the inflation is under check. Now the inflation
hovering around eight per cent and widespread
indications that it's likely to go up further in
coming months, mainly because international oil
prices have not yet stabilized, the measure will
certainly hit the middle class, poor and
pensioners hard, leading to lowering of demand
for consumer goods which the finance minister
wanted to spur to push up growth and investment
in the economy.
With agriculture
not doing all that well and infrastructure
bottlenecks still persisting, it would be some
time before industrial activity picks up in the
economy. In such a scenario it would be hard to
believe that inflation rate would come down in
the coming months. This could mean difficulties
for the poor and the middle class. Also there
could be a time lag in creation of employment,
which means problem for the masses and service
sectors.
Nonetheless, it
goes to Sinha's credit for keeping the fiscal
deficit under check this year by achieving the
target of 5.1 per cent of GDP. Keeping in line
with the targets set in the Fiscal Responsibility
legislation, Sinha has lowered Fiscal Deficit
target to 4.7 per cent of DGP for 2001-02.
This is possible
provided the ambitious Rs 12,000 crore target of
Disinvestment proposed in the Budget is achieved,
besides the revenue buoyancy projected in the
budget. Going by the past record, Disinvestment
has fallen far short of the targets in the past
two or three years, it is hard to believe that
the target would be achieved in the coming year
that too with looming political opposition to
strategic sales. There is definitely certain
element of risk on this score.
Rationalisation of
indirect taxes particularly the excise duty to a
single 16 per cent rate and removal of all the
Gujarat surcharge on taxes, are welcome measures.
But none seem to realise the fact that the
proposal to have single rate CENVAT is inherently
inflationary as most of the items of interest to
common-man which used to attract eight per cent
excise duty, barring a few, would not attract 16
per cent. Also many items of luxury consumption
have now been brought down to 16 per cent from 24
per cent.
The Budget has
embarked upon a major labour reform by announcing
the government's decision to amend Industrial
Disputes Act to allow retrenchment of workers
without state government permission in factories
employing up to 1000 people. This policy has long
been demanded by the industry. The moot point,
however, is that the legislation has to be first
moved in Parliament, which will certainly be
referred to parliamentary standing committee.
This means that the reform might remain only in
paper this year like several other economic
legislation like the Banking companies Act to
allow banks to dilute government equity to 33 per
cent, Fiscal Responsibility legislation,
amendments to Sick Industries Companies Act
(SICA) to wind-up Board of Industrial and
Financial Reconstruction (BIFR).
Downsizing of
government by 10 per cent in five years and 100
per cent metering of power by this year end are
again two bold initiatives for which the finance
minister deserves appreciation. But these
measures are very difficult to achieve and like
the economic legislation are likely to take much
longer that the timetable set in the budget.
Nevertheless, they are welcome, as a beginning
has been made on these difficult reform measures.
In sum Sinha seems
to have tried to bring-in several reforms which
meant good economics but former Finance Minister
Manmohan Singh is right is saying the
"budget is long on intent and promise."
How many of the proposed initiatives Sinha he
implements this year remains to be seen.
PTI FEATURE
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