Modi exhorts on implementation…
Narendra Modi has been giving new thrusts to the Prime Minister’s Independence Day address to the nation. He has been effectively using his oratory skills in presenting evocative addresses from the Red Fort. In the seven earlier speeches from 2014 he had been announcing one or other special scheme like Ayushman Bharat, electrification of all villages, Swachh Bharat, Jal Jeevan… which formed the plank for development and quick action. These gained traction and were taken up for quick implementation.
Surprisingly, his 8th Independence Day speech was free from any such new scheme. Instead he focused his thoughts on consolidation. He called for efforts to ensure the amenities reach each household. In his familiar slogan of sabka saath, sabka vikaas, to which he earlier added sabka vishwaas, appended this time sabka prayas. Of course, it is an important appendage: development for all, taking everyone together through getting their trust also need their efforts.
Continuing with his stress on infrastructure development, the Prime Minister said that a Rs 100 lakh crore Gati Shakti master plan to develop infrastructure would focus on the manufacturing sector and create plenty of jobs.
Stress on consolidation
The several welfare schemes initiated by the Modi government over the last seven years addressed a plethora of basic needs like banking for all (Jan Dhan Yojana), healthcare (Ayushman Bharat), gas connectivity for all (Ujwala Yojana), power for all, housing for all, Swachh Bharat, piped water supply for all (Jal Shakti Abhiyan), food subsidy… All these are making good progress impacting the lives of the masses, especially the weaker sections.
There is thus logically a welcome shift towards consolidating these and focusing attention on economic development. For this, the steep step up in infrastructure investments is especially welcome.
The Covid-19 pandemic has been severely impacting economic growth. Sharp attention was paid to tide over the crisis of the earlier months by a handsome step up in allocations for health. The economy suffered a negative growth of 23 per cent through 2021. Estimates of revenue receipts went for a toss and the recovery has just begun. So the avenues for resource mobilisation in a conventional manner are limited. But needs, especially from the social sectors including food security, health, education… are ballooning.
In this context the new scheme of monetisation of assets assumes importance. This is more so in the context of the very poor record of privatisation of public sector undertakings through the last three decades. This issue was also beset with strong opposition by the socialist concepts of
several decades.
Monetise public assets
Finance Minister Nirmala Sitharaman has indicated the potential for raising around Rs 600,000 crore in the next four years through monetization of public assets in sectors of roads, ports, airports, railways, warehousing, gas & product pipelines, power generation and transmission, mining, telecom, stadium, hospitality and housing.
Government spokespersons have been quick to reassure that there is no plan to part with the ownership of assets would be monetised by leasing these for specific periods.
The concept is nothing new. For over two decades the concept of build, operate and transfer of roads and bridges has been in practice to great effect. This helps the government leave the task of funding, building and managing public assets for a few years to private entrepreneurs and return these to the government at the end of lease.
The enormous resources unleashed in the process are seen in the massive expansion of highways in the last two decades.
Disappointingly, parties in opposition to BJP have expectedly jumped the gun. They cry hoarse on selling the family silver. For a change they should be ready with an alternate plan for managing and growing the economy and not just content to oppose any and every plan of the government.
