Nirmala Sitharaman bid to cover up Centre’s discrimination towards Telangana
What Telangana Chief Minister said and how Union Finance Minister distorted facts
Hyderabad: Despite the backlash from different sections over the union budget, Union Finance Minister Nirmala Sitharaman claimed that it was the best budget ensuring welfare of all sections.
Speaking at the Doordarshan’s Dialogue on Amritkaal Budget here on Thursday, the Finance Minister also tried to cover up the BJP government’s discrimination towards Telangana and gave a few incorrect replies on the issues raised by the State government.
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On the five trillion dollar economy
Chief Minister K Chandrashekhar Rao had said the BJP-led Union government’s target of a five trillion dollar economy had turned out to be a joke as India was still a 3.5 trillion dollar economy.
Union Finance Minister’s reply: It is criticising and humiliating the people of the country. Every State was trying to contribute to the country’s target of achieving a five trillion economy and Telangana should also contribute.
Fact: Prime Minister Narendra Modi had promised to the people that by 2022, India would become a five trillion economy. But India is still a 3.5 trillion dollar economy, lagging behind by 1.5 trillion dollars. The Centre’s latest campaign is that India would become a five trillion economy by 2024-25. By repeatedly changing its own deadlines, it is clear upon whom the joke is.
When compared to 2014-15, Telangana’s contribution to the country’s GSDP had increased from Rs.5.06 lakh crore to Rs.13.27 lakh crore, registering a growth of 165 percent. Telangana’s contribution to the nation had increased from 4.1 per cent to 4.9 per cent and so did the per capita income. Had the country progressed at the pace at which Telangana did, the State’s GSDP would have been Rs.15 lakh crores. While trying to keep the people in the dark on these issues, the union Finance Minister in an emotional note urged not to criticize the people of the nation.
On tax devolution
CM KCR: Telangana has been contributing more to the union government’s kitty than what it was receiving as devolution.
Union Finance Minister: The union government has given Telangana much more than the State government paid to the Centre.
Fact: The State government has paid Rs.3.68 lakh crore to the union government. The Union Finance Minister claims that under Grant in Aid Rs.1.39 lakh crore and share in Central taxes Rs.1.30 lakh crore were paid to the State. Interestingly, the Finance Minister included the amount to be received during 2023-24 financial year as well and this could be nearly Rs.40,000 crore.
Similarly, for Railway lines, an allocation of Rs.7,000 crore was claimed out of which, Rs.4000 crore are pertaining to the next financial year. Of the total cumulative figure of Rs.2.76 lakh crore claimed by the union Finance Minister, about Rs.40,000 crore will be realised during the next financial year.
On rising debts
Cm KCR: Under Prime Minister Narendra Modi, the country’s debts have increased substantially.
Union Finance Minister: Telangana’s debts have increased from Rs.60,000 crore in 2014 to Rs.3 lakh crore in 2023.
Fact: If the 2023-24 union budget estimates are considered, under Prime Minister Narendra Modi’s rule during the last 10 years, the debts are Rs.112 lakh crore. During the next financial year, the union government is likely to incur debts of Rs.5.34 lakh every second. In the 10 years, debts have increased by 170 per cent. The annual interest component paid by the union government on debts is eight lakh crore.
As per the FRBM rules, the union government’s debts should not be more than 40 percent of the GDP. However, it has increased to 56.2 percent.
Considering all these hard facts, the union Finance Minister appears to be more concerned about Telangana’s debts than that of the Centre. In fact, till the 2021-22 financial year, Telangana’s debts in the State GSDP is 27.4 per cent, which is fifth among the 10 large States in the county. Punjab leads with 48.4 percent, while many BJP and Congress ruled States like Rajasthan, Himachal Pradesh, Madhya Pradesh, Uttar Pradesh and Haryana are worse than Telangana.
