Banks Were Under Duress To Disburse Loans To Industrialists During UPA Era: Narendra Modi
At a time when political temperatures are at an all-time high owing to the on going Gujarat State elections, Prime Minister Narendra Modi was up in arms against the United Progressive Alliance (UPA) era for pressurising the banks to disburse loans to innumerable industrialists and business tycoons. He said that his Government is looking to strengthen the banking system while pointing out that the issue of NPAs is a legacy received by the current Government from the last government. He was also very categorical that the era was plagued with the plunder of people’s hard earned money.
Addressing captains of trade and industry while inaugurating the 90th Annual General Meeting (AGM) of the Federation of Indian Chambers of Commerce and Industry (FICCI) he vehemently stated, “All the hue and cry around NPAs [Non-Performing Assets] was generated owing to the previous government. I am wondering what FICCI was actually doing when banks were compelled to dole out loans to certain business tycoons Everybody knew that something was fishy. This was the monstrous of all scams by the UPA, towering over others like Commonwealth, 2G, Coal, etc. Was this ever flagged (by FICCI) in any report or survey? Fortunately, our govt is taking some robust steps to mend the paralyzed state of the banking system. The nation can be secured only when the banks and depositors are secured.”
He also stated, “There have been repeated murmurs about the Financial Resolution and Deposit Insurance (FRDI) Bill 2017). The government (under NDA) is doing its bit to secure the deposits of customers. Associations like the FICCI have to figure out the ways to balance the voices of the govt., industry and the common man. We are working to protect the interests of the account holders, but rumours that are being spread are the exact opposite.” He said organizations such as FICCI have the responsibility to generate awareness about such issues. He also went on to state that the industry has a big role also now in making GST more effective so that its benefits are passed on to the consumers.
The Prime Minister also exhorted corporate India to pledge itself for the formation of a ‘New India’ that fulfils the aspirations of the poor and needy, provides a fillip to the domestic industry, big and small, where Micro, Small and Medium Enterprises (MSMEs) are handheld by large corporates to serve the requirements of the people in every nook and corner of the country. He also said it now devolves on industry leaders to turn their attention to minimising imports to fuel domestic production, which has a direct bearing on the creation of jobs and domestic wealth creation.
The PM also said that the Government's effort is to ensure that maximum businesses register for GST. “The more formal the system becomes, the more it will benefit the poor. It will enable easier availability of credit from the banks and reduce the cost of logistics, thereby enhancing the competitiveness of businesses. I hope FICCI has some plan to generate large-scale awareness among small traders,” affirmed Modi.
“A lot has been achieved since independence, but several challenges have arisen as well. The have-nots seemed to be struggling against the existing system for things such as bank accounts, gas connections, scholarships, pensions etc. The Union Government is working to end this struggle and to create a system that is transparent and sensitive,” highlighted the PM, adding, “Jan Dhan Yojana is one example of this, and increasing ‘ease of living’ has been the focus of the Union Government.” He also mentioned the Ujjwala Yojana, construction of toilets under Swachh Bharat Mission and Pradhan Mantri Awas Yojana.
The Prime Minister said organisations like FICCI have a key role to play in sectors such as food processing, start-ups, artificial intelligence, solar power, healthcare etc. He mentioned policy decisions taken in sectors such as urea, textile, civil aviation, and health and the benefits achieved from them. He also spoke of reforms in sectors such as defence, construction, food-processing etc. He said due to these measures, India's rank has gone up from 142 to 100, in the World Bank 'Ease of Doing Business' rankings.
