The Lok Sabha session on Monday (August 1) saw the Congress Party and Dravida Munnetra Kazhagam (DMK) raise concerns against Bharatiya Janata Party's (BJP) economic policies and the rising inflation.
In the two-hour-long debate on the same, Finance Minister (FM) Nirmala Sitharaman presented the data and claimed that the nation's debt-to-GDP ratio is doing a lot better than several developed nations.
Government's Stance On The Issue
The Finance Minister stated that the present data on Goods and Service Tax (GST) Collections and Purchasing Managers' Index (PMI) are favourable for the economy and show that the Indian Economy is growing robustly. She denied any risk of recession or stagflation and said that the country's inflation has stayed below 7% despite the second wave of the pandemic and the war raging in Ukraine.
"There is no question of India getting into recession or stagflation even though the US may have entered into an unofficial recession," she said as quoted by Business Insider.
Comparing the country's economic growth to developed nations such as Japan, Sitharaman stated that they are faring better with the debt-to-GDP ratio. The GST collection is said to have risen by 28 per cent to touch ₹1.49 Lakh Crore; the second highest number recorded after the record high in April 2022.
The Banking Sector has also reportedly seen a positive turnover, with gross non-performing assets (NPA's) reaching a six-year low of 5.9 per cent.
Furthermore, she also assured that efforts are consistently being made in order to reduce inflation and revise the prices of essential goods.
Unsatisfied with the FM's response, several opposition members staged a protest and walked out of the House. Congress leader Manish Tewari accused the ruling government of widening the inequality between the rich and the poor through their policies.
An increase in GST on essentials such as flour, oils, stationary, and so on was brought to the attention, and he added the saddened plight of having to see an 18 per cent GST imposed on Crematoriums as well.
Trinamool Congress's (TMC) Kakoli Ghosh bit onto raw brinjal and made a point against the increased price of LPG Cylinders by saying that "Government Bahadur wants us to eat raw vegetables," reported The Indian Express.
Through these acts, she conveyed that the government is forcing people to turn to desperate measures.
Other parties from the opposition, such as DMK and Biju Janata Dal (BJD), also supported the accusations and criticised the BJP's inability to balance the budget. Pinaki Mishra rebuked the government's claims and criticised the oil prices and service oil bonds.
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