The minister of state(MoS) for IT, Electronics, Skill Development and Entrepreneurship, Rajeev Chandrasekhar said that the Modi government acknowledges the concerns of a common man around the inflation, rising prices of essential commodities and will require some time to ease the concerns. The minister was speaking at the Agenda Aaj Tak Conclave, 2021 on the theme of Inflation and COVID impact on the economy during a debate with the Congress MP, Manish Tewari.
The minister said that given the limited resources of revenues for the government during the pandemic, excise duty of fuels had to be increased temporarily which was again brought own once the economic situation improved. While answering the questions on the rising prices of edible oil, pulses, LPG cylinders, Chandrasekhar said that there is an acknowledgement by the government on the problems people are facing, adding he is optimistic that with the return in economic activity, inflation will ease.
“We were in once-in-a lifetime pandemic which hit the supply chains, increased fiscal pressures and the government expenses rallying. Despite so many challenges, the government did not cut down on its social programmes and had to increase the excise duty of the fuels in line with the international crude prices. To be able to withstand the challenges, we had to either increase the corporate taxes, GST or excise duty. When the GST collections increased, we dropped the excise duties,” the minister said, while denying the claims that the decision was made with the upcoming Uttar Pradesh elections in view.
The fact, according to the MoS, is that India received the highest FDI , has the 10 percent growth and has been able to come out of the pandemic successfully.
In response, Manish Tiwari questioned the move on the consecutive price rises on essential commodities while the corporate tax rates have been cut substantially. “ There is a big question as to why the capitalists who did not bear any impact of the pandemic were shielded, whereas the common man had to face the consequences?,” Tiwari questioned.
The minister replied that the Modi government is bullish on promoting the entrepreneurship , jobs creating through businesses and supporting the corporate which will boost the investment prospects.
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