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Amit Mitra hits out at Centre for lowest GDP growth, says there's policy paralysis in Modi govt

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Amit Mitra hits out at Centre for lowest GDP growth, says there's policy paralysis in Modi govt

West Bengal Finance Minister Amit Mitra hit out at the Centre for "lowest gross domestic product (GDP) growth" in the past five years. Armed with the recent data released by the Government of India (GoI) on the growth of the economy in various sectors, Amit Mitra targeted Prime Minister Narendra Modi-led Bharatiya Janata Party (BJP) government for "failing to maintain steady growth in India".

Amit Mitra said, "A deep recession has knocked at the doors of the Indian economy. The GDP growth is lowest in past five years. This means that the common man is under tremendous stress. Unemployment is highest in the past 45 years. There are no job opportunities in the country, especially for the next generation. According to the government data, in June 2019, Industrial growth is a mere two per cent as compared to seven per cent in last year."

Expressing the concerns of the businessmen across the country Amit Mitra said, "Businessmen are becoming NRIs [non-resident Indians]. The fear is forcing them to leave India and shift the base. They are under stress and threat."

Sharing the worry of several corporate bigwigs of the country, Amit Mitra said, "They are harassing the corporate. They are arresting those who cannot spend 2 per cent of CSR. You may speak to them; they have now started speaking up about the threats. The industrialists are in fear. India is going through a deep recession and the highest unemployment in 45 years. From 2014 to 2019, it is in decline. I want an answer. The government is paralysed and is threatening the industrialists to get them arrested."

He said, "This government has failed the nation. You have no leadership or positive outcome. You can change the discourse towards other things. The youth is getting nothing. You cannot shift the narrative to something else. The primary narrative has to be the closure of factories. We want to bring the narrative back to the common man. On the other hand, they are disinvesting the PSU. There is no theory or background."

"Workers are worried and writing to Chief Minister Mamata Banerjee for help. The atmosphere has been vitiated. The government has no answers to these questions. The central government is mum and pushing its way through Parliament. They are not even giving time to read or send it to the Parliamentary committees. These are ways of creating the narratives and push the move in their direction."

There has been a dip in the Auto sector with many companies laying off to even survive to retain the basic infrastructure. More than three crore people are associated with this industry and are facing a threat of losing their livelihood.

Sharing data released by the Ministry of Statistics and Programme Implementation, he shared the details of how West Bengal topped the list despite the recession with 12.58 per cent GDP growth in the first quarter of this financial year. This is followed by Andhra Pradesh at 11.02 per cent and Bihar at 10.53 per cent.

Amit Mitra said it was Chief Minister Mamata Banerjee's policies that have made the state clinch the number one rank in terms of growth rate in the country.

"It is because of the policies of the Mamata Banerjee government on the ground. Take the example of a road that has been created in my constituency which has created five markets in the area. We have revolutionised village roads, Mamata Banerjee has spent on capital expenditure, which is almost 11 times more than the previous one," Mitra said at a press conference in Kolkata.

The data shared is as follows:

Index of industrial production: 1.2 per cent in June 2019 growth as compared to 6.8% in June 2018

Capital goods sector:

June 2018: 9.7 per cent has came down to -6.5 per cent in June 2019.

Manufacturing growth:

June 2018: 6.9 to 1.2 per cent this year.

6.1 per cent unemployment rate in India, which means there is no employment.

Fifteen-year low reached in investment in new projects. It is 81 per cent lower in the number of new projects announced

Amit Mitra negated any international recession impact on the Indian economy stating that the 4 per cent unemployment in the USA was simple job changing tactics of the people whereas Germany seeing dip was only a local issue, not a European phenomenon. Interestingly, what has been the bone of contention is the dip from 2018 to this year in the Indian economy.