NEW DELHI: Mahua Moitra, a member of the opposition Trinamool Congress party, said on Tuesday that the new grant requests will cause the fiscal deficit to exceed the budgeted objective if the government doesn't take other actions to generate money.
She took part in the discussion in the Lok Sabha supplementary demands for grants for 2019–20 and supplementary demands for grants for the current fiscal, and she stated that the excess demands for grants would result in an additional expenditure of around Rs 4.36 lakh crore.
"The fiscal deficit will increase over the goal that the Finance Minister has stated in the Budget as a result of this. What are the government's new revenue-raising strategies, particularly for non-tax revenue, that will cover the increased spending and keep us inside the budget deficit targets? "she sought to know.
The micro, small, and medium-sized enterprises (MSME) sector, which supports 90% of industrial jobs, only receives 233 crores of the about 2,000 crores of supplementary demand, she said.
Moitra criticised the administration for painting an inaccurate picture of the economy and said: "Every February, this government makes us believe that the economy of this nation is booming. We are the most effective and rapidly expanding worldwide player. Everyone is able to find work. Gas cylinders, electricity, and decent homes are all now available to us. About eight to ten months into this lie's flight, the truth finally makes its way after it. Now that it is December, the Government claims that it requires an additional Rs 3.26 lakh crore in funding beyond what was anticipated in the budget."
The Trinamool MP stated using NSO data that "In October, industrial output decreased by 4%, reaching a 26-month low. The manufacturing industry experienced a 5.6% decline. The Index of Industrial Production's seventeen industrial subsectors all have negative growth rates. In less than a year, currency holdings have decreased by 72 billion dollars".
Finance Minister to reply on discussion over demands for grants in LS
