PM’s interview on the Union Budget- 2012-13
16 Mar 2012
The government seems to have overlooked populist compulsions of a coalition government and opted for a realistic budget, giving emphasis to fiscal correction and economic growth.
The union budget 2012-13 comes in the backdrop declining GDP growth, a ballooning deficit at the central and state levels and rising external deficit amidst declining exports and rising imports.
Prime minister Manmohan Singh explains the budget in response to the current economic situation in a brief interview. Following is the text of the prime minister's interview after the Union Budget 2012-13.
Following is the text of the Prime Minister, Dr. Manmohan Singh's interview after the Union Budget 2012-13.
There was a decline in our GDP growth. It is now 6.9 per cent - that was a wake-up call. Hopefully we're now awake. What do you see in the budget as a response to the wake-up call?
Right now, the challenge before the country is to accelerate the tempo of economic growth, at the same time to ensure that we do not slip on our obligations to moderate the price-rise. And I do believe, both these tasks the Finance Minister has tackled, and tackled well.
What do you think there is in the budget that promises to help, shall we say, with inflation?
Well. The biggest single thing that fiscal policy can do in controlling inflation is by controlling the fiscal deficit. Fiscal deficit in the current year, has turned out to be as high as 5.9 per cent.
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