BUDGET 1999-2000
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BUDGET 98-99
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'The Budget is lacklustre, pedestrian and retrogade!'

I found the Budget totally lacklustre, pedestrian and retrograde!

Had I been the finance minister, I would have done three things. 1) Income tax would have been abolished. 2) Bombay and Tuticorin would have been made free ports. 3) All the southern rivers would have been connected by water grade system of canals.

If income tax is abolished, the rate of savings as a percentage of GDP will go up, which will lead to higher investment. And through indirect taxes you will mop up more than you will lose on income tax revenues.

I don't think the Sangh Parivar's economic policy is reflected in the Budget. For two reasons: 1) This Budget does not reflect anything. 2) Sangh Parivar's swadeshi economic policy is a complete sham. Half their leaders are in the US for their heart bypass, and they regularly serve Coca-Cola in party meetings. In Parliament, 50 per cent of the BJP members come in three-piece Western suits.

Three specific things in the Budget bothered me. 1) Cutback by Rs 170 billion in the capital expenditure. 2) Internal debt trap. 3) The huge imposition of Rs 93.34 billion in additional taxes and duties. These three steps will lead to further decline in growth rates.

I agree that education was neglected in the Budget. We are not only neglecting education, we are becoming directionless. I have always believed that the only way to improve education is by sharply increasing the salaries of the primary school teachers.

Some people say petty politics have ruined the Indian economy. I disagree. Petty politics in Italy did not ruin the Italian economy; petty politics in France did not ruin the French economy. The regulation by the state ruins the economy.

If you tax agriculture, the farmers will beat up the income tax officers. Already, the farmers are paying indirect taxes. I am for abolition of direct income tax for all.

Dr Subramanian Swamy is president of the Janata Party

Budget 1999-2000

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