The Opposition on Thursday slammed the Government over the worsening economic situation amid sliding rupee even as Prime Minister Manmohan Singh admitted in Parliament that the country was going through a “difficult” phase and had to reckon with the “uncertainties created by global factors”.
Making this brief remark after the Opposition repeatedly demanded a statement from him on the present state of economy, Singh said he will give a detailed statement on Friday as “I need some time to reflect on what I have to say”.
The lok Sabha witnessed repeated adjournments as the Opposition demanded an immediate statement from the Prime Minister with the left and AIADMK members even trooping into the Well in the lok Sabha to register their protest.
The Rajya Sabha also saw a brief uproar after leader of the Opposition Arun Jaitley raised the issue and urged Singh, who was present in the House, to spell out steps to address the economic situation.
Responding to the elders’ concern, the Prime Minister said, “It cannot be denied that the country is faced with a difficult economic situation. And there are several causes. I do not deny that there are some domestic factors but there are also international factors arising out of the changes in the US monetary stance.”
Apparently referring to looming possibility of US strikes on Syria, he said, “There are also problems created by the new tensions that are on the horizon in Syria and they have inevitable consequences for oil prices. So we have to reckon with all those uncertainties.”
Earlier, Jaitley said there was a sense of panic amongst people over the depleting value of rupee and they do not know where it will stop. Inflationary pressure would be twice as the rising food prices, coupled with imported inflation in the form of rising oil prices in the global market, would lead to a serious situation, he said.
“It is a panic situation... We want to know from the Prime Minister what he has in his mind for reviving the situation. In a democracy, the buck stops at the Prime Minister and not disappear,” he said adding, “The Prime Minister must take the House and the country into confidence.
Sitaram Yechury (CPI-M) sought to know if the economic reforms introduced 22 years back have come back to square one.
In the lok Sabha, leader of Opposition Sushma Swaraj said Finance Minister P Chidambaram had given a speech on Tuesday following a debate on the issue. He had enumerated 10 steps and maintained that if these are implemented the economy will improve, she pointed out.
“After this, the confidence of the country and the investors should have increased by at least 10-20 paise but it has actually fallen,” Swaraj said. Rubbishing Chidambaram’s contention that the economy is in a bad shape as the country’s polity is divided, the BJP leader said before accusing the Opposition the Government should bury its differences as it is a divided House.