Union Finance Minister Nirmala Sitharaman on Saturday asked states to extract free funds to test the state government’s fiscal strength and provide funding accordingly.
Days after Prime Minister Narendra Modi’s ‘rewaris’ jihad, which seems to refer to freebies offered by some state governments, especially the Aam Aadmi Party area in Delhi and Punjab, Ms. Sitharaman said. very good that the debate has begun.
“You can promise something. Say when I say you – some state government or some government – you promise something, say I’ll give you something for free. That could be It’s electricity, it could be anything else. And I’m not saying you shouldn’t.” “Do it but make sure you understand your state’s financial strength, your state’s financial strength. and promised it in the election, you win, you come back, make sure you fulfill it because you made a word and how, by making sure that your budget will have a provision for it,” Ms. Sitharaman said in an interactive program hosted by BJP’s Economic Cell here.
“I think it’s very fortunate that the Prime Minister mentioned freedom bonuses and their impact on the economy. And now there is a lot of interest in this topic and discussions are starting to start. but a good debate and building on arguments is essential because any attempt to deviate from the core principle we need to understand, or any attempt to undermine or dilute this debate is all conduct to the detriment of this country because we all know, governments have a responsibility,” she said in response to a question about the financial burden of free funds for with the state.
FM says governments have a real responsibility to ensure that good education reaches all of their citizens, especially the poorer sections of society.
Ms. Sitharaman added that when poor people are involved, basic health care is also guaranteed, some “kinds of medical assistance with more senior specialists involved is when needed, people will be accessible to the poor.” In this regard, she said, the various committees appointed since independence have always emphasized spending at least 6% of gross domestic product on health, education and other basic needs.
Ms. Sitharaman said as of today no government has denied its responsibility for education or has only allowed private education to take over this task.
She added that the private sector is allowed to take on responsibility for education but no government since independence has said there is no need to spend on education.
On the contrary, both Center and states are involved in this process through Jawahar Navodaya Vidyalaya, Sarva Shiksha Abhiyan, tribal welfare schools, residential schools to provide good quality education for all, Ms. Sitharaman pointed out.
“So if any attempt is made to say that education is currently considered free, sorry. That’s an irresponsible false statement. So is healthcare. partially successful. , a better part of success in reaching out, has never shied away from education or health responsibilities,” Ms. Sitharaman said.
Ms. Sitharaman said she won’t make a list of what’s freebie and what’s not, and wants to leave the topic up to everyone to decide.
However, she cites free insulation that can burden power generation and distribution companies if the state’s financial status is not taken into account.
“You promised them up to 300 units of electricity or 300 units of free electricity anyhow. Since you know how many people will get it, you in your budget have to reserve for that,” she said.
“Do you have enough financial strength. Do you generate enough revenue to be able to do all of this and take care of your committed debts like salary, pension and doing your usual things– yes water, sugar, make sure your state has schools, colleges, education, hospitals,” she added.
Regarding cryptocurrencies, she said the government has warned before that, “please – Caution is the word. So I think we will all have to share our thoughts and be a little cautious about cryptocurrencies.” this. There’s a lot of possibilities when you’re talking about technology, but how and where and its trajectory is something we’re all going to have to be concerned about and keep an eye on,” she said.
On a question about inflation, Ms. Sitharaman said, “I have to manage inflation but I have to encourage growth. There’s no way I’m going to continue with the harmonization. It’s not the conditioning. Okay, if you’re really a person trying to get out of there. Yes, it’s mediation, but the approach we’re taking is growth,” she said.
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