Claiming now is the “payback time for those who heavily financed the BJP election campaign and forcefully projected Narendra Modi as the ‘messiah’ of India Inc”, CPI(M)’s People’s Democracy has said India Inc is hoping that a fresh batch of economic reforms and liberalisation will begin.
The editorial in the latest issue, however, adds the “news on the economic front dampens such hope”. “Under these conditions, financial reforms aimed at making capital available on easier and cheaper terms by reducing interest rates is not possible. This is so because the neo-liberal ideology informs that by reducing interest rates, there will be a greater money supply in the economy which will put further pressure on the prices to rise,” it states.
“Given their active role in strongly financing this BJP election campaign, unprecedented in the history of Indian democracy, the assessments of India Inc would likely influence the government’s policies more than people’s hopes and expectations. The 15 tough steps that the PM is likely to announce, according to India Inc, include the phasing out of subsidy on diesel; monthly increase of LPG and kerosene prices; scaling down of the food security and fertiliser subsidy; significant amendments to make land acquisition easier; shrinking the NREGA; labour reforms to enact ‘hire and fire’; increase railway fares and lower food subsidy by reducing the rate of raising minimum support prices. This last measure will further compound the present agrarian distress,” the editorial claims.
Concluding by saying that people’s “miseries are going to mount exponentially”, the editorial says such measures have to be “resisted” through public movements and struggles.
Chaos all over
Emphasising that the world is in “turmoil”, the editorial in the latest issue of CPI’s NewAge says the situation in most Arab countries is similar to that of a “civil war”.
It says the situation is “most pathetic” in Iraq, where “sectarian fundamentalists are on a rampage”. “In our neighbourhood, Afghanistan and Pakistan are both in turmoil. Not a single day passes without a murderous attack by Taliban in either of the two countries. The Indian consulate in Herat was attacked on the eve of change of regime in our country and it was followed by a murderous attack on Afghan presidential candidate Abdullah Abdullah. In Pakistan, the airport of the commercial capital of the country, Karachi, was attacked twice within 48 hours,” the editorial adds.
“Look anywhere, be it Ukraine or Sri Lanka, several countries are in turmoil and Americans are involved in adding oil to the fire. This scenario will likely continue, as it suits the American ‘national interests’,” it further states.
Compiled by Ruhi Tewari