The ceremony was boycotted by the state unit of BJP. The Union Finance Minister, however, clarified that political difference apart, the “federal structure of the country” has to be respected.
Finance Minister Arun Jaitley said that one can either agree or disagree with the RBI’s judgement but that is a debate on issues, its important that it doesn’t turn into a debate on individuals.
The government’s stand becomes important in view of Subramanian Swamy’s letter to the prime minister on Thursday listing reasons why Raghuram Rajan should not be given a second term.
Jaitley claimed that during UPA rule there was a rise in corruption cases as the then Prime Minister Manmohan Singh did not have much say in the decision-making.
Responding to a query on GST implementation, Jaitley said he is hopeful of its passage in the monsoon session as most political parties except the Congress are in favour of this historic tax reform.
The proposal of SBI to merge its five associate banks with itself and acquire Bharatiya Mahila Bank is in line with the government’s policy of consolidation, Arun Jaitley said.
Arun Jaitley parried a question on Subramanian Swamy’s demand for immediate sacking of RBI Governor Raghuram Rajan saying the Government and RBI are responsible institutions and decisions will be taken without being influenced by “any other factor.”
Finance minister Arun Jaitley on Monday said bad loans have reached the peak and the situation will get better with improvement in six sectors understress.
jaitley said it may be difficult to get peak growth rate in the backdrop of global tailwinds such as slower global growth.
Jaitley asserted that “activism” has to be blended with “restraint”.
He also hit back at Congress, accusing it of using investigation agencies when UPA was in power for “fabricating” chargesheets and said in each of these cases, courts discharged the accused even without a trial.
Jaitley said that since the discussions are between two sovereign states, he cannot “unilaterally” fix its timetable.
To a question whether Rajan is getting an extension, he quipped “these are not issues which we discuss through the media.”
More than the food, the hot topic of discussion was loan defaulter Vijay Mallya and what needs to be done to recover the money from him and others like him.
India had in August 1982 signed the treaty with Mauritius to eliminate double taxation of income and capital gains to encourage mutual trade and investment.