Even Left decides to support reforms

Speaking to The Indian Express from a village in northern part of West Bengal, Nilotpal Basu, a Rajya Sabha MP of the CPM said : ‘‘We are realistic that in case of an alternative to the NDA coming to power at the Centre, it will not be the Left parties’ programmes which will be adopted and that is why we are ready to compromise. Between the like-minded parties there is broad unanimity on major reforms programmes. We are not opposed to all disinvestment but definitely the irregular disinvestment under the NDA will have to stop. ’’ His message to the markets — ‘‘We will give better economic policies than the NDA.’’

After all, statistics show that the average GDP growth in the last six years of the NDA has been in the region of 5.7 to 5.8 pc despite the 8.4 pc and 10.4 pc in the last two quarters. The Congress years between 1991-96 showed a somewhat better average growth of around 6.5 pc. Both fronts holding the key to the formation of the next government may pledge to make the dream of an economy growing at 10 pc a reality, each side is equally distant from it. So why are the markets shivering with nervousness is what most political parties are now questioning?

They say that what concerns common people more is that 742 million people still live in rural areas in India, 260 million still live below the poverty line and 42 million still look for jobs every year.

Basu’s sentiment is echoed by former finance minister Pranab Mukherjee of the Congress. ‘‘Our vision document and manifesto clearly show our commitment to the economy which will involve more employment generating investments and more emphasis on the manufacturing sector,’’ Mukherjee said. And his message for the markets : ‘‘There is no need to be nervous, the NDA only ruled for 5 years we have 45 years of experience and will continue reforms.’’

Mukherjee’s colleague and former finance minister, who is virtually known as the father of the reform movement in India, told the media something similar in Kanpur yesterday. ‘‘The steps taken by the Congress government at the Centre during 1991 to 1996 on the economic front yielded fruits during the rule of BJP-led NDA, if we come to power after the elections, we will take steps to create more job opportunities.’’

SP leader Amar Singh has a special message for the markets : ‘‘Don’t panic, we’re not demons.’’ Says Singh, ‘‘a balanced approach is important and while liberalisation is here to stay, random disinvestment will not be our policy.’’ Asked if he subscribed to the fact that political pressures would always make it impossible for proper reforms like cutting subsidies on diesel prices or other subsidies, Singh said, ‘‘if subsidies go to farmers or are for good of common people, we are open to it.’’

As Jairam Ramesh, secretary of Congress’s Economic Cell puts it: ‘‘No knee-jerk reforms We will disinvest but in a careful sequential manner based not on ideology but on the merits of the case before us.’’ Disinvestment of Indian Oil Corporation and ONGC are a definite no-no while ‘‘denationalisation of banks is definitely out.’’