Prime Minister Atal Bihari Vajpayee on Saturday sought national consensus for accelerating reforms, reducing fiscal deficit, removing internal trade barriers, creating an investor-friendly climate and empowering Panchayati Raj Institutions.In his inaugural address at the 50th meeting of National Development Council here, he said India’s economy would undoubtedly attain a higher growth rate if the constraints and hurdles in agriculture, industry and services were removed.‘‘I would like to emphasise that there is no need to be sceptical; there is no need to wonder whether it is at all feasible for us to climb from the growth rate of 5.5 per cent last year to 8 per cent during the Tenth Plan,’’ he told the NDC attended by Deputy Prime Minister L. K. Advani, Planning Commission Deputy Chairman K.C. Pant, Chief Ministers, Lt Governors.The Prime Minister proposed to set up of three committees of the NDC for removal of inter-state trade barriers, creating an investor friendly climate and empowering Panchayati Raj Institutions.Listing out seven crucial issues requiring national consensus at the meeting, Vajpayee asked the CMs to take ‘difficult decisions’, especially to tackle fiscal deficit and accelerate reforms.‘‘We have to undertake thoroughgoing reforms and remove bottlenecks in our energy, transport and water infrastructure. In particular, I can see danger light flashing because of the slow pace of reforms in the power sector,’’ he said.Stating that fiscal deficit was the ‘‘biggest worry’’ both for the Centre and the States, Vajpayee said ‘‘we need to enhance revenues, and address the problem of untargeted, runaway subsidies.’’ He said the finance ministry was preparing a paper on reform of subsidies. ‘‘We should put in place a firm roadmap for applying corrective in a time-bound manner’’ to ensure they reach the poor and are not ‘‘siphoned off’’ by others, the Prime Minister added.Underlining the need to ensure that the VAT regime was implemented in all States from April 1 next year, the Prime Minister said this would open the door to enhance revenues for States.Seeking cooperation of the State governments in its implementation, he said this was necessary to ensure that the present inefficiencies and harassment at the business- government interface disappear.
