Thursday 22 August 2013

Sonianomics is a threat for Indian economy.



Today almost everyone is concerned about the recent depreciation in rupee valuations and India's dismal economic performance; the real reason for it all: Sonianomics and it's aftermath.
Sonianomics is about the party patron chasing her whimsical dreams and messing up the country's development prospects.It is mostly about keeping the family in power and buying enough votes by using taxpayers resources.Being at the helm of a political party involved in the biggest scams ever exposed such as the 2G spectrum scam, the 2010 Commonwealth Games scam ,the Adarsh Housing Society scam and Coalgate scam,it deserves no kudos for the damaging expeditions.
The major snag in the the decision making process is the bad timing when ruling government is pressing for the Food Security Bill.The bill is Congress Party President Sonia Gandhi’s pet project, and it is no secret that she pulls the strings of the government behind the scenes.The bill aims to provide subsidized food grain to around 67 percent of India's 1.2 billion people which is indeed a noble proposition, but implementing it in a time when the economy is already struggling with it's colossal problems is definitely not a bright idea."The UPA government's proposed Food Security Bill carries a slew of "economic consequences", including pressures on fiscal deficit, growth and inflation" Reserve Bank governor D Subbarao said."There will be pressure on procurement, there will be pressure of subsidy, there will be pressure of fiscal deficit that will have implications for growth and for inflation, implications for surplus income that beneficiaries of food security might have and how they might spend that and what implications they will have for inflation," he said.
Confidence in an economy does not collapse due to bad economics alone; it is usually the result of wrong choices made by politicians over a prolonged period of time.It is not the PM or the FM, for everyone knows they are not their own masters.
We will have to continue dealing with the lags of poor economic outcome resulted as an impact of the incredibly ridiculous Sonianomics for the next nine months until the next government is born.May god bless each one of us reading this article,with the much needed immunity booster,that we will surely need to be able to survive the threats from Sonianomics.

1 comment:

  1. Now as the bill has already been passed,it makes me more worried about the looming economic condition.

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