by admin | May 25, 2021 | Corporate, Corporate finance, Corporate Governance, Economy, Finance, News, Politics
Bengaluru : Karnataka on Thursday waived farm loans totalling Rs 34,000 crore, giving relief to distressed farmers across the state.
“I propose to waive farm loans totalling Rs 34,000 crore, with Rs 2 lakh per farmer family,” Chief Minister H.D. Kumaraswamy announced in the Assembly while presenting his maiden state budget for fiscal 2018-19.
“All crop loans defaulted by farmers to December 31, 2017 are waived in the first stage. Only loans borrowed from district cooperative banks and state cooperatives are waived in the first stage.”
The budget has also proposed to allot Rs 6,500 crore to enable farmers avail new loans after they submit a clearance certificate from the department concerned that their loan arrears have been waived.
“All crop loans defaulted up to December 2017 are waived in the first stage. Farmers who repaid loans within the stipulated time will be entitled to fresh credit up to Rs 25,000 or repaid amount, whichever is less,” the Chief Minister said.
The budget, however, proposes to tax people by increasing petrol price by Rs 1.14 per litre and diesel Rs 1.12 per litre.
“I also propose to increase excise duty on Indian made foreign liquor by 4 per cent to raise additional revenue for meeting the budget expenditure,” Kumaraswamy said.
Power tariff will also be increased by 20 paise per unit.
Assuring the legislators and the people that his coalition government would continue the flagship programmes of the previous Congress government, Kumaraswamy told the legislators that the overall size of the state budget would be Rs 2,13,734 crore.
Under the free Annabhagya (rice) scheme, the quantity of rice for free distribution has been cut to 5 kg from 7 kg per individual per month.
“I propose to allocate Rs 150 crore for agriculture development based on Israel mode. We will focus on agriculture as well as the services sector,” the Chief Minister said.
The budget has earmarked Rs 50 crore for natural farming on the lines of Andhra Pradesh for higher yields and better price.
As Kumaraswamy holds the finance portfolio, he decided to present a full budget of the Janata Dal-Secular-Congress government.
For key sectors like education, the allocation is Rs 26,581 crore, water resources Rs 18,142 crore, urban development Rs 17,727 crore, energy Rs 14,499 crore, social welfare Rs 14,123 crore and Public Works Department (PWD) 10,200 crore.
—IANS
by admin | May 25, 2021 | Opinions
By Amulya Ganguli,
If Narendra Modi expected Karnataka to be the icing on the cake on the eve of the completion of his four years in office, he must be disappointed.
Yet, the setback in the southern state is only one of the several reverses which the Bharatiya Janata Party (BJP) has suffered in the recent past. These include a series of by-election defeats in Rajasthan, Madhya Pradesh, Bihar and UP, which have not been adequately compensated by the party’s successes in the northeast. That’s because electoral outcomes in the country’s heartland have a greater salience than those in a region generally regarded as remote.
Considering that three more assembly elections are due in the next few months where the BJP is facing the anti-incumbency factor, it is obvious that Modi’s fourth anniversary is not the happiest of occasions. Several things appear to have gone wrong for the Prime Minister and his party. Foremost among them is the general bleakness of the economic scene because of the paucity of jobs and the continuing agrarian distress.
But even more than the economic woes — which have led to the blanking out of the phrase ‘achhe din’ (good days) from the saffron lexicon — what may have hurt the government even more is an intimidating atmosphere generated by a political project of virtually remoulding Indian society by obliterating all the supposed ignominy which the country is said to have suffered during the 1,200 years of “slavery” under Muslim and British rule. Not surprisingly, the 60-odd years of Congress rule have been included in this period of “alien” governance.
Hence, the rewriting of history textbooks and the packing of autonomous academic institutions with people in tune with the ruling party’s thinking. These have been accompanied by the veneration of the cow and the targeting of “suspected” beef-eaters.
It is this imposition of the saffron writ which made former Vice President Hamid Ansari say that the Muslims were living in fear and led to protests by writers, historians, film makers and others within the first 12 months of Modi’s rule who returned the awards which they had once won.
Instead of analysing why so many distinguished people were expressing their disquiet, the government and the BJP chose to dismiss them as “manufactured protests”, in Arun Jaitley’s words, and the dissatisfaction of a section which has lost the privileges which it had enjoyed under the previous dispensation. Evidently, the BJP believed that it was on the right track — in fact, the protests may have reinforced this self-perception — and that there was no need for a rethink.
Little wonder that the government took no notice of the two open letters written to it by groups of retired civil servants and a third by more than 600 academics, including those in the US, Britain and Australia. While the bureaucrats expressed distress at the decline of “secular, democratic and liberal values”, the educationists regretted that not enough was being done for the vulnerable groups.
There is little doubt that the government has taken a number of initiatives to reach out to these groups. In a way, these “small” measures have mitigated to some extent the effects of the faltering on the macroeconomic front.
Among these measures is the Jan Dhan Yojana relating to small savings by ordinary people via a large number of bank accounts. However, although nearly all the households are now said to have access to banks, the number of people with inactive accounts is embarrassingly high.
It is the same with cooking gas connections, where consumption has not kept pact with the higher number of households with such facilities. There have been similar shortfalls on the cleanliness (Swachh Bharat) and electrification programmes as well.
According to official figures, 72.6 million household toilets have been built since 2014 and there are now 366,000 defecation-free villages. But the absence of independent verification of these claims has led to the World Bank withholding a $1.5 billion loan for these rural programmes.
Similarly, the official assertion about cent per cent electrification of the country has generally been taken with a pinch of salt since government data shows that there are still 31 million households without power and that the percentage reaches 60 in UP, Jharkhand and Assam.
It is on the highways’ front that visible progress has been made with the raising of the construction target to 45 km per day from 27 km. The employment potential of such infrastructure projects is also high. Since 100 per cent foreign investment is allowed in this sector, an estimated $82 billion is expected for it in the next four years.
But all these initiatives should really have been an add-on to an atmosphere of economic buoyancy which is absent. This has been noted by a pro-Modi economist, who has said that the people are yet to see their lives improve materially. Unless this perception changes with, say, an implementation of the Modicare programme of medical insurance in the next few months, the government will not be able to look forward to next year’s general election with high hopes.
(Amulya Ganguli is a political analyst. He can be reached at amulyaganguli@gmail.com)
—IANS
by admin | May 25, 2021 | Opinions
By Amit Kapoor,
The drama revolving around the Karnataka state elections refuses to fade away. The assembly election results were not able to provide a clear mandate to any party. The BJP emerged as the single largest party but popular rivals Congress and JD-S forged an alliance within hours of the announcement of the result after realising that the coalition will have the numbers to form the government.
This paved the way for the controversy about who should first be invited by the Governor: the party with the largest number of seats or the post-election alliance with majority seats. The Governor sided with the BJP, and B.S. Yeddyurappa was sworn in as the Chief Minister. But this decision was challenged by the Congress and petitions were filed in the Supreme Court. The Court ordered a floor test but Yeddyurappa resigned before this could be conducted.
Amidst all this chaos and despite the final verdict, BJP has emerged as a clear winner. Its vote share increased from 19.9 percent to 36.2 percent, and the party was able to up its tally by almost 64 seats and gained the much-needed momentum for the 2019 Lok Sabha polls. On the other hand, Congress and JD-S both have suffered losses in the number of seats — that of the Congress going down from 122 to 78 and the JD-S securing three less that the 37 seats it had in the outgoing house.
One of the biggest questions that emerges from these results is what went wrong for Congress or to put it in other words, how was the BJP able to swing public support in its favour? Was the electorate just living up to its reputation of not re-electing the ruling party since 1985 or was it the way parties conducted their election campaigns? The search for the answer leads us to the bigger question of what makes Indian voters tick.
An analysis of the electoral outcome provides the answer. The analysis predicted that Congress party has just 18 percent chance of coming back to power in Karnataka. It took into account a) average growth in per capita GSDP for the last three years, b) the average change in Social Progress scores for the last three years, c) consumer and business confidence and d) media presence to understand the voting dynamics of world’s largest democracy.
The growth in per capita GSDP and change in regional social progress reflect how the economic and social benefits accrued to the citizens due to the policies of the state government. Consumer confidence and business confidence captured the trust that people have in the central government. The last indicator captured the interest enjoyed by the political parties.
There are three things that shape up the voting behaviour in India.
First, social issues. The analysis brings out that while casting their vote, people keep in mind two major social issues – inclusion and wellbeing. Inclusion encompasses indicators that capture how acceptable a region is towards minorities and other socially backward groups, and how they treat women. An inclusive incumbent increases its chances of coming back to power by 3.6 percent. And if the voters feel that the party will work towards basic wellbeing such as healthcare and education, its chances move up by 2.1 percent.
The BJP was able to target both issues. The BJP rallies focussed on the pro-poor initiatives and welfare schemes. The issues included providing gas connections, electrifying rural India, Swachh Bharat Mission for an open defecation free country, health benefits, housing for the poor and financial inclusion et al.
Second, media interactions. Media is among the major factors that help voters form their opinion and affects voter’s perception about the leaders and political parties. According to the analysis, an incumbent’s chances of re-election increase by 28 percent if it enjoys more social media interest than the rival parties. The interactions on media are of high significance because it provides voters with the facts and figures that can help them to make informed choices.
Nowadays, apart from traditional sources of media, social media platforms are being leveraged by the political parties to interact with voters. Citizens also use social media platforms such as Twitter and Facebook to participate in political discussions and communicate with leaders. The right use of social media can help political parties swing public opinion in their favour. Although all the parties upped their social media game compared to the Gujarat elections, data shows that 51 percent of the tweets were in favour of BJP. The Google trends data also shows that the interest was in favour of BJP and not the incumbent.
Third, confidence in the party. The analysis predicted that if the citizens trust the central government and the same party rules the state then the chances of an incumbent getting re-elected increase by 9 percent. The BJP banked on Prime Minister Narendra Modi’s popularity to attract voters in Karnataka. Modi is known for connecting with the voters, and therefore he enjoys overwhelming support from the citizens. Congress President Rahul Gandhi has still not been able to build that trust in the minds of voters, and this drives down the confidence that party has in the party.
All these factors together worked in favour of BJP. The lesson in the run-up to other state elections is that parties should bank on the social issues that people face and leverage traditional and modern media platforms to garner interest in their favour.
(Dr Amit Kapoor is chair, Institute for Competitiveness. The views expressed are personal. He can be contacted at Amit.Kapoor@competitiveness.in and tweets @kautiliya. Manisha Kapoor, senior researcher, Institute for Competitiveness has contributed to the article)
—IANS
by admin | May 25, 2021 | News, Politics
Rahul Gandhi
New Delhi : In a blistering attack on Prime Minister Narendra Modi following the resignation of Karnataka Chief Minister B.S. Yeddyurappa ahead of the trust vote, Congress President Rahul Gandhi on Saturday termed him “corruption” and that Modi, BJP chief Amit Shah and the RSS considered no institution “worthy of respect”.
Addressing the media here shortly after Yeddyurappa’s resignation, he said the Congress will work with other opposition parties to defeat the BJP in 2019 Lok Sabha polls.
Gandhi said Modi’s model of leadership is not that of democratic person but that of a dictator and “even Supreme Court knows that”.
Accusing Modi of promoting corruption in Karnataka to gain support for the BJP, which had emerged the single-largest party amid split verdict in by the May 12 assembly election, he cited attempts at horse-trading, including purported telephonic conversations of some BJP leaders to get support of Congress and Janata Dal-Secular (JD-S) legislators, who formed a post-poll coalition.
People saw “how the Prime Minister authorised directly buying MLAs in Karnataka from our party and from the JD-S”, he said, adding Modi’s talks of fighting corruption are a “blatant lie”.
“He is corruption. He is doing everything to subvert this nation and he is doing it across the board. There are phone conversations of MLAs being approached for purchase by the BJP and that was directly authorised from Delhi,” he said.
He alleged that RSS, the BJP’s ideological patron, wants to capture every institution “and that is what we are fighting” and will “work with the opposition to defeat the BJP”.
He hoped that the BJP and RSS will learn a lesson from the developments in Karnataka where Governor Vajubhai Vala had invited the BJP to form government, “that the institutions of this country, the will of the people of this country cannot be disrespected”.
The Congress had moved the Supreme Court following th3e Governor inviting Yeddyurappa to form government and giving him 15 days to prove majority. The apex court had slashed the time for trust vote and fixed it for Saturday.
Contending that the Prime Minister is not bigger than people of India, the Supreme Court or members of parliament and assemblies, Gandhi said: “I am doubtful that Prime Minister will understand that because he had been trained throughout his life by the RSS never to respect another institution except the RSS. But that is the message that people of Karnataka and the people of India have given to the Prime Minister.”
“I am very proud to say that they have been shown that in India, power is not everything, money is not everything, corruption is not everything. In India, the will of the people is everything. We have explained to the people in the BJP and the RSS that there are limits to your arrogance, there are limits to how you are trying to run this country,” he said.
Accusing Modi, Amit Shah and RSS of believing “that every institution can be destroyed”, he said:
“You can disrespect anybody in this country simply because you happen to be in power? And the BJP and the RSS does it again and again. That there is no institution in this country that is worthy of the respect of the Prime Minister, Amit Shah and the RSS.”
He also accused the BJP of disrespecting the proceedings of the Karnataka Assembly, saying the national anthem was not played after Yeddyurappa announced his resignation and the BJP legislators and the Pro-tem Speaker left the house. “In a way, this is what we are fighting today… The idea that you can rubbish every single institution in this country.”
Asked if the state Governor should resign, Gandhi said the power was completely controlled by the Prime Minister and the RSS. “So, it is a good idea to resign, but I can guarantee you that, under the BJP regime, the next man will do exactly the same thing,” he said.
—IANS
by admin | May 25, 2021 | News, Politics
Bengaluru : In an anti-climax to the hectic political developments since the split verdict in May 12 Karanataka Assembly polls, the BJP lost power in Karnataka as Chief Minister B.S. Yeddyurappa resigned on Saturday before the trust vote, as he did not have the numbers to prove his majority.
His resignation paved the way for formation of a Congress-Janata Dal-Secular (JD-S) government headed by H. D. Kumaraswamy.
Congress President Rahul Gandhi targeted Prime Minister Narendra Modi after the trust vote, saying he would have learnt lessons from Yeddyurappa having been forced to resign as the Karnataka Chief Minister two days after he was sworn in.
The order for advancing the trust vote to Saturday came from the Supreme Court as the Congress and the JD-S filed a petition challenging Governor Vajubhai Vala’s invitation to Yeddyurappa to form government and his giving the BJP leader 15 days to prove majority.
While the BJP emerged as the single-largest party, the Congress and the JD-S, which formed a post-poll alliance, said they had the required numbers to form the government.
A little ahead of the appointed time of trust vote at 4 p.m, Yeddyurappa made an emotional speech, saying the BJP didn’t get the numbers needed to prove majority in the House. “I will lose nothing if I lose power, my life is for the people,” he said.
In his 15-minute address to the House, the 75-year-old BJP leader said there was no way he could have served the people of Karnataka, as the Congress was not allowing its MLAs even to speak to their family members.
Lamenting that hundreds of farmers had committed suicides across the state during the last five years, Yeddyurappa said the Congress could not ensure water for irrigating the farmlands in the state even 70 years after the Independence.
“My aim is to serve farmers till my last breath. I will also continue to serve all the people, including the Dalits, backward classes, weaker sections and the poor,” reiterated Yeddyurappa who was the first BJP Chief Minister in south India when the party came to power on its own in Karnataka in 2008 assembly election.
Expressing confidence of the BJP winning in all the 28 Lok Sabha constituencies from the state in the 2019 general elections, Yeddyurappa said the party would also win in 150 of the 224-member state assembly in the next elections.
“It was my dream to be the Chief Minister of the state at a time Narendra Modi is the Prime Minister. If only people would have given us 113 seats instead of 104, we would have made this state a paradise. But I will fight for the state till my last breath. We will get 28 out of 28 seats in Lok Sabha and I will win 150 Assembly seats for Narendra Modi (in the next assembly elections),” Yeddyurappa said.
Asserting that the mandate showed that the state’s people have rejected the Congress and the Janata Dal-Secular (JD-S), he said: “People have voted against the Congress’ misgovernance. I have faced many ‘agni pareeksha’ (trial by fire) in the past and this trust vote is just another one.”
He then announced his resignation and drove to Raj Bhavan to submit his resignation to Governor Vajubhai Vala.
In Delhi, Congress President Rahul Gandhi launched a stinging attack on Modi stating that “PM is corruption” and there was no institution “worthy of respect of the Prime Minister, Amit Shah and the RSS”.
“I hope the BJP and the RSS learnt a lesson from this that the institutions of this country, the will of the people of this country cannot be disrespected,” he said.
After a favourable verdict on their petition from the Supreme Court over the Governor’s decision early on Wednesday, which was given a rare late-night hearing, the Congress and the JD-S had again moved the apex court on Friday seeking ouster of K.G. Bopaiah as pro-tem Speaker of the Karnataka Assembly.
However, as the Karnataka government informed about the live telecast of the floor test proceedings to ascertain the majority support to Chief Minister B.S. Yeddyurappa, the petitioners on Saturday decided not to press their plea against the pro-tem Speaker.
The May 12 election across the state in 222 constituencies out of total 224 threw up a hung House, with no party securing majority. Polls in two constituencies were deferred.
Of the 222 seats, the BJP won 104, Congress 78, Janata Dal-Secular 37, and one each was bagged by the Bahujan Samaj Party and the Karnataka Pragnyavantha Janatha Party, and an Independent.
As JD-S leader H.D. Kumaraswamy won from both Channapatna and Ramanagaram segments, the party’s effective strength in the House is 36.
The Congress and the JD-S had staked claim to form government with Kumaraswamy as Chief Minister.
—IANS
