Congress must correct leadership issue to save Indiaby opinion express September 1, 2013 0 comments
Dr Manmohan Singh economic wisdom is under sever criticism. The critics are focused on defeating his over dependence on US and world bank, making India a colony of this group. Interestingly during World War-II, the leaders of India’s freedom movement adopted a policy of non-alignment between the Allies and the Axis, the single biggest factor in the post-1942 (“Quit India Declaration”). Manmohan Singh is therefore in exalted company when he takes decisions that are less than optimal from the viewpoint of India’s national interest. One of the most significant has been his repeated rejection of offers by Iran to enter into long-term contracts for the supply of oil to India at concessional prices. Had this offer been accepted, with its corollary of the medium of exchanging being not dollars but rupees, the Indian currency would not have entered into the free fall that Manmohan Singh’s dogged dedication to following the dictates of Washington has caused. In fact, it was PV Narsimha Rao brilliant political acumen and economic foresight that guided the process of liberalisation post 1991, Dr Manmohan Singh was never a political leader with courage and conviction to carry out structural change in the system. he is over rated economist and under rated political. Those credulous enough to believe in the US dollar have paid a huge financial price for their trust, and yet are in no hurry to move away from a currency that is hugely overvalued in terms of the huge debt that the US has.
While the previous NDA government headed by A B Vajpayee was also influenced by the dollar, it can be said that Manmohan Singh and his team have been dominated by the dollar. From the start, the PM and his economic team have concentrated on multiplying the benefits earned by those who ran away from the rupee and clung on to the dollar. Thus, those in India who trusted the rupee have been losers on a catastrophic scale, while those who shared Manmohan Singh’s affinity for the dollar have prospered. Those making dollar deposits in the Indian banking system get returns of 20% and more in dollars, while those unwise enough to have placed their confidence in the rupee have seen the real value of their capital fall sharply. This year itself, the rupee has lost nearly 40% of its inherent value through the fall in the value of the rupee (by 25% this year alone) and relentless inflation. Had the Prime Minister been less deferential towards the US dollar, he would have taken advantage of BRICS by spearheading a move to get these five countries (Brazil, Russia, India, China and South Africa) to use their own currencies while trading. The PM’s bending over backwards, forwards and sideways to please the US has been noticed in Teheran, as it has in most other capitals of the world. The collapse of the Indian economy under Manmohan, combined with the PM’s success in continuously holding on to the PM’s job longer than any other incumbent save Jawaharlal Nehru, shows that Patel was spot on target. It is high time of Congress party to retire Dr Manmohan Singh because his advantage of honesty will not sell in 2014. The series of major scams, internal unrest, repeated border invasion from all corners and now the economic melt down has proved that Dr MMS is surely not in command. The Congress party need fresh face with vision and political conviction to lead the country. Surely, party is having several better alternates to ageing Dr Singh for a credible replacement.
– Prashant Tewari, Editor-in-Chief