Congress has slammed the Narendra Modi-led government after the RBI decided to transfer a record high surplus of Rs 1.76 lakh crore to the government.
Slamming the excess reserve transfer, Congress attacked the Narendra Modi-led NDA government on Twitter and said: “Rs. 1.76 lakh cr given to the govt by RBI is almost the exact same amount missing from Budget 2019 announcement. Where was that money spent? Why was it missing from the Budget?”
“Looting the RBI like this only devastates our economy further and reduces the credit rating of the bank,” it added.
Following up from his own Twitter handle, Congress leader Rahul Gandhi said both Narendra Modi and Union Finance Minister Nirmala Sitharaman are clueless on how to solve their “self-created economic disaster”.
Rs. 1.76 lakh cr given to the govt by RBI is almost the exact same amount missing from Budget 2019 announcement.
Where was that money spent? Why was it missing from the Budget?
Looting the RBI like this only devastates our economy further & reduces credit rating of the bank.
“Stealing from RBI won’t work – it’s like stealing a Band-Aid from the dispensary & sticking it on a gunshot wound,” Rahul Gandhi said.
Congress leader Randeep Singh Surjewala also attacked the government in a series of tweets.
“Is it a sheer coincidence that the Rs 1.76 lakh crore borrowed by RBI matches with the ‘Missing’ amount in the Budget Calculations?” Surjewala questioned.
‘Reserve to Ravage’
Further attacking the government, Surjewala said that Modi 2.0 has converted the ‘R’ in RBI from ‘reserve to ravaged’.
He explained that taking away a large portion of the RBI’s contingency fund could spell trouble for the country in extreme financial emergencies and war-like situations.
“Modi 2.0 has converted the ‘R’ in RBI from ‘Reserve’ to ‘Ravaged’! Contingency Reserve of RBI meant for extreme financial emergencies & war-like situations is being used by BJP Govt to bury its monumental mess on economic front! BJP has finished RBI’s credibility,” he said.
On Monday, the apex bank approved transfer of Rs 1.76 lakh crore dividend and surplus reserves to the government-a move expected to help the government stimulate the slowing economy without widening the fiscal deficit.
RBI Governor Shaktikanta Das-led RBI central board gave the nod for transferring the record high surplus amount of Rs 1,76,051 crore comprising Rs 1,23,414 crore of surplus for the year 2018-19 and Rs 52,637 crore excess provisions identified as per the revised Economic Capital Framework (ECF), said the RBI in a statement.
The excess reserve transfer is in line with the recommendation of former RBI governor Bimal Jalan-led panel, which was constituted to decide the size of capital reserves that the central bank should hold.
While opposition leaders have questioned the move, it is likely to provide a much-needed boost to core sectors which helping in driving economic growth. The development comes days after Finance Minister Nirmala Sitharaman announced a number of measures to boost growth while maintaining fiscal deficit at 3.3 per cent of the GDP.
Prasanta Patnaik