‘Growth sans gains for poor mere nos': Pranab Mukherjee

Just read a remark in todays' EcoTimes, by the FM Shri PranabM: "...If I would have got that money, I would have spent it in social response (social sector schemes) ..." referring to additional funds from sale of 2G spectrum. It is clear that the rhetoric is aimed at the recently resigned TcM Shri Raja A.

A thought occurs to me ... if the telecom corporates were made to pay more, would they have been able to provide mobile phone services cheaply to the growing demand pull for such services? Let us not forget that the explosive growth of the mobile phone user base from some 300 million to 600 million came about because the user rates are so low ... in fact lowest in the whole world. This can now be validated against the rates the telecom corporates will charge for the 3G services, for which they have paid the GoI the highest auction amount in the world. How will this useful service be available to the majority of citizens in the nation, when the proposed data rates are so high, at one rupee per MB ?

It is my thought that the FM would be better advised to focus on reducing the 'bleeding of national resources' which are already directed for existing social schemes. The national health, education, agro and employment schemes probably do not deliver 20 paise per rupee to the actual user. He could focus on raising this to say 50 paise within a financial year. For this no new funds will be needed, only a big stick and firm will to punish the grasper's. This one act alone will be a great CBM (confidence building measure) for the citizens of India.

There is also the issue of India funds secreted to safe havens abroad on which taxes have not been paid. Recent reports from International Orgs. talk of some USD 650 billion. If the FM can focus on a scheme to negotiate settlement of say 40% taxes on most of this amount and simultaneously create a strong bias against corruption in the Excise, Customs, Tax departments; more money will not leave the nation, tax unpaid. Such settlement amount will give him ample funds to not only spend on social schemes (with more grand names of old congress party leaders), but also clear out national debt and raise our GDP to double digits, due to easy funds for infrastructure investments.

I invite comments on my thoughts.

"Sarve bhavantu sukhinahaa"