Video Editor: Mohd Ibrahim
With GDP projections lowered, markets plummeting and core sector growth hitting a low of 2.1 percent, debates over the country's economic health have picked up momentum. The Quint’s Editorial Director Sanjay Pugalia speaks to the Co-convenor of Swadeshi Jagran Manch, Ashwani Mahajan, to understand his assessment of the economic slowdown.
Is This Is A Normal Slowdown or Economic Crisis?
In response to this question Ashwani Mahajan explains that there are talks about the slow down theory but at present there is no sign of recession or economic crisis. He admits that there is a slump in demand.
If we analyse the slump in demand then in the first quarter of financial year 2019-2020 there are three sectors where the growth is more than 7 percent. Government expenditure has increased more than before. If you talk about consumer demand the growth of every company has increased by 8-10-11 percent. If there was any decline then it was in the auto sector. The decline is not due to recession. One reason for the decline is Bank the other is NBFC. Due to the decrease in the ability to lend in banks and NBFC there has been a fall in the auto sector. One must understand the reasons in order to come up with the solutions.Ashwani Mahajan, Co-convener, Swadeshi Jagran Manch
Why Is The Government Not Listening To You?
On being asked whether the government is listening to Swadeshi Jagran Manch he explained that many times the advice made by his organisation have been recognised by the government.
The government does not just include the prime minster and the ministers. Bureaucrats and consultants are also a part of the government. Among some of the consultants a few also give wrong advice. Whether it is Arvind Panagariya, Arvind Subramanian, Urjit Patel as RBI Governor or Raghuram Rajan; Swadeshi Jagaran Manch has thrown light on the work done by them all.Ashwani Mahajan, Co-convenor, Swadeshi Jagran Manch
‘Swadeshi Jagran Manch Is Not Anti-Disinvestment’
What opinion does Swadeshi Jagran Manch hold of the disinvestment of Air India? Mahajan said that Swadeshi Jagran Manch has never been anti-disinvestment.
It is essential to learn how disinvestment takes place. We do not wish to stop the Air India disinvestment. We do not want it to be strategic but done through equity.Ashwani Mahajan, Co-convenor, Swadeshi Jagran Manch
Ashwani explains that the assets in the name of Air India are much more than reported. Only Air India has a engine hospital. He believes that disinvestment of Air India should be done but it should be run by the people of the country. Whether the government or the public holds the shares it makes no difference.
Why Are Banks Unable To Give Loans?
Ashwani Mahajan says that banks with more NPA are forbidden to give loans.
Banks stopped re-financing after the NBFC and IL&FC controversy. After the IL&FS scam the NBFC loans declined which had an impact on all sectors.Ashwani Mahajan, Co-convenor, Swadeshi Jagran Manch
Mahajan believes that big consultancy firms are interfering with government work. He is of the opinion that there is a need to raise the capacity of our own consulting firms.
Amid debates over the economic slump, PM Modi is set to be conferred with an award for Swachh Bharat Abhiyaan from the Bill and Melinda Gates Foundation. Meanwhile, Mahajan says his organisation has made an appeal to PM Modi to reconsider the award.
Swadeshi Jagran Manch has been exposing the deeds performed by the Bill and Melinda Gates Foundation. This foundation only works for its own business interests. They are promoting vaccination as it would benefit those companies which have the shares of Bill and Melinda Gates Foundation.Ashwani Mahajan, Co-convenor, Swadeshi Jagran Manch