Moneycontrol
HomeNewsPoliticsPodcast | Decoding 2019: Congress says 'Hum Nibhaayenge', but what does it promise - Part 2

Podcast | Decoding 2019: Congress says 'Hum Nibhaayenge', but what does it promise - Part 2

We read the Congress manifesto for you. And this is what it promises.

April 04, 2019 / 14:26 IST
Story continues below Advertisement

Rakesh Sharma Moneycontrol Contributor

Listen to part one of the episode here

Story continues below Advertisement

OTHER KEY TAKEAWAYS FROM THE MANIFESTO:


  1. RBI AUTONOMY:

"Congress will respect the autonomy of the RBI in matters reserved to the RBI under the Reserve Bank of India Act, 1939, including the formulation of monetary policy," said the manifesto.

Clearly referencing the difficult relationship that the government has had with the central bank - including Urjit Patel's resignation and Viral Acharya's warning that government interference in the RBI's functioning would have catastrophic consequences - the Congress promises to "reverse the unwarranted and illegal interference by the BJP government" into the functioning of the Reserve Bank of India (RBI)."

The party promised to work closely with the RBI, re-start the process of credit delivery and "ensure sufficient liquidity" and cash in circulation.

Slamming ruling NDA government for denying "adequate credit to MSMEs", the Congress said that they created the NPA scare that brought lending to a virtual halt, adding that a one-size-fits-all approach drove companies into insolvency. The manifesto said that MSMEs were badly hit by demonetisation and a flawed GST rollout and that the government had shut out all sources of informal credit to MSMEs.


  1. OVERHAUL GST

"Congress will radically simplify the GST regime with a single moderate rate of tax, zero rating of exports, and exemption for essential goods and services. We also promise panchayats and municipalities a share of GST revenues," said the manifesto. “The GST 2.0 regime will be based on a single, moderate, standard rate of tax on all goods and services. The rate will be revenue neutral to the current indirect tax revenues of the Central and State Governments and will take note of the potential of GST 2.0 to boost their tax revenues,” states the manifesto. The Congress has also promised devolution of a share of GST revenues to Panchayats and Municipalities. “All assistive and adaptive aids, appliances and devices will be zero-rated under the GST 2.0 regime,” the manifesto adds.

  1. SCRAP SECTIONS 124A AND 499 OF THE IPC - SEDITION AND DEFAMATION LAWS

If voted to power, the Congress promises to scrap the British era sedition law, citing misuse and redundancy. Section 124A of the IPC, which the Congress proposes to scrap, states, "Whoever, by words, either spoken or written, or by signs, or by visible representation, or otherwise, brings or attempts to bring into hatred or contempt, or excites or attempts to excite disaffection towards the Government established by law shall be punished with imprisonment for life, to which fine may be added." The British Raj had come up with the sedition law to thwart any rebellion against it.