The Hindu : National : Zero revenue deficit possible by 2007: Jaswant

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Tuesday, Apr 06, 2004

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National

Zero revenue deficit possible by 2007: Jaswant

By Our Special Correspondent

THIRUVANANTHAPURAM, APRIL 5. The Union Finance Minister, Jaswant Singh, said here on Monday that the country would achieve double-digit growth in less than 10 years.

Addressing a `Meet the Press Programme' here Mr. Singh said the Prime Minister, Atal Bihari Vajpayee, had projected a growth rate of eight per cent and this was achieved in the last financial year. It would be possible to achieve zero revenue deficit by 2007 as the deficit was already below three per cent. Revenue collections had improved and the fiscal deficit had dropped.

Mr. Singh said that ``India Shining'' was not an advertisement campaign. It was part of the India Development Initiative proposed in the budget and approved by Parliament and Rs. 100 crores had been earmarked for that. The idea was to project abroad India's growth. An information campaign — not an advertisement campaign — was taken up within the country. It was not a partisan but true projection of the country's economic achievement.

The Government had decided not to avail itself of bilateral assistance (grants) from countries such as the Netherlands because the country had a strong economy and wanted to project an image of plenty. Those funds could be given to other eligible countries or organisations. The grants from the Netherlands to Kerala for the Modernising Government Programme was routed through the Asian Development Bank. The Centre had told the ADB that it (Centre) could substitute the grant component with its own funds when there was delay in the processing of the loan.

Asked about the Centre continuing to borrow from the ADB and the World Bank, the Minister said that it was meant for the States. He denied that the budget was dependent on the disinvestment of public sector units.

On the BJP focus on the Congress president, Sonia Gandhi's nationality, the Minister said that her birthplace was a reality, and not a conjecture that the Congress could alter. On the entry of his son, Manavendra Singh, into the electoral area, Mr. Singh said that it was not by birthright. His son had worked in the region and was not alien to the constituency. On the other hand, certain people seemed to work on the basis that they were synonymous with India and that the Prime Ministership was theirs by birthright or association by marriage.

`Kerala will not be short of funds'

Mr. Singh, who met the Chief Minister, A. K. Antony, and the Finance Minister, K. Sankaranarayanan, here, said the State Government would not be short of funds in organising drought relief. It fully shared the concerns of the State. His Ministry would find ways to provide some form of assistance, if not cash from the National Calamity Contingency Fund. Waiver of interest had been provided for agricultural loans for one year. As plantations would take more time to recover, waiver for up to two or three years would be considered. While there were norms in release of funds from the Contingency Fund, no political consideration would come in the way of allotment of money to the State. The country's economy was one and the Centre did not differentiate among the States. Much help had been given by the Centre to Non-NDA Governments in the past.

Mr. Singh said the State could get one of the Convention Centres announced in the Union budget, if it could find private partners. The Centre proposed only to make good any viability gap in the projects submitted. Sanctioning of an All-India Institute of Medical Sciences would require the upgrading of the facilities at the medical college here. He would convey the State's demands to the Health Ministry.

Asked whether Kerala would shine after the elections, Mr. Singh said that Kerala was always shining. On the BJP's prospects in Kerala, he said: "I do see that the NDA and BJP would get a much larger number of representatives in the 14th Lok Sabha. God's Own Country would be shining more beautifully [after the elections]."

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