Running circus or government? Opposition slams Modi govt over interest rate cut order

Opposition parties on Thursday slammed the Modi government's move to slash interest rates on small savings schemes and its subsequent roll-back and accused Finance Minister Nirmala Sithraraman of giving a “lame excuse” of “inadvertent error” after being caught in the act.

The Modi government had announced steep cuts in the interest rates of several small savings schemes on Wednesday night, which were withdrawn within hours by the Finance Minister claiming that the orders were issued by “oversight”.

Congress spokesperson Randeep Singh Surjewala wondered whether the Finance Minister was “running a ‘circus’ or a 'government'.”

“One can imagine the functioning of the economy when such duly approved order affecting crores of people can be issued by an ‘oversight’,” Surjewala said.

“The BJP government had decided to launch another assault on the middle class by slashing the interest rates and profiting itself. When caught, the Finance Minister is putting forward the lame excuse of ‘inadvertent error’,” senior Congress leader and former finance minister P Chidambaram said.

“What is the biggest April Fool’s joke here? That a now- rolled back small savings rate cut was issued by “oversight”? Or that Nirmala Sitaraman is the Finance Minister of this country,” Trinamool Congress leader Mahua Moitra said.

“Withdrawn. Looks like the FM realised there has been a cut announced after reading today morning’s headlines in all the leading newspapers. Truth though is, the Government of India policies are a result of oversight hence the failing economy,” Shiv Sena spokesperson Priyanka Chaturvedi said.

Chidambaram said the announcement of interest rates on savings instruments for the next quarter was a regular exercise. “There is nothing “inadvertent” about its release on 31st March,” he said.

“When inflation is at about 6% and expected to rise, the BJP government is offering interest rates below 6% hitting the savers and the middle class below the belt,” Chidambaram said.