Up to states to waive loans: Arun Jaitley

NEW DELHI:Reacting to Congress president Rahul Gandhi’s demand for waving farm loans nationally, finance minister Arun Jaitley, in an interview to TV news channel, said, “Punjab had promised but couldn’t do it... This year, Punjab is left with funds of only Rs 2,500 crore for developmental expenditure.”
Upping the ante on a move seen to have helped Congress sweep BJP turfs, Rahul told reporters that Modi had for four and half years the “choice between loan waiver and helping his friends steal the money a la demonetisation and Rafale”, and he chose the latter.
“He has not waived a single rupee of farmers. Congress and the rest of opposition parties would join hands and force him to waive off farm loans. We will fight, we will not budge and not let him sleep at night till farm loans are waived off,” he said. Jaitley said it was up to the states to waive off loans but the Centre cannot afford to increase the fiscal deficit in view of rising oil prices which has led to an increase in current account deficit.
“It will affect investment flow, rupee parity,” he said. The Congress leader repeated allegations that demonetisation and Rafale deal were massive scams and that offsets will bail out industrialist Anil Ambani who has been labouring under massive bank dues of Rs 45,000 crore. The sum is enough to fund loan amnesty in MP, Rajasthan and Chhattisgarh. Showcasing fulfilment of waiver promise in record time in the three states Congress recently won, Rahul sought to pit farmers against the Modi government by addressing them directly.
“You sweat and give food to the country and your voice is not being heard.” On the subject, Jaitley said only Telangana was able to do a proper loan amnesty because it was revenue surplus after bifurcation but within four years it has become a revenue-deficit state. He said waivers by Punjab and Karnataka have not matched promises.
“The states cannot have more than 3% of fiscal deficit. If the Centre and states increase the fiscal deficit … the last thing for India (from the point of view of big picture) will be also to increase the fiscal deficit, especially when the current account deficit has gone up because of rising oil prices…” Reacting to Rahul’s comments, law minister Ravi Shankar Prasad said the lies about the Rafale deal were exposed by the Supreme Court.
“Gandhi should come to Parliament and debate the Rafale issue in Parliament,” he said. Daring the Congress and its chief to show “courage” and discuss the fighter jet deal “eye to eye” in the House, Prasad said, “Mr Rahul Gandhi we are willing to have a debate with you in Parliament over the Rafale deal, don't run away from the debate. You owe an apology to the country as the Supreme Court has exposed your lies.”