Situation akin to economic emergency prevailing in country: Congress

Accusing the BJP-led Union government of fiscal mismanagement, the Congress on Saturday claimed that a situation akin to an "economic emergency" was prevailing in the country with the Centre having "no money" to pay to states in GST compensation.

"Why are they not giving GST share to states? It became clear on Friday when it came to the fore that the country's fiscal deficit has reached 102.4 per cent of the 2019-20 Budget, estimated at Rs 7.2 lakh crore, at the end of October," Congress leader Randeep Singh Surjewala said while talking to the media in Chandigarh.

"It meant that the government had no money that is why they are keeping the states' share of the GST. A situation like an economic emergency is prevailing in the country," alleged Surjewala.

The senior Congress leader further said many states, including Punjab and West Bengal, had not been given their GST compensation.

On November 20, finance ministers of Punjab, West Bengal, Kerala, Delhi and Rajasthan had appealed to the Centre to release their GST compensation without any delay.

Punjab alone has claimed compensation to the tune of Rs 4,100 crore.

Surjewala, in-charge, communication, All-India Congress Committee, said there was contraction in the growth of core economic sectors besides weakening household and rural consumption under the Narendra Modi regime.

The Centre managed to collect just Rs 9 lakh crore in revenue receipts till October as against the budget estimates of Rs 19.72 lakh crore for 2019-20, said Surjewala, adding that there was no revenue generation despite giving corporate tax relief to the tune of Rs 1.45 lakh crore.

"Now, the question is how the country will be run. For them (Centre), the only vision is television," said Surjewala taking a swipe.