Chidambaram has failed to address fundamental economic problems: CPI

Communist Party of India (CPI) leader Gurudas Dasgupta on Tuesday lashed out at Finance Minister P. Chidambaram for not addressing the fundamental problems plaguing the Indian economy, and said that the government is ignoring the concerns of the public.

"He has not said anything on how he would control price rise. He has not said anything on how he will raise resources because we need resources to be invested by government in the social sector so that the economy revives more. He also says that banks will give money for agriculture. We know many of the banks have defaulted in the statutory obligation of advancing money to agriculture. Also, what he has not mentioned is that the total revenue collected is less than tax forgone and tax unpaid," he said.

"The fundamental issue he didn't refer at all, fiscal deficit he can tackle but what about price, what about common man, what about people who are losing their job or people who are underpaid, what about agriculture which is not getting money. The government is ignoring the problems of the people and they are ignoring the fundamental issues faced by the country," he added.

Finance Minister earlier in the day urged the leaders of various political outfits to work together towards economic policies.

Chidambaram, who was replying to a discussion on the country's present economic situation in the Lok Sabha, said there is a need to work towards less restriction in the economy.

"We have to find a way to resolve the impasse in coal, iron ore mining and land acquisition issues," he said.

Expressing confidence that Current Account Deficit (CAD) will be contained at or below 70 billion Dollars this year, he said that more capital will be infused into the public sector banks to extend agricultural loans to the maximum extent.

Chidambaram emphasized that no stone will be unturned to reap benefits of good monsoon.

"We should reap benefit of a good monsoon. Nothing must be done that would come in way of maximising agriculture production," he said.