Rising Petrol Prices And Dooming Rupee

With the rupee in decline, if not a free fall yet, and the petrol prices touching new skies, the political fallout is severe for both the ruling United Progressive Alliance (progressive, only in terms of corruption and scams, not in terms of development and prosperity) and the Opposition, as inflation touches new highs and cannot be easily bridled.

With the increased demand of petroleum products in the country, drop of rupee in comparison to dollar and the international price hike in the petroleum prices, the petrol prices are bound to rise. But, also our politicos should bring upon austerity on themselves and learn a lesson from the doomed economy of Zimbabwe, and stop coming up with flawed economic policies, which rob the public on the name of the taxes, instead of generating any substantial capital. Also, media hungry attention seeking people like Anna Hazare and Baba Ramdev, should put a stop to their nation-wide strikes and realize that their strikes cause a loss of around a thousand crore rupees a day to the country's economy.

Doomsayers predict recession, but the authorities have been hoping to ride the tiger and do not think that the economy is fragile, though it is. The regional parties ruling a number of States, in as much financial distress as the Centre, want their pound of flesh - huge funds from the Union treasury to balance their books. If rotten politicians like Mamta Banerjee, would stop threatening government on the name of withdrawing their support from the coalition, then maybe government will be able to work and function properly.

The rupee, as it is feared, could drop to 60 for a US dollar (the international reserve currency in which trade and balance of payments are measured) by the end of the second quarter of the current financial year. The Reserve Bank of India, may have sold 20 billion dollars and other banks might have pumped another 500 million dollars into the market, but is that enough? Have the foreign remittances, which used to be 50 billion dollars a year, declined or are the now insufficient, as the needs are manifold? Are the foreign exchange reserves of nearly 300 billion dollars inadequate?

The government claims that the Indian economic growth has been 7 percent in the bygone financial year, even though the stock markets and the commodity markets are in decline. Also, Banks and Life Insurance investments in stocks do not prop up the markets anymore. Sad, eh?

At the end of the budget session, the Government announced an increase of petrol price by `6 per litre, but oil companies are still demanding to increase diesel prices by `5 per litre. Even though the Central and the State taxes make upto 30 percent of the petrol price, the political parties to the left, right and  centre have found this issue to criticize the Government, instead of thanking it for the revenue generated. Dirty politics.

Capital inflows in to India have declined in the absence of economic reforms like permission to foreign investment in multi brand retail trade. The other factor is that a number of power plants are not generating electricity at their full capacity in the absence of availability of fuel. There is no solution for the power plants remaining idle, yet on paper, infrastructure has already been built, but will remain unused.

The ruling party and the opposition are holding executive meets every now and then, but the focus is not on crucial issues like that of petrol price, or that of decline of rupee, instead it is candidature of the presidential elections. The politicos have unwittingly sent out a message that, they make merry whenever they are in power and use the stick against the public, and are ignoring the aspirations of the rising young people of the country, who hate the fake idealism of the yore.

If given opportunity, I would like to ask :

• The Members Of The Parliament - Do you consider yourselves cartoonists, that you people are discussing cartoons printed in textbooks during the sessions of the parliament?
• Mamata Banerjee - Is your hunger for power so much so that, that you won't let the Union Government function properly for the sake of your vote bank in Kolkata?
• Narendra Modi - How can you consider yourself the face of good politics and development, when you ordered the massacre and the riots and your own hands are tainted by the blood of the innocents?
• Supreme Court Of India - Why is A Raja granted bail and where is the money he gobbled? Why is Kalmadi roaming freely after being plotting such big scams? Why hasn't the money from any of the scams been recovered? Is our law so weak that it cannot punish the culprits and give people what is rightly theirs?
• Manmohan Singh - If you want to act like a puppet in the hands of the Congress Supremo, Sonia Gandhi, and neglect your duties as the Prime Minister, then why don't you join a circus and not ruin the country?
• Lal Krishna Advani - When will you stop dividing people on the basis of the religion and let secularism prevail in the country?
• Rahul Gandhi - How can you call yourself the young face of Indian politics, at an age of 42, when all you do is nothing and fly off to foreign lands every now and then?
• V K Singh - Why you always blame defense ministry for your own flaws? Are you not a man enough to stand for your own mistakes?
• Anna Hazare - When will you stop fooling the innocent public on the name of the Lokpal Bill and do something good for the country, instead of those BANDHS that are destroying the country?
• Baba Ramdev - Is your circus on TV not giving you enough attention and media coverage that you have started fooling around with other attention seeking hogs on the name of anti corruption?
• Pranab Mukherjee - Why didn'[t you resigned soon? And while you were in power, why didn't you did something regarding the economy of the country, instead of imposing those ridiculous taxes on public?
• Vinod Rai (CAG, India) - When will you stop playing tennis and actually start doing your job?
• TKA Nair (Advisor to PM) - Will you advise something worth and real good to the PM?
• Duvvuri Subbarao (RBI Governor) - When will you take some substantial steps for stopping the downfall of rupee?

I conclude, with the hope that all these people will answer these questions to the people of India, and that too, before its too late.