Finance Minister Piyush Goyal said on Tuesday that National Democratic Alliance (NDA) government has been servicing oil bonds issued by the previous UPA government.
” We have inherited 1 lakh 30 thousand crores of oil bonds which are unpaid bills of oil companies from 2009-14. Additionally, a large number of subsidies for kerosene, LPG, fertiliser, food security, central sales taxes reimbursement to states were not paid up for years by UPA.” Goyal said at the 6th Annual Growth Net Summit, jointly organised by the Confederation of Indian Industry (CII), the Ananta Centre and Smadja & Smadja.
He added outstanding oil bonds (as on April 1, 2018) which will be discharged only between 2022-2026 is Rs 1,30,923 crores. Also, interest paid on oil bonds between 2014-18 is Rs 40,226 crore. Goyal criticised the UPA government pointing out that central sales taxes reimbursement to states had not been paid for years by the UPA.
Goyal also said on Monday that India would achieve 10 per cent GDP growth by last quarter of the financial year. “I see double-digit growth happening by the fourth quarter of this year. There is a demand optic in the country and this growth will be driven by a society that has become very aspirational,” he said.
There is one caveat to this… when this country decides to do business honestly, we will have 10 per cent GDP growth,” he added.
“Our focus has been on not doing anything that threatens the social fabric of the country. How can we take the entire country along for growth and development… that has been our thrust in these four years,” the Minister said.
“Fiscal deficit this year will be kept within the target limit of 3.3 per cent. We are monitoring to ensure that the deficit is at 3.3 per cent despite it being an election year.”
With inputs from ANI