Govt committed to carrying forward financial sector reforms

New Delhi, Mar 25 (PTI) With his government battling
allegations of various scams, Prime Minister of India Manmohan
Singh Friday welcomed the national focus on corruption because
it will generate public pressure in favour of more reforms.
Addressing a function organised by financial daily
'Business Standard', he said his government fully committed to
transparency in governance and to ending discretionary powers
that foster cronyism.
"I welcome the national focus on corruption, because
it will, as it already has to an extent, generate public
pressure in favour of more reform," he said, adding the battle
against corruption is a "relentless one and eternal vigilance
is the price of freedom".
"The end of Licence-Permit Raj ended old opportunities
for corruption and favouritism... but human ingenuity and the
desire to make a quick buck are such that the greedy are able
to tap into new sources of corruption," Singh said.
Even after two decades of economic reforms and
liberalisation, the Prime Minister said, "I confirm our
commitment to new wave of reforms... What India needs is a
political consensus."
The challenge before the country is to ensure the
sustainability of its economic rise and the efficacy and
fairness of democratic governance, he said adding "I am aware
of the fact that much more needs to be done to make our
economy more competitive".
Last week it was reported that China has overtaken the
US to become the world's biggest manufacturing nation. China
has regained the status after 115 years. "I do believe India
too will catch up. Our government will continue to implement
policies that will a push forward to Indian manufacturing and
job creation."
He, however, regretted frequent disruptions in
Parliament by the Opposition parties. "Parliament should be
allowed to run normally and smoothly," he said.
His remarks assume significance in the wake of
acrimony witnessed in Parliament over issues like 2G spectrum,
vote-for-cash and WikiLeaks expose. The Winter session of
Parliament was washed out with the Opposition pressing for a
Joint Parliamentary Committee probe into 2G scam.
Singh said that government was committed to carrying
forward the economic reforms in the financial sector to
sustain high growth and moderate inflation.
Implementation of the national Goods and Service Tax
(GST) is long over due, he said, adding that "we are committed
to implement it from 2012 and I hope state governments run by
opposition political parties will take a national view and
work with us to complete tax reforms."
Earlier speaking at a panel discussion, Home Minister
P Chidambaram said business today is much freer as compared to
what it was in 1990s.
"There is more business rivalry among themselves (than
from the government). We are no longer guilty if things go
wrong," he said.
To another question that would government had
implemented economic reforms had there been no crisis in 1991,
Chidambaram replied in a lighter vein, "If there was no
crisis, I doubt Dr Manmohan Singh would have become the
Finance Minister then."
Planning Commission Deputy Chairman Montek Singh
Ahluwalia expressed concern over high energy prices and said
"there is too much complacency about high growth ... we are
entering in high energy price phase and we do not seem to
accept it."
He also said that on the inclusive growth front, India's
record is not as good as it should be.