Manmohan opposes DA hike freeze; Sonia writes to PM on MSME package

Former prime minister criticised the federal government’s transfer to freeze the hike in (DA) of 5.6 million authorities workers, and requested his occasion to stand with the staff.

In a video posted by the Congress occasion on Saturday, its former chief and senior chief pointed on the “extravagance” of the federal government spending cash on the central vista growth venture and bullet practice whereas subjecting authorities workers and even pensioners to cuts.

The Congress posted excerpts from a video convention of the occasion’s just lately constituted 11-member consultative group.

In the excerpts, the previous prime minister stated, “I sincerely believe it is not necessary at this stage to impose hardships on government servants and also on the armed forces people.”

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Singh, 87, who heads the consultative group and is a votary of placing cash within the arms of individuals as a method of financial revival, additionally stated, “We should be on the side of people whose DA is being cut.”

The finance ministry on Thursday halted the hike in DA for central authorities workers and dearness aid (DR) for pensioners until July 2021.

In the video, stated the federal government was taking cash from the center class, not giving it to the poor, and spending it on “extravagant expenditure” just like the central vista.

Chidambaram stated the federal government ought to first halt expenditure on bullet practice and central vista growth earlier than freezing DA.

MSME package

Congress interim president in a letter to Prime Minister Narendra Modi on Saturday sought instant help for the micro, small and medium enterprises (MSME) sector to put it aside from damage.

She steered that the PM announce a Rs 1 trillion “MSME wage protection” package, set up and deploy a credit score assure fund of Rs 1 trillion to present instant liquidity to the sector and discover a waiver/discount of taxes for

stated actions taken by the Reserve Bank of India (RBI) should get mirrored in actions by industrial banks to guarantee ample, simple and well timed credit score provide to She stated all these measures want to be supported by an growth and extension of the RBI’s moratorium on cost of loans for past the stipulated interval of three months.

“High collateral security is leading to denial of credit. Same is the case with limits on ‘margin money’ being extremely high. These factors combine to ensure a lack of access to available credit for MSMEs and must be addressed,” the Congress president stated.

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She stated the sector, which employs 110 million folks and accounts for nearly 50 per cent of India’s exports, wants instant assist. “At this moment, without appropriate support, more than 6.3 crore (63 million) MSMEs stand on the verge of economic ruin,” she said within the letter.

According to her, each single day of the lockdown comes at a price of Rs 30,000 crore to the sector and its workers are vulnerable to shedding jobs.

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