Unemployment high in India due to demo: Manmohan Singh

TIL Desk/National/New Delhi/ Attacking the Centre, former Prime Minister Dr Manmohan Singh on Tuesday said unemployment is high in the country and its informal sector is in shambles following the “ill considered demonetisation decision” taken by the BJP-led government in 2016. He also criticised the central government for not holding regular consultations with the states.    

Inaugurating a development summit virtually organised by the Rajiv Gandhi Institute of Development Studies, an economic think tank aligned to the Congress ideology in poll-bound Kerala, Singh said temporary measures by the Government of India and the Reserve Bank to paper over the credit problem cannot blind us to the looming credit crisis ahead that could affect the small and medium sector.    

“Unemployment is high and the informal sector is in shambles, a crisis precipitated by the ill considered demonetisation decision taken in 2016”, he said at “Pratheeksha 2030.” The summit was organised to launch a Vision Document, a framework of ideas for development of Kerala well in advance of the state elections.  

He said in Kerala and in many other states, public finances are in disarray with states having to resort to excessive borrowing, which creates an intolerable burden on future budgets. “Federalism and regular consultation with states, which was the cornerstone of Indias economic and political philosophy as enshrined in the Constitution, no longer finds favour with the present Central government,” he said.