oppn parties The Small Savings Interest Rates Fiasco

News Snippets

  • T20 WC: USA enter Super Eights as their last match against Ireland gets washed out. They were ahead of Pakistan in the points tally. Pakistan were eliminated
  • T20 WC: USA enter Super Eights as their last match against Ireland gets washed out. They were ahead of Pakistan in the points tally. Pakistan were eliminated
  • BJD leader and former Odisha CM Naveen Patnaik said that the criticism of his aide V K Pandian is "regrettable"
  • As more than 20 BJP ministers lost in the recent elections, the new Union cabinet will have many new faces from the party
  • Congress Working committee asks Rahul Gandhi to take up the position of Leader of Opposition in Lok Sabha. Gandhi says he will consider the request
  • RBI governor Shaktikanta Das said that gold was shifted to India as the quantum of RBI gold abroad had increased due to recent purchases
  • Delhi HC rules that submitting photographic evidence of adultery will not be enough, they will have to be proved as authentic in the age of deepfakes
  • A four-member panel will review NEET-UG results of 1563 candidates to check if they were given extra marks for exam time loss
  • Mamata Banerjee says her party will not join Modi's oath-taking ceremony. Also says INDIA bloc might stake claim to form government later
  • K C Tyagi of the JD(U) dropped a bombshell when he said that Nitish Kumar was offered the post of prime minister for switching sides. Opposition leaders rubbished the claim
  • This May was India's hottest month in 36 years says IMD
  • T20 WC: India take on Pakistan today. Telecast to begin at 8pm IST
  • T20 WC: Afghanistan stun New Zealand and Bangladesh win against Sri Lanka
  • T20 World Cup: Australia beat England by 36 runs. This spoils England's chances of making the playoffs as they have lost both their matches till now
  • Heat wave continues in the country as monsoon moves slow
G7 commits to promote India-Europe corridor
oppn parties
The Small Savings Interest Rates Fiasco

By A Special Correspondent
First publised on 2021-04-02 07:56:55

In what can be considered as one of the biggest howlers (it cannot be considered a rollback as the government has admitted that it happened by 'oversight') of the NDA government, the Centre withdrew its notification slashing the interest rates on small savings schemes within a day of notifying the same. The government said that the notification was issued through 'oversight'. It is difficult to understand that how such an important notification, the decision on which could be taken only after a series of high-level meetings in the finance ministry and which can only be issued after being vetted by several high ranking officials, could be issued by 'oversight'.

That the notification was drafted clearly shows that meetings must have taken place to decide about slashing the interest rates. It also proves that the government had decided to slash the rates after such meetings. The only thing is that someone in the ministry jumped the gun and issued the notification at an inappropriate time when elections are being held in five key states. There is no doubt that the notification will be issued again, sooner or later. It has been withdrawn now only not to spoil BJP's prospects in the ongoing elections in the states.

But the incident shows the government in very poor light. It must conduct an internal inquiry to find out how this could happen. Today it is a notification about slashing interest rates that got issued by 'oversight', tomorrow it could be some other, more vital, notification that can be issued likewise. The government needs to reexamine the chain of command that is responsible for such decisions and exercise better control over it. Obviously, there are shortcomings in the system and they need to be addressed at the earliest. Care should be taken to ensure that such a blunder does not happen again.