New Delhi: Former PM Manmohan Singh on Saturday hailed the Congress promise of NYAY, Nyuntam Aay Yojana (minimum income scheme), serving dual objectives of wiping out the last remnants of poverty and restart stalled economic activity of India. Debunking the BJP leaders’ claim of the scheme causing a big drain on the state exchequer and new tax burden on the middle class, he said the NYAY will cost between 1.2-1.5% and “our nearly $3 trillion economy has the fiscal capacity to absorb this expenditure.”
In a 2-page statement as a world-renowned economist, he asserted there will be no need for any new taxes on the middle class to finance NYAY and “the economic stimulus it will provide will further help in fiscal discipline.”Noting the NYAY has been conceptualised after much thought and consultations with experts, he said: “It is my sincere belief the NYAY has the potential to catapult India into the club of poverty-free’ nations in the world and I hope to be able to live to see our nation achieve this historic milestone.”
Pointing out 70% of Indians were poor at the time of Independence in 1947, he said the poverty level has been now brought down to 20% with sound policies by successive governments over the last seven decades, and “now is the time to renew our pledge to wipe out the last remains of poverty.”
