Will Competitive Sycophancy of ‘Pappu Leaders’ triumph over Rational Thoughts over Food Security issue
By: Amit Bhushan Date: 8th June 2013
The incumbent leadership running the show of governance in India seems to be as much heckled by its own party leaders as it has been badgered by the opposition and bad press. The reasons are known to the ruling dispensation i.e. the leaders in constituencies are imposed from outside rather than germinated and nurtured within such constituencies. The local and state leaders of some standing locally, wean away the fragments of support for such leaders exploiting the caste, creed & local factors making such politicians almost totally rudderless in terms of rapport with local populace. Such politicians become totally dependent on Party leadership for their continuance making frequent show of their closeness to top to sustain their job as political representatives.
The repercussion of such management is a significant cost to the country. Instead of rational arguments to push ‘people’s issues’, these leaders push arguments in favour of Central leadership’s support creating a ‘halo’ around central leaders and all their ideas. Quite a few of such ideas may be insignificant but blown out of proportion (such as FDI in Retail), some in bad need for improvement (such as NREGA which needs significant reform to improve benefits for Rural poor and Panchayat politician’s standing) while some other needs to be dumped at the onset (like the Food Security bill). However the twin needs of ‘Pappu Leaders’ forces them to reiterate their strong standing even in face of tremendous bureaucratic & expert advisory against such measures. Such leaders want to champion for every uttering & mutterings of their Central Leaders to reiterate their own closeness to ruling dispensation amongst crucial supporters in their constituencies and maintain their support. The leaders sustain by the thread of ‘promise’ which would be delivered post victory and the bill with significant fund commitment allows them to paint rosy promises.
The Rational thinking leaders within the ruling dispensation are unable to counter the proposals because of their tremendous incapacity to questions funding priorities with Top Central Leaders either in direct or obscure manner. The Top Central Leaders seem totally convinced that the Tax payers of the country are milch cattles who would continue to pour out whatever is needed for their megalomaniacal schemes and no questions will ever be raised on ‘Delivery’ of promises. This is even as a significant chunk of population is giving up caste and creed lines to queue behind Ration lines looking for delivery of subsidized rations which have not been delivered for years. The ‘Pappu Leaders’ are firmly pushing subsidy for Rations rather than Delivery so that promise becomes larger than ever for their immediate priority to win for Five years of office. They are sure that the Top leadership will come out with another rescue package Five years hence as well since the Top leader has a priority to be in the Top job as per established political traditions of the country.
The Rational thinking leaders in the ruling dispensation seem to be suffering from Dysentery of Ideas as much as they are suffering from a Constipation of words. This is because not only they have failed to counter Pappu Netas because of Top Central Leaders, but they are unable to offer alternative ways to reach out to Aam Admi so that pressure to commit huge expenditure recedes a bit. The government can take a slew of reform measures to reach out to nearly as much people and create a ‘Feel Good factor’ without committing the erroneous expenditure. The reason is perhaps the leaders in government are focused on Maximum FDI/FII investments with minimum reforms, rather than bringing about a people centric changes supported by FDI/FII investments; FDI in retail being a shining failure.
The Pension Fund reforms and regulations is another shining example where reforms have happened without delivery of ‘effects or impacts’ to people. In the modern economy run by job hopping professionals, the government could have clubbed Pension and Provident Fund Regulations under PFRDA and pushed industry to offer option to employees to have their PF/Pension deductions deposited with Fund Managers of their choice (the EPF association of the employer could have been allowed as an option). However, the government and their supporters resisted yearning to change and rather protected Employee Provident Funds which have little transparency and operate as per Employer’s directives and often job hoppers loose their savings due to pathetic services and frauds. However, these reforms are one good area of opportunity for the government to touch the lives of urban populace where its support base has nearly dwindled to negligible levels. This would also lead revival of the industry and kick off investments including FDI/FII.
The government has been trying to automate the Regional Rural banks however it is still struggling to get Rural populate embrace banks over ‘Gold’. It should perhaps team up with RBI to allow the technologically upgraded banks bring forth Unit linked Deposit programs for Rural populace along with Government controlled Mutual Funds. This would perhaps help growth of deposits and bring down interest rates and reduce Gold imports and CAD. (Although black money investment in Gold would not stop).
The government has been struggling with its flagship UIDAI program as it has put all eggs with a single agency with no support measures. The noise levels dwindle before reaching the village levels and Feel Good for the same expires even before reaching mid-way. The government should perhaps announce some interest subvention scheme for Farmers for Drip Irrigation loan subsidy basis Aadhar. This could be over and above any central or state subsidy for such equipment. Private participation shall ensure the Feel Good noises reach villages.
Finally the government needs to kickstart investments and revive small enterprises which are facing maximum heat of slowdown. It can examine to bring a tax relief package for Long term capital gains made through stock investment in listed small enterprises whose Turnover and Market Capitalization is below 250-500 Cr. Say, instead of 10% Capital Gains from investing in stocks, the Long Term Cap Gains from investment in such enterprises will be calculated at 5%. This would kick start a value hunt and revival of such entities who will be pushed for expansion for sustaining gains in stock value of investors.
There could be a host of measures which could be taken to create the same amount of Feel Good that government seeks to gain from its ill fated Food Security Bill. This should be done by rational debate between informed people rather than by highjack process of the Pappu Netas. The government expenditure proposals needs to be thoroughly debated in line of the priorities for the country and how the country can improve its standing in the comity of nations while improve lives of its people.
By: Amit Bhushan Date: 8th June 2013
The incumbent leadership running the show of governance in India seems to be as much heckled by its own party leaders as it has been badgered by the opposition and bad press. The reasons are known to the ruling dispensation i.e. the leaders in constituencies are imposed from outside rather than germinated and nurtured within such constituencies. The local and state leaders of some standing locally, wean away the fragments of support for such leaders exploiting the caste, creed & local factors making such politicians almost totally rudderless in terms of rapport with local populace. Such politicians become totally dependent on Party leadership for their continuance making frequent show of their closeness to top to sustain their job as political representatives.
The repercussion of such management is a significant cost to the country. Instead of rational arguments to push ‘people’s issues’, these leaders push arguments in favour of Central leadership’s support creating a ‘halo’ around central leaders and all their ideas. Quite a few of such ideas may be insignificant but blown out of proportion (such as FDI in Retail), some in bad need for improvement (such as NREGA which needs significant reform to improve benefits for Rural poor and Panchayat politician’s standing) while some other needs to be dumped at the onset (like the Food Security bill). However the twin needs of ‘Pappu Leaders’ forces them to reiterate their strong standing even in face of tremendous bureaucratic & expert advisory against such measures. Such leaders want to champion for every uttering & mutterings of their Central Leaders to reiterate their own closeness to ruling dispensation amongst crucial supporters in their constituencies and maintain their support. The leaders sustain by the thread of ‘promise’ which would be delivered post victory and the bill with significant fund commitment allows them to paint rosy promises.
The Rational thinking leaders within the ruling dispensation are unable to counter the proposals because of their tremendous incapacity to questions funding priorities with Top Central Leaders either in direct or obscure manner. The Top Central Leaders seem totally convinced that the Tax payers of the country are milch cattles who would continue to pour out whatever is needed for their megalomaniacal schemes and no questions will ever be raised on ‘Delivery’ of promises. This is even as a significant chunk of population is giving up caste and creed lines to queue behind Ration lines looking for delivery of subsidized rations which have not been delivered for years. The ‘Pappu Leaders’ are firmly pushing subsidy for Rations rather than Delivery so that promise becomes larger than ever for their immediate priority to win for Five years of office. They are sure that the Top leadership will come out with another rescue package Five years hence as well since the Top leader has a priority to be in the Top job as per established political traditions of the country.
The Rational thinking leaders in the ruling dispensation seem to be suffering from Dysentery of Ideas as much as they are suffering from a Constipation of words. This is because not only they have failed to counter Pappu Netas because of Top Central Leaders, but they are unable to offer alternative ways to reach out to Aam Admi so that pressure to commit huge expenditure recedes a bit. The government can take a slew of reform measures to reach out to nearly as much people and create a ‘Feel Good factor’ without committing the erroneous expenditure. The reason is perhaps the leaders in government are focused on Maximum FDI/FII investments with minimum reforms, rather than bringing about a people centric changes supported by FDI/FII investments; FDI in retail being a shining failure.
The Pension Fund reforms and regulations is another shining example where reforms have happened without delivery of ‘effects or impacts’ to people. In the modern economy run by job hopping professionals, the government could have clubbed Pension and Provident Fund Regulations under PFRDA and pushed industry to offer option to employees to have their PF/Pension deductions deposited with Fund Managers of their choice (the EPF association of the employer could have been allowed as an option). However, the government and their supporters resisted yearning to change and rather protected Employee Provident Funds which have little transparency and operate as per Employer’s directives and often job hoppers loose their savings due to pathetic services and frauds. However, these reforms are one good area of opportunity for the government to touch the lives of urban populace where its support base has nearly dwindled to negligible levels. This would also lead revival of the industry and kick off investments including FDI/FII.
The government has been trying to automate the Regional Rural banks however it is still struggling to get Rural populate embrace banks over ‘Gold’. It should perhaps team up with RBI to allow the technologically upgraded banks bring forth Unit linked Deposit programs for Rural populace along with Government controlled Mutual Funds. This would perhaps help growth of deposits and bring down interest rates and reduce Gold imports and CAD. (Although black money investment in Gold would not stop).
The government has been struggling with its flagship UIDAI program as it has put all eggs with a single agency with no support measures. The noise levels dwindle before reaching the village levels and Feel Good for the same expires even before reaching mid-way. The government should perhaps announce some interest subvention scheme for Farmers for Drip Irrigation loan subsidy basis Aadhar. This could be over and above any central or state subsidy for such equipment. Private participation shall ensure the Feel Good noises reach villages.
Finally the government needs to kickstart investments and revive small enterprises which are facing maximum heat of slowdown. It can examine to bring a tax relief package for Long term capital gains made through stock investment in listed small enterprises whose Turnover and Market Capitalization is below 250-500 Cr. Say, instead of 10% Capital Gains from investing in stocks, the Long Term Cap Gains from investment in such enterprises will be calculated at 5%. This would kick start a value hunt and revival of such entities who will be pushed for expansion for sustaining gains in stock value of investors.
There could be a host of measures which could be taken to create the same amount of Feel Good that government seeks to gain from its ill fated Food Security Bill. This should be done by rational debate between informed people rather than by highjack process of the Pappu Netas. The government expenditure proposals needs to be thoroughly debated in line of the priorities for the country and how the country can improve its standing in the comity of nations while improve lives of its people.