Union Government Destroying PSUs, Fudging Data: Economist Parakala Prabhakar

The 'Save Public Sector Forum' conducted a convention titled 'Present Day India: Repeating Lies and Untold Truths' on December 9 in Kannur. The event focused on discussions around actions opposing Public Sector Undertakings (PSUs), their dismantling, and the sale of profitable entities.

Parakala Prabhakar, a distinguished economist, delivered the keynote address, accusing the BJP-led Union government of favoring select corporate entities at the expense of destroying PSUs. He highlighted how the government intimidates dissenters and labeled the struggle against these policies as not just economic but also political.

The convention addressed the current state of the Indian economy, highlighting policies leading sectors into crisis and causing rising unemployment, directly impacting the common populace. The Forum comprises a coordination committee representing BSNL, LIC, banks, postal services, and central government employees and pensioners.

Prabhakar identified various characteristics defining the 'New India,' including escalating unemployment, inflation, reduced domestic savings, corporate tax cuts, increased indirect taxation, and a rise in individuals renouncing Indian citizenship.

The PSUs in India, encompassing BSNL, banks, LIC, postal services, and defense manufacturing sectors, face threats of privatization or corporatization. Companies established post-Independence that play crucial roles in employment generation and self-reliance are now in jeopardy. Central Trade Unions and federations across sectors oppose the BJP-led government's pro-privatization policies, aiming to expose the associated threats.

Prabhakar criticized the government's systematic defunding of PSUs leading to privatization, citing a stark contrast in the government's treatment of corporate entities versus social welfare programs. He emphasized that instead of selling off struggling PSUs, the government should address management and policy issues. He referred to the current state of affairs as 'Shut Up India,' indicating stifling dissent against government policies.

Moreover, speakers at the convention noted that despite claims of only privatizing loss-making organizations, profit-making PSUs have been sold in recent years under different guises. Former MP P K Biju accused previous governments, including Atal Bihari Vajpayee's BJP-led regime, of creating separate ministries to facilitate national asset sales.

The convention underscored that organizations initiated during the five-year plans significantly contribute to the government's revenue and accused both the UPA and BJP governments of endangering these institutions. The economy, burdened by increasing national debt and weakened by regressive measures, faces severe challenges.

Prabhakar criticized the government's handling of important schemes, stating that they often devolve into mere publicity stunts, with a significant portion of funds allocated for programs like 'Beti Bachao, Beti Padhao' being spent on publicity alone. He also highlighted concerns about data manipulation and suppression, stating that crucial statistics are being withheld or misrepresented.

The leaders of various member organizations within the Save Public Sector Forum called for a united front against what they perceive as regressive policies of the BJP-led Union government.