Centre failed to control inflation: YSRC MP Vijayasai Reddy

VIJAYAWADA: YSRC MP V Vijayasai Reddy said the Central government has failed in controlling the rate of inflation in the country. During a short duration discussion in the Rajya Sabha on Tuesday over increasing prices, he stressed that the responsibility of controlling inflation lies with the Reserve Bank of India. However, both the Centre and the RBI have failed in this aspect. He pointed out RBI’s statement that the rate of inflation will be more than 6% in the next fiscal, to buttress his argument.

“It is not proper to compare our rate of inflation with other countries and say we are better than them. Inflation is like an illegal tax burden,” the MP said and emphasised that it is the Centre’s responsibility to ensure a socio-economic balance between different regions and different sections of people. He also took exception to the comparison of wholesale index and inflation. Vijayasai Reddy said the price hike of essentials has burdened the common man in the country. He urged the Centre to initiate measures to control prices.

Andhra Pradesh has suffered in the last seven years as the Centre has not reimbursed Central Gross Tax Revenue as per the decided share. Due to the Centre’s policy of devolution of taxes, the States have lost Rs 11.26 lakh crore, which is to say it has looted the States’ revenues.  “Instead of 41%, only 31-32% is being paid to the States, which is nothing but robbery,” he said.

The MP wanted interest rates on small saving schemes like the Centre did for bonds and found fault with the Centre for not exempting Tirumala Tirupati Devasthanams from GST, in spite of several requests.