New Delhi: In the trying times of the coronavirus pandemic, when the COVID-19 virus has hit the economies of several countries around the globe, the government of India has been taking all possible measures to mitigate the impact.
Recent trends of economic recovery bear the testimony of its timely intervention, a top source in the Ministry of Finance has said.
The source was responding to the report published in certain section of media where an impression has been sought to be created that the government lacks consensus at the highest levels while pushing the fiscal stimulus and packages.
The source said that swift steps taken by the government and recent trends of economic recovery – increase in GST collection, PMI index, Exports etc. – themselves dispel the myth of tight fists and any lack of consensus.
“The Government has been aware of the ramifications of Covid-19 pandemic and that is the reason why the Ministry of Finance (MoF) has been proactively and continuously taking measures to provide support to those who need it the most in a holistic manner and those measures are yielding results”, said the top government source.
“While reading the report card of the Government’s comprehensive measures against the challenges of Covid-19, one must acknowledge the swiftness with which the Government formulated and implemented two major Stimulus Packages – Pradhan Mantri Garib Kalyan Package (PMGKP) on 26th March 2020 and Aatmnirbhar Bharat Package (ANBP) on May 12, 2020 – a special economic and comprehensive package of Rs. 20 lakh crore – equivalent to 10 per cent of India’s GDP , said the source.
Another source in the know of the matter and who has been privy to most of the meeting of PMO on COVID-19 impact mitigation exercise said that under the the two packages, the Government has implemented several measures, which, inter-alia, include relief measures for households such as in-kind (food; cooking gas) and cash transfers to senior citizens, widows, disabled, women Jan Dhan Account holders, farmers; insurance coverage for workers in the healthcare sector; and wage increase for MGNREGA workers and support for building and construction workers, collateral free loans to self-help groups, reduction in EPF contributions, employment provision for migrant workers (Pradhan Mantri Garib Kalyan Rojgar Abhiyaan).
“The implementation of the package is reviewed and monitored regularly at the highest level”, said the top source.
The major government measures are:
• Pradhan Mantri Garib Kalyan Package (PMGKP) around 42 crore poor people have received financial assistance of Rs. 68,921 crore as on 1st October 2020.
• Rs 30,952 crore credited through DBT to 20.65crore (100%) women Jan Dhan account holders.
• Almost 8.94 crore farmers under PM Kisan were paid with two instalment of Rs. 17,891 crore each.
• Free food grains to about 81 crore beneficiaries @5 kg per beneficiary for 8 months has been arranged with total allocation of 320 lakh metric tonne grains. This covers more than 60 % of India’s population.
• Free pulses/chana to about 20 crore household @1 kg per month for 8 month is being provided for which approximately 16 lakh metric tonne grain is allocated.
• 4.29 crore PM Ujjwala Yojana cylinders delivered to beneficiaries for April 2020, 3.78 crore for May 2020, 3.05 crore for June 2020, 1.05 crore for July 2020, 0.89 crore for August 2020, and 0.72 crore for September 2020.
• Insurance scheme for health workers in Government hospitals and Health care centres operationalised w.e.f. 30th March, 2020 and Rs. 130.5 crore paid towards insurance premium till date.
• Rs. 15,000 crore fund for health sector is being implemented in 3 phases – In the first phase of Rs. 9904 crore (Jan 2020 to June 30 2020), NHM allocated Rs. 3379 crore, Procurement Rs. 4724 crore, DHR/ICMR Rs. 1163 crore, NCDC Rs. 18 crore and M/o Railways Rs. 620 crore. 2nd phase (July 1, 2020 to March 31, 2021) to be of Rs. 5048 crore and 3rd phase (April 2021 to March 2024) of Rs. 48 crore.
• Under MGNERGS an additional provision of Rs.40,000 crore has been made for the FY 2020-21 raising the total allocation to Rs.1,01,500 crore in MGNREGS.
• 1.82 crore building & construction workers received financial support amounting to Rs. 4,987.18 crore.
• 40.59 lakh members of EPFO took online withdrawal benefit of non-refundable advance from EPFO account amounting to Rs.10,615 crore.
As on September 30, about 30 crore man days employment has been provided to migrant workers and more than Rs 27,000 crore spent so far under Garib Kalyan Rojgar Abhiyaan.
More than 1.14 lakh water conservation structures, about 3.65 lakh rural houses and nearly 10,500 community sanitary complexes have been created under the Abhiyaan. 1,662 Gram Panchayat have been provided internet connectivity.
A total of 17,508 works related to solid and liquid waste management undertaken and 54,455 candidates have been provided skill training through Krishi Vigyan Kendras (KVKs). 6727 works have been taken up through District Mineral Funds.
All these money and assistance have gone directly through Direct Benefit Transfer into the bank accounts and in the hands of deserving people, without any middlemen and any delay.
“Yet , the critics say that the government has not taken enough demand side measures by putting cash in the hands of people. Is this not putting cash in hands of people at the time of distress? If it is not, then what it is? Even Bill Gates recently appreciated the way India used its DBT delivery mechanism to reach and help people directly at the time of this crisis,” said the source.
