This Article is From Apr 01, 2021

"Don't Fool People": Sitaram Yechury On Centre's Interest Rate U-Turn

In a tweet, Mr Yechury said: "Modi government clearly wants to further destroy peoples' lives and slash small savings. Taking the order back is not going to fool anyone. Their intentions are clear. Cronies' incomes are growing into trillions, but the majority are squeezed and destroyed."

Advertisement
India News

"Taking the order back is not going to fool anyone," Sitaram Yechury said. (File)

New Delhi:

Communist Party of India (Marxist) General Secretary Sitaram Yechury on Thursday alleged that the Central government postponed the cuts on the interest rate on small savings schemes in view of ongoing Assembly elections in four states and one Union Territory, adding that "taking the order back is not going to fool anyone".

In a tweet, Mr Yechury said: "(PM) Modi government clearly wants to further destroy peoples' lives and slash small savings. Taking the order back is not going to fool anyone. Their intentions are clear. Cronies' incomes are growing into trillions, but the majority are squeezed and destroyed."

On Wednesday, the government slashed interest rates on small savings schemes, such as post office deposits and public provident fund by 50-110 basis points. However, on Thursday, it withdrew its order slashing interest rates on small savings schemes. 

"The Government of India withdrew the lowered rate of interest on Small Savings Schemes announced earlier, and now the rate of interest on these will remain unchanged as the last quarter of 2020-2021," said Union Finance Minister Nirmala Sitharaman.

Speaking to ANI about the Centre withdrawing order cutting interest rates on small savings schemes, Mr Yechury said: "Now, keeping in mind the elections, the government suddenly realised that its decision to slash interest rates on small savings schemes should be postponed. The statement of the Finance Minister means that it is going to happen after the election, just as petrol and diesel prices have been curbed. Once the elections will be over then you will see immediately that there will be an increase in fuel prices. The policy and trends of the government are clear."

Advertisement

"The pace of inflation is increasing and income is decreasing. Those who spend their entire life savings in small savings for their future will be affected the most as interest rate on their savings will be reduced," he said.

The former MP alleged that the Central government's agenda was to make the rich more wealthy and give tax exemptions to corporates.

Advertisement

"Sell the country to make the rest of the profits....sell Public Sector Undertaking (PSUs)....this is the trend of this government. You will see that the results of these elections as people will vote against it," he said.

Advertisement