Mumbai: The Corona virus (COVID19) outbreak has severely affected the Indian economy and if it is not contained by the next month, the country will have to confront big crisis on the economic front. According to former Chief Minister Devendra Fadnavis, Maharashtra needs to tackle the situation on two fronts – to control spreading of the virus and to protect and assist the unorganised and industries especially small and medium industries by pumping liquidity in these sectors.
Maharashtra is at the stage where it has the highest number of Covid-19 positive cases in the country. Devendra Fadnavis, former chief minister expressed concern about labourers from unorganised sectors. However, he said that at the cost of the probable economic slowdown, revival of livelihood of the people should be the first focus at this stage. “We can restore the economy in due course of time, but people must survive,” said Fadnavis.
“The labourers who work on daily wages are the most vulnerable sections who are affected by and large due to the Coronavirus. State government has to assure that they will get their wages either through their contractors or by the financial support from the government,” said Fadnavis, the Leader of Opposition (LoP) in the state assembly.
Fadnavis further said that at this stage, the state should have the priority to control the spreading of coronavirus and they are doing it. “If we can control the virus, it is well and good. But, suppose, the duration to get control over controlling virus will be extended for suppose one month after March 31, then the state will need to take decisive steps to take care of each sector,” Fadnavis said.
According to senior Bharatiya Janata Party (BJP) leader, there is the deposit of Rs 5000 crore lying idle with the state run Corporation meant for construction workers, it can be used to support constriction workers and to pay their wages. Like this, labourers from other unorganised sectors should be supported.
“Government will need to assure the industry and contractors that they will be compensated the amount of wages after some period in lieu of paying wages to the labourers in these crucial days. The amount of credit to the labourers given by the employer in terms of wages or salaries will be deducted from their taxes and it would be a good option – provided they should produce evidence of credit given to labourers,” said Fadnavis.
He added, “These labourers should be given ration from the public distribution system (PDS) for the next few days or months. The record of beneficiaries has been linked with Aadhar number. So, there will not be an issue of misuse. Those who are not included in the PDS system as beneficiary should be given relaxation.”
“The Centre and State should be extended the deadline to pay statutory dues like corporation taxes and Goods and Services Tax (GST) even the closure of banks by March 31 by one or two months,” Fadnavis demanded.
He stated that state and Centre should not worry about fiscal deficits at this moment. India has good economic growth and even Maharashtra is financially strong. So we can rebuild our economy once the virus effect gets over by taking some measures.
Speaking on Micro, Small and Medium Enterprises (MSME) sector which would be big affected sector, Fadnavis said that, they should be given relaxation from paying statutory taxes.
