PM addresses the nation, justifies government decisons

New Delhi: Prime Minister Manmohan Singh on Friday said the time has come for “hard decisions” and asked the countrymen not to be misled by those trying to confuse them by spreading fear like in 1991.

In a rare televised address to the nation, he insisted that the concerns over allowing FDI in retail were “baseless” as there is enough scope for big and small retailers to grow.

“No government likes to impose burdens on the common man… At the same time, it is the responsibility of the government to defend the national interest, and protect the long term future of our people,” Singh said.

“We have much to do to protect the interests of our nation and we must do it now. At times, we need to say ‘no’ to the easy option and say ‘yes’ to the more difficult one. This happens to be one such occasion. The time has come for hard decisions,” he said, adding, “for this, I need your trust, your understanding and your cooperation.”

Underlining that the government was at a “point where we can reverse the slowdown in our growth”, he said, “We need a revival in investor confidence domestically and globally. The decisions we have taken recently are necessary for this purpose”.

He made the 15-minute address to the nation in Hindi and English against the backdrop of uproar over the recent decisions to allow FDI in multi-brand retail, Rs 5 increase in diesel price and cap on subsidised LPG cylinders.

A tough-talking Prime Minister said, “money doesn’t grow on trees. If we had not acted, it would have meant a higher fiscal deficit.”

PM vows to strengthen economy

He told the nation that he would do “everything necessary” to put the country back on the path of high and inclusive growth.

“But I need your support. Please do not be misled by those who want to confuse you by spreading fear and false information,” Singh appealed to the countrymen, adding he had full faith in their wisdom.

“As Prime Minister of this great country, I appeal to each one of you to strengthen my hands so that we can take our country forward and build a better and more prosperous future for ourselves and for the generations to come,” he said.

Contending that his government has been voted to office twice to protect the interests of the ‘aam admi’, the Prime Minister said, “we must ensure that the economy grows rapidly” which would generate enough productive jobs for the youth of our country.

“Rapid growth is also necessary to raise the revenues we need to finance our programmes in education, health care, housing and rural employment,” he said.

While justifying the hard decisions of the government, Singh referred to the “great difficulty” being encountered by the world economy with even the US and Europe struggling to deal with an economic slowdown and financial crisis. Even China is slowing down, he said.

“We too have been affected, though I believe we have been able to limit the effect of the global crisis,” Singh said.

Agriculture has grown faster: PM

Recalling that in the past eight years the economy has grown at a record annual rate of 8.2 percent, the Prime Minister said the government has ensured that poverty has declined much faster, agriculture has grown faster, and rural consumption per person has also grown faster.

“We need to do more, and we will do more. But to achieve inclusiveness we need more growth. And we must avoid high fiscal deficits which cause a loss of confidence in our economy,” Singh said.

Referring to the crisis witnessed in 1991, he said, “I would be failing in my duty as Prime Minister of this great country if I did not take strong preventive action.”

He said he was determined to see that India is not pushed into a situation like the one encountered by Europe where many countries are not able to pay their bills, have to cut wages or pensions and are looking to others for help.

“But I can succeed only if I can persuade you to understand why we had to act,” Singh underlined.