'Freed Banks From NPA Illness': PM Modi Discusses Reforms, Economy, Trade Deals, World Order

Prime Minister Narendra Modi on Thursday said the BJP-led NDA government has freed banks from the illness that had crept into the system during the Congress-led UPA government and restored their health. He said the government brought about bold reforms and brought in transparency.

PM Modi added that from ‘fragile 5’ during UPA, India is now moving fast towards becoming the world’s third-largest economy. “Today, India is riding on Reform Express,” he said.

“During the rule of UPA, which is now INDI Alliance, the banking system was on the verge of collapse… NPA had piled up. Everyone used to ask what would happen to NPA… The challenge was big. But, our government wisely took into confidence the stakeholders of the banks, brought about reforms, and

brought in transparency. Banks that were difficult to run were merged into bigger banks. The steps freed banks from the illness that had crept into system and restored their health. Now, they are progressing fast,” Prime Minister Narendra Modi said in the Rajya Sabha, while replying to the President’s address.

He added that government has reduced “mountain” of NPAs in banks and brought it down to lowest level of less than 1 per cent.

“Today India is riding on Reform Express,” PM Modi said, adding that from ‘fragile 5’, India is moving fast towards becoming the world’s third-largest economy.

Mudra Scheme

He said loans became easier for the common man as the health of the banks improved. Under the Mudra scheme, the government has disbursed a total of Rs 30 lakh crore to the country’s youth to help them build businesses without any bank guarantee. The government also provided direct help to over 30 crore women.

MSMEs

PM Modi said micro, small and medium enterprises (MSMEs) were facilitated with loans.

PSU Profitability

On public sector undertakings, PM Modi said the government-run companies are making record profits today against the earlier notion that they were only supposed to make losses.

Trade Deals

On trade deals, PM Modi said, “We are doing future-ready trade deals with a lot of countries. In the past few days, we have had nine major trade deals, and the mother of all deals was the one with the European Union,” he said.

He also took a jibe at the Opposition, which had staged a walkout, and said, “They got tired and left… But some day they will have to reply… How did they bring India to a point that no country was coming forward to have a trade deal with us.” He also accused former Congress-led governments of destroying India’s image.

He further said “the whole world is appreciating” the India-US trade deal. He added that the trade deal will especially be beneficial for the Indian youth.

World Order

The prime minister said the world is moving towards a new global order after the Covid-19 pandemic.

“It is clear, the world is moving towards a new world order. After the second world war, a world order was created, now the world is moving towards a new world order. If we analyse it independently, it is leaning towards India,” Modi said.

“The world is talking about the global south, India is a loud voice of the global south,” he said.  He mentioned the trade deals being finalised with different countries.