Major NPAs Emerged Between 2006-2008 During Congress Governance: Sanju Verma of BJP
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New Delhi, Dec 12 (NationPress) Among the largest NPAs in India can be traced back to the period of 2006 to 2008 during the UPA administration, and the 'incompetent Congress' has played a part in generating some of the nation's most significant Non-Performing Assets, asserted Sanju Verma, the BJP's national spokesperson and economist, on Thursday.
According to Verma's comments to IANS, this reality was previously highlighted by Raghuram Rajan, Rahul Gandhi’s ‘dear friend’ and a prominent figure for the Congress Party.
“While I don’t typically support Rajan, he did speak a truth when he observed that 2006-2008 was the timeframe when the banking sector was severely impacted by large corporations, which could secure loans simply by making a phone call to the South Block or North Block,” she stated emphatically.
In response to Rahul Gandhi’s “falsehoods about the banking system in India,” Verma highlighted that public sector banks have employed more than 3.94 lakh people in the last decade.
Gandhi's assertion regarding the banking system’s struggles with NPAs is inaccurate. Currently, public sector banks exhibit a gross NPA of only about 3 percent and net NPAs around 1.2 percent.
“NPAs have seen a significant decline under the leadership of PM Modi,” Verma remarked.
Over the past decade, 54 crore Jan Dhan accounts and more than 52 crore collateral-free loans have been approved under various key financial inclusion initiatives (PM MUDRA, Stand-Up India, PM-SVANidhi, PM Vishwakarma).
“The primary beneficiaries of these schemes are not large corporations but rather small businesses, marginal farmers, women, and young entrepreneurs. In fact, 68 percent of all PM MUDRA beneficiaries are women, 44 percent of PM-SVANidhi beneficiaries are women, and 67 percent of PM Vishwakarma scheme beneficiaries are women,” Verma emphasized.
Moreover, it is worth noting that India stands out as the only major economy that did not witness any banks failing after the COVID-19 pandemic, unlike many large global banks that collapsed, she added.
“Indian banks are not only thriving but are also in excellent condition, which is a positive development. Rahul Gandhi must recognize that India is not just the world's fifth largest economy but is set to become the fourth largest by January 2025, surpassing Japan, with a GDP projected to be close to $4.34 trillion and continuing to grow at the current pace,” Verma concluded to IANS.
