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Wednesday, Jun 02, 2004

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Opinion - Letters


New measures

The Finance Minister, Mr P. Chidambaram's assurance that the steps to be taken by the government will remove market fears is indeed a positive signal for the bourses. The Minister's guarantee that steps would be taken to strengthen the regulatory environment will boost the market, both primary and secondary.

The Finance Minister's observation that States intending to restore free power to farmers will have to provide adequate budgetary provision towards the subsidy is another step in the right direction.

The States will have to bear and account for the costs of such populist and sectoral-friendly schemes, as otherwise their economy may derail. The long pending issue of VAT should be implemented after nation-wide debates and discussions.

C. P. Velayudhan Nair

Kochi

Letters to the editor and contributions can be sent by e-mail to: bleditor@thehindu.co.in

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