Reforms can’t wait for Parliament: Jaitley

Modi govt shows resolve to push reforms

• Union Cabinet okays two ordinances
• FDI in insurance raised from 26% to 49%
• Resumption of coal block auction allowed

New Delhi: Vexed with the obduracy of the opposition which stalled key economic reforms bills, the Narendra Modi government on Wednesday pushed the reforms forward, bypassing the Upper House of Parliament.

A day after Parliament was adjourned sine die, the Union Cabinet moved with alacrity and approved ordinances to implement coal and insurance sector reforms. Doing so, it, nevertheless, claimed that the suggestions of the standing committee have been incorporated in the ordinances, reflecting the majority opinion of the legislature.

However, the exasperation of the government over its inability to push through the bills in the Parliament was explicit when Finance Minister Arun Jaitley made it clear that the country cannot wait if one of the Houses of Parliament does not work. A key strategist of the BJP, he even hinted that that the government can resort to a joint session of Parliament if the upper house stalls insurance bill or others again in the next session.

He felt that obstructionism by the opposition can’t hold up the key decision-making function of the government. On the urgency for such an ordinance just a day after the Winter Session concluded, Jaitley said, “There has been too much delay. That is why, there is urgency.”

On Wednesday, the Cabinet cleared the ordinance to increase the FDI cap from 26 to 49 per cent in the insurance sector and re-promulgated the ordinance to allow resumption of coal block allocation. Thus it sought to show the world its resolve to pursue economic despite political opposition. “The ordinance on insurance sends a message to the world that country can no longer wait for reforms," said Jaitley.