Fact Check: Yes, in the 1991 budget, Manmohan abolished fertilizer subsidy and gave Rs 100 crore to Rajiv Gandhi Foundation.

New Delhi: As the Finance Minister of the country, Dr. Manmohan Singh presented a revolutionary budget in 1991. At that time the country’s economy was surrounded by crises. Then Dr. Manmohan Singh laid the foundation of a strong economic future by proposing liberalization of the Indian economy. But it is claimed that Manmohan was criticized for one thing.

What is the claim?

X user Vijay Patel claims that Dr. Manmohan Singh had allocated Rs 100 crore for the next five years to the Rajiv Gandhi Foundation in the 1991 budget. he/she writes, ‘In 1991, when India was in dire need of money, economist and then Finance Minister Manmohan Singh gave Rs 100 crore to the private NGO of the Gandhi family, Rajiv Gandhi Foundation. What a brilliant reformer he/she was!’

Vijay Patel has shared a cutting in which it is written, ‘While presenting the budget of 1991-1992, Finance Minister Manmohan Singh had proposed to end the subsidy on fertilizers with the aim of saving Rs 2000 crore so that the deficit can be financed by the IMF. The target can be brought up to 6.5 percent of GDP. he/she also announced a grant of Rs 100 crore over five years to the Rajiv Gandhi Foundation. The Finance Minister’s proposal to reduce fertilizer subsidy was sharply attacked and posed a threat to the government.

What is the truth?

To verify the claim, we examined Dr. Manmohan Singh’s budget speech of 1991-92. The then Finance Minister had dedicated his/her budget to former Prime Minister late Rajiv Gandhi. Rajiv Gandhi was assassinated on May 21, 1991 and Dr. Manmohan Singh presented the budget on July 24. Statement number 59 in the copy of the budget speech states that a total expenditure of Rs 1,13,422 crore is proposed in the budget for the financial year 1991-92. Of this, Rs 79,697 crore is non-plan expenditure while Rs 33,725 crore is part of plan expenditure.

At the same time, in statement number 57, Manmohan Singh says, ‘Rajiv Gandhi Foundation has been established to perpetuate the memory of the great leader and to promote his/her ideals and objectives for which he/she dedicated his/her life. The Foundation inter alia focuses on the application of science and technology for development, promotion of literacy, protection of environment, promotion of communal harmony and national integration, upliftment of the underprivileged, women and persons with disabilities, administrative reforms and the integration of India into the global economy. Will give special emphasis on research and action programs related to the role of As a tribute to Late Shri Rajiv Gandhi and in support of the commendable objectives of the Foundation, the Government has decided to contribute Rs 100 crore to the Foundation at the rate of Rs 20 crore per annum for a period of five years starting from the current year. ‘

It is clear that in the budget it was announced to allocate Rs 100 crore for Rajiv Gandhi Foundation. Now let us know whether subsidy on Khada was removed? So in statement number 33 of the budget speech, Manmohan Singh had said, ‘As far as fertilizer subsidy is concerned, from this evening, price and sale control of low analysis fertilizers like Calcium Ammonium Nitrate, Ammonium Chloride, Ammonium Sulphate and Potash Sulphate will be implemented. Will be free from. The price of all other fertilizers will increase by an average of 40 percent. Additionally, in respect of Single Super Phosphate, the per tonne subsidy payable to producers will also be capped so as to move towards full deregulation in the next few years. This move will act as an incentive for all high cost units to reduce costs and improve efficiency. Necessary notifications in this regard are being issued separately by the Agriculture Ministry today.

conclusion

It is clear from the statements of Dr. Manmohan Singh in the budget speech that the claims made in the ex-post are true. On one hand, Manmohan Singh had ended the subsidy on fertilizers and on the other hand, he/she had given Rs 100 crore to Rajiv Gandhi Foundation. This claim is also 100 percent correct that at that time the country was going through an economic crisis. Our investigation found the claims to be true.