THE government has directed public sector banks to provide data on corruption charges against bank officials involved in the agricultural loan waiver scheme after complaints that many of them took bribes for processing applications. The finance ministry wants to put such cases on fast track as the performance audit of the scheme has already been initiated by the comptroller and auditor general of India (CAG), the government’s statutory auditor. The...

Chief economic advisor to the finance ministry Kaushik Basu says the government should step in and acquire land for development projects to protect the interests of farmers. He also explains why the government cannot tackle food inflation by distributing free foodgrain among the poor. Excerpts from interview with ET: A large number of land-intensive project have run into opposition. Could it actually undermine our infrastructure thrust and growth? There is...

The disastrous effect of the state throwing up its hands and retreating is most starkly visible in agriculture . Remember: agriculture involves 70 per cent of the country's population , generates about 56 per cent of national income, 64 per cent of total expenditure and about one third of total savings. So, any neglect translates into gigantic costs. And the central crisis in agriculture — production barely matching a depressed...

One of the most intriguing features of India's agrarian economy in recent years is the persistence of agrarian distress in many regions, even while agricultural credit flow has risen sharply. Rising flow of credit to agriculture is normally associated with buoyancy in the farm sector. A closer look at the data on agricultural credit reveals that what is termed agricultural credit may have very little to do with agriculture, the...

Banks have designated red zones where the vast majority of Muslim clusters fall. This fact is confirmed by the rash of banking-related complaints received by the National Commission for Minorities. A little over a year ago, Ali Arshad, a resident of Okhla in Delhi, went to a well-known private sector bank to open a bank account. He thought his case would be fast-tracked because he had a banking background, he worked...