Nirmala Sitharaman Defends Modi Government’s Efforts in Banking Sector, Slams Rahul Gandhi’s Misleading Claims
In a series of tweets on Wednesday, Finance Minister Nirmala Sitharaman rejected the claims made by Congress leader Rahul Gandhi, who accused the Modi government of using public sector banks (PSBs) as tools for fraudulent activities. Sitharaman firmly stated that the government’s initiatives over the years have significantly strengthened the banking sector, with PSBs undergoing a much-needed transformation under Prime Minister Modi’s leadership.
Sitharaman Rejects Allegations of PSBs Being Used for Fraudulent Activities
Rahul Gandhi’s recent comments accusing the Modi government of misusing PSBs were sharply contested by Sitharaman. She emphasized that these allegations were not only baseless but also failed to recognize the government’s significant efforts to restore the financial health of PSBs, including the ₹3.26 lakh crore recapitalization.
₹3.26 Lakh Crore Capital Infusion Strengthens Public Sector Banks
Sitharaman explained how the Modi government’s recapitalization program, amounting to ₹3.26 lakh crore over the past decade, has revitalized PSBs. The infusion of funds helped reduce NPAs, strengthen the banks’ lending capacity, and boost their ability to support various sectors of the economy. The capital injection has been a critical factor in ensuring that PSBs remain competitive and financially sound.
How Modi’s Reforms Transformed PSBs from Mismanagement to Success
During the UPA era, PSBs faced severe financial challenges, with rising NPAs and lack of proper oversight. However, Sitharaman pointed out that the Modi government’s focus on banking sector reforms, such as stricter governance standards and anti-corruption measures, has led to a complete turnaround for PSBs. Today, they are better equipped to manage risks, offer services, and play an essential role in the country’s growth.
Sitharaman Critiques UPA’s Legacy, Highlights Positive Changes in PSBs
Sitharaman also critiqued the legacy of the UPA government, noting the mismanagement of PSBs during its tenure. She pointed out that the rise in NPAs during the UPA years was a direct result of poor decision-making and lack of accountability. In contrast, the Modi government has brought about necessary reforms that have transformed PSBs into pillars of the economy.
Finance Minister Nirmala Sitharaman’s strong rebuttal to Rahul Gandhi’s accusations provides a clear picture of the Modi government’s efforts to restore public sector banks to health. Through the ₹3.26 lakh crore recapitalization and sweeping reforms, PSBs have undergone a significant transformation, making them more resilient and efficient in supporting India’s growing economy.
Saathee Global
