Government Bankrupt RUN On Bank Credit Economic Lockdown
December23, 2016 (C) Ravinder Singh progressindia2015@gmail.com
I have been studying RBI Banking data for over 12 years – but this financial year began with Income Tax Disclosure Scheme and government threatening a Bizarre Situation has immerged.
GoI Had Drawn Rs.9,52,772 Cr From Banking System in 8 mths More Than Normal Central Government Net Tax Collection.
RBI Printed Rs.2,40,612 Cr plus currency notes Year to November04 and in 8 months had drawn Rs.7,12,160 Cr from Banking System as on Dec09. This adds up toRs.9,52,772 Cr. This is more than Net Taxes Collected by Government of India.
In fact GoI had printed Rs.525847 Cr from March31, 2014 to Nov042016, Would by year end print Rs.20,00,000 Cr Value in Currency Notes.
This situation develops when Companies and businesses run into losses. Most of the companies are already in to losses, most others are impacted by DECLINE in revenue.
GoI Had No Idea that Profits of Companies & Businesses are DISPROPORTIONATELY Impacted by Revenue Loss. Say 50% are already in losses – even 20% loss of revenue drive most in to losses and loss of revenue in most sectors is Over 50%.
HENCE ECONOMIC LOCK DOWN.
Disruptions of Industry, Business, Services and Agriculture are Long Term – Breaks in Relations Confidence & Credibility Loss.
Credit flow to Pvt Industry, Agriculture & Services is Negative.
Central Government had taken up Massive Projects Without DPR & Feasibility Study – Leading to WASTEFUL Expenditure.
https://www.rbi.org.in/Scripts/BS_ViewBulletin.aspx?Id=16617 (Rs. Billions)
|
1 Issue Department |
2015-16 |
Nov2015 |
Oct28 2016 |
Nov04 2016 |
|
1.1 Liabilities |
|
|
|
|
|
1.1.1 Notes in Circulation |
16,512.44 |
15,335.75 |
17,540.22 |
17,741.87 |
|
1.1.2 Notes held in Banking Department |
0.16 |
0.15 |
0.13 |
0.13 |
|
1.1/1.2 Total Liabilities (Total Notes Issued) or Assets |
16,512.60 |
15,335.90 |
17,540.35 |
17,742.00 |
https://www.rbi.org.in/Scripts/BS_PressReleaseDisplay.aspx?prid=38985 (Rs. Billions)
|
|
2016 March31 |
2016 Dec09 |
Growth |
% |
|
1 |
2 |
3 |
8 |
9 |
|
i) Net Credit to Government (a+b) |
32384.8 |
39506.4 |
7121.6 |
22.0 |
|
ii) Bank Credit to Commercial Sector (a+b) |
78030.7 |
78847.9 |
817.2 |
1.0 |
Ravinder Singh, Inventor & Consultant, INNOVATIVE TECHNOLOGIES AND PROJECTS
Y-77, Hauz Khas, New Delhi-110016, India. Ph; 091- 9871056471,
Ravinder Singh* is a WIPO awarded inventor specializing in Power, Transportation,
Smart Cities, Water, Energy Saving, Agriculture, Manufacturing, Technologies and Projects
Sagar Media Inc 