From Rafale to Economy, Modi Govt Seems Clueless: Chidambaram

In an exclusive interview with Sanjay Pugalia, Chidambaram spoke on range of issues from Rafale to economy & more.

The Quint’s Editorial Director Sanjay Pugalia spoke exclusively to the former finance minister P Chidambaram on the state of the economy and the Rafale deal as a part of our series called “Rajpath.”

(The Quint/Abhishek Ranjan)

Video Editor: Mohd Irshad Alam
Cameraperson: Abhishek Ranjan & Shiv Kumar Maurya

Assembly polls in 5 states are approaching. At this crucial juncture, what are the government’s plans? What are issues that they seem to be focussing on? The Quint’s Editorial Director Sanjay Pugalia spoke exclusively to the former finance minister P Chidambaram about these questions as a part of our series called “Rajpath.”

During the course of the interview, Chidambaram spoke in detail about various topics ranging from economic issues to opposition unity. He also raised multiple questions regarding the Rafale deal.

‘Govt Has Missed a Golden Opportunity’

The former finance minister said that the macroeconomy of the country is in a very bad shape. He further added that the government missed a golden opportunity.

Crude oil was as low as $40 per barrel and for 2 to 3 years it didn’t even cross $50 per barrel, during that time the government could have taken measures to improve the economy. Now that the price of crude is increasing, the government is clueless on how to handle it.

P Chidambaram, Former Finance Minister

Chidambaram further added that as a result of government policies, the current account deficit can’t be controlled and the value of Rupee vs Dollar also continues to drop. Banks have money to lend but no one is ready to borrow it.

Chidambaram’s Three Questions on Rafale

During the course of interview, Chidambaram said they don’t have a problem with private companies getting defence contracts. He said the issue is that questions about the deal aren’t being answered. Chidambaram raised three questions.

1. Why was the old MoU cancelled? At least give a reason.
2. Why are you buying just 36 aircrafts as opposed to 126 aircrafts offered by Dassault under previous deal?
3. Why didn’t you involve HAL, a company with 70 years of experience, inthe deal with Dassault? HAL has work-share agreement, it’s a government enterprise and has built aircrafts like Tejas and Mirage? Why the government didn’t name it in the deal?

Chidambaram on Mahagathbandhan

Chidambaram said that everyone has begun to realise that the fight in 2019 elections is going to be between the Bhartiya Janta Party (BJP) and the non-BJP party. Hence, all the parties will come together before the 2019 election.

He further added that maybe many parties will not form an alliance during the Assembly polls but they will surely come together for 2019 Lok Sabha polls.