H David Konyak(Admin): Maybe this is not the right time to be posting this, as TNB has just started out on a social initiative once again which needs more attention. Anyhow, but often good article like this gets disappeared like a drop of water in a big ocean, as we all are too engrossed in reading the same articles in the media on historical & political issues of our state every day while neglecting the economic aspects. And the Budget Session of our State will be soon over in few days and posting this latter would have no meaning at all.
The author Sir Lima Walling, in this wonderful article “Are we staring at a Debt crisis? Some Quick Thoughts? in “MORUNG EXPRESS” 20th March 2012, gives a critical analysis of our State’s BUDGET 2012-13 which was passed recently in the assembly, the debate on which is currently going on in the budget session of the Assembly between the ruling and the opposition party. (This write-up of mine is just a supplement to this article).
The C.M. who also holds the finance portfolio has said that Nagaland currently has Rs. 4340.16 Crores as an outstanding debt till December 2011(which is undoubtedly expected to rise up in the future).The fiscal deficit is also at Rs. 695.59 Crores last year. This certainly paints a gloomy picture of our future economy as the percentage of Nagaland’s debt to its GSDP is quite high and with no (or rather negligible) revenue generating sectors of our economy we can be doubtful how or in what manner are these loans ever going to be repaid.
Any conventional economic theory would suggest that in the process of the growth and development of an economy the structural shift first takes place from agriculture to manufacturing and to services sectors. But in the case of Nagaland it is a leap frog from agriculture to services missing out industrialization which is the link between the other two. But even in services sector it is the public administration & personal services which is the major contributor to State’s Income which only shows that we are still a consuming State(*as pointed out by the author). And we all know what constitutes the Public Administration & Personal services.
Previously a member of the 12th (twelfth) Finance Commission of India had proposed for cutting down the allocation of Funds to economically non-performing states in North-East which are accumulating huge fiscal deficits which off course undoubtedly includes Nagaland as well. If such thing happens, then only God knows what will happen as our State is dependent entirely on Central assistance, as it can be seen from the budget 2012-13 wherein only 6.3 % of funds comes from our State’s own generated revenues, which means that the other 93% roughly has been adjusted from some other sources including Central Assistance of around 65.8 %. (A big LOL for this!). It would also be interesting to know that Nagaland missed out on the Rs. 8000 crores recently which was sanction to 13 selected performing states on the recommendations of the 13th (Thirteenth) Finance Commission of India which includes Assam, Mizoram & Tripura as well( A big shame for Nagaland when other N.E. States are doing better ).
As rightly pointed out by the author of this article, “What is our future prospect seeing the present scenario. How are we going to repay our debt? We have a huge outstanding debt (currently Rs.4340.16 crores) with a declining growth rate of GSDP”.
Government will keep changing, older generations will pass away, but we are burdening our future generations with a huge debt. And also contrary to what our opposition Party Congress has proposed for a strict austerity measures, he says that the solution does not lie in austerity measures’; cutting down spending is not going to help, it’s only going to make us worse off.
High time to question our Govt. whichever party it is. Where has all these money that has been borrowed all these years gone? If the Govt. has invested in some productive sectors we are fine with it, as in future it would bring us benefits, but I’m sure this is not the case as we all can see it through the condition of our economy. And also, contrary to what many of us opines that the political instability is the reason for economic backwardness, according to me it is just one reasons not the sole reason. We can never ignore the gross fiscal mismanagement by our Govt. that is going on in our State, so just putting the entire blame on insurgency problem is one good excuse of any Govt. of the day to make a good escape for its mismanagement of the affairs of our State.
The Government is certainly burdening the future generations by accumulating huge debts every year without having or making any means for the repayment of these debts in the future
Here, *Outstanding Loan= total principal as well as interest amount of a debt that is yet to be paid,
*GSDP means State Income, the value of goods and services produced within the domestic boundaries of a state in a year’s time,
*Fiscal Deficit=total expenditure of Govt. exceeds the total revenue it generates.
The other side of Nagaland for Christ
Boshi Vamuzo: "History teaches us that men and nations behave wisely once they have exhausted all other alternatives". Abba Eban
Nagas are yet to exhaust "All other alternatives" hence we are still struggling to find the way out. I firmly believe that because our movement started with the slogan "Nagaland for Christ", which was a covenant between our people and God Almighty (btw, no matter what, a covenant with the God of Israel is "irrevocable"), though we keep failing on our part to meet His standards of that covenant, He is never ever going to forget or spare us. For convenience sake our leaders may now be trying really hard to bring about an early solution by even compromising the covenant we made with Him, but I very much doubt God will allow that. Though not a prophet, I can forsee more confusions and splits taking place and many more seemingly insurmountable obstacles coming up very soon. This will continue until we come to a point where out of utter hopelessness we learn to "behave wisely", which is to genuinely forgive each other no matter what has happened in the past and come together as a people in true Christian spirit. Once that is attained we hand over our case in unison to the greatest Advocate of all do His part. After all who is there who can argue with Him and prove Him wrong? Lastly He is a jealous God who will not share His Glory with anyone (leaders/faction). We are not going to have a history that says because of this or that leader/faction, today we have achieved our aspirations and dreams. This generation wants leaders from all factions and even over-ground leaders to re-examine themselves and see if they are being a stumbling block to reach that end. If so, know yourselves and humbly set aside so that we see that day sooner. Until then whether you like it or not our people will continue to live like this-dominated by "isms", killings extortions, fear from within one's own people etc. May Your Kingdom come and Thy will be done on earth as it is in heaven at the earliest. Kuknalim.
