Hi Friends,

Even as I launch this today ( my 80th Birthday ), I realize that there is yet so much to say and do. There is just no time to look back, no time to wonder,"Will anyone read these pages?"

With regards,
Hemen Parekh
27 June 2013

Now as I approach my 90th birthday ( 27 June 2023 ) , I invite you to visit my Digital Avatar ( www.hemenparekh.ai ) – and continue chatting with me , even when I am no more here physically

Wednesday 15 December 2021

Congratulations, Nitinbhai

 


 

 

What for ?

For once again “ thinking out-of-the-box “


Can you give an example ?

Yes

He wants “ poor people of India “ to fund highway construction projects


Here is that report :

 Govt exploring public financing for road infra projects: Nitin Gadkari   /  MoneyControl / 15 Dec 2021

Extract :

The government is working on a scheme to raise funds from the public at 6 per cent annual interest rate for road infrastructure projects, union minister Nitin Gadkari said on Wednesday in the Rajya Sabha.

"… We are working on a scheme to raise funds from the poor and ordinary persons for road projects. We will raise funds at 6 per cent annual interest rate which is higher than what banks provide,” he said in the Upper House.

This will benefit the public as they will get a fixed return, he added.

He said there has been a 55 per cent increase in construction of highway road to 1,40,936 km now which will further increase to 2 lakh km under Gati Shakti Bharatmala project.

 

Background :

On October 13, PM Modi had launched the ₹ 100 lakh crore national master plan for multi-modal connectivity to develop infrastructure to decrease the logistic costs and boost the economy.

( source : https://www.ndtv.com/business/gati-shakti-national-master-plan-101-projects-identified-under-gati-shakti-to-enhance-port-connectivity-says-minister-2624576 )

 

Dear Nitinbhai,

We are a “ Nation in a Great Hurry “. Infra projects like Gati Shakti Bharatmala, can raise our economy to a higher orbit, besides providing jobs to millions


But I have serious doubts that offering to general public, a fixed annual interest of 6 % ( much like a Fixed Deposit with a bank ), can help raise Rs 100 lakh crore


Now Rs 100 lakh crores is approx USD 1333  billion . This is almost TEN TIMES the total tax collection of Govt of India from its citizens.


And India’s GDP is USD 2660 billion ( Est for 2020 )


No doubt, we do not need all of that USD 1333 Billion in one go, right away


But, I think you would want to immediately raise, at least, USD 400 Billion, to begin with


Can your scheme motivate 10 million Indians to contribute $ 40,000 ( Rs 30 Lakh ) each ?


I have serious doubts !


I strongly urge you to modify your proposal as suggested in my following earlier e-mail :


Congratulations, Shri Surjit Bhallaji, …………………….[ 31 Oct 2019 ]

 

Extract :

Ø  Under a BLACK MONEY AMNESTY SCHEME , all hidden income deposited in Infrastructure Bank Accounts ( similar to Jan Dhan Accounts ), can only be used for investing in Govt Infrastructure SPVs , with a lock-in period of 10 years and all interest / dividend to be only credited to such Infrastructure Bank Accounts and no money can be withdrawn from such accounts for specified period

 

Ø  Dear Madam Nirmala Sitharamanji,


 I urge you to accept the recommendation made by Shri Surjit Bhallaji and implement it with the following modification :


Ø  Reduce tax liability from proposed 15 % to 0 %

 

Ø  Full amount disclosed must be invested in Govt Infra Bonds

 

Ø  Bonds to pay annual interest @ 5 % ( but cannot be withdrawn for 10 years )

 

Ø  No questions / No litigations / No penalty / No re-opening of past tax-returns

 

With this modification, it is possible to raise $ 1,000 Billion ( extrapolating from the example set by Indonesia ), within 6 months

 

 

With regards,

Hemen Parekh  /  16 Dec 2021  /  hcp@RecruitGuru.com

 

Related Readings :

 

Indonesia Shows the Way………………………[ 23 Dec 2016 ]


Extract :

This Indonesian Miracle must be viewed in light of following estimates of India's Black Money :

 *   At 12 % of GDP ( $ 2300 Billion ), our BLACK MONEY economy = $ 276 billion ( Rs 185 Lakh*crore )

 

Now imagine , if we too had offered PMGKY ( Prime Minister's Gareeb Kalyan Yojana ) , to our black money hoarders , at 5 % tax rate ( instead of 50 % announced )

We could have managed to get them to deposit / declare , Rs 100 lakh*crore ( out of Rs 185 lakh*crore ) , with 90 % amount being declared by " You know Who ? "

And  government would have collected , Rs 5 lakh* crore  by way of tax

Perhaps enough to abolish Personal Income Tax from 2017 onwards !

We could have done much better than Indonesia - and 5 years ago - had UPA government considered my following blog / suggestion :

 

Magic Wand ……………[ 09 June 2011 ]

 

 


 

 

 

 

 

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