New Delhi: Explaining the Modi government's final budget as an "Account for Votes" and not a Vote on Account, former Finance Minister P. Chidambaram said that the Interim Budget will not ensure fiscal stability.
"It was not a Vote on Account but an Account for Votes," the senior Congress leader told here.
The ex-finance Minister said, "It was a full-fledged Budget accompanied by an election campaign speech. By doing so, the government has trampled on time-honoured conventions".
The BJP government had no hope of returning to power and had, therefore, "acted desperately and recklessly, and in violation of the Constitution", Chidambaram told the media persons.
He said the big takeaway was that the present government had "further weakened fiscal stability".
For the second year in succession, the government has missed the Fiscal Deficit target, he added.
The revised estimate shows a slippage from 3.3 per cent to 3.4 per cent. Worse, for 2019-20 too, the government has proposed an FD of 3.4 per cent. The government has thrown the FRBM Act out of the window, he further stated.
Chidambaram said, "Similarly, the government will end the year with a Current Account Deficit (CAD) of 2.5 per cent as against the CAD in the previous year of 1.9 per cent."
"Both numbers for the current year and the estimate of FD for 2019-20 point to incompetent fiscal management and a disdain for fiscal prudence," he said.
(With inputs from Agencies)