Thank you for taking the time to attend this Press Conference. In a democracy, a national election is an occasion to review the performance of a government in dealing with the challenges before it. I therefore welcome the opportunity to share my thoughts on some of the critical issues that confront us.

I will first discuss our economic situation and then turn to issues of national security.

I have always believed that it is the sacred duty of our government to ensure the fullest realisation of our country’s potential. One of our first priorities as a nation must therefore be to lift the crushing burden of poverty, ignorance and disease which still afflict so many of our people. We can achieve this objective by operating on two fronts: we must accelerate the pace of economic growth and simultaneously we must also ensure that the growth is much more inclusive.

This is the strategy we have followed and while much still remains to be done, I do believe we have had substantial success on both fronts.

The facts about economic growth under the UPA Government speak for themselves. Over the last five years our economy has grown at an average rate of about 8.6 percent per year, a growth rate unprecedented in the history of India. By contrast, the average growth rate in the NDA period was only 5.8%.

Last year, our growth was interrupted by a truly exceptional global downturn. We too have been affected, but we have weathered the storm much better than most. Economic growth in 2008-09 has slowed down, and is likely to be a little less than 7%.  The slowdown is a matter of concern, but our situation is very different from the deep recession being experienced elsewhere.

We have handled, and will continue to handle, the slowdown with determination, using both monetary and fiscal policy to stimulate the economy. I have no doubt that our innate economic strengths will ensure that we will soon get back to a high growth path.

The growth of the last five years has not only been more robust, it has also been much more inclusive. This is because, in addition to our many policies aimed at achieving faster growth, we also launched a series of policy initiatives aimed at reversing the neglect of agriculture and promoting the welfare of the aam aadmi. We also unleashed a massive public effort at improving education and health facilities, especially in rural areas.

Our performance in the agricultural sector is a matter of special satisfaction since this is where the bulk of our population earns most of their living. After growing at a fairly healthy 3.6% per year between 1980 and 1996, agricultural growth slowed down to less than 2 % per year when the country was ruled by United Front and NDA governments. To reverse this unforgivable neglect we set a target of bringing agricultural growth up to 4% per year in the Eleventh Plan. I am happy to say that a marked improvement is already visible. Agricultural growth has averaged 3.7% per year in the past four years.

Three years ago, there was widespread concern about food security. We launched a Food Security Mission to increase foodgrain production in several parts of the country. Today, we are harvesting bumper crops. Our granaries are full and we will end the current year with record food stocks. Foodgrain production which was only 213 million tones in the year before we came to office, hit a record of 231 million tonnes in 2007-08.

Non foodgrain agriculture has been even more buoyant reflecting the rapid growth of horticulture, dairying and fisheries. This process of diversification provides farmers with new income opportunities, linking them to growing markets in urban areas. 

This turnaround has occurred because of a comprehensive restructuring of agricultural policies.

• We have given the farmer much better support prices.

• We have massively increased allocations to the states for irrigation.

• We have launched a highly successful National Horticulture Mission.

• We have launched a new Rashtriya Krishi Vikas Yojana which provides central government support for agricultural plans for each district reflecting district specific requirements.

• We gave farmers a one-time benefit of a massive loan waiver to compensate for distress caused by past neglect.

• We have ensured that agricultural credit has increased at an unprecedented rate and is now being provided at a very low rate.

Production gains in agriculture have been supported by the introduction of a revolutionary Right to Employment via the National Rural Employment Guarantee. This provides much needed income support to the rural poor while also building productive assets which will help agricultural production. We have also undertaken an unprecedented effort at building rural infrastructure through the Bharat Nirman Programme which will improve income-generating capacity in rural areas. The rural roads programme in particular is bringing about much needed improvements in road connectivity, which is critical for agricultural diversification and generation of non-agricultural income in the rural areas.

The weaker sections, such as the Scheduled Castes and the Scheduled Tribes, Other Backward Classes and the Minorities, often do not get an adequate share of the fruits of progress. We have made special efforts to evolve policies which will ensure that these groups get their fair share of benefits.

The credit for our economic success goes first and foremost to our farmers, workers, scientists, teachers and entrepreneurs. However, their efforts cannot succeed unless Government provides a supportive framework. This is what we have tried to do.

The full benefits of our policies, especially in education and health, and also in infrastructure development, will take time to show results. However, I have no doubt that history will record that the process our Government has set in motion will enable India to occupy her rightful place in the world. The world knows it, and this is reflected in a new respect for India in global decision-making circles – both official and commercial.

          Let me now turn from our economic challenges to some others that are equally important.

India today faces sharply increased security risks. This is not primarily because of domestic developments, but because of the serious internal crises engulfing our neighbors, particularly Pakistan. The NDA government handled this problem in its own way. It promised voters that it would be tough on terror and even declared its Home Minister to be India’s “Iron Man”.

Mr. Advani likes to call me a weak Prime Minister. I cannot help pointing out that when held to the fire during the Kandahar hijacking, the BJP’s “Iron Man” was quick to melt! He agreed to release the terrorists and subjected his cabinet colleague Shri Jaswant Singh to the humiliation of having to personally escort the terrorists to their safe haven.

When there was a terrorist attack on Parliament in the NDA period, we again saw another round of empty rhetoric. The government was unable to get even an acknowledgement, let alone an apology or corrective action from Pakistan.

          When terrorists attacked Mumbai in November and held large number of people hostage, we did not send our foreign minister to negotiate with them and concede their demands. We sent highly trained commandos that killed nine of them and captured one alive. We also quietly but firmly made it clear to President Zardari that he would have to take action and do so quickly.  We used sustained diplomacy to put international pressure on Pakistan. As a result, for the first time, Pakistan has acknowledged that the attack was planned and executed from its own soil, and has arrested some of the individuals responsible. We will continue to monitor Pakistan’s behavior and their sincerity in ensuring that these individuals are brought to justice.

          One of our important diplomatic successes is that we ended India’s long and unfair nuclear isolation. We succeeded in getting the 44 countries of the Nuclear Suppliers Group to agree to lift the long standing and unfair shackles which prevented India from accessing nuclear fuel and also various types of sensitive technologies. The door is now open for collaborating with all members of the NSG. We can now confidently plan for rapid expansion of nuclear power capacity which was otherwise held up by lack of uranium. We expect to see collaborations in nuclear energy with many countries, including the U.S., in future.

          Finally, I must share with you my concern about what could possibly become a major challenge in the near future, and that relates to communal harmony. To fulfil our destiny we must beware of internal divisiveness. That is why I worry when political parties resort to communal appeals. India is celebrated around the world for the tolerance that is an essential part of our culture. Our democracy is lauded for demonstrating the possibility that people of different religions can not only co-exist but actually cooperate and flourish. The 1984 riots and the Gujarat carnage were a blot on this great tradition. I am proud to say that there was no large scale communal violence during my government’s regime. I guarantee that we will maintain this record in future.

There is a lesson in our recent experience for secular parties which look for alternative political alignments. They must consider carefully whether their search for political alignments will only work to the advantage of communal forces.

Friends,

          Throughout my life, I have believed that substance triumphs over style, performance over public relations, and hard work over short-cuts.  I am not a sloganeer. I will readily concede that most of my opponents make more rousing speeches. They may have more catchy phrases and may run better marketing campaigns. But unlike the NDA’s Prime Ministerial candidate, I will not be found weeping in a corner while hoodlums tear down a centuries-old mosque. Nor will I be found wringing my hands in frustration while one of my Chief Ministers condones a pogrom targeted at minorities. And I will certainly not say things in Pakistan that offend every Indian and then abandon my stand when it becomes politically inconvenient within my party. Mr. Advani has the unique ability to combine strength in speech with weakness in action. This is not the kind of strength we need.

This is not a time for sloganeering. Nor is it a time for leaders who cannot stand by their conviction. It is a time for action, a time for decisiveness, and a time for vision. Only the Congress can pursue the vision of an economically resurgent and socially just society, a society that will shine for everyone and not just for the rich in urban areas.

          Let me now invite your questions.