Finance Minister Arun Jaitley on 28 September 2017 said the government is finalising electoral bonds scheme, a move aimed at cleaning up political funding. I have already announced this year and I am keen to implement it. It is in final stages. How do we legitimise political funding in India so that the underground funding itself comes to an end and an alternate mechanism is set in.
As per the electoral bond mechanism announced in the budget, the proposed bonds will resemble a promissory note and not an interest-paying debt instrument. They will be sold by authorised banks and can be deposited in notified accounts of political parties within the duration of their validity. The bonds will not carry the name of the donor and routing of the money through banks will ensure that only tax paid money comes into the political system.
So, getting cross sections on the government’s side and arousing a new confidence in them has been the basic tenor of this government in the past 3.5 years. On the criticism of rising inflation by the opposition, he said, “3.36 per cent is also inflation (to them). Of course, system needs inflation otherwise economy will go into a recession.”