It is said that black money in India, accounts for 20 % of GDP. If this is true, then black money generated every year must be around Rs 400,000 crore or $80 billion. This is a huge amount, more than the entire budget of the government at the Centre. We have a government that spends about Rs 350,000 crore a year on various social & economical schemes.
On the other side, we have black money worth Rs 400,000 crore every year, which is just guesswork, and there are no accounts for it. This money goes into property, which is why real estate prices are so high. If the government could have all this money, or even a small fraction, there would be no need for revenue deficit or fiscal deficits, and no need for huge borrowings to make two ends meet.
How big is $100 billion? It is bigger than you think. It is worth Rs 500,000 crore, which makes it bigger than the central budget. It is more than twice our annual exports. It is equivalent to 30 times what Enron is supposed to have invested on its Dabhol project. It is more than what the US government is expected to pay those who have suffered from the September 11th smash. And, if you must know, it is a fifth of our annual GDP, which is itself a big figure.
Why our Indian government does not has any control on Black Money. Many of our powerful Netas have share in black money so they don’t want to regularize things for the accounting of Black Money. Our Netas declare their assets at the time of election and EC also put guidelines for the expenses and other details for the promotion but we all know that Black money is involved in every promotion of election with great extent.
Neta conduct rally at the time of election to get the people. They pay Rs 250-1000. Let me tell you in few lacs there won’t be hording on every corner of Road. In Election campaign you will get alcohol free for days when your Neta is on trail of election campaign. You’ll get free lunch & dinner. There is no Tds on payment and no revenue receipt for payment more than Rs500 in cash.
We all know the issue and problem but can not do anything and our Netas don’t want to do anything. Everyone Knows that A Rupee left from Delhi reach to the people as 15paisa but When A Rupee left from Delhi will reach as Rupee to people. Indian people send money to Swizz account through Havala. Swizz bank give that money to World Bank. We borrow loan from world bank & pay interest on that money. Which is nothing but our own money.
We know all the problems and reasons but don’t know when it’ll get solved as our Netas don’t want to solve and from just writing a article I can not solve it too.