Blurb: The BJP estimate of fresh black money flows in India, amounting to 7.5 % of GDP, are evocative but sadly out of touch with reality and involve an overstatement of at least five times the actual amount.
Black money – how much is it? Over the last few months, starting with the Global Financial Integrity (GFI) report on India, rumors have been rife that black economy in India is close to 50 percent of the economy. And that three-fourths of this money has flown out of India – capital flight – and found a safe-haven in tax shelters abroad. The final draft of this seemingly authoritative report came out in November 2010 and was timed perfectly with the scam storm prevailing in India at that time. Recall that the story of the CAG report, and the Radia tapes, also broke in mid November 2010. The cumulative effect of these events was to set the Indian government, politicians and civil society on fire. And not to be left behind, in response to a PIL, the Supreme Court has asked the government to release the names of the tax evaders with stashes abroad.
Blurb: The BJP estimate of fresh black money flows in India, amounting to 7.5 % of GDP, are evocative but sadly out of touch with reality and involve an overstatement of at least five times the actual amount.
Black money – how much is it? Over the last few months, starting with the Global Financial Integrity (GFI) report on India, rumors have been rife that black economy in India is close to 50 percent of the economy. And that three-fourths of this money has flown out of India – capital flight – and found a safe-haven in tax shelters abroad. The final draft of this seemingly authoritative report came out in November 2010 and was timed perfectly with the scam storm prevailing in India at that time. Recall that the story of the CAG report, and the Radia tapes, also broke in mid November 2010. The cumulative effect of these events was to set the Indian government, politicians and civil society on fire. And not to be left behind, in response to a PIL, the Supreme Court has asked the government to release the names of the tax evaders with stashes abroad.
