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Resource centre on India's rural distress
 
 

The Budget's blurred social sector vision -Dipa Sinha

-The Hindu

Low allocations and specific policy statements point to greater privatisation and withdrawal of the state

Finance Minister Nirmala Sitharaman began her speech by saying that the Union Budget was “woven around three prominent themes” — aspirational India, economic development for all and building a caring society. Achieving any of these would require extraordinary efforts on the social sector front starting with allocating additional resources for health, education, nutrition, employment guarantee, and social security schemes.

Given the current state of the economy, with decelerating growth, a slump in rural demand and stagnant real wages in rural areas, an expansionary budget with a focus on the social sector would have also made economic sense. It would have meant more money flowing into the rural areas, creating jobs as well as purchasing power, while at the same time making a dent on the poor outcomes in health, nutrition and education that continue to haunt India.

Unfortunately, the allocations for the social sector this year once again fail to deliver for the country’s poor and marginalised. And this is the situation across the board.

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