The huge expenditure on the food bill, with the attendant leakages, could well make fiscal recovery impossible In the first part of this article, we have estimated the actual cost of implementing the food security bill in its current form. In this part, we now examine the fiscal sustainability of the same. The current state of the revenue and expenditure trends of the Central government (refer table) show that while revenue...

The irrationality and waste in energy subsidies in India has been a perennial theme in analysis of the Indian economy and in reform prescriptions. Progress has, however, turned out to be elusive in the face of ground realities and feasible politics.  The power ministry, after struggling for over a decade through repeated exhortations, had the satisfaction of getting a resolution in a Chief Ministers Conference in 2001 that free supply of...

-The Hindu Dalit groups here have demanded an additional budget allocation for the Scheduled Caste Sub-Plan this year to compensate for the loss of Rs.8,685.04 crore caused by “inadequate provisions” made in the State budgets during the past five successive years. The allocation should be made in proportion to the population of Dalits enumerated in the 2011 Census. A delegation of Dalit activists met Chief Minister Ashok Gehlot here with the request...

-The Telegraph Union rural development minister Jairam Ramesh today took strong exception to corruption in the Mahatma Gandhi National Rural Guarantee Act scheme and urged governments not to make the flagship programme a hotbed of corruption. “NREGA is not a scheme to buy Boleros and Pajeros, it is to develop roads,” said Ramesh at a Gramonnayan Sammelan organised by the panchayat and rural development department in Guwahati today. Though he did not specifically...

On September 18, Bimola Rai’s world was reduced to rubble. A student of Class III in Bop village in Chungthang block of North District in Sikkim, a Himalayan border state, she was left traumatized when a devastating earthquake of 6.9 magnitude on the Richter scale, flattened her home and school building, located at an altitude of 5,500 feet. Today, Bimola joins 26 other children of her village to walk the four...