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Social spending cut: Rural job scheme, SSA in focus -Ruhi Tewari

-The Financial Express As cuts in social sector spending in the forthcoming Union Budget are widely anticipated, the focus will be on two of the biggest flagship schemes - the Mahatma Gandhi National Rural Employment Guarantee Act and the Sarva Siksha Abhiyan, both with individually high budget allocations. MGNREGA, launched by the Congress-led UPA government in 2006, has been in the midst of controversy this year, with the NDA government being accused...

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A budget to transform -Pulapre Balakrishnan

-The Hindu In the present state of the economy, when there is excess capacity in manufacturing, adequate stocks of foodgrain and the inflation rate is trending downwards, there is an opportune moment for a public investment-centred fiscal expansion Over the past eight months, the government has issued some strong statements on the economy and taken some bold steps aimed at transforming it. As it prepares to present its first real budget we...

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Two minds on job scheme tweak -Basant Kumar Mohanty

-The Telegraph New Delhi: The finance ministry has favoured a proposal to increase the "material" component in projects under the rural job guarantee scheme to facilitate the creation of durable assets. The rural development ministry is, however, having second thoughts, although it had proposed the change in the labour-material ratio from 60-40 to 51-49 for projects under the Mahatma Gandhi National Rural Employment Guarantee Act. The scheme, which seeks to provide 100 days...

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A fuel’s errand -Santosh Mehrotra

-The Indian Express The finance minister plans to scrap the supply of subsidised kerosene through the public distribution system (PDS) and high time, too. To begin with, why has the kerosene subsidy needed reform for decades and yet reform never materialised? Kerosene obtained through the PDS, being cheaper, is used to adulterate diesel and petrol. Kerosene leakages in the PDS are estimated to be 40 per cent of total allocations. The diversion...

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India's rural employment programme is dying a death of funding cuts -Jayati Ghosh

-The Guardian After a decade of success, the landmark scheme is being starved of money by a central government seemingly intent on reining in rural wage growth Ten years ago this week, the Indian parliament unanimously passed the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA). It was a historic legislation based on two interlinked goals: ensuring livelihood security to rural residents by providing at least 100 days of guaranteed wage employment...

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