ISSN (Print) - 0012-9976 | ISSN (Online) - 2349-8846

A+| A| A-

Incongruence between Announcements and Allocations

A scrutiny of the Indian economy and the state of public finances reveals that while there are a few areas of improvement under the current government, the economy remains fragile and, worryingly, the situation has worsened in some other respects. It was hoped that the Union Budget 2018–19 would take measures to address some of these concerns but these expectations have been belied. Budget 2018–19, possibly with an eye on elections, has made grand announcements instead of taking hard decisions and making adequate allocations towards key sectors of the economy.

The authors would like to thank Manali Phatak for excellent research assistance.

The Finance Minister, Arun Jaitley, in his Budget Speech 201819, has been quite effusive in praising his own governments performance over the past four years. Specifically, he mentions: (i) Indias high economic growth rate; (ii) rising foreign direct investment; (iii) improvement in the ease of doing business; (iv) a significant improvement in the growth of the manufacturing sector; and (v) rising exports. The finance minister also takes credit for the improvement in public finances.

The finance minister and the National Democratic Alliance (NDA) government, in general, have been at pains to point out that the economy is now in a much better shape than it was under the previous United Progressive Alliance (UPA) governments. It is worth examining some of these claims of the government to see whether these stand up to scrutiny.

Dear Reader,

To continue reading, become a subscriber.

Explore our attractive subscription offers.

Click here

Or

To gain instant access to this article (download).


Pay
INR 59

(Readers in India)


Pay
$ 6

(Readers outside India)

Published On : 20th Jan, 2024

Support Us

Your Support will ensure EPW’s financial viability and sustainability.

The EPW produces independent and public-spirited scholarship and analyses of contemporary affairs every week. EPW is one of the few publications that keep alive the spirit of intellectual inquiry in the Indian media.

Often described as a publication with a “social conscience,” EPW has never shied away from taking strong editorial positions. Our publication is free from political pressure, or commercial interests. Our editorial independence is our pride.

We rely on your support to continue the endeavour of highlighting the challenges faced by the disadvantaged, writings from the margins, and scholarship on the most pertinent issues that concern contemporary Indian society.

Every contribution is valuable for our future.