Hyderabad, February 24: For the fourth consecutive year, the government presented a budget that surpassed Rs 1 lakh crore notwithstanding the fact that it always ends up with a revised budget at the end of every financial year.
Instead, it should have been more realistic for the benefit of the common man. There were no new schemes and is an extension of the previous budget.
The finance minister took care to ensure that there were no fresh imposts on people but that’s no relief as the common man has to cough up money anyway as the government has a way to burden him through backdoor.
The State’s tax revenue is projected at Rs 56,438 crore as against Rs 43,000 crore last year.
That means more financial burden on people through sales tax and excise revenue. For instance, the excise targets have been increased from Rs 7,400 crore to Rs 9,014 cr indicating the government’s intention to encourage liquor sales. The revenue targets through sales tax also have been increased to Rs 38,305 crore from Rs 31,838 crore which again will prove burdensome for the common man. Education sector has been ignored to a large extent. There is a marginal increase in allocations for higher education despite the fact that about 14 new universities were established during last two-three years but none of them have proper infrastructure.
While there is a good increase in allocations for the school education department, it is yet to be seen to what extent it will benefit students as the State depends largely on the Central funding in this sector.
Notwithstanding the claims of the Chief Minister and the Finance Minister, the budget is neither welfareoriented nor does it focus on development.
A major part of allocations for welfare departments will go towards the fee reimbursement scheme.
There is no increase in allocations for Aarogyasri, JNNURM funds, welfare pensions, incentives for industrial promotion, nutrition programme and constituency development funds. Similarly, there is marginal increase in funding to programmes like youth welfare programmes and buildings for new universities.
The only saving grace is the increased allocations to major projects in Hyderabad like the Outer Ring Road, Hyderabad Metro Rail and Godavari Water Supply scheme.
The allocations are bound to increase as the budget estimations have been increased from last year.
An increase in budgetary allocations means the common man has to continue to shell out more money due to indirect taxes with no direct benefit to him.
One has to wait and watch whether the latest budget delivers any results or proves to be as shabby as the previous ones.
(The author is thechairman of the Board of Studies, Department of Economics, Osmania University.)
–Agencies