I look forward to this year’s Budget as a milestone in India’s growth
and development. We are at a crucial stage where the estimated fiscal
deficit of 5.6-5.7 per cent of GDP looks too high and will take delicate
balancing to bring it down by a percentage point. The overall GDP
growth rate is showing a declining trend. We are just recovering from
high inflation and have a challenge to keep it under control. I expect a
simpler but effective tax system in the Budget to ensure the
realisation of the targeted revenue generation.
Infrastructure and power generation are important sectors for growth. Many states, including Maharashtra, are facing serious power shortage. Serious efforts are needed to bring in investment in
this sector. Agriculture is still a sector that affects the lives of people. Lowering interest rates on crop loans for those farmers who pay their dues in time has shown good results in the past few years. We can consider extending this practice either in further lowering the rate or extending the credit limit.
Cooperatives are playing an important role in the economy at the local level and in universalising banking facilities. During the International Year of Cooperatives, support to cooperative banks for financial activities can be a good move. We have to promote cooperatives through tax exemption according to Section 80-P.
Urban services are also concerns for growing cities. JNNURM provisions need to be streamlined with urban plans. A holistic transport plan, emphasising public transport systems, should be backed with Budgetary provisions. Waste management is not the problem of tomorrow. This Budget needs to make provisions for new technologies and at the same time build public opinion.
A serious look at subsidies, not in terms of volume but utilisation methods, is required. Initiatives like doorstep rationing (an innovation by Shekhar Gaikawad in Nashik), where food grains are distributed in the presence of Gram Sabha representatives for transparency and accountability, should be sought for effectiveness. I welcome the indications by the rural development minister on states getting more say in utilisation of rural development funds. Decentralisation in decision making for huge schemes (total of approximately Rs 70,000 crore) can be an important step.
We have been using the term ‘Gender Budgeting’ for some time. Now, we have to move from the statistical exercise of compiling provisions for women from different heads together to a serious socio-economic exercise by mainstream economists. We have urgent challenges of women’s health, female foeticide and economic empowerment. While we are looking forward to the Microfinance Bill in coming Parliamentary sessions, provisions to promote and support microfinance institutions are needed.
Our budgeting exercise dose not look at youth holistically. Our discussion is limited to higher education, small provisions by the Ministry of Youth Affairs and Sports and the recently-announced skill development mission.
There are a number of other Budgetary provisions under rural & urban development, employment, self-employment programmes that catering to youth. We need to look at all this together through the exercise of ‘Youth Budget’ to have a comprehensive plan for youth development. In education and health sector, though our Budgetary allocations are not on par with the developed economies, we have invested in basic infrastructure. Now, we need to have creative ways for new financing strategies and to move forward with improving quality of services.
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by Supriya Sule (MP from Baramati, Maharashtra)
link : http://business-standard.com/india/news/i-expectsimplereffective-tax-system/465715/
Infrastructure and power generation are important sectors for growth. Many states, including Maharashtra, are facing serious power shortage. Serious efforts are needed to bring in investment in
this sector. Agriculture is still a sector that affects the lives of people. Lowering interest rates on crop loans for those farmers who pay their dues in time has shown good results in the past few years. We can consider extending this practice either in further lowering the rate or extending the credit limit.
Cooperatives are playing an important role in the economy at the local level and in universalising banking facilities. During the International Year of Cooperatives, support to cooperative banks for financial activities can be a good move. We have to promote cooperatives through tax exemption according to Section 80-P.
Urban services are also concerns for growing cities. JNNURM provisions need to be streamlined with urban plans. A holistic transport plan, emphasising public transport systems, should be backed with Budgetary provisions. Waste management is not the problem of tomorrow. This Budget needs to make provisions for new technologies and at the same time build public opinion.
A serious look at subsidies, not in terms of volume but utilisation methods, is required. Initiatives like doorstep rationing (an innovation by Shekhar Gaikawad in Nashik), where food grains are distributed in the presence of Gram Sabha representatives for transparency and accountability, should be sought for effectiveness. I welcome the indications by the rural development minister on states getting more say in utilisation of rural development funds. Decentralisation in decision making for huge schemes (total of approximately Rs 70,000 crore) can be an important step.
We have been using the term ‘Gender Budgeting’ for some time. Now, we have to move from the statistical exercise of compiling provisions for women from different heads together to a serious socio-economic exercise by mainstream economists. We have urgent challenges of women’s health, female foeticide and economic empowerment. While we are looking forward to the Microfinance Bill in coming Parliamentary sessions, provisions to promote and support microfinance institutions are needed.
Our budgeting exercise dose not look at youth holistically. Our discussion is limited to higher education, small provisions by the Ministry of Youth Affairs and Sports and the recently-announced skill development mission.
There are a number of other Budgetary provisions under rural & urban development, employment, self-employment programmes that catering to youth. We need to look at all this together through the exercise of ‘Youth Budget’ to have a comprehensive plan for youth development. In education and health sector, though our Budgetary allocations are not on par with the developed economies, we have invested in basic infrastructure. Now, we need to have creative ways for new financing strategies and to move forward with improving quality of services.
-----------------------------------
by Supriya Sule (MP from Baramati, Maharashtra)
link : http://business-standard.com/india/news/i-expectsimplereffective-tax-system/465715/
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