At the outset, I would like to compliment Sri Pranab Mukherjee, Hon'ble Finance Minister, GOI, for acknowledging, while presenting the Budget Proposals for 2010-11, the Challenges of a) Making Development More Inclusive and b) Addressing the Weaknesses in Govt. Systems, Structures, and Institutions at Different Levels of Governance. Recognizing challenges is one thing and meeting them is another.
More Inclusive Development
It is impressive to note that, spending on Social Sector has been increased to 37% of Total Plan Outlay, in addition to 25% of Plan Allocations, devoted for development of Rural Infrastructure, to meet the challenge of more Inclusive Development. The effective utilization of the allocations and the actual impact of the programs for which the allocations are made, will remain a myth, as the existing public delivery mechanism continues to be a major bottle-neck.
Strengthening Transparency and Public Accountability
This is being talked about quite for some time but nothing much happened so far. The measures now proposed- Technical Advisory Group, Independent Evaluation Office, Financial Sector Reforms etc -are too general and there are no time bound definite plans/ programs. The only worthwhile proposal is the allocation of Rs1,900 Crore to UIDAI for 2010-11.
Reduction of Expenditure
The proposal for reducing fiscal deficit from 6.9% to 5.5 % during the Budget Year is a laudable goal. The strategies to achieve the same are somewhat suspect. The disinvestment target is just Rs 25, 000 Crore and there are no specific plans to reduce the public expenditure either, which has very good potential and very much needed.
Theories and Practices
The Policies, Plans and Programs are invariably well intentioned, but they fail to have the desired impact on the stake holders for whom they are really meant, because of Poor Delivery System which is insensitive, unresponsive, not transparent and not accountable for the results.
The quote of Swamy Vivekananda - ''You have to be practicable in all spheres of work. The whole country has been ruined by masses of theories" may not be out of place.
"We need to have three things: the Heart to Feel, the Brain to Conceive, the Hands to Work"
- Swamy Vivekananda
In UPA Government, we seem to have the first two - the Heart to Feel (UPA Leader), the Brain to Conceive (Prime Minister), but not the "Hands to Work" (Good Governance), which seem to have been crippled.
Conclusion
The urgent Need of the Hour is "Good Governance", the hall-mark of which are Transparency, Responsibility and Accountability, from top to bottom, including Policy and Decision makers, Administrators, of the delivery system.
Under the present system, the only answer is to ensure the "Rule of Law", which seems to be a serious causality at present. The "Rule of Law" can be ensured/restored, only by instilling the fear of punishment by setting examples at the highest levels and by making any violation a "High-Risk" Business, instead of being a "High-Profit" Business as at present. The Judicial System needs to be geared up for expeditious delivery of Justice
The sincere and honest efforts by the Govt. to get back the Indian money of about Rs. 7,00,000 Crores reported to be lying in Swiss and German Banks, at the earliest, will speak volumes about Purity, Honesty and Character of the UPA Government and will be a stepping stone for ensuring Good Governance with "Hands to Work" which are totally crippled at present.
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