Critical Assessment of Budget 2019-20

Critical Assessment of Budget 2019-20

 

Nirmala Sitharaman the second women after erstwhile Prime Minister Smt Indra Gandhi presented the union budget 2019-20, whereas Indra Gandhi as the prime minister keeping the ministry of finance portfolio has presented the union budget 1970-71 as the first lady.

Getting the women finance minister the general masses were having many general hopes after the general election hoping of relief in general day to day life struggles which has been at all not conceded in the recent cartelized 2019-20 budgetary provisions. The finance minister has commanded a numbers of self-claimed big achievements of their previous 5 years of governance during the budgetary presentations, says that there were no negative impact of the demonetizations in the economy, honorable minister did not talked about the 2 crores new jobs creation per years i.e, 10 crores new jobs  has been promised in 2014 and did not talked to the current one worst unemployment situation in 45 years as par the government own data that crores of already employed people have lost their jobs during the demonetization and after effect of digitalization’s as the subject economics diagnose that the papers note currencies carries the highest velocity of money has been affected by the compulsory digitalization to unprepared public. In spite of all the odds before the working people, their continuous effortful productions have led the economy from $1.87 trillion GDP economy in 2014 to $ 2.7 trillion GDP economy currently in 2019 and tending towards the over $ 5 trillion GDP economy by 2024. Currently the Indian economy is the third biggest domestic economy on the purchasing power parity but the most important and worrying issue during last 5 years budgetary provisions have concentrated the growth benefit to few big fish capitalist, so the general Human Development Index (HDI) and majors others development indicators has gone down alarmingly which is the most naturally contradicting figure for any fastest growing economy whose development parameters going down..

Curtailment in the basic Essences 

The total expenditure of the union government has been risen to 12.7% of GDP in 2017-18 to 13.2% of GDP in 2018-19 which has been kept unchanged and even lessen with 13.1% of GDP in 2019-20, so the public expenditure catalyst to boost the demand and supply sides of the economy has been not provided for general peoples, how the nutrition’s, employment, educations, infrastructure, etc will be able to be created in the time frame of the ongoing budgetary provisions.

The major basic core of public interest like National Social Assistance Programme and MGNREGA allocation has been decreased from Rs 84361 crores in 2018-19 to Rs 81863 crores in 2019-20, if the governmental targeted inflation is being added to the decrease it is in alarming situations for already rural distress suffering masses to raise the purchasing level.

The most branded flagship scheme of Pradhan Mantri Gramin Sadak Yojna (PMGSY) real budgetary allocation of 2019-20 has been lowered to 2018-19 also shows the council of minister intrapersonal conflict and personal power position fighting. So decreasing in the basic public expenditure is already making the government stand crystal clear that government is handing over its major stakes to the cartelized private sectors as the government has already fixed the target in the current budgetary period of selling of over Rs 105000 crores of public stakes to the privates sectors which is much higher of the previous budgetary selling target of Rs 80000 crores in 2018-19. Reducing the public expenditure in the name of controlling fiscal deficit which is mainly being created and diverted to heavy remuneration, incentives, loaning and regressive taxation of big capitalization. The open provision of selling of Indian lifeline of Indian Railways in the names of private heavy investment is the final departure of government from people to cartelized Privileged Capitalist and now the government has already made the provisions of open international borrowing which will drain out the hard-earned sweat based factor ultimately to the foreigners in the long run.

At last the women finance minister did not make any formal provisions for incorporating the women in any formal sector, so even being a women minister, women are not getting anything of theirs long due since long of independence and prior to independence shows the masculinity not only concentrating on men but in all major capitalistic power bearing and tearing individual must be smashed.

At the last increasing the 3 & 5% of income taxation on 2 & 5 crores income level is totally an eyewash as the in last income tax return more than 99% applicant has been found a lesser than a crores so getting any benefit in taxable income on this basis is just an eyewash and nothing else if being compared to the big reduction in corporation taxation from 30% to 25% on 250 crores to 400 crores will have greater regressive effect on taxation income on exchequer, so concluding the contemporary budgetary provisions of 2019-20 is the systematic free gifting allocation of masses to the fewer big cartelized non-working industrialist sections.

Prof. Dr M U Farooque

Prof. Dr M U Farooque

Development Economist