Union Budget 2017 was a status quo budget for the social sector

There were no surprises—no helicopter drop of money into Jan-Dhan accounts, no move to dismantle ongoing welfare schemes in favour of a universal basic income (UBI). Far from being the populist, game-changing budget that many had expected, Union finance minister Arun Jaitley presented a sombre, status quo budget which, apart from some tinkering with allocations, offers no vision and agenda for social policy, especially when it comes to core sectors like health and education.

Status quo for majority of social sector schemes

There were a lot of expectations from Budget 2017. The demonetisation on November 8, and the chapter on Universal Basic Income (UBI) in the Economic Survey had raised our hopes for a big bang announcement on the social sector. Partially, I admit, this expectation was premature. UBI is complicated at best, something recognised by the Economic Survey as well, and the ‘benefits’, if any, of demonetisation are yet to be realised. The net result is thus status quo for a majority of the schemes under the social sector.

Here’s What Really Happens To Budget Rupees For The Social Sector

On the 1st of February 2017, the Finance Minister will present his 4th budget to the nation. Like every year, the budget speech will be followed by a slugfest as political parties and commentators argue over stated priorities and budget allocations. The debate is particularly shrill when it comes to social sector schemes as politicians and commentators can never quite agree whether allocations in a given year are too high or too low. But for the average bureaucrat and the aam junta—the actual beneficiaries of these contentious social schemes—these debates over budget estimates are meaningless.

Social Sector Investments in Budget 2016 No Different Than Previous Year

Arun Jaitley’s Budget was high of rhetoric, but this doesn’t quite add up to a clear vision and narrative for social policy. Overall, social sector expenditure, excluding rural development, has indeed increased – by 6%. The increases are marginal, especially if we compare 2014-15 revised estimates (RE) with the current budgeted estimates (BE).