From a practical viewpoint, what should have been put in the public domain for debate is wrapped up in secrecy in the Union Finance Ministry (UFM). Even though the Expenditure Management Commission headed by former Reserve Bank of India Governor Bimal Jalan submitted its report earlier this month, the UFM is not willing to share its content with the public. Clearly, what is practical for the public is embarrassing for the politician.
That's possibly because the three-member commission, which has former RBI Deputy Governor Subir Gokarn and former Finance Secretary Sumit Bose as members, has called for direct-benefit transfer (DBT) to all government programmes without exception. And that may not be politically convenient in items like kerosene and diesel, two primary sources of huge domestic black money generation. Black money is the preferred way of trade in these two vital items in the "larger interests of poor as well as farmers".
Further, the commission's recommendations to streamline expenditure and review grants made to autonomous bodies, and link at least a part of it to performance, may also not be politically convenient in view of politics of social engineering that's financed by the consolidated fund of India.
Announced as part of the Union Budget 2014-15, the Commission was set up in September 2014. The two-volume report has also called for a comprehensive review of the Centre's expenditure pattern, including annual allocations to ministries and their unspent funds - the ideas hard to implement in the prevailing culture of fiscal indiscipline.
Written by: M K Shukla (Editor)
UFM suppresses the remedy to cure the disease
By IndianMandarins - 2016-01-28 12:21:25
From a practical viewpoint, what should have been put in the public domain for debate is wrapped up in secrecy in the Union Finance Ministry (UFM). Even though the Expenditure Management Commission headed by former Reserve Bank of India Governor Bimal Jalan submitted its report earlier this month, the UFM is not willing to share its content with the public. Clearly, what is practical for the public is embarrassing for the politician.
That's possibly because the three-member commission, which has former RBI Deputy Governor Subir Gokarn and former Finance Secretary Sumit Bose as members, has called for direct-benefit transfer (DBT) to all government programmes without exception. And that may not be politically convenient in items like kerosene and diesel, two primary sources of huge domestic black money generation. Black money is the preferred way of trade in these two vital items in the "larger interests of poor as well as farmers".
Further, the commission's recommendations to streamline expenditure and review grants made to autonomous bodies, and link at least a part of it to performance, may also not be politically convenient in view of politics of social engineering that's financed by the consolidated fund of India.
Announced as part of the Union Budget 2014-15, the Commission was set up in September 2014. The two-volume report has also called for a comprehensive review of the Centre's expenditure pattern, including annual allocations to ministries and their unspent funds - the ideas hard to implement in the prevailing culture of fiscal indiscipline.
Written by: M K Shukla (Editor)
