Money behind the rhetoric: S L Rao

This is not a "dream" Budget but it addresses the issues flagged by the CMP and by the needs of the economy.

It is, unlike many earlier Budgets, short on passion but long on substance. It provides ample funds for the short-funded promises of the last Budget and addresses the needs of rural and poor Indians. It also plants the seeds of excellence: making the Indian Institute of Science a world class university, introducing six new AIIMS and scholarships for the rural poor.

It continues the effort to bring down the Customs duties to Southeast Asian levels and rationalises excise duties to level the field for domestic producers. The one flaw is the small charge on cash withdrawals of over Rs 10,000 per day to restrict black money. That may only move money away from the banks.

The targets of fiscal responsibility commitments are postponed by one year. This Budget signifies a clear change in direction. Unlike the previous ones, it puts money behind the rhetoric of a 'human face'. It does so without diluting efforts to boost growth in industry, manufacturing, agriculture and exports.

Postponing fiscal responsibility may be a small price to pay for this achievement.