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What the Congress and the BJP want from the Budget

Party insiders say that populist schemes will figure in the Budget, while UPA ensure reforms too

Kavita ChowdhuryGyan Varma New Delhi
After two terms in office, the Congress led UPA is looking desperately for a magic formula that will help to shrug off anti- incumbency and deliver it a third term. It is hoping that the 2013 budget will go towards doing just that. Party insiders say that while populist schemes will certainly figure in the budget, the UPA at the same time will ensure that it does not stray from the reforms path. The just concluded Congress Chintan Shivir at Jaipur, had laid a roadmap for ensuring “inclusive growth” reaching out to the poor as well as the middle class. Opposition BJP on the other hand, has blamed the UPA for the current policy paralysis due to which economic growth has fallen to about 5 per cent. It wants the government to take steps to restore investor confidence and to reverse the trend of jobless growth in the country.

Finance minister P Chidambaram as is customary will be meeting Congress leaders to ascertain their views on the budget; he is slated to meet them on February 14. Meanwhile a gamut of Congress leaders both senior General Secretaries and MPs are ready with their charter of demands. As the UPA needs a strong populist measure to go into poll mode, the long promised Food Security bill is high on the agenda of Congress leaders. “This has been a major UPA commitment and we will need to find ways and means to procure the finance to make this a reality in this budget,” said a senior Congressman. Such a step will also help to take away some of the heat that the government is facing on price rise and inflation front, feel Congressman.  

As the “aam aadmi” is the target audience, the Congress is keen that some measures be announced for the benefit of agriculturalists. “Farm Debt waiver like last time is not an option but liquid assistance like easy loans for farmers should be given. This will give the party a human face,” said a senior AICC general secretary.       

The party’s brainstorming session at Jaipur, had seen several leaders raising concerns about the UPA’s move towards cutting subsidies to contain its fiscal deficit. The recent move to decontrolling diesel and putting a cap on domestic LPG has made Congressmen apprehensive of the political fallout; they are now hoping that the revolutionary Debt Benefits Transfer (DBT) will overcome the effect of the subsidy cuts. DBT or Aapka Paise Aapke Haath should be rolled out in more districts extending it from the present 51 districts said a Congress functionary.  

What has also come under the radar is a demand to take steps to protect bulk users of diesel like the Railways which would have a cascading effect on passenger fares.

Several Congress MPs have been writing to the Finance minister with demands to include unorganized sector workers like weavers, artisans under MNREGA scheme. This would go towards fulfilling the Congress mandate of reaching out to the “aam aadmi”.

With its new focus on the youth and the middle class, Congress leaders have called for steps to accelerate job creation and boost investment. Restoring investor confidence both domestic and foreign should be the focus of the budget as it leads to job creation while at the same time not forgetting to reduce inequality.

The Opposition BJP has alleged that when Congress led UPA came to power in 2004, the economy was growing at 8-9 per cent. It is “ndecision and lack of direction” on the part of the government that has not only shaken the confidence of domestic investors but foreign investors are also skeptical. BJP has demanded that the UPA in its budget must have a clear policy on how to generate employment opportunities in the country.

Devaluation of the rupee is also a grave situation which the government must address at the earliest, says the BJP.

Hauling up the government for failing to tackle inflation and price rise the BJP has lashed out at the UPA for failing to keep its promise and only extend the time limits to control inflation.  
The power situation being grim the BJP has attacked the UPA; bidding has not taken place for a single ultra mega power project (UMPP) and the policy is also not ready till now.

Terming the UPA’s flagship scheme MNREGA as a “political expenditure which lacked planning and execution from the beginning”; the BJP has urged the government to take steps to stem the corruption and wasteful expenditure in the project.

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First Published: Feb 09 2013 | 9:46 PM IST

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