GENDER BUDGET 2024-25
1. Context
The Gender Budget Statement consistently reported an average share of 5% of the total budgetary allocations, with marginal ups and downs. This year is special as the share of allocations to pro-women schemes stands at approximately 6.8% of the total budget expenditure for 2024-25
2.Analysis on Gender based budget 2024-25
Source: The Hindu
- Women-led development is a central focus of this year's Budget, as highlighted by the Finance Minister. The commitment to empowering women is evident in the Budget's allocation to women-centric programs, as detailed in the Gender Budget Statement (GBS).
- For the first time, the Gender Budget has reached 1% of GDP for 2024-25, with total allocations exceeding ₹3 lakh crore for women-focused initiatives. Historically, the GBS, introduced in 2005-06, has consistently accounted for an average of 5% of the total budget, with slight fluctuations.
- However, this year stands out, as allocations for pro-women schemes have risen to around 6.8% of the total budget expenditure, representing a significant increase from previous trends.
- This rise in Gender Budget allocations is driven by two key factors. Firstly, the inclusion of Part ‘C’ in the GBS, which tracks schemes with less than 30% of funds allocated for women, has contributed to this increase.
- The PM Kisan scheme, for instance, is now reported under Part C with a ₹15,000 crore outlay, constituting 25% of the program’s total budget. Secondly, there has been an increase in allocations within Part A of the GBS, which covers schemes with 100% allocation for women.
- Previously, Part A represented 15-17% of the total GBS allocations until the Budget Estimate (BE) 2022-23. However, since BE 2023-24, there has been a notable rise in the share of pro-women schemes with 100% allocations, reaching nearly 40%.
- This change is largely due to the reclassification of the Pradhan Mantri Awas Yojana (PMAY) – both rural and urban – from Part B (which covers schemes with 30-99% allocations for women) to Part A.
- Consequently, the entire ₹80,670 crore allocation for PMAY in the 2024-25 BE is now reflected in Part A, significantly boosting the reported allocations. However, it's important to note that this reclassification may not fully reflect the reality, as not all PMAY beneficiaries are women
3.Previous instances
- There are instances of over-reporting in the Gender Budget Statement (GBS), such as the PM Employment Generation Programme (PMEGP), which supports entrepreneurs in establishing micro-businesses in the non-farm sector.
- The GBS allocated ₹920 crore, or 40% of the total PMEGP budget, without offering any justification for this figure.
- Conversely, some allocations are underreported, leading to an understated amount spent on women's needs. For example, this year, the National Rural Livelihoods Mission (NRLM) is fully reflected in Part A of the GBS, indicating that 100% of its budget is dedicated to women and girls.
- This correction should have been made earlier, as only 50% of the NRLM's outlay was previously reported under Part B in the 2023-24 Budget Estimate (BE).
- Additionally, while the GBS has accurately increased the reported allocations for the Ministry of Electronics & IT, it has failed to include pro-women allocations in schemes aimed at women entrepreneurs, such as PM Vishwakarma, SVANidhi, and Stand-Up India.
- Another example is the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS), which has the third-highest allocation for women in the GBS but is reported under Part B with only ₹28,888.67 crore, representing 33.6% of its total budget.
- This is despite the fact that women accounted for 59.3% of all person-days worked under MGNREGA as of December 2023, suggesting that their wages should have been proportionate to this participation, yet only 33.6% of the budget is reflected in the GBS
4. Way forward
These discrepancies can be reduced by including explanations for the entries made in the Gender Budget Statement (GBS). Providing justifications for allocations in the GBS would not only enhance accounting accuracy but also aid in conducting gender audits and improving gender outcomes in government programs. The inclusion of a third part in the GBS reflects years of advocacy by experts for better reporting. However, the inconsistencies in reporting indicate that the GBS still lacks a systematic and scientific approach.
While efforts to reduce inaccuracies and improve the quality of the GBS are evident, there is still much progress to be made. Including rationales for the reported allocations is crucial to ensure that detailed reporting goes beyond merely increasing the reported amounts for women’s development. It should guarantee that actual spending is effectively directed toward women in all government programs, which are thoughtfully planned and designed to address women’s needs from the outset. Gender-responsive budgeting remains a powerful tool for closing gender gaps within the economy
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For Prelims: Interim Budget
For Mains:
1. Critically analyze the key economic priorities as reflected in the Interim Budget 2024. Do you think these priorities adequately address the current challenges faced by the Indian economy? Justify your answer. (250 Words)
2. The Interim Budget 2024 emphasizes infrastructure development and fiscal consolidation. Discuss the potential impact of these policies on India's economic growth and sustainability. (250 Words)
3. The Interim Budget 2024 proposes to maintain existing tax rates. Do you think this approach is appropriate in the current economic scenario? What alternative tax policies could be considered to promote economic growth and social welfare? (250 Words)
4. How can the government effectively balance economic development with environmental protection? Suggest policy frameworks and implementation strategies to achieve this balance. (250 Words)
5. The budget highlights the Blue Economy 2.0 initiative. Examine the potential of the ocean economy for India's development while emphasizing the need for sustainable and responsible utilization of ocean resources. (250 Words)
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Previous Year Questions
1. Consider the following statements:
The Parliamentary Committee on Public Accounts (UPSC 2013)
1. consists of not more than 25 members of the Lok Sabha.
2. scrutinizes appropriation and finance accounts of the Government.
3. examines the report of the Comptroller and Auditor General of India.
Which of the statements given above is/are correct?
A. 1 only
B. 2 and 3 only
C. 3 only
D. 1, 2 and 3
2. With reference to the Parliament of India, which of the following Parliamentary Committees scrutinizes and reports to the House whether the powers to make regulations, rules, sub-rules, by-laws, etc., conferred by the Constitution or delegated by the Parliament are being properly exercised by the Executive within the scope of such delegation? (UPSC 2018)
A. Committee on Government Assurances
B. Committee on Subordinate Legislation
C. Rules Committee
D. Business Advisory Committee
3. According to the Representation of the People Act, 1951, in the event of a person being elected to both houses of Parliament, he has to notify within ______ days in which house he intends to function. (Delhi Police Constable 2020)
A. 22 B. 10 C. 20 D. 15
Answer: 1-B, 2-B, 3-B
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Source: The Hindu
