HOME > ONLY ON ULTRA > No immediate plans for universal basic income: Indian Government

No immediate plans for universal basic income: Indian Government

India’s welfare budget, 2016-17

The Indian government has no immediate plans or proposals to institute a scheme of ‘unversal basic income’ in place of the myriad social welfare scheme run by the country at present, the finance ministry said in response to a query.

The clarification that there is ‘no proposal for a universal basic income scheme’ comes in the wake of a similar idea floated by this year’s Economic Survey of India, the annual pre-budget document released by the same ministry documenting the condition of the economy.

“The universal basic income (scheme) must be embraced in a deliberate, phased manner as it allows reform to occur incrementally — weighing the costs and benefits at every step,” the economic survey, tabled last month, said.

India spends about 4 trillion rupees on various subsidy programs such as those on fertilizers, food rations, fuel and so on. In addition, it spends another equivalent or higher amount of other ‘free’ schemes for the poor, such as the National Health Mission, free hospitals and so on.

Out of the total budget of around 18 trillion rupees, about half is estimated to go towards services — such as posts, education, hospitals, culture and so on — for which the money can be obtained from the users via service charges. The remaining goes towards services for which money can be easily obtained from users — such as defence, funding of strategic and higher research and so on.

However, if the Rs 9 trillion is directly provided to the citizens, each family of four will get only around Rs 2,500 a month.

On the other hand, its proponents believe that the scheme of transferring money to citizens instead of goods and services will result in zero leakage. At present, subsidy programs such as the food distribution scheme — which costs over Rs 1 trillion per year, and the fertilizer subsidy program — which costs around Rs 700 bln per year — have reputations of being very inefficient due to leakages in the supply system.

Follow ULTRA.news
NRI bank accounts see mega outflows as Gulf crisis hits earnings Net bank deposits by non-resident Indians have fallen by nearly 90% so far this financial year as more and more foreign workers dipped into their bank accounts in the face of a crisis in the Gulf region, industry association ASSOCHAM said.Net bank deposits -- the difference ...
Reliance, Essar triple petrol outlets in 2 yr, continue to expand fast – India Ratings Private players such as Reliance Industries and Essar -- owned by Russia's Rosneft -- have tripled the number of petrol and diesel outlets in India in the last two years, and could double their market share by implementing their ongoing expansion plans, India Ratings said.Fro...
Govt to give subsidy of Rs 2.5 lakh per flat; free land to builders Central Government will give up to Rs 2.5 lakh as interest subsidy for people who take home loans to purchase their house under the Pradhan Manthri Awas Yojana, said Minister of Housing & Urban Affairs Hardeep Singh Puri.He also revealed plans to hand over government land t...
Oil minister says petrol prices will come down soon Oil minister Dharmendra Pradhan today said that the current spike in petrol and diesel price is 'temporary' and related to the impact of Hurricane Harvey in the US."The prices have gone up because some of the refining capacity has been shut down (in the US). It is temporary,...
India to announce new industrial policy in October The Indian government is likely to announce a new industrial policy in October, the ministry of commerce and industry said, and sought feedback from the public.Commerce and industry minister Nirmala Seetharaman will hold a final round of consultations with stakeholders soon,...
Modi’s reforms drag, power plants to face low loads, study India’s energy sector is facing low capacity utilisation in power generation as plant load factor is estimated to remain low at around 62 per cent until 2018-19, noted a recent ASSOCHAM-Crisil joint study.The study also expressed concern over the slow pace of reform implement...
Expecting waivers, farmers stop paying back bank loans? The write-off of farm loans in Uttar Pradesh and Maharashtra seems to be encouraging farmers in other states to stop paying back their farm loans to make sure that they will get the benefits of any farm loan waiver program in their state. This has led to a sharp increase in farm ...
India achieves only 14% of rooftop solar power target Even as India more or less sticks to the target on adding large solar farms under its ambitious Solar Mission project, the other leg of the plan -- rooftop solar -- remains woefully behind target.Under the solar mission, India is supposed to have put in 5,000 megawatt of sola...
IT companies using illegal tactics to force workers to resign: FITE The Forum for IT Employees, arguably the IT workers rights organization with the largest number of well-wishers and supporters, accused IT companies of using illegal and unethical means to force their workers to submit their resignations.In a meeting with Maharashtra Chief Mi...
Fertilizer subsidy falls by Rs 8,000 cr after Neem coating Neem coating of urea, one of the key anti-diversion measures introduced by the Narendra Modi government to check the misuse of fertilizer urea by industries, seems to be paying off.According to the latest numbers, the Indian taxpayer saved about Rs 8,000 cr thanks to the move...
Demonetization took India forward by 3 years – SBI The demonetization of currency notes late last year has doubled the number of card transactions and helped push India's payment digitisation by three years, State Bank of India said in a note."Even after seven months post demonetization, the transaction value is quite large ...
Indian Railways sees 4% jump in passenger reservations in 2016-17 Inside a sleeper bus by APSRTCIndian Railways saw an increase of 3.91% in the total number of reserved bookings in the financial year ended March 2017, according to data from the ministry of railways.A total of 52.35 cr (523 mln) passengers were booked in the reserved ca...
Indian IT industry facing layoffs as conditions worsen, warns Assocham Trump unveiled his 'Buy American, Hire American' program yesterdayIndian IT companies are bound to see "some laying off" of their work force back home due to various negative forces impacting the industry, Assocham -- an association of various industries -- warned."With ...
Rs 1.7 lakh cr deposited via demonetization may not be withdrawn – SBI Monthly cash withdrawals for all banks | source:SBI ResearchThe Indian banking system is likely to get a permanent liquidity boost of Rs 1.7 lakh cr due to the demonetization of high-denomination bank notes, State Bank of India chief economic adviser said in a note to bank c...
Trademark registration up three fold in India National Institute of Intellectual Property Mgmt, DelhiThe number of trademarks awarded by the India's Controller General of Patents, Designs & Trade Marks has jumped threefold this financial year, according to data obtained from the Patent Office.A total of 2.11 lak...
Govt to bring 532 welfare schemes under Aadhaar-based direct benefit transfer Logo for LPG DBT schemeThe finance ministry has conducted an examination of the existing welfare and subsidy schemes of the central governments and identified 532 of them as being suitable to be migrated to the 'direct benefit transfer' or DBT model of disbursing of funds. ...
Aadhaar enrollment in Assam drags at 6.5% An Aadhaar PromotionThe total number of Aadhaar cards issued by the Unique Identification Authority of India has reached 112.25 cr or 1.122 bln as of the beginning of this month, but enrollments in the border state of Assam trail at 6.5%, according to numbers provided by the...
Ujjwala ‘free LPG’ connections fly off the shelves The government's 'free LPG connection' scheme, Ujjwala, has seen 60% higher demand than expected, and the objectives of the three-year scheme will be met within two years at the current pace of rollout.As of the end of February, the total number of beneficiaries under the scheme ...
After missing twice, India comfortably meets power sector targets for 12th five-year plan After missing its targets by wide margins in the previous two five-year plans, India is all set to comfortably meet or exceed all its power sector targets for the 12th five-year plan that ends this month.Five-year plans, borrowed from the Soviet Union, are a legacy of Nehruvi...
NDA-ruled states lead in digitization of public distribution systems States ruled by the National Democratic Alliance have taken the lead in implementing digital ration shops with the introduction of electronic point of sale machines, while non-NDA states have lagged behind in introducing this crucial anti-pilferage measure, data obtained from the...