Why are political parties fighting a bizarre battle over the Budget?
A few days ago, the Election Commission (EC) announced dates for Assembly elections in five states, raising the political temperature in the country. The result won't pose any apparent threat to the central government headed by Prime Minister Narendra Modi, but it will decide the face that will contest against Modi in 2019 and therefore the stakes are very high.
While Assembly and Parliament elections are contested on different parameters, the outcome will be rightly considered as a limited referendum on the "achhe din" promised by the ruling Bharatiya Janata Party (BJP).
India's most populous state Uttar Pradesh (UP), considered a passage to the Prime Minister's Office (PMO), is witnessing an unprecedented drama unfold and political pundits continue to comment on whether the rift is natural or scripted - to project CM Akhilesh Yadav as a development icon with a clean image. In this charged environment, all major political parties have approached the Election Commission to stop the central government from presenting the Union Budget.
On the one hand, the opposition parties say there is anger among the public following the demonetisation drive and the ordinary citizen will teach the BJP a suitable lesson. But the same political stalwarts appear scared. Presenting the annual Budget is a constitutional requirement mandated by Article 112 and the EC will take the final call on the matter after analysing the technical aspects of the issue.
Budget presentation is not a ceremonial exercise, but a plan document that charts the agenda of the government and becomes instrumental for policy decisions. The finance ministry decided to advance the Budget session before the announcement of poll dates by the EC.
It's a mere coincidence that the Budget presentation date (February 1) falls between the scheduled elections. The voters-can-be-influenced-by-it argument lacks substance.
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| Elections are an assessment of the work done by the government and the past performance of the contestants holds more weight compared to future promises. (Photo: PTI) |
Had it been the intention of the government to take populous measures before the upcoming Assembly elections, the PM would have done so in his December 31 address because that was an appropriate time to give something back to the people who stood in demonetisation queues.
In India, leaders distributing freebies to fulfill their poll promises is a common populist measure, even in developed states.
When political parties argue that welfare moves in the Budget can influence the voter, we must ask them about the freebies promised in their manifestos. If a corollary is drawn, would the EC ban manifestos?
To negate the argument would simply mean that poll promises are tropes to fool the voter.
Elections are an assessment of the work done by the government and the past performance of the contestants holds more weight compared to future promises.
If the BJP offers sops in the Budget, there will be considerable time lag in their implementation and, ideally, it would hardly impact the voter.
Usually, Budget proposals receive the President's nod by mid-May and the disbursement of funds (including to state governments) is delayed, halting development work.
This has a cascading effect because state governments factor the Centre's share into their own budgets. It also leaves less time to exploit resources because the amount unused till March is sent back. An early presentation will ensure that the entire process is completed before April.
The call for restraining the government from presenting the Budget is more on moral ground. Let's leave such decisions to the Supreme Court's constitutional benches. As a matter of propriety, there can be instructions by the EC that the Budget grant no sop targeting poll-bound states, but putting the entire budgetary exercise on hold lacks valid justification.