Across the aisle by P Chidambaram: Survey useful, Budget lazy |
After Budget 2026-27 was presented on a Sunday, government spokespersons, editorial writers, commentators and journalists used the word ‘cautious’ and the phrase ‘don’t rock the boat’ to describe the Budget. I suppose they followed an American colloquialism ‘If it ain’t broke, don’t fix it’.
The Economic Survey 2025-26 (ES) had identified the challenges facing the Indian economy. Among them are:
In Chapter 1 of the ES, the CEA advised “caution, but not pessimism”. That tone continued throughout the report. In another chapter he advocated a credible glide-path of fiscal consolidation. The only place in which the CEA advocated a bold approach is on urbanisation where he advised “stronger metropolitan governance, predictable enforcement, and a credible civic compact that aligns incentives between citizens and the state. Cities will also need to be empowered with better finances…”
The Finance Minister’s........