Economist Critiques Government's Budget: Calls for Comprehensive Strategy

Eminent economist Jayati Ghosh critiques Finance Minister Nirmala Sitharaman's recent budget proposals, stating they lack a comprehensive strategy to tackle unemployment, price rise, and farmer distress. Ghosh argues that the budget's small measures are insufficient to boost domestic demand and addresses the central problems of the Indian economy, calling for more significant efforts in job creation, MSMEs, and food security.

Eminent economist Jayati Ghosh has sharply critiqued Finance Minister Nirmala Sitharaman's budget proposals, claiming they lack a strategic approach to problems like unemployment, inflation, and farmer's distress.

Ghosh highlighted that the middle-class benefits introduced were insufficient to galvanize domestic demand. She emphasized that key issues such as climate change and the viability of small and medium enterprises were ignored.

Pointing out the negligible provisions for farmers, Ghosh stated that there are no significant measures to stabilize the minimum support price (MSP) system. Furthermore, she argued that young people looking for employment are left in a lurch by the current education and job system.

Criticizing the budget's job creation strategies as 'nonsensical,' especially the internships, Ghosh described them as token measures borrowed from the Congress manifesto, incapable of breaking the cycle of low demand and investment. She called for putting more money in the hands of ordinary people to stimulate the economy.

Ghosh also dismissed the cessation of the Angel tax as ineffective in the bigger picture. She stressed the inadequacy of startups due to low demand while questioning India's ambition to become a developed nation without significant improvements in nutrition and human development indicators.