Budget speech 2006-07: Full text

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Abhishek Patni

MAULANA MULAYAM AND PERILS OF NUCLEAR DEAL

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• Rs.944.18 crore has been released so far as grant under the Accelerated Irrigation Benefit Programme (AIBP) and the target of 600,000 hectares of irrigation potential is expected to be created this year.

• Against the physical target of 56,270 habitations, 47,546 habitations have been covered until January, 2006 under the Accelerated Rural Water Supply Project (ARWSP)

• 5,337 habitations were connected under the rural roads programme by September, 2005, and Rs.3,749 crore has been released so far.

• 870,000 rural houses have been constructed and a sum of Rs.2,260 crore has been released till January, 2006.

• The entire allocation for rural electrification of Rs.1,100 crore has been released and the target of covering 10,366 villages is expected to be achieved in the current fiscal.

• 17,182 villages have been provided with a telephone till December, 2005 in the first year of the three year programme.

These numbers are a complete answer to those who scoffed at Bharat Nirman. We are determined to soldier on, and execute the programme in the mission mode. Since the implementation of Bharat Nirman has gathered pace, I propose to extend larger budgetary support to the programme. Including the North East component, as against Rs.12,160 crore provided in the current year, the corresponding budgetary provision will be Rs.18,696 crore in 2006-07, an increase of 54 per cent.

IV THE FLAGSHIP PROGRAMMES

13. Let me now present an overview of the Budget. Obviously, the bulk of the resources must go to the UPA Government’s eight flagship programmes: Sarva Siksha Abhiyan, Mid-day Meal Scheme, Rajiv Gandhi Drinking Water Mission, Total Sanitation Campaign, National Rural Health Mission, Integrated Child Development Services, National Rural Employment Guarantee Scheme and Jawaharlal Nehru National Urban Renewal Mission.

14. In 2005-06, Gross Budgetary Support (GBS) for the Plan was Rs.143,497 crore. Of this, support to the Central Plan was Rs.110,385 crore. I propose to increase both allocations substantially. GBS for 2006-07 has been fixed at Rs.172,728 crore, representing an increase of 20.4 per cent. Out of this, the Central Plan will receive a support of Rs.131,285 crore.

15. Education and health will continue to enjoy primacy. For 2006-07, the allocation for education has been enhanced by 31.5 per cent to Rs.24,115 crore and for health and family welfare by 22.0 per cent to Rs.12,546 crore.

16. On the eight flagship programmes, the total allocation in 2005-06 was Rs.34,927 crore. In the ensuing fiscal year, the total allocation will be Rs.50,015 crore, representing an additionality of Rs.15,088 crore or 43.2 per cent.

North Eastern Region (NER)

17. To this, however, we must add the allocation of 10 per cent of the Plan Budget of each Ministry/Department for schemes and programmes in the North Eastern Region (NER). For the flagship programmes alone, this would amount to an additional allocation of Rs.4,870 crore in 2006-07. The total budget allocation for the NER is Rs.12,041 crore which includes Rs.1,350 crore provided to the Ministry of Development of North Eastern Region (DONER). From BE 2005-06 to BE 2006-07, the step up is 18 per cent.