The finance ministry has told all ministries and departments that this will form the basis for enhancing allocations in the FY19 budget that will likely be presented early February.
NEW DELHI: The upcoming budget could see a sharp increase in the allocation for scheduled castes and scheduled tribes, giving a boost to the government's pro-poor initiatives ahead of the next general elections.
The Niti Aayog has drawn up a plan that is expected to raise spending on scheduled castes and tribes that account for more than 25% of India's population.
The finance ministry has told all ministries and departments that this will form the basis for enhancing allocations in the FY19 budget that will likely be presented early February.
Allocation in most cases has been substantially raised, in line with the Niti Aayog formula. For example, as against zero and 1.4% earmarked for food and public distribution for SCs and STs, the new formula pegs them at 8.30% and 4.30%, respectively. The textile ministry headed by Smriti Irani will see a substantial increase to 16.60% and 8.60% for SCs and STs from 5% and 1.20%, respectively.
Niti Review Based on 2011 Census
Similarly, in the case of health and family welfare, this has been revised to 16.60% and 8.60% for SCs and STs against 15.20% and 8.20%, respectively. In higher education, this will rise to 16.60% and 8.60% from 15% and 7.50%.
The current distribution is based on the Narendra Jadhav committee recommendations that were used when the plan and nonplan distinction was in force.
The government scrapped that distinction and subsequently the Niti Aayog was entrusted with reviewing the system of earmarking of funds for SCs and STs. The Aayog has based its review on the 2011 census.
The body, which replaced the Planning Commission after it was abolished, had asked ministries and departments to review schemes in which no separate earmarking was done but SC and ST expenditure was included in a general component such as subsidies.
Expenditure in these schemes will be worked out and earmarked as per the revised allocation.
The total allocation for scheduled castes in the current fiscal is pegged at Rs 52,400 crore, up sharply from Rs 30,600 crore in FY16.
Over the same period, allocation for scheduled tribes has gone up to Rs 32,000 crore from Rs 21,200 crore.
