MP's Budget likely to focus on social sector

Bhopal, Feb 25 (UNI) Constrained by financial limitations, the Madhya Pradesh Budget 2007-08 is likely to focus on social sector and the implementation of public welfare schemes.

In his fourth consecutive Budget to be presented in the MP legislative Assembly tomorrow, Finance Minister Raghavji may announce measures for increasing facilities in the social sector besides public welfare schemes instead of long-term schemes.

Senior Economist R S Tiwari said the Finance Minister could be praised for not incurring expenditure beyond prescribed limits and doing work in areas of improving basic facilities such as roads, water and power.

He said Mr Raghavji could be granted bonus points for presenting revenue surplus Budgets twice despite financial constraints.

''However, a major challenge remains that no roadmap has been prepared for a long-term development of the state. Madhya Pradesh is lags behind in terms of average national income. No progress is being achieved in this regard -- we are rather falling behind,'' he said.

Dr Tiwari said Mr Raghavji's hands were tied due to lack of financial resources and emerging out of financial constraints would be a big challenge before him.

According to another Economist, relief could be expected in the sphere of social infrastructure but the Finance Minister could not take too much liberties in this regard.

He said it was possible that the state government would be forced to heavily rely on Centrally-funded schemes for road, irrigation and power sectors.

Besides, Mr Raghavji's hand had been tied with regards to taxation due to implementation of the Value Added Tax (VAT) system.

Under such circumstances, welfare schemes related to employees, education, health and tribals could be important for the Budget, he said.

UNI