Hello readers: In an election year in a country where women voters are showing increasing clout, this yearâs gender budget has the highest-ever allocation of funds over different ministries and schemes. I asked economist Mitali Nikore to break it up for you. Read onâŚ
The Big Story
Bigger, brighter, grander: Government spending on the gender budget is the highest ever
By Mitali Nikore
 (Source: FLICKR)
As she started her budget speech on a note of nari shakti, Indiaâs longest-serving woman finance minister, Nirmala Sithraman, noted: âThe empowerment of women through entrepreneurship, ease of living, and dignity has gained momentum in these 10 years.â
Focusing on the four pillars of the poor, youth, farmers and women, the interim budget of 2024-25 is the last before India goes to the polls.
With women turning up to vote in increasing numbers, in some states outnumbering men and in others influencing elections (see, for instance, here), it would seem self-evident that the governmentâs slogan of nari shakti would get a boost.
Whatâs a gender budget?
A separate statement of the Union budget, it provides an estimate of budgetary allocations and expenditure targeted towards women and girls.
This is not a separate budget for women. Rather, it is an accounting statement that clearly shows just how much is allocated under each scheme for women beneficiaries or girls.
The practice of issuing an annual gender budgeting statement (GBS) as part of the Union budget began in 2005-06. A charter on gender budget cells (GBCs) to be set up across various ministries was issued in 2007, and detailed guidelines to establish these calls at the level of the states were issued in 2012-13.
Over the past two decades, Indiaâs GBS has evolved into a comprehensive document that provides item-wise allocation and expenditure details in a clear, predictable format. The number of ministries and departments included in the GBS has more than doubled from 14 to 38.
What does the gender budget for 2024 look like?
Over the last two decades, while the quantum of the gender budget has grown, allocations have averaged between 4% - 5% of the total expenditure. The exception was financial year 2020-21, when social protection schemes during COVID-19 provided for cash transfers and other benefits to women.
This year, the total allocation under the gender budget stands at Rs three lakh crore, which is almost 6.5% of the total expenditure. This is an increase of almost 40% over the gender budget for the previous year, and the highest increase in the last decade.
Who gets the money?
Nearly 35% of the total gender budget, or Rs one lakh crore, has been allocated towards the Ministry of Rural Development for the Mahatma Gandhi Rural Employment Guarantee Scheme, which provides 100 days of guaranteed wage employment in a year, the PM Awas Yojana (rural), which aims to provide affordable housing to all, and the National Rural Livelihood Mission.
The second biggest contribution of nearly Rs 40,000 crore, or close to 13% of the gender budget, comes from the Ministry of Education, with the Samagra Shiksha scheme that aims to improve school effectiveness by providing equal opportunities for schooling and the Pradhan Mantri Poshan Shakti Nirman (PM POSHAN), the former mid-day meal scheme for school children, being leading schemes.
The Ministry of Drinking Water and Sanitationâs Jal Jeevan Schemeâs allocation at Rs 36,000 crore, and the Ministry of Health and Family Welfareâs schemes at about Rs 35,000 crores make up a further 11%-12% each of the gender budget.
The final spot in the top five ministries is taken by the Ministry of Housing and Urban Affairs, where the PM Awas Yojana (Urban)âs allocation of about Rs 26,000 crore makes up a further 8.5% of the gender budget.
Interestingly, the Ministry of Women and Child Development does not feature in the top five ministries, receiving 6.6% of the gender budget.
Hits and misses
Certainly, this year records the highest ever gender budget since the beginning of gender budgeting in India.
It has also seen the maximum annual increase in allocations and also an increase in the number of ministries and departments reporting their schemes, with the notable additions of the Ministry of Micro, Small and Medium Enterprises and the Ministry of Drinking Water and Sanitation.
There were some small but innovative allocations in the gender budget that reflect the newer aspirations of a new generation of women and girls. For instance, the addition of the Namo Drone Didi scheme trains women members of self-help groups to operate drones that will provide services for irrigation and crop quality management.
The provision of Mahila barracks with separate toilets is another allocation that reflects changing times with the increase in the number of women posted at border outposts. The budget for the the DISHA program for women in science has doubled and there is increased allocation under both the Pradhan Mantri Shram Yogi Maan-dhan (PM-SYM), a pension scheme for old age workers, which will now cover older women workers and the PM Vishwakarma scheme for skill training of women entrepreneurs.
However, the gender budget continues to be concentrated in few schemes, and even fewer ministries. This is not a symptom of the lack of intention. Ministries are keen on prioritising initiatives for gender equality and women-led development, especially since this is now a national priority. Yet, low awareness of gender budgeting accounting methods, and gender mainstreaming in fiscal policy continues to constrain the widespread use and application of gender budgeting.
(Mitali Nikore is the founder of Nikore Associates. This article was written with research support by Abhiniti Gupta, Suhruda Dasyam and Divyaanshu Sahrawat.)
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