The government has accepted the recommendations of the 14th Finance Commission that seeks to enhance transfer of money to the states from the central taxes by an unprecedented 10 per cent.
Under the new arrangement 42 per cent money from the 'divisible pool' will be transferred to the states. This is 10 percentage point increase when compared with the previous 32 per cent.
In 1947, when we gained Independence, the biggest challenge in front of us was the security of the nation. It was a huge and a difficult task. And many believed that India would not be able to keep its political integrity intact.
It's really a pity and a challenge to the system particularly those who are in power, that even after 67 years of Independence, we have a lot of people living below poverty line. We have issues like rural-urban divide and serious economic disparities. Then we hear of farmers' suicides and sometimes of hunger deaths here and there. And then we get criticisms about the system not being sensitive to the vulnerable sections.
Welfare measures are not freebie. Hence, the policy culture must keep an effective balance between passion and compassion, to make the impact of underlying much more robust than in the sloganeering confine of 'greater common goods'.
To my mind, there cannot be any controversy or debate as to how to achieve inclusive growth. I think the experience of all developed and developing countries as well as India shows that in order to achieve inclusive growth we need to do five things.
The Ministry of urban development (MoUD) has published a Concept Note on Smart Cities through a very well defined and articulated framework designating 4 pillars as the foundation of this concept. The vision gets clearly defined through this simplistic yet powerful representation on the outcome that smart cities should aim to achieve as an outcome of this critical Initiative
While six months is too short a period to judge the performance of a new government, Narendra Modi has rolled up his sleeves for a slew of reforms-some have been announced and implemented, some are getting framed and some caught up in administrative, political and legislative tangles.
Narendra Modi government has replaced 65-year old Planning Commission (Yojana Aayog) with a new institution named NITI Aayog. NITI stands for National Institution for Transforming India. To bring in a lasting transformation, radical change in the process of planning and implementation of developmental work is required. Plans should be formulated at local bodies and village level on felt-need based approach.