Introduction:
- In the post-reforms period (post-1991 economic liberalization), India has witnessed changes in public expenditure on social services like education, healthcare, and welfare programs. This expenditure plays a key role in promoting inclusive growth by addressing inequality and improving the quality of life for marginalized communities.
Pattern and Trend of Public Expenditure on Social Services:
- Steady Increase: Post-reforms, there has been a gradual increase in expenditure on social services, particularly through flagship schemes like Sarva Shiksha Abhiyan (SSA), National Rural Health Mission (NRHM), and MGNREGA.
- Focus on Education and Health: Spending on education and healthcare has increased, reflecting the government’s commitment to human capital development. Recent initiatives like Ayushman Bharat further signify this focus.
- Rural Development and Welfare: The government has also directed funds towards rural development, welfare, and poverty alleviation programs, aiming to reduce inequality.
Impact on Inclusive Growth:
- While spending has increased, the quality of delivery remains a concern. Challenges like inefficiencies, regional disparities, and administrative delays have limited the impact of public expenditure on achieving inclusive growth.
Conclusion:
- Despite rising public expenditure on social services, more targeted efforts in efficient allocation, implementation, and regional equity are needed to fully achieve the goal of inclusive growth in India.