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Published by: jaypeeuni on May 06, 2011
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New DelhiPinaki ChakrabortyT.S.RangamannarMarch 2003National Institute of Public Finance and Policy
Budgetary Subsidies in India
Subsidising Social and Economic ServicesD.K.SrivastavaC.Bhujanga Rao
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 This study has been undertaken by the National Institute of Public Finance and Policyat the instance of the Planning Commission, Government of India.The study team consists of D. K. Srivastava, C. Bhujanga Rao, Pinaki Chakraborty,and T. S. Rangamannar. Opinions and analyses here are those of the authors. The members of the Governing Body of the National Institute of Public Finance and Policy are in no wayresponsible for these.March 2003 M. Govinda RaoNew Delhi Director
This work has been undertaken at the instance of the Planning Commission,Government of India. It provides an update of the earlier study relating to
GovernmentSubsidies in India
, in connection with the preparation of the Discussion Paper, which wasbrought out in 1997 by the Ministry of Finance, Government of India.In May 2001, preliminary results pertaining to central budgetary subsidies werepresented to the Planning Commission in a meeting presided over by Shri K. C. Pant, DeputyChairman, whose observations have greatly helped us in formulating the scope as well as thecontent of the study. Several useful suggestions emerged from the discussion that followed.We thank Shri N. K. Singh, and Shri Som Pal, Members of the Planning Commission, andDr. N. J. Kurian and Dr. Arvind Virmani, advisors, for their valuable comments. As the work progressed, we have had constant interaction with Dr. Kurian who provided valuable ideasand suggestions.Subsequently, in January 2003, final results were presented before Shri K.C. Pant,Deputy Chairman, Planning Commission.This work has received active co-operation from the state governments. We hadrequested all the state governments for associating a liaison officer with this study and forother inputs and materials. We visited several states and obtained requisite information frommany of them. We would particularly like to acknowledge the help from Mr. P. K.Dutta,Principal Secretary, Finance, Government of Assam, Mr. S. K. Mittal, Principal Secretary,Finance, Government of Uttar Pradesh, Mr. S. K. Arora Principal Secretary, Finance,Government of Andhra Pradesh, Dr. C. Gopala Reddy, Principal Secretary, Finance,Government of Karnataka, and Mr. P.A. Bazeley, Principal Secretary, Finance, Governmentof Meghalaya. We are especially thankful to Mr. R. K. Bora, Commissioner and Secretary,Finance, Government of Assam, and Dr. B. M. Joshi, Secretary, Finance, Government of Uttar Pradesh, who provided valuable inputs in the preparation of the report.At the NIPFP, we have received constant encouragement from Dr. Raja J. ChelliahProfessor of Eminence, Dr. Amaresh Bagchi, Emeritus Professor, Dr. M. Govinda Rao,Director, and Dr. Ashok K. Lahiri, former Director of the Institute.Susmita Sahu, Abhijit Pathak, Manoj Bhatt, Kirti Singh and Darshy Sinha, ProjectAssociates, rendered valuable service in compiling extensive data required for the study.R. S. Tyagi, provided excellent secretarial support.We thank them all.D. K. SrivastavaC. Bhujanga RaoPinaki ChakrabortyT. S. Rangamannar

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