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Congress Promises ‘Minimum Income Scheme’ for 250 Million Poor People

But the promise has turned the spotlight on an idea that is getting attention - an income for the country’s lowest economic strata

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The ruling Bharatiya Janata Party has dismissed it as a “false dream” being shown to the people and pointed out that there are already a number of social welfare schemes for the poor. VOA

In an effort to seize the initiative from Indian Prime Minister Narendra Modi’s Bharatiya Janata Party, the main opposition Congress Party has held out the promise of creating the world’s largest “minimum income scheme” for nearly 250 million poor people if voted to power in general elections beginning in two weeks.

Critics have slammed it as a populist measure to entice voters and questions have been raised on the funding of a scheme estimated to cost $52 billion. The ruling Bharatiya Janata Party has dismissed it as a “false dream” being shown to the people and pointed out that there are already a number of social welfare schemes for the poor.

But the promise has turned the spotlight on an idea that is getting attention – an income for the country’s lowest economic strata.

“The final assault on poverty has begun,” Rahul Gandhi, the head of the Congress Party, said as he announced his pledge to give 20 percent of India’s poorest households, or 50 million families, a guaranteed income of about $1,050 a year.

Gandhi gave no details about how the ambitious project would be financed, but said that it would be fiscally prudent. “We’ve done all the calculations, we’ve asked the best economists.” It is being called “Nyay,” which means justice in Hindi.

Political analysts see the Congress Party’s announcement as a bid to outdo Prime Minister Modi, who last month announced a much more modest annual $90 cash handout for poor farmers. “The bigger the better in politics” was the refrain of many commentators.

 Satish Misra, a political analyst in New Delhi, said the Congress Party’s promise would get resonance with tens of thousands of people disillusioned that the “good days” Modi promised when he came to power have proved elusive. “There is joblessness in the rural countryside, there is agricultural distress, people will look at this.”
Misra says it would bring attention back to bread and butter issues at a time when the ruling party has chosen to turn the focus on national security in the wake of recent tensions with Pakistan. “It would take the steam out of the external security narrative that the ruling party has been touting.”

A cross section of unskilled migrants from the countryside who flood mega cities like New Delhi and Mumbai in search of a livelihood say their principal challenge is not lack of an income, but meager wages.

“What I earn is barely enough to support me. I can’t think of any future,” said 36-year-old Parmanand Bhagat, who drives an electric rickshaw after trying his hand at two other occupations since he came from his village four years ago – working as a security guard and selling food on the pavement. “Only if I get some more money, I can plan ahead.”

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Congress party General Secretary Priyanka Gandhi Vadra meets supporters as she arrives at Assi Ghat in Varanasi, India, March 20, 2019. VOA

Ramanand, a gardener who migrated three years back hoping to earn money to send back to his family in the village, faces the same challenge – his income of about $ 120 a month does not support their basic needs. “Buying enough food is a problem, clothing, education for my children, are also a challenge.”

 The scheme has been announced at a time when the concept of a universal basic income has got attention in some developed countries such as Finland and France. In India, the debate has centered on giving an income to the poor. While a growing economy has rapidly lifted tens of millions out of poverty cutting the numbers of poor people by half since 2005, the country is still home to one-third of the world’s poor. Income disparities with its burgeoning middle class are huge. The country’s Economic Survey of 2016-17 studied the idea and even presented a model.

Economists say handing out a basic income to the poor would be viable if India phases out the hundreds of existing social welfare subsidies, such as cheap food for the poor, fertilizer subsidies for farmers and a rural jobs guarantee scheme that account for about 12 percent of the budget. Their success in tackling poverty has often been questioned: the subsidy programs are riddled with corruption and leakages.

But many caution that may never happen – the Congress Party has already said it will not end existing subsidies. “This will be an additional burden and can easily aggravate your financial situation,” warned Niranjan Sahoo at the Observer Research Foundation in New Delhi. He said it is very difficult to phase out existing subsidies. “For the simple reason, there will always be a strong vested constituency that would fight tooth and nail that it continues.”

india, congress, elections
Indian Prime Minister Narendra Modi addresses an election rally at Dumi village in Akhnoor, about 20 kilometers from Jammu, India, March 28, 2019. VOA

While the debate continues, the key issue as election campaigning reaches fever pitch is: will the poor in India be swayed with the lure of cash in their pockets? Many are cynical, calling it an election promise that will never see the light of day. Others say they do not want a handout but decent work.

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“I want to be paid a better wage, around $200 a month. We can work hard,” said Lakshmi Devi, who has a young son and whose husband never holds down a steady job. Lakshmi, who works as a helper in an office earning about $120 is emphatic. “We don’t want doles.”

And gardener Ramanand feels a payout will not solve the challenge of a brighter future for his children. “It can make us happy for some time, but it is also true that we will still be troubled, there will still be sadness inside us.” (VOA)

Next Story

Congress To Use Tribal Card to Regain Power in the Country

Congress to use tribal card to improve countrywide position

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Congress Chhattisgarh
Congress will be using the tribal card to regain dominance and their plan of action will begin from Chhattisgarh. Wikimedia Commons

BY SANDEEP PAURANIK

In order to regain dominance in the country, the Congress is mulling using the tribal card. This plan of action is to be first implemented in Chhattisgarh.

Riding on the success of the Assembly and urban body elections, the Congress feels that it can increase it base through tribals as they constitute 8 per cent of the total population.

The Bharatiya Janata Party (BJP) in the first three Assembly elections in the state, after its formation in 2000, recorded huge victories and came to power. But after the Assembly elections held last year, the scenario changed. After registering a victory in the Assembly elections and then in the urban body polls, the Congress showed that it still dominates the tribal areas.

Rahul Gandhi Congress
Former President of Congress Rahul Gandhi gave an important message while innaugrating the National Tribal Dance Festival in Raipur. Wikimedia Commons

The Congress gave the responsibility of the tribal areas to the tribal leader of Madhya Pradesh Umang Singhar which eventually helped the party. Now, the party is planning to spread out nationwide through Chhattisgarh.

Former party president Rahul Gandhi, while inaugurating the National Tribal Dance Festival in Raipur, gave a message to the tribals who are here to participate in the festival that the Chhattisgarh government is working for all the sections and this is the reason why there has been a downward trend in naxal attacks and the state economy has also improved.

The Congress is planning to publicise the improvements in Chhattisgarh throughout the country because the tribal population in the state is 32 per cent.

BJP media panellist Sandeep Sharma, however, claims that the party’s base has not shrunk. He said till Madhya Pradesh and Chhattisgarh were not divided, the Congress was strong in the area but in the elections held after three years of the bifurcation, the BJP won the Assembly elections and was in power for 15 years. Though we faced defeat in the 2018 elections, the only reason was that people wanted a change but they were not angry with the BJP, he claimed.

The BJP won in the Lok Sabha elections and the margin in the urban body elections was also not much. So, it would be inappropriate to say that the BJP’s base has shrunk, he said adding that in one year the Congress’ base has declined by 9 per cent whereas in Assembly elections it got 12 per cent more votes and in urban body elections the margin was 3 per cent.

Congress
The Congress is planning to publicise the improvements in Chhattisgarh throughout the country. Wikimedia Commons

Analysing the political landscape of the state, political analyst Rudra Awasthi said, “When it was Madhya Pradesh then the Congress had stronghold in Chhattisgarh. Several big leaders were also from the state but after the formation of Chhattisgarh since Ajit Jogi was accused of being a fake tribal the Congress lost its stronghold over the tribals. Though it continued to dominate in some of the areas which helped it in regaining the power.

“As of now, the Congress has started including the tribals with the backward class. First Bhupesh Baghel was the state chief of the party and he was replaced by Mohan Markam as he became the Chief Minister. During the Assembly elections, the Congress talked about the identity of the tribals which helped the party. After winning the elections, the decisions of the Congress government were in favour of the tribals which helped the party in the urban body elections,” said Awasthi.

Also Read- Unity in Diversity is the Strength of the Country: Rahul Gandhi

The Congress is mulling over spreading its message to the tribals across the country through the three-day festival going on here. For this several senior leaders of the party will attend the festival and share the government’s schemes while giving the message that the Congress government in the state has brought a positive and a significant change in the lives of the tribals. (IANS)