New Delhi [India], February 1 (ANI): Senior Congress leader P Chidambaram on Sunday said the Union Budget presented by Finance Minister Nirmala Sitharaman in Parliament earlier in the day has “failed the test of economic strategy and economic statesmanship.”
Addressing a press conference, the former Finance Minister said he was not sure whether the Finance Minister or the government had read the Economic Survey 2025–26 and, even if they had, they appeared to have discarded it in favour of “their favourite pastime of throwing words—usually acronyms—at the people.”
“Every pre-budget commentator and writer, and every student of economics, must be astonished by what he or she heard in the Finance Minister’s speech to Parliament today,” Chidambaram said. He added that in the current circumstances, the Budget speech should have laid out a clear narrative addressing the major challenges highlighted in the Economic Survey.
Chidambaram said the Economic Survey identified at least 10 major challenges, including stress on manufacturers and exporters due to penal tariffs imposed by the United States, prolonged trade conflicts affecting investment, a growing trade deficit—especially with China—and low Gross Fixed Capital Formation of around 30 per cent reflecting private sector reluctance to invest.
He further cited uncertainty in foreign direct investment inflows, persistent outflow of foreign portfolio investment, slow fiscal consolidation, high fiscal and revenue deficits contrary to the FRBM framework, and a growing gap between official inflation figures and household expenditure realities.
The Congress leader also highlighted the closure of lakhs of MSMEs, the survival struggles of those remaining, the precarious employment situation—particularly youth unemployment—and worsening urban infrastructure.
Chidambaram said none of these concerns were addressed in the Finance Minister’s speech. He criticised the financial management of 2025–26, pointing out shortfalls in revenue receipts and total expenditure, along with cuts in both revenue and capital expenditure.
He noted that the Centre’s capital expenditure had fallen from 3.2 per cent of GDP in 2024–25 to 3.1 per cent in 2025–26, without any explanation in the Budget speech.
Citing sectoral cuts, Chidambaram said expenditure on Jal Jeevan Mission had been slashed sharply from Rs 67,000 crore to Rs 17,000 crore, calling it cruel and detrimental to common people.
He also criticised the fiscal deficit projection for 2026–27, which is expected to decline by only 0.1 per cent of GDP, with the revenue deficit remaining at 1.5 per cent, calling it far from a bold exercise in fiscal prudence.
Chidambaram said the Finance Minister announced at least 24 new schemes, programmes, missions and initiatives, many of which he believed would disappear within a year.
Commenting on tax proposals, he said minor changes to income tax rates would impact only a small section of the population, while indirect tax concessions were limited. “Our verdict is that the Budget speech and the Budget fail the test of economic strategy and economic statesmanship,” he said. (ANI)
High-Speed Rail corridors and tourism schemes skipped Odisha: Naveen Patnaik on Budget 2026
Bhubaneswar (Odisha) [India], February 1 (ANI): Biju Janata Dal (BJD) president and former Odisha Chief Minister Naveen Patnaik on Sunday expressed disappointment over the Union Budget 2026, alleging that the Centre had overlooked Odisha in key development announcements and allocations.
In a post on X, Patnaik said the budget offered no noteworthy benefits to Odisha despite expectations from the “double-engine government” for infrastructure development, job creation and additional allocations.
While welcoming the proposal for a Rare Earth Corridor in Odisha, Patnaik criticised other announcements as outdated or exclusionary, particularly the reiteration of National Waterways proposals that he said had seen no progress for over a decade.
Patnaik also pointed out that Odisha was excluded from the seven proposed High-Speed Rail corridors and the tourism-centric Buddhist Circuit scheme, despite the state housing several significant Buddhist sites, including the Diamond Triangle.
He alleged that while Odisha continues to contribute its natural resources to the nation, it has been ignored when it comes to allocations that benefit the people of the state, urging the BJP-led state government to ensure Odisha receives its rightful dues.
Echoing similar concerns, BJD MP Sasmit Patra said the budget was disappointing, noting that Odisha was excluded from major rail corridor projects despite being part of the Purvodaya region.
Patra welcomed the proposed rare earth processing system but questioned whether it would benefit local farmers, tribal communities or the broader population.
Earlier in the day, Finance Minister Nirmala Sitharaman presented the Union Budget 2026–27 in the Lok Sabha, proposing seven high-speed rail corridors, new freight corridors and the operationalisation of 20 national waterways over the next five years. (ANI)
“Centre forgot about Goa”: Kejriwal says Union Budget ignores inflation, unemployment
Ponda (Goa) [India], February 1 (ANI): Aam Aadmi Party (AAP) National Convener Arvind Kejriwal on Sunday criticised the Union Budget 2026–27, alleging that it ignored Goa and failed to address rising inflation and unemployment.
Speaking to reporters, Kejriwal said the budget lacked any concrete blueprint for job creation and would worsen economic challenges faced by young people.
“The central government has completely forgotten about Goa. There is nothing for Goa or the people of Goa,” he said, adding that inflation and unemployment remain the biggest concerns nationwide, with no effective measures proposed.
Kejriwal also criticised the BJP-led Goa government, accusing it of corruption and poor governance over the past 15 years, and said the AAP was emerging as an alternative political force in the state.
AAP leader Malvinder Singh Kang also termed the budget disappointing, saying it failed to curb inflation, ignored Punjab, and lacked economic reforms or signs of revival, which he said would negatively impact markets. (ANI)
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