The finance minister’s proposal to focus on ‘rural rehabilitation’ in the upcoming budget should benefit the poor and the displaced. This, he said, will be made possible through a huge public investment, aimed specifically at ‘boosting the purchasing power of the people living below the poverty line’. Dr Mahat also said that resources would be directed to improve the investment climate, boost business confidence, help revive the economy and create the much-needed employment opportunities in the country. The proposal comes at a time when the business community has been urging the government to announce a new “economic road map” for the next decade. Needless to say, the new road map is absolutely essential for empowerment and uplift of the rural poor.

Dearth of investment in the past has been a major cause of resentment among the rural folks. Arguably, the Maoist insurgency emanated from the economic exclusion of the majority of the rural people. Fulfilling the socio-economic needs of the people living in the rural areas should thus be the government’s principal priority. Also, failure to channalise the resources in the right direction has in the past hampered the government’s poverty alleviation programmes in the rural areas. This was due to heavy reliance on a centralised system of distribution and tardy service delivery. It is refreshing to know the government is focussing on economic decentralisation, so to speak, this time around for successful execution of pro-poor programmes. Only devolution of both administrative authority and resources has the potential to bring smile on the faces of the grassroots populace.