Budget 2024 marks a pivotal shift towards comprehensively embracing Environmental, Social, and Governance (ESG) principles, signalling a robust and multifaceted commitment to the United Nations Sustainable Development Goals (SDGs). The budget, widely acclaimed for its forward-thinking and strategic initiatives, aims to holistically address some of our country’s most pressing socio-economic and environmental challenges, paving the way for a more inclusive, resilient, and environmentally conscious future.
Environmental Commitment: Boosting Climate Resilience and Decarbonization (E)
The environmental provisions of Budget 2024 underscore India’s steadfast dedication to enhancing climate resilience and promoting sustainable practices across various sectors. Key allocations include ₹30,000 crore for targeted investments in irrigation and flood management projects, which are crucial for bolstering India’s ability to withstand and adapt to climate-related adversities. These projects are expected to improve agricultural productivity and stabilise rural economies (communities) that are often at the mercy of unpredictable weather patterns.
Further, the budget introduces a comprehensive taxonomy for climate finance designed to streamline and guide investments into diverse, sustainable projects. This strategic move is poised to mobilise substantial resources, with a target of ₹1.5 lakh crore over the next five years, for climate mitigation and adaptation efforts, ensuring that India is well-equipped to meet its ambitious environmental commitments.
One of the most ambitious aspects of the budget is the roadmap for transitioning 'hard to abate' industries from energy efficiency benchmarks to stringent emission reduction targets. This strategic shift aims to reduce industrial emissions by 20% over the next decade, aligning with global decarbonisation goals and positioning India as a proactive participant in the global effort to transition towards a low-carbon economy.
Social Initiatives: Empowerment Through Inclusion (S)
Budget 2024’s social initiatives demonstrate a concerted, multifaceted effort to empower marginalised communities and foster greater social inclusion, thus re-emphasising 'Sab ka Saath aur sab ka Vishwas' agenda of the Modi government. The budget focuses on improving access to quality education, healthcare, and basic amenities, particularly in underserved regions. These investments are expected to enhance human capital development and create more equitable opportunities, contributing to the nation's overall social and economic progress. The budget also prioritises the welfare and empowerment of vulnerable groups, including women, the elderly, and disadvantaged communities. Targeted interventions, such as skill development programs and financial inclusion initiatives, aim to uplift these populations and enable them to actively participate in and benefit from the country's development journey.
Governance Reforms: Strengthening Institutional Capacity and Accountability (G)
Budget 2024 also introduces a range of governance reforms designed to enhance institutional capacity, transparency, and accountability. These measures include the digitisation of government services, the adoption of data-driven decision-making frameworks, and the implementation of robust monitoring and evaluation mechanisms. It focuses on streamlining processes and improving public service delivery. These reforms are expected to foster greater efficiency, reduce corruption, and ensure that the benefits of development initiatives reach the intended beneficiaries.
Conclusion
India's Budget 2024 represents a landmark shift towards sustainable and inclusive development. The government has laid the foundation for a more resilient and equitable future by prioritising environmental protection, social welfare, and good governance. This comprehensive approach aligns with global best practices and positions India as a leader in pursuing sustainable development.
The author has a Doctorate in Strategic CSR from Santiniketan and works for HPPI, New Delhi. (Views expressed are personal).
