AAP’s unfulfilled promise of ₹1,000 to women resurfaces in Punjab

Rising fiscal constraints

The financial strain on the Punjab government is evident. An estimated ₹12,000 crore would be required annually to fund the women’s scheme, which Chief Minister Bhagwant Mann had promised to roll out as ₹1,100 per month before the Lok Sabha elections. Mann claimed the proposal was delayed due to the election code of conduct but remains unsigned due to the state’s fiscal health.

In recent months, the government has faced criticism for delays in paying salaries, withdrawal of subsidies worth ₹1,500 crore, hikes in VAT on fuel, and increases in bus fares. A government official remarked, “We have no plans to implement the ₹1,000 scheme now. Perhaps it will be revisited closer to the 2027 Assembly elections.”

Revenue growth falls short

While the AAP government has increased revenue from excise and GST collections, its ambitious target of ₹20,000 crore from sand mining has fallen short. Over two fiscal years, the state has earned just ₹527 crore from sand mining, with projections of ₹300 crore for the current year.

Punjab’s budget allocation underscores its financial challenges:

23% goes to debt repayment and interest.
57.5% is allocated to salaries and pensions.
25.14% is spent on power subsidies.

The government has also struggled to keep its promise of providing MSP for all crops. Though it announced MSP for moong, it failed to bridge the gap between market prices and the declared support price.

Hope and criticism

The recent release of ₹1,500 crore by the Centre, after Punjab’s compliance with branding rules, has provided temporary relief. Meanwhile, AAP’s chief spokesperson Neel Garg defended the party’s performance, saying, “We’ve fulfilled 80% of our guarantees. Free power, jobs for 45,000 youths, and clinics have been delivered. We will fulfill the promise to women as well. Revenue collections have improved, and we are arranging funds.”

Kejriwal’s announcement in Delhi, accompanied by his statement on social media, highlighted his government’s ability to manage funds efficiently. However, in Punjab, the unkept promise of ₹1,000 per month remains a contentious issue, especially as the party prepares for future electoral battles.