Freebies have now become a controversial thing with an equal number of supporters and opponents everywhere. Particularly, as the financial squeeze grows on state and central budgets after Covid lockdowns and worldwide recession, there has been a lot of talk over the financial benefits given to the needy. In this regard, AP CM Jagan Mohan Reddy had already promised as part of his Nava rathnalu that he will directly deposit money in the accounts of beneficiaries.
After the formation of YSRCP government, Jagan directed his ministers to explore different options where monetary benefits are extended to different sections of the society. This has definitely grown controversial as well, since the state had to borrow a lot from financial institutions. Various sections of Andhra society availed different benefits and even during Covid lockdown despite the state budget taking a hit, Jagan didn’t shy away from identifying the needy among different sections. This has also become a political hot potato since many opposition parties and Pro-TDP media cried foul that Jagan didn’t do the right thing.
However, if one looks at the trends worldwide, many countries, especially in the West, borrowed huge sums from the market to offer various benefits for their people. Today, their economic outlook has deteriorated and this is also one of the reasons for the deficit and recession. At the same time, still financial and social experts feel that this was the best decision in a worst situation.
Also termed as ‘putting money in the hands of people’ many feel that this definitely has helped many families all over the world to tide over the current crisis. Even Jagan didn’t pay much attention to the criticism that his government is offering many freebies. Recently the Election Commission of India and Supreme Court made some interesting arguments which have led to a lot of debate. However, such aid helped the poor when they were in need and their spending capacity is considered as one of the best social indicators. Although macro economic outlook may not view this favourably, nevertheless it has boosted Jagan’s image as a pro-poor politician.
On the national level, Modi has been criticizing AAP and Kejriwal that they are compromising long term growth and financial health. However, there has to be a fine balance which should be drawn and Jagan has been earning praise from those who are from deprived sections.
