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Parliament Panel Flags Budget Cuts and Poor Fund Use in Welfare Schemes for Marginalised Groups

A parliamentary committee has raised concerns about budget cuts, under-utilisation of funds, and implementation gaps in welfare schemes meant for minorities, tribal communities, persons with disabilities, and other marginalised groups in India.

The report was presented by the Parliamentary Standing Committee on Social Justice and Empowerment, chaired by P. C. Mohan, a Member of Parliament from the Bharatiya Janata Party.


Budget Cuts in Minority Affairs Schemes

The committee noted that the Ministry of Minority Affairs had proposed a budget of ₹4,758.37 crore for 2026–27, but the Ministry of Finance approved only ₹3,400 crore, about 28.5% less than the requested amount.

The panel also highlighted major cuts in Waqf-related programmes such as:

  • Qaumi Waqf Boards Taraqquiti Scheme
  • Sahari Waqf Sampati Vikas Yojana

These schemes had requested ₹50.01 crore, but were allocated just ₹32 crore, representing a 36% reduction.

Officials told the committee that the decline in spending was partly due to the Central Waqf Council remaining non-functional since February 2023, which slowed approvals and decision-making.


Scholarships for Minority Students Halted

The committee also pointed out that pre-matric and post-matric scholarship schemes for minority students have not been approved beyond 2021-22.

Scholarships have reportedly not been distributed since 2022-23 after irregularities were found in some states and Union Territories.

However, the committee said withholding the scheme entirely due to recovery of about ₹144 crore allegedly misused by institutions unfairly harms students and recommended restarting the programme in states with fewer irregularities.


Concerns Over Tribal Affairs Spending

The panel also reviewed the Ministry of Tribal Affairs, noting that only ₹8,757.04 crore had been spent out of a revised estimate of ₹10,824.18 crore for 2025–26 by February 2026.

For 2026–27, the ministry has been allocated ₹15,421.97 crore, which is lower than its proposed demand of ₹17,223.47 crore.

The committee urged the ministry to ensure that allocated funds are fully utilised within the financial year.


Issues in Disability Welfare Schemes

The report also flagged spending gaps in the Ministry of Social Justice and Empowerment, particularly in programmes for persons with disabilities.

Under the Assistance to Persons with Disabilities for Purchase/Fitting of Aids and Appliances (ADIP) Scheme, beneficiary numbers have fluctuated in recent years despite significant targets.


Key Recommendation by the Committee

The panel concluded that repeated gaps between budget allocation and actual spending indicate weaknesses in planning and implementation.

It recommended that ministries:

  • Strengthen monitoring systems
  • Set quarterly spending targets
  • Improve coordination with states and Union Territories

These steps, the committee said, are necessary to ensure welfare programmes for disadvantaged communities are implemented effectively.


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