Centre-state Relations

The role of two policy pillars in achieving immunisation coverage of essential vaccines in India is examined by assessing the funds disbursed by the centre to the state governments under the Universal Immunisation Programme and the available physical health infrastructure in the states. It is found that funds by themselves are ineffective in improving vaccination coverage but are effective in conjunction with the available infrastructure. This finding has important implications for achieving full immunisation coverage, which stems from the sharing of responsibilities between the central and state governments under India’s federalised system of government.

Analysing the second Karnataka budget since the Fourteenth Finance Commission award, it is noted that, as assured, more fiscal space is made available to the state government. With greater untied funds, the state has budgeted for higher capital expenditure in some key areas--urban development, police, and tribal welfare--even as it failed to build capacity for power generation, and has introduced too many schemes with too little funds allocated to each.