Fiscal policy, gender equity, and development: a study of Gender Budgeting in Himachal Pradesh

Introduction

GB has become a critical mechanism in pursuit of GE, used to systematically assess spending and public revenues through a gender lens. It encompasses the application of gender analysis to all phases of the budgeting process - formulation, implementation and evaluation. GB aims to guarantee that public resources are allocated fairly, by meeting the distinct needs of different genders and thus promoting an inclusive social and economic environment. This approach is significant not only to correct the biases inherent in sexes in fiscal policies, but also to question traditional gender roles, thus promoting a substantial social change and promoting GE.

The empowerment of women through GB is rooted in its ability to improve access to essential resources, services and opportunities. According to Showkat et al. (2024), GB plays an instrumental role in obtaining financial autonomy for women by facilitating their access to education, health care and opportunities for the labour market. By allowing targeted investments in women initiatives, GB helps reduce income disparities and mitigate the obstacles to the full participation of women in the economy. This empowerment extends beyond simple financial independence; It encompasses the broader spectrum of social empowerment, where women are increasingly participating in decision - making processes, paving the way for a more equitable representation. The state of Himachal Pradesh has also introduced GB recently that examination of which forms the primary focus of the current study.

Gender Budgeting in Himachal Pradesh

The GB is a policy tool designed to integrate gender considerations into the government budget processes, thus ensuring that the allocation of resources addresses the different needs and priorities of women and men (Ahmad, 2023). In the context of Himachal Pradesh, a state characterized by different socio- economic challenges, the relevance of the GB cannot be exaggerated. Women in this region often fight with problems such as limited access to education and medical care, gender violence and economic disparities, all of which hinder their potential for socio - economic empowerment and progress (Singh and Kumar, 2025). When analysing how public funds are distributed and spent, the GB seeks to promote women empowerment and improve the results of GE, thus transforming socio- economic landscape for women.

The growing recognition of the GB as a mechanism to promote the empowerment of women in Himachal Pradesh is indicative of a broader change towards the formulation of inclusive policies. This evolution highlights the interdependence between budget allocations and tangible impacts on women empowerment efforts in several sectors. However, understanding the specific implications of these policies requires a detailed analysis of their implementation, effectiveness and sociocultural dynamics at stake. Previous studies have shown variable impacts of such initiatives, which reflects the disparities in accessibility and the use of resources by women of different socio- economic origins (Mishra, 2025). In the light of these complexities, the study aims to explore the intricate relationship between the GB and the empowerment of women in Himachal Pradesh, evaluating how they have gone to the policies implemented to address the systemic barriers for GE. The study also aims at underscoring the experiences of women in the region, examining to what extent government assignments are translated into real changes in their lives, while considering future perspectives to improve GE results. When highlighting this link, the analysis seeks to contribute to the ongoing discourse surrounding the GB and the empowerment of the defenders of the search for comprehensive GE initiatives in Himachal Pradesh. The GB represents an innovative approach to public financial management that tries to deal with the systemic inequalities faced by women and promote their strengthening through targeted tax policies. In the context of Himachal Pradesh, a state recognized for its panoramic beauty and the rich cultural heritage, GB emerged as a significant tool to advance women rights and improve GE. This analysis explores the intersection of the GB and the empowerment of women, focusing on relevant policies, their impacts and future perspectives for achieving GE within the region.

Over the years, the state of Himachal Pradesh has implemented several key policies that are aligned with the principles of GB. These include initiatives aimed at improving women access to education, medical care and employment opportunities, which are crucial to promote women empowerment. The BHA program, for example, has been designed to improve the education and well- being of the girl, while the MGNREGA has facilitated the participation of women in the workforce, promote economic independence (Dev et al., 2025; Sharma; Nain, 2023). These policy initiatives not only reflect a commitment to gender - sensitive governance, but are also aligned with broader national frameworks, such as sustainable development objectives (SDG), which aims to explicitly achieve GE and train all women and girls. The integration of the GB within these policies serves to further reinforce their effectiveness, ensuring that financial resources are aimed at addressing the specific barriers faced by women.

The Himachal Pradesh government started the GB in 2008, adopting a picture aimed at integrating gender considerations in the state planning and budget processes. The process provides for the evaluation of the allocation of resources through a gender lens, ensuring that the specific needs of women are identified and effectively satisfied. Key policies, such as the state policy of Himachal Pradesh for women (2016) and various schemes designed to improve women entrepreneurship and access to education, illustrate the state commitment to enhance women. These policies are basically rooted in recognizing the socio- economic disparities that women in Himachal Pradesh face, which include limited access to the opportunities for health care, education and employment.

A significant impact of GB in the region can be observed in the major financial allocations towards women well- being patterns. For example, the BHA scheme, which focuses on the strengthening of girls through education, has received significant budget support pursuant to gender awareness initiatives. Studies indicate that these tax commitments have led to higher enrolment rates of girls in schools and to better conservation, thus contributing to the long - term empowerment of women by promoting school performance. Furthermore, the introduction of development programs for the skills aimed at women, reflects a growing recognition of the need to provide women with skills for sustainable subsistence means.

Despite these positive developments, the challenges persist in the implementation and monitoring of GB effectively. A significant concern remains the persistent social and cultural norms that continue to undermine women empowerment. The data suggest the variability in the execution of programs focused on the genre, with some regions that live disparity of involvement and results. In addition, an inadequate ability between local governance institutions to analysed gender related data further hinders the effectiveness of gender budget initiatives. This indicates the need for a more robust institutional framework that can support the momentum of GB and ensure that its benefits are equally distributed in all segments of the population.

The future prospects for GE in the Himachal Pradesh depend on the continuous improvement of GB practices and the expansion of women empowerment policies. Commitment to local communities to raise women items in decision - making processes can improve the effectiveness of these initiatives. Furthermore, promoting inter- departmental collaborations can help simplify the implementation of gender awareness programs, guaranteeing a more holistic approach. Forestry policies that incorporate gender integration into all sectors, including health, education and employment, will be essential to catalyse substantial changes towards GE.

It can be argued that while the intersection of the GB and the empowerment of women in the Himachal Pradesh presents both opportunities and challenges, the commitment below for tax policies sensitive to the genre has the potential to transform the socio- economic panorama for women. Continuing to analyse and adapt these initiatives, Himachal Pradesh can constitute a precedent for other regions in India, strengthening the meaning of GB as a catalyst for women empowerment and long - term GE. The analysis of GB policies in Himachal Pradesh reveals a multifaceted impact on the women empowerment, in particular in key sectors such as agriculture, education and health. The initiatives aimed at integrating the genre in budget allocations have led to substantial changes in the distribution of resources, positively influencing the involvement of women in these sectors (Pulikkamath, 2023; Behl et al., 2023). For example, the allocation of funds specifically for agricultural programs focused on women has facilitated greater participation of farmers in decision - making processes, thus improving their negotiating power within families and communities. Empirical studies indicate that greater access to financial resources allows women not only to participate more actively in agricultural activities, but also to carry out financial autonomy and financial control over income (Singh, 2024; Kumar, 2023).

The role of schemes such as MGNREGA is decisive for promoting work opportunities sensitive to the genre. By setting that a significant part of the benefits for employment accumulates to women, this program has been fundamental in increasing the participation of the women workforce. Study cases show that the successful integration of gender prospects in MGNREGA has led to a remarkable decline in gender disparities, with women who earn financial independence and the enhanced agency (Husain et al., 2025; Aggarwal & Gupta, 2025). For example, in specific districts within Himachal Pradesh, beneficiary women have brought greater involvement in the financial decisions of families and a stronger item in their communities, which is essential for long - term Empowerment.

Despite these positive developments, policies face substantial challenges that hinder their complete impact on the women empowerment. Systemic barriers, such as patriarchal norms and socio - cultural expectations, continue to undermine the women agency, their ability to fully capitalize the benefits provided by GB initiatives (Chauhan, 2024; Gothwa & Siwach, 2025). The cultural resistance towards the public participation of women and economic independence prevents the effectiveness of GB policies. Women often encounter difficulties in accessing financial resources assigned to them due to limited mobility, lack of awareness and inadequate support systems. In addition, the intersectionality of the socio- economic factors further complicates the panorama of the empowerment of women in the Himachal Pradesh. Women belonging to marginalized communities face high challenges due to rooted inequalities and limited access to educational and health resources, which worsens their social and economic vulnerabilities. Therefore, while the GB presents a path to improve women empowerment, the intersection of the genre with other dimensions of identity and circumstances remains fundamental to understand the effectiveness and sustainability of these policies.

Thus the analysis of GB policies in the Himachal Pradesh demonstrates both progress and persistent challenges in the search for women empowerment. The continuous evolution of these policies requires a nuanced approach that not only focuses on financial inclusion, but also faces the fundamental socio- cultural barriers that inhibit women from fully realizing their potential in society., The future perspectives of GE in Himachal Pradesh depend on several interrelated factors, including changes of recent policies and the potential to improve GB initiatives that promote women empowerment. The state government has begun to recognize the importance of integrating a gender lens in budgetary assignments, influenced by national frameworks and international commitments with GE (Thakur and Dalal, 2025; Sikdar and Anand, 2025). Emerging opportunities for women empowerment are intricately linked to the participation of interested parties, defining a collective vision for processable policies. Government organisms, non - governmental organizations (NGOs) and community leaders play a crucial role in the elaboration of inclusive policies that respond to the nuanced needs of women, particularly in rural contexts (Sunda and Kannan, 2025; Singh, 2024).

The collaboration of interested parties is vital to ensure that the GB is not simply a theoretical framework but a practical tool for a transformative change. The active participation of local women groups, for example, offers information on the specific barriers of the community and the possible solutions that are often overlooked to higher levels of formulation of higher policies. Through participatory budget processes, women can articulate their priorities and influence decision - making, ensuring that policies reflect their needs and aspirations. Such commitment encourages responsibility between policy formulators and improves the general effectiveness of gender- centered initiatives.

The incorporation of a feminist perspective within the broader rural development agenda further expands the framework to achieve GE in the region. This perspective emphasizes the importance of sustainable practices that not only address the immediate economic needs of women, but also improve their agency and general participation in social decision making (Mishra, 2025; Shah and Desai, 2024). By prioritizing women in agricultural policies, skills development programs and access to digital technology, interventions can be designed to dismantle patriarchal structures that limit women in family and economic spheres. These initiatives, together with the gender sensitive budget, promise to facilitate a more equitable distribution of resources while promoting social equity. Future strategies should also include a solid monitoring and evaluation component to evaluate the impact of the GB on women empowerment. Continuous feedback loops that inform policy settings in response to emerging challenges are essential for sustainable progress. In addition, the use of data broken down by gender in several sectors will allow political leaders to better understand the barriers faced by women and track improvements over time.

In the light of these considerations, a road map for future policies must cover a multifaceted approach that combines legislative reforms with base activism and support systems. Identifying synergies between economic development initiatives and the budget that responds to gender can lead to comprehensive strategies that not only raise women but also contribute to the general socio - economic development of Himachal Pradesh. The interaction of these elements will ultimately draw a course towards sustained GE and empowerment for women in the region, creating a model that could be replicated in other contexts that face similar challenges (Kumar, 2024).

Hence, Gender Responsive Budget initiative can help to bridge these gaps by ensuring that public money is raised and spent more effectively. Working on this idea, the Government of India firstly, integrated Gender Responsive Budgeting in India's Budgeting Process in 2005- 06 and since then it has been preparing & publishing the Gender Based Statements (GBSs) every year. GB Statement of the Government of India is divided into two parts - Part- A i.e. Expenditure on 100% women- specific programmes and Part- B i.e. Expenditure on Programmes where at least 30% women are covered. The promotion of GE is also at the heart of the social as well as economic policies of the Government of Himachal Pradesh. In order to mainstream Gender Responsive Budgeting in legislations, policies & programmes, the State Government also envisaged preparing GB Statements (Financial & Physical) annually starting from financial year 2022- 23 so that a reporting mechanism is developed & adopted to Page - 1 review the progress of departmental schemes from a gender lens/perspective (Government of Himachal Pradesh GB Statement, 2024- 25, p:1).

Objectives of GB

Women, both as direct beneficiaries and agents of social transformation constitute the primary stakeholders in the GB framework. Planning Department has a crucial role in determining financial allocations through critical consultations with diverse stakeholders. It also ascertain the developmental priorities and stages. The Women and Child Development Department (WCDD) acts as the nodal agency. It is responsible for the total mandate of promoting GE across different sectors. Other departments such as Health, Education, Empowerment of SCs, OBCs, Minorities and Specially Abled (MSA), and Labour and Employment are primarily responsible for the implementation of genderspecific schemes. Besides the governmental stuff scholars, researchers, women's organizations, NGOs, civil society and voluntary organizations, elected representatives, media play a significant role toward the advocacy, accountability, and informed public discourse.

GB in Himachal Pradesh acts as an analytical and normative policy instrument that focuses on embedding gender equity in the state's financial landscape. It primarily aims at critically examine the annual budget to assess gender- differentiated outcomes, thus translating policy commitments into gender justice through tangible budgetary allocations. Instead of constituting a separate budget GB seeks to mainstream women's concerns within the general budget by promoting targeted, gender- sensitive interventions across key sectors such as health, education, social security, labour, and employment (HP Gov. 2024- 2025). The preparation of a dedicated GB document further enables systematic identification of women- specific schemes and links financial outlays with physical achievements. Ultimately, the framework aspires to institutionalize GE as an integral outcome of public expenditure and development planning (UN Women, Asia and the Pacific, 2025).

Strategies adopted (2024-25 GB)

In order to underscore the actual status of women participation and the benefits forwarded to them through different departmental schemes, the budget statements of Gender Responsive Budgeting are divided into two sections i.e. Financial & Physical. Schemes that target only women have been placed in Category- 1 and the schemes with less than 100% women beneficiaries are and other gender beneficiaries in Category- 2. Another category of the scheme (Category- 3) has been identified which intend to benefit all genders equally without any discrimination and it is almost impossible to know exact number of individuals belonging to different genders who stands benefitted from this scheme. The strategic architecture underpinning the GB framework for the financial year 2024–25 reflects a deliberate attempt to balance gender- targeted interventions with universally accessible development schemes whose benefits are inherently non- excludable and gender- neutral in character. Core infrastructure and service- oriented initiatives—such as road connectivity, water supply, irrigation, veterinary services, agricultural inputs (whether partially or fully subsidized), and health and education infrastructure—generate both direct and indirect welfare outcomes for all genders without discrimination (HP Gov. 2024- 2025).

Owing to their public- good nature and diffuse impact pathways, it remains analytically impracticable to disaggregate beneficiaries of these schemes along gender lines, a limitation explicitly acknowledged in the documentation. Consequently, Category- 3 schemes are excluded from beneficiary quantification statements, even as they command a substantial budgetary outlay of ₹4,72,710.00 lakh, accounting for 47.32 percent of the State's total development budget. The Financial Statements emphasize expenditure analysis of women welfare- oriented schemes, while 'Physical Progress Statements' attempt to correlate financial allocations with measurable outputs, thereby enhancing fiscal transparency. Within this broader framework, a provision of ₹3,06,452.85 lakh—30.68 percent of the total development budget of ₹9,98,949.00 lakh—has been earmarked for women- oriented schemes. The GB encompasses 32 schemes across 9 departments that are exclusively women- specific, alongside 100 schemes across 19 departments with mixed- gender beneficiaries. Of the total women- oriented outlay, ₹52,860.59 lakh (17.25 percent) supports fully women- specific schemes, while ₹2,53,592.26 lakh (82.75 percent) is allocated to schemes with partial gender targeting, underscoring a layered and inclusive strategic approach (HP Gov. 2024- 2025).

Category-wise Gender Budget 2024-25 (Rs.in lakh)

S.No.	Name of Department	Category-1 (100% Women)	Category-2 (Below 100% Women and other Gender)	Total
1	Health	14200.33	1780.52	15980.85
2	Police	763.90	-	763.90
3	Rural Development	86.00	31830.00	31916.00
4	Higher Education	414.36	7302.09	7716.45
5	Women & Child	10476.00	35593.60	46069.60
6	SCs, OBCs, Minorities & Specially Abled	26793.22	119902.00	146695.22
7	Food, Civil Supplies & Consumer Affairs	3.00	18050.00	18053.00
8	Technical education	43.78	239.00	282.78
9	Transport	80.00	8537.00	8617.00
10	Elementary Education	-	13327.00	13327.00
11	Agriculture	-	1733.00	1733.00
12	Fisheries	-	866.05	866.05
13	Horticulture	-	155.00	155.00
14	Tourism	-	45.00	45.00
15	Industries	-	1970.00	1970.00
16	Urban Development	-	936.00	936.00
17	Animal Husbandry	-	1345.00	1345.00
18	Art & Culture	-	500.00	500.00
19	HIMURJA	-	110.00	110.00
20	Labour & Employment	-	9371.00	9371.00
	Total	52860.59	253592.26	306452.85

Source: HP Government, Department of Planning, 2025

The category- wise gender budget for 2024- 25 shows a significant emphasis on schemes with mixed- gender beneficiaries, reflecting a mainstreaming approach rather than exclusive targeting. Out of the total outlay of 3,06,452.85 lakh, Category- 2 schemes holds a dominant 2,53,592.26 lakh. It signifies that gender responsiveness is largely embedded within broader development programmes. Nevertheless, a undoubtedly budget of 52,860.59 lakh to Category- 1 also reveals a consistent commitment to exclusively women- oriented interventions, chiefly within departments such as WCD and ESOMSA. High allocations to the departments of social welfare like health, education, rural development, and labour shows an integrated strategy wherein women's empowerment is pursued through both targeted welfare measures and inclusive public service delivery.

Conclusion

This study reveals that GB in the state of Himachal Pradesh has progressed into an important instrument of gender- responsive rule, with tangible implications for women's empowerment across different socioeconomic sectors. By adopting a gender approach in policy making and financial planning, the state has succeeded in transforming normative commitments to GE. The BHA and MGNREGA programmes have shown how targeted expenditures can enhance women's access to education, employment, and income- generating opportunities, thereby strengthening their agency within households and communities. Empirical evidence also signifies that GB allocations in agriculture, health, and education have helped in improved participation, decision- making power, and financial autonomy among women.

The present investigation also notes that persistent structural and sociocultural constraints restrict the transformative potential of GB. Patriarchal structures, regional diversities and disparities in implementation, inadequate institutional strength for gender- disaggregated data analysis, and intersectional vulnerabilities among peripherised women continue to mar the equitable outcomes. These problems show that GB cannot operate effectively as a purely technical fiscal tool; but it has to be rooted in a broader institutional reform, participatory governance mechanisms, and sustained social change initiatives. Therefore, the consolidation of GB in Himachal needs a robust monitoring and evaluation system, better inter- departmental coordination, and dynamic engagement of local communities and women's groups. If continuously refined and contextually grounded, GB holds the potential to advance GE and to serve as a replicable model for inclusive development in comparable regional contexts.