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Adaptation to climate change in India – A study of union budgets

The study was undertaken to understand the existing public finance framework and its coherence with the policy framework of the Government of India on adaptation to climate change through a study of the Union Budgets for years 2006-07 to 2009-10 on adaptation. The expenditure on adaptation estimated by the study across all the sectors for adaptation stands at 1.7 per cent of GDP for 2006-07 which increased to 2.68 per cent of GDP as per 2009-10 budget estimates. Expenditure on human capabilities viz. poverty alleviation, health improvement and disease control and risk management, constitutes more than 80 per cent of the total expenditure on adaptation in India and scant focus is being devoted to strengthening of ecosystem services. The study also finds that sectors that are crucial to any adaptation intervention such as food security, rural and urban housing for the poor and educational infrastructure have received inadequate attention in the policy response on adaptation.