'Minimum Basic Income': India Won't be 1st to Implement UBI; Iran, Brazil Among Countries Which Have Experimented – Check Full List
Few countries have experimented with the universal basic income (UBI) programme even as India has been contemplating over it since the final UPA years.
New Delhi, January 29: In what is likely to set the tone for the Congress' campaign in the Lok Sabha elections 2019, party president Rahul Gandhi has announced a "guaranteed minimum basic income" programme if they get elected to power. The Gandhi scion said that India would be the first country to adopt this radical measure to eliminate poverty, hunger and malnutrition.
A scrutiny of his claim has, however, brought to light that a number of countries have experimented with the universal basic income (UBI) programme even as India has been contemplating over it since the final UPA years. Modi Govt May Roll-Out UBI to Negate Rahul Gandhi's 'Minimum Income Guarantee' Promise.
The nations which have experimented with the income scheme are either rooted in socialist movement, or deeply involved in welfare politics. The results have varied -- with some nations finding a short-term success, whereas, others revoking the same due to the strain on resources.
Check List of Countries Which Have Experimented With UBI:
Brazil: The Latin American nation became the first country in the world to implement the project on a wide-scale. In 2004, the then government had rolled-out the Bolsa Família-program -- guaranteeing basic income to households with children. The project aided the nation in combating the crisis of malnutrition. Till 2013, the amount disbursed to each family was around $30 per month, which was 4.4 per cent of the minimum wage rate then prevailing in the nation.
Iran: In 2011, then President Mahmoud Ahmadinejad introduced a UBI programme which would replace the subsidies on gas and petroleum. The move was initially unpopular -- as it led to a sharp increase in fuel prices. However, the sentiment turned in its favour within few months of implementation. As per the scheme, near-about $40 was disbursed to each household per month.
Mexico: Between 2005 to 2009, the Mexican government had rolled out a policy, titled Programa de Apoyo, which provided each household with an amount equivalent to 10 per cent of minimum wage rate, or food equivalent of the same amount. Due to inefficiency in implementation, along with financial strains, the policy was revoked.
Namibia: For a one-year period, between 2008-09, two Namibian villages hit by acute malnutrition were provided basic income under a pilot project. The programme was funded by the German protestant church, and it succeeded in addressing the food concerns of the populace for the 12-month period. Its success has forced the governments in poverty-ravaged African nations to consider UBI as a poverty-alleviation project.
Apart from these four nations, pilot projects to test basic income has been carried out on a small scale in other nations as well, including the United States and India. In the former, the scheme was implemented in Alaska, where the government has undertaken massive oil extraction projects. In 2015, when the oil prices had peaked in the US, each household was provided an annual dividend of $8,288.
(The above story first appeared on LatestLY on Jan 29, 2019 07:03 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).