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The Union Budget 2025 has seen a significant increase in the allocation for gender-responsive fiscal policies, with a record ?4,49,028.68 crore allocated to the Gender Budget (GB). This represents a 37.3% increase from the previous year, marking 8.86% of the total Budget. However, this increase is largely attributed to the inclusion of PM Garib Kalyan Anna Yojana, which constitutes 24% of the GB, rather than substantial investments in care infrastructure or gender-responsive schemes. This highlights the persistent underestimation of unpaid care and domestic work (UCDW) in India’s economic planning.

The Care Work Crisis: An Overlooked Economic Reality

Globally, women bear the brunt of unpaid care work (UCDW), spending an average of 17.8% of their time on such tasks. In India, this burden is particularly severe. Indian women spend 40% more time on UCDW compared to women in South Africa and China. As per the International LabourOrganisation (ILO), 53% of Indian women remain outside the labour force due to caregiving responsibilities, while only 1.1% of men face similar barriers. This deep-rooted gender inequality reinforces women’s economic disempowerment.

For marginalized women in low-income households, the burden is exacerbated. Many women juggle 17–19 hours of daily labour, balancing paid work with domestic duties, resulting in severe time poverty and poor health. Feminist economists from the Global South emphasize that in India, unpaid work extends beyond household care to include tasks such as family farming, water collection, and fuel gathering. Women often spend up to 73% of their time on these tasks due to limited infrastructure in basic services such as water, sanitation, and clean energy.

Missed Opportunities in the 2025 Budget

Despite the record increase in the Gender Budget, the 2025 Union Budgetmisses critical opportunities to address the care work crisis. The Economic Survey 2023-24 recognized care infrastructure as pivotal for women’s empowerment, yet the budget failed to translate this into significant fiscal commitments. The Jal Jeevan Mission (JJM), which aims to provide 100% potable water coverage by 2028, is a positive step but suffers from funding delays and implementation gaps. While the JJM budget increased by 195% over Revised Estimates, it saw a decline of 4.51% from last year’s Budget Estimates, underscoring allocation and spending mismatches.

Policy Recommendations: The Three R Framework

To address these systemic issues, the Economic Survey 2023-24 suggests that public investment of 2% of GDP in care infrastructure could generate 11 million jobs and reduce the care burden on women. The Three R framework — Recognise, Reduce, Redistribute, and Represent — provides a holistic approach to creating a more inclusive economy:

• Recognise: The first step is acknowledging the full extent of UCDW. India’s 2019 Time Use Survey revealed that women spend an average of seven hours daily on unpaid care tasks. Regular surveys, integrated into existing household surveys, can inform more effective policy-making.
• Reduce: The second step involves reducing the care burden by investing in time-saving technologies and affordable care infrastructure. Expanding childcare centres, eldercare support, and assistive technologies can facilitate women’s workforce participation. The Urban Challenge Fund announced in the 2025 Budget, with ?10,000 crore allocated for FY 2025-26, can finance urban redevelopment projects that integrate care infrastructure, inspired by successful models like Bogotá’s Care Blocks.
• Redistribute: Care responsibilities must be shifted from the household to the State and society. The Smart Cities Mission and the Urban Challenge Fund present opportunities to scale up care infrastructure in urban areas. This redistribution of care work can significantly ease the burden on women and encourage more equitable labor force participation.
• Represent: Women’s representation in decision-making is crucial for creating gender-transformative policies. Policies designed with women’s input are shown to be six to seven times more effective in achieving gender-equitable outcomes. Therefore, promoting female leadership in governance is essential for the success of gender-responsive policies.

Conclusion:

The Union Budget 2025 has made strides in gender-responsive fiscal policies but falls short in addressing the care economy. India has a significant opportunity to set a global example by recognizing unpaid care work, investing in care infrastructure, and redistributing caregiving responsibilities. A gender-sensitive economy, with women’s participation in decision-making, will not only uplift women but also ensure more inclusive growth for the country. The current budget highlights the need for a more deliberate, well-funded strategy to treat care work as a central pillar of India’s economic development.