Describing the Union Budget as 'disappointing', well known economist and columnist, Jairam Ramesh, said Finance Minister Jaswant's Singh's maiden endeavour had failed to address the problem of deceleration of economic growth, which had not risen beyond five per cent during the last five years.

In the last five years there has been an economic slowdown and the growth rate had not gone beyond five per cent, Ramesh said addressing the fourth Malayala Manorama Budget lecture 'Union Budget 2003 and Beyond' in Kochi on Thursday.

Just as the Kerala government was bankrupt, the Union government was also bankrupt, he said adding, "Government was living beyond its means." It was borrowing in order to pay its own employees and to meet its day to day expenses. Thus, resulting in an increasing proportion of borrowings being used not for investment, but for consumption.

The outcome was a growing fiscal deficit, which was presently about 10 per cent of the gross domestic product.

The finance minister had also abandoned the relevant practise of giving the fiscal deficit the 'pride of place' in the Budget, he said adding the Budget no longer recognises the centrality of fiscal deficit.