After hearing about continuous and deafening reports of the 'messy' and 'sinking' economy for the last so many months from a section of the opposition - Rahul Gandhi said about a 2% growth, wonder how callously he'd blurted it out, without doing any homework on the subject. He will never be taken seriously by the people of India (I believe that most of his party men, too, do not take him seriously) - and the economists with Congress/left leanings, I was eagerly looking forward to, both, the pre-budget economic survey and the budget.
And finally, the pre-budget economic survey and the budget are out.
The global slowing of growth had its consequential effects on our economy and against that backdrop, the budget is innovative and forward looking. And there has been a tendency to
refrain from spending on the part of the common man. The budget has endeavoured to encourage
spending. Cheers!
Let me, now, point out the highlights of the budget:-
(a) GDP growth didn't reach the 7% target for the year and won't cross 5%. The Finance Minister
hopes that it will hit 6% next year.
(b) Industrial output grew at less than 1%. The FM tries to curb cheap imports to help Make in India.
(c) Faced with a dip in consumer spending she tried to address it through tax cuts for lower
incomes....
(d) ...that should also help tackle problem of low demand keeping down private investment
(e) ...but incentives could add to the struggle to ensure tax collection remains on target.....
(f) ....hence fiscal deficit has been pegged higher than the original estimate for this year and relaxed
for the next year too....
(g) ...global uncertainties, however, continue to cast a shadow
(h) The longer-term aim, the FM stressed, is to address aspirations, develop the economy and ensure
a caring society.
What will cost more, what won't
Dearer
- Cigarettes, tobacco products
- Imported items
* Footwear
* Furniture
* Medical equipment
* Mixer grinder
* Tableware and kitchenware (Porcelain or china)
* Fans
* Mattresses
* Lamps
Cheaper
- Imported items
* Thoroughbred horses
* Newsprint and lightweight coated paper
* Sports goods
* Microphones
* Electric vehicles
Who got what
Winners
* 1.7 trillion rupees ($23.7 billion) for transport infrastructure.
* Plan to encourage manufacture of mobile phones, electronic equipment, semi conductor
and medical devices.
* 2.83 trillion rupees for farm and rural sectors.
* 123 billion rupees for the Clean India Mission. Measures to help farm sector in water-stressed
districts.
* Developing Bharat Net, a programme to bring broadband to villages. Plan to provide 60 billion
rupees in the next fiscal.
* 993 billion rupees for the Education sector.
* Policy to allow private sector to build data centre parks could benefit all IT firms.
* Expand its national gas grid - the pipeline and city gas suppliers - to 27,000 km from 16,000 km.
* Host of steps to boost start ups.
Losers
* Plans to sell a part stake in the LIC.
* Silent on infusing new capital into state-run banks for 2020-'21.
* Proposed balancing use of chemical fertilisers with a change in incentives. A renewed focus on
zero-budget farming.
* Delay in National Logistics Policy.
* No specific measures for the Real Estate and Construction sector.
* NRIs not taxed in any nation to be taxed in India. To be categorised as an NRI, an Indian now has
to stay abroad for 240 days as against 182 previously.
Allocations.
(a) Defence 3.37 lakh crores.
(b) Railways 70,000 crores.
Tailpiece.
Got up late, around a quarter to 7, went through our chores and was ready half an hour later than usual. It was a quiet Sunday. Happy hours from a half past 7 to 9, in the evening, with our neighbour!
And finally, the pre-budget economic survey and the budget are out.
The global slowing of growth had its consequential effects on our economy and against that backdrop, the budget is innovative and forward looking. And there has been a tendency to
refrain from spending on the part of the common man. The budget has endeavoured to encourage
spending. Cheers!
Let me, now, point out the highlights of the budget:-
(a) GDP growth didn't reach the 7% target for the year and won't cross 5%. The Finance Minister
hopes that it will hit 6% next year.
(b) Industrial output grew at less than 1%. The FM tries to curb cheap imports to help Make in India.
(c) Faced with a dip in consumer spending she tried to address it through tax cuts for lower
incomes....
(d) ...that should also help tackle problem of low demand keeping down private investment
(e) ...but incentives could add to the struggle to ensure tax collection remains on target.....
(f) ....hence fiscal deficit has been pegged higher than the original estimate for this year and relaxed
for the next year too....
(g) ...global uncertainties, however, continue to cast a shadow
(h) The longer-term aim, the FM stressed, is to address aspirations, develop the economy and ensure
a caring society.
What will cost more, what won't
Dearer
- Cigarettes, tobacco products
- Imported items
* Footwear
* Furniture
* Medical equipment
* Mixer grinder
* Tableware and kitchenware (Porcelain or china)
* Fans
* Mattresses
* Lamps
Cheaper
- Imported items
* Thoroughbred horses
* Newsprint and lightweight coated paper
* Sports goods
* Microphones
* Electric vehicles
Who got what
Winners
* 1.7 trillion rupees ($23.7 billion) for transport infrastructure.
* Plan to encourage manufacture of mobile phones, electronic equipment, semi conductor
and medical devices.
* 2.83 trillion rupees for farm and rural sectors.
* 123 billion rupees for the Clean India Mission. Measures to help farm sector in water-stressed
districts.
* Developing Bharat Net, a programme to bring broadband to villages. Plan to provide 60 billion
rupees in the next fiscal.
* 993 billion rupees for the Education sector.
* Policy to allow private sector to build data centre parks could benefit all IT firms.
* Expand its national gas grid - the pipeline and city gas suppliers - to 27,000 km from 16,000 km.
* Host of steps to boost start ups.
Losers
* Plans to sell a part stake in the LIC.
* Silent on infusing new capital into state-run banks for 2020-'21.
* Proposed balancing use of chemical fertilisers with a change in incentives. A renewed focus on
zero-budget farming.
* Delay in National Logistics Policy.
* No specific measures for the Real Estate and Construction sector.
* NRIs not taxed in any nation to be taxed in India. To be categorised as an NRI, an Indian now has
to stay abroad for 240 days as against 182 previously.
Allocations.
(a) Defence 3.37 lakh crores.
(b) Railways 70,000 crores.
Tailpiece.
Got up late, around a quarter to 7, went through our chores and was ready half an hour later than usual. It was a quiet Sunday. Happy hours from a half past 7 to 9, in the evening, with our neighbour!
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