Finance Minister Arun Jaitley presented the Narendra Modi government’s first budget. Here are the highlights. See below for the 2014 Budget Highlights Annaounced by Finance Minister Arun Jaitley.
1. Two years of sub-five per cent growth has led to challenges to the economy
2. Green shoots of recovery seen in global economy
3. Slow decision making has resulted in loss of opportunity
4. We look forward lower level of inflation
5. Will usher in policy regime that will usher in higher growth, low inflation
6. Aim to achieve 7-8 per cent economic growth rate in next 3-4 years
7. Will leave no stone unturned to create a vibrant India
8. Budget proposes Plan expenditure of Rs 5,75,000 crore for current ficsal
9. Anti-poverty programmes will be targeted well.
10. We need to revive growth particularly in manufacturing sector and infrastructure
11. There is urgent need to generate more resources
12. Should we allow economy to suffer because of indecisiveness and populism
13. Task before us is challenging
14: We must continue to be watchful of CAD
15. Target of 4.1 per cent fiscal deficit is daunting but accepting it as a challenge
16. Finance Minister emphasizes on fiscal prudence, need to generate more resources.
17. Iraq crisis having impact on oil prices
18. We must address the problem of black money fully
19. We must take bold steps to enhance economic activity
20. Expenditure Management Commission will be constituted to look at expenditure reforms
21. We are for minimum government, maximum governance
22. Overall subsidy regime will be reviewed, especially food and oil. Marginalised sections and SC/ST to be protected
23. New urea policy will be formulated
24. We have no option but to take some bold steps to spurt economy; these are only the first steps and are directional
25. This govt will not ordinarily change policies retrospectively which creates a fresh liability
26. All future indirect transfers under the retro tax regime will be scrutinised by a high level committee of CBDT before action is taken
27. We are committed to providing stable tax regime which is investor friendly
28. Govt to set up a high-level Committee to interact with industry to bring about changes in tax laws if required
29. FM Proposes to enhance the scope of income tax settlement commission.
30. Govt proposes to strengthen authority for advance ruling in tax, set up more benches
31. Transfer pricing regulations for residents and non-residents being done
32. FDI in Defence sector raised to 49 per cent
33. Finance Minister Arun Jaitley takes 5-minute break; Lok Sabha adjourned for 5 minutes
34. Financial stability is foundation of rapid recovery
35. Our domestic manufacturing is still at nascent stage
36. Manufacturing units will be allowed to sell their products through retail and e-commerce
37. Budget proposes 49 per cent FDI in insurance through FIPB route.
38. Our Banking system needs to be further strengthened. Need to infuse rs 2.40 lakh crore in our banks
39. Bank capital to be raised through retail sale of shares; Govt to continue to hold majority in PSU banks
40. Govt proposes to provide finance to 5 lakh landless farmers through NABARD
41. Will examine proposal to give additional autonomy to banks and make them more responsible
42. E-visa to be introduced at 9 airports in the country
43. Govt proposes to set up 100 smart cities. Govt to provide Rs 7,060 crore for development of such cities
44. Public sector banks need Rs 2.40 lakh crore equity to conform with Basel-III norms by 2018
45. Rs 50 cr set aside for indigenous cattle breed and blue revolution for inland fisheries
46. We expect PSUs to invest Rs 2,47941 crore this fiscal
47. Infrastructre Investment Trust being set up to finance infra projects and reduce burden on banks
48. Total sanitation by 2019
49. Budget proposes Rs 1,000 crore for Pradhanmantri Krishi Seechai Yojana to improve irrigation facility
50. National multi-scale programme ‘Skill India’ to be introduced to provide training and support for employment
51. Rs 200 cr set aside for the Sardar Patel statue project in Gujarat
52. Deen Dayal Upadhaya Gram Jyoti Yojana to be launched to augment power supply in rural areas
53. Pension scheme for senior citizens being revived
54. Govt committed to providing 24×7 power supply to all homes
55. Rs 50,548 cr proposed for SC development
56. EPFO will launch a unified account scheme for portability of Provident Fund accounts
57. Govt proposes to set up committee to examine how to utilise large funds lying unused in postal schemes
58. Govt approves minimum monthly pension of Rs 1,000 per month under EPS-95 scheme run by EPFO
59. Committee will be set up to examine how unused money in postal schemes can be utilised
60. Govt announces schemes for disabled persons; to set up 15 new Braille press and revive 10 existing ones
61. Rs 14,389 crore provided for Pradhan Mantri Gram Sadak Yojana.
62. Govt to launch ‘Beti Bachao, Beti Padhao’ scheme; sets aside Rs 100 crore for it
63. Crisis Management Centres for women to be set up at all government hospitals in NCR region
64. Govt increases wage ceiling for EPFO schemes to Rs 15,000 from existing Rs 6,500 per month
65. Rs 3,600 crore provided for safe drinking water in 20,000 habitations in villages facing problem of impure drinking water
66. Budget proposes National Housing Banking programme; sets aside Rs 8,000 crore
67. Rs 2.29 lakh crore allocated for Defence budget.
68. 4 more AIIMS in Andhra Pradesh, West Bengal, Vidharba and Purvanchal are under consideration; Rs 500 cr provided
69. Each state where there is no AIIMS will be added in the coming years
70. Govt proposes to add 12 more medical government colleges
71. 5 new IIMs and 5 new IITs proposed to be set up
72. ‘Kisan’ TV channel to be launched by DD at cost of Rs 100 crore: Rs 100 crore for Community radio stations proposed
73. FM proposes National Rural Internet and Technology Mission; Rs 500 crore set aside.
74. Metro rail services to be launched in Lucknow and Ahmedabad; Rs 100 crore set aside for it
75. Budget
proposes to set up agri-infrastructure fund at a cost of Rs 100 crore; two more agri-research intitutes in Jharkhand and Assam
76. FM announces Rs 100 crore for modernisation of madrasas
77. Govt sets aside Rs 200 cr for setting up of agriculture university in AP and Rajasthan, and horticulture university in Haryana, Telangana
78. Rs 100 crore provided for providing soil card to every farmer
79. Govt committed to achieve 4 per cent farm growth; to use new technologies to boost crop yields
80. Rs 500 crore price stabilisation fund to be set up
81. Govt sets aside Rs 100 crore for initiating scheme to provide a soil health card and Rs 56 cr for soil testing labs.
82. No change in income tax rate; personal income tax exemption limit raised from Rs 2 lakh to Rs 2.50 lakh.
81. Education cess for all tax payers including corporates will continueRestructuring Food Corporation of India to be taken up on priority
82. Budget proposes Rs 200 cr for setting up 2000 producers’ organisations across the country
83. Investment limit under 80C raised from Rs 1 lakh to Rs 1.5 lakh
84. There is need to examine financial architecture of SME sector
85. Kakinada port and adjoining area to be developed
86. Rs 10,000 crore venture capital fund to be set up for MSME sector
87. Trade facilitation centres will be set up at a cost of Rs 50 crore to help handloom development
88. Definition of MSME to be revised for high capital ceiling
89. India has emerged as the largest PPP market in the world
90. Rs 200 cr provided for 6 more textile clusters in Rae Bareily, Lucknow, Surat, Bhagalpur, Mysore and Tamil Nadu.
91. Govt sets aside Rs 50 crore for Pashmina Production programme in Jammu & Kashmir
92. 1,620-km Ganga inland waterway development from Haridwar to Haldia to be completed in 6 years at a cost of Rs 4,200 crore
93. Selective Expressways parallel to industrial corridors to be taken up
94. Ultra modern super critical power projects to be set up
95. New airports to be developed through PPP mode
96. Coal linkages to be rationalised to reduce power cost
97. Rs 4200 cr set aside for Jal Marg Vikas project on river Ganga connecting Allahabad to Haldia
98. Rs 500 crore provided for ultra modern solar power plants in Rajasthan, Tamil Nadu and Ladakh in Jammu and Kashmir.
99. Use of piped cooking gas to be promoted on mission mode
100. CRT TVs exempted from customs duty to help poor
101. Basic custom duty on LCD and LEDs below 19 inch reduced to zero from 10 per cent
102. Changes in Mines and Mineral Regulation and Development Act to be introduced; royalty on minerals to be reviewed to enhance revenue for states
103. Modern monetary policy framework needed; govt to put in place such framework in close consultation with RBI
104. Govt proposes developing 15,000 km additional gas pipeline through PPP mode.
105. Clarification on tax treatment of foreign funds to be announced
106. Govt agrees in principle on consolidation of PSU banks
107. Banks will be permitted to raise long term funds without regulatory hindrances.
108. RBI to
frame policy for licensing of small banks, differential banks
109. Govt to take up pending insurance reforms bill that provides for 49 pc FDI
110. Govt to revitalise small saving scheme; special scheme to encourage saving for girl child education and marriage to be introduced
111. PPF investment limit increased to Rs 1.5 lakh from current Rs 1 lakh
112. Rs 100 crore technology development fund proposed in budget
113. Govt sets aside Rs 2,250 crore to improve weather infrastructure
114. Rs 100 crore allocated for War Memorial and war museum at Princess Park, near India Gate in Delhi
115. Rs 50 crore provided for setting up of a National Police Memorial
116. Rs 200 cr allocated for preserving heritage characters of cities like Mathura and Agra
117. Govt sets aside Rs 100 cr for inter-linking of rivers
118. Govt announces Rs 100 cr for development of Archaeological sites; Gaya to be developed as world class tourist spot
119. Integrated Ganga mission to be set up; Rs 2,039 crore provided in Budget
120. Rs 50 crore set aside for modernisation of Ghats in places like Varanasi and Patna
121. NRI fund for conservation of river Ganga to be set up
122. Rs 200 crore upgrading indoor and outdoor stadium in Jammu and Kashmir – both in Jammu and Kashmir Valley
123. Budget proposes to set up sports university in Manipur
124. Rs 100 crore set aside for training on sportspersons for the Asiad Games
125. Rs 500 crore provided for rehabilitation of displaced Kashmiri migrants
126. Rs 100 cr set aside for development of organic farming in north east region
127. Rs 200 crore provided for power reforms, Rs 500 crore for water reforms in Delhi
128. Govt to provide Rs 1000 cr for rail connectivity in north east region
129. Govt announces “Arun Prabha” channel for NE region; will be 24×7 channel
130. Non-plan expenditure pegged at Rs 12,19,892 crore for 2014-15, including fetilizer subsidy and defense spending