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Comparison of Union Budget 2014-15, 15-16, 16-17, 17-18

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Comparison of Union Budgets of India

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Comparison of Union Budget 2014-15, 15-16, 16-17, 17-18

  1. 1. Union Budget BUS 302 Presented by:- Shubham Singh Presented to:- Prof. Soumitra Mookherjee
  2. 2. • Union Budget of a year, also referred to as the annual financial statement • Statement of the estimated receipts and expenditure of the government for that particular year • Union Budget keeps the account of the government's finances for the fiscal year that runs from 1st April to 31st March. Union Budget is classified into Revenue Budget and Capital Budget Union Budget
  3. 3. • Revenue budget includes the government's revenue receipts and expenditure • There are two kinds of revenue receipts -tax and non-tax revenue • Revenue expenditure is the expenditure incurred on day to day functioning of the government and on various services offered to citizens • If revenue expenditure exceeds revenue receipts, the government incurs a revenue deficit Revenue Budget
  4. 4. Capital Budget • Capital Budget includes capital receipts and payments of the government • Loans from public, foreign governments and RBI form a major part of the government's capital receipts • Capital expenditure is the expenditure on development of machinery, equipment, building, health facilities, education etc • Fiscal deficit is incurred when the government's total expenditure exceeds its total revenue
  5. 5. Union Budget 2014-15 • Rs.70.6 billion (US$1.1 billion) provided for the development of Smart Cities in India • Rs.10 billion (US$160 million) provided for irrigation • 5 New IITs and IIMs and four new AIIMS in India • New airports scheme in tier 1 and 2 cities • Schemes for development of sports across the country
  6. 6. Foreign Direct Investment • FDI cap in Defense and Insurance sector has been increased to 49% from 26% • FDI in real estate for low cost housing
  7. 7. Personal tax and exemption limit • No changes in personal income tax slabs. But tax exemption limit has been increased to Rs.250,000 from Rs. 200,000 for those below the age of 60 • Income tax exemption limit for senior citizens has been raised to Rs. 300,000 • Investment limit under Section 80C has also been increased to Rs. 150,000 from the current Rs. 100,000 • Housing loan interest rate deduction limit has been increased to Rs. 200,000
  8. 8. Excis e Duty • To encourage the growth in capital goods and consumer non-durables, it has been proposed to reduce the excise duty from 12 percent to 10 percent on all goods falling • Excise duty on small cars, motorcycles and commercial vehicles have been proposed to cut from 12% to 8% • Excise duty on SUVs has been reduced from 30% to 24% • To encourage domestic production of mobile handsets and reduce the dependence on imports, excise duty on mobile handsets will be 6% with CENVAT credit or 1 % without CENVAT credit. Excise Duty
  9. 9. Service tax • Proposed to exempt loading, unloading, packing, storage and warehousing of rice from the ambit of service tax • The services provided by cord blood banks being the healthcare services have been proposed to be exempted from the levy of service tax
  10. 10. Financial Sector • It has been proposed to provide 11,200 crore for capital infusion in public sector banks • An amount of 6,000 crore provided to the Rural Housing Fund and 2,000 crore to the Urban Housing Fund • A target of 8,00,000 crore has been set up for 2014- 15 towards the agricultural credit being provided by the banks
  11. 11. Manufacturing • The National Manufacturing Policy has set the goal of increasing the share of manufacturing in GDP to 25 percent and to create 100 million jobs over a decade • Additional capacities are being installed in major manufacturing industries such as steel, cement, refinery, power and electronics
  12. 12. Economic Initiatives • The FDI policy was liberalized with a view to attract larger investments in telecommunication, pharmaceuticals, civil aviation, power trading exchanges and multi-brand retail • About 50,000 MW of thermal and hydel power capacity is under construction after receiving all clearances and approvals and 78,000 MW of power capacity has been assured coal supply • Seven nuclear power reactors are under construction with the aim of achieving an installed capacity of 10,080 MW by the end of the Twelfth Plan • It is proposed to take up four ultra mega solar power projects each with a capacity of over 500 MW in 2014-15
  13. 13. Social Sector Initiatives • In order to promote entrepreneurship among the scheduled castes and to provide them concessional finance, IFCI will set up a Venture Capital Fund for Scheduled Castes. Consequently, it has been proposed to provide an initial capital of 200 crore, which can be supplemented every year • The restructured Integrated Child Development Services (ICDS) has been implemented in 400 districts and will be rolled out in the remaining districts from 1.4.2014 • National Agro-Forestry Policy 2014 having multiple objectives including employment, productivity, conservation and adaptation has been approved by the Government
  14. 14. Cont. • To promote community radio stations, a new plan scheme with an allocation of 100 crore has been approved • Ministry of Health and Family Welfare has delivered new technologies to the people: the JE (Japanese Encephalitis) vaccine, a diagnostic test for Thalassaemia, and a Magnivisualizer for detection of cervical cancer • To ensure the dignity & safety of women, set up the Nirbhaya Fund & propose 1000 crore
  15. 15. Interim Budget Overview • Plan expenditure for the coming fiscal has been fixed at Rs 5,55,322 crore, unchanged from current year, and non-Plan expenditure at Rs 12,07,892 crore, marginally higher than 2013-14. The following are the individual estimates:
  16. 16. Cont. • Budgetary support to Railways has been increased from 26,000 crore in 2013-14 to 29,000 crore in 2014-15 • Non-plan expenditure in 2014-15 is estimated at 12,07,892 crore. Of this, the expenditure on subsidies for food, fertilizer and fuel will be 246,397 crore • The allocation for defense has been enhanced by 10 percent from `203,672 crore in 2013-14 to 224,000 crore in 2014-15
  17. 17. Cont. • A modernization plan at a cost of 11,009 crore has been approved to strengthen the capacity of Central Armed Police Forces and to provide them state-of-the- art equipment and technology • It has been proposed to infuse capital amounting to 11,200 crore in public sector banks for 2014-15 • Further, a target of 800,000 crore for agricultural credit by banks has been set up for 2014-15
  18. 18. Budget Estimates • The current financial year will end with the fiscal deficit at 4.6 percent (below the red line of 4.8 percent) and the revenue deficit at 3.3 percent • The budget for receipts and expenditure in 2014-15 have been so prepared so as to leave a fiscal deficit of 4.1 percent, which will be below the target set by the new fiscal consolidation path. The revenue deficit is estimated at 3.0 percent
  19. 19. Union Budget 2015-16 • Non-Plan expenditure estimates for the Financial Year are estimated at Rs.13,12,200 crore • Plan expenditure is estimated to be Rs.4,65,277 crore, which is very near to the R.E. of 2014-15 • Total Expenditure has accordingly been estimated at Rs.17,77,477 crore • The requirements for expenditure on Defence, Internal Security and other necessary expenditures are adequately provided. • Gross Tax receipts are estimated to be Rs.14,49,490 crore. Devolution to the States is estimated to be Rs.5,23,958 crore. Share of Central Government will be Rs.9,19,842 crore. Non Tax Revenues for the next fiscal are estimated to be Rs.2,21,733 crore • With the above estimates, fiscal deficit will be 3.9 per cent of GDP and Revenue Deficit will be 2.8 per cent of GDP
  20. 20. Fiscal deficit • Fiscal deficit seen at 3.9% of GDP in 2015-16 • Will meet the challenging fiscal target of 4.1 percent of GDP • Remain committed to meeting medium term fiscal deficit target of 3% of GDP • Current account deficit (CAD) below 1.3% of GDP
  21. 21. Growth • GDP growth seen at between 8% and 8.5% year-on-year • Nominal economic growth seen between 11% and 12% • Aiming double digit growth rate, achievable soon
  22. 22. Inflation • Expects consumer inflation to remain close to 5% by March, opening room for more monetary policy easing • Monetary policy framework agreement with the Reserve Bank of India (RBI) clearly states objective of keeping inflation below 6% • “One of the achievements of my government has been to conquer inflation. This decline in my view represents a structural shift.”
  23. 23. Revenues • Revenue deficit seen at 2.8% of GDP • Non-tax revenue seen at 2.21 trillion rupees • Agricultural incomes are under stress • Net receipts under market stabilization scheme estimated at Rs20,000 crore
  24. 24. Borrowing • Gross market borrowing seen at Rs6 trillion • Net market borrowing seen at Rs4.56 trillion
  25. 25. Personal income tax • No revision of income tax brackets • Limit of deduction of health insurance premium increased to Rs25,000 from Rs15,000; limit increased to Rs30,000 from Rs20,000 for the elderly • People aged above 80 and not covered by health insurance to be allowed deduction of Rs30,000 for medical expenses • Limit on deduction for contributions to pension fund and new pension scheme increased to Rs150,000 from Rs100,000 rupees • Additional deduction of Rs50,000 for contribution to new pension scheme under section 80CCD • Monthly transport allowance exemption doubled to Rs1,600
  26. 26. Import tax • Import tax on iron and steel increased to 15% from 10% • Import tax on metallurgical coke increased to 5% from 2.5%
  27. 27. Infrastructure • Investment in infrastructure will go up by Rs70,000 in 2015-16 over last year • Plans to set up national investment infrastructure fund • Proposes tax-free infrastructure bonds for projects in roads, rail and irrigation projects • Proposes five ultra mega power projects for 4,000 MW each • Second unit of Kudankulam nuclear power station to be commissioned • Will need to build additional 100,000km of road • Ports in public sector will be encouraged to corporatize under Companies Act
  28. 28. Gold •To launch gold deposit accounts and sovereign bond •Import duty stays at 10%; disappoints jewelers •To work on Indian-made gold coin to cut imports
  29. 29. Cigarettes • Raises excise duty on cigarettes by 25% for cigarettes of length not exceeding 65mm • Raises excise duty by 15% for cigarettes of other lengths
  30. 30. Subsidies • Food subsidy seen at Rs1.24 trillion • Fertilizer subsidy seen at Rs72,969 crore • Fuel subsidy seen at Rs30,000 • Major subsidies estimated at Rs2.27 trillion
  31. 31. Union Budget 2016-17 Finance Minister started his speech by saying that • In spite of headwinds faced on account of a slowing global economy, Indian GDP growth is amongst the highest in the world at 7.6 percent • Affirming that the economy is on the right track, Jaitley cited the Consumer Price Index (CPI) which shows inflation down to just 5.4 percent from a pervious high of 9.4 percent • With inflation under control, the central Reserve Bank of India (RBI) is likely to reduce the lending rates and thus give an impetus to production and consumption.
  32. 32. Tax • Infrastructure and agriculture cess to be levied • Excise duty raised from 10 to 15 per cent on tobacco products other than beedis • 1 per cent service charge on purchase of luxury cars over Rs. 10 lakh and in-cash purchase of goods and services over Rs. 2 lakh. • SUVs, Luxury cars to be more expensive. 4% high capacity tax for SUVs • Companies with revenue less than Rs 5 crore to be taxed at 29% plus surcharge • Limited tax compliance window from Jun 1 - Sep 30 for declaring undisclosed income at 45% incl. surcharge and penalties
  33. 33. Cont. • Excise 1 per cent imposed on articles of jewellery, excluding silver • 0.5 per cent Krishi Kalyan Cess to be levied on all services • Pollution cess of 1 per cent on small petrol, LPG and CNG cars; 2.5 per cent on diesel cars of certain specifications; 4 per cent on higher-end models • Dividend in excess of Rs. 10 lakh per annum to be taxed at additional 10 per cent
  34. 34. Personal Finance • No changes have been made to existing income tax slabs • Rs 1,000 crore allocated for new EPF (Employees' Provident Fund) scheme • Govt. will pay EPF contribution of 8.33% for all new employees for first three years • Deduction for rent paid will be raised from Rs 20,000 to Rs 60,000 to benefit those living in rented houses. • Additional exemption of Rs. 50,000 for housing loans up to Rs. 35 lakh, provided cost of house is not above Rs. 50 lakh. • Service tax exempted for housing construction of houses less than 60 sq. m • 15 per cent surcharge on income above Rs. 1 crore
  35. 35. Social • Rs. 38,500 crore for Mahtma Gandhi MGNREGA for 2016-17 • Swacch Bharat Abhiyan allocated Rs.9,500 crores • Hub to support SC/ST entrepreneurs • Government is launching a new initiative to provide cooking gas to BPL families with state support. • LPG connections to be provided under the name of women members of family: Rs 2000 crore allocated for 5 years for BPL families. • 2.87 lakh crore grants to gram panchayats and municipalities - a quantum jump of 228%. • 300 urban clusters to be set up under Shyama Prasad Mukherji Rurban Mission • Four schemes for animal welfare.
  36. 36. Education • Scheme to get Rs.500 cr for promoting entrepreneurship among SC/ST • 10 public and 10 private educational institutions to be made world-class • Digital repository for all school leaving certificates and diplomas. Rs. 1,000 crore for higher education financing • Rs. 1,700 crore for 1500 multi-skill development centres • 62 new navodaya vidyalayas to provide quality education
  37. 37. Cont. • Digital literacy scheme to be launched to cover 6 crore additional rural households • Entrepreneurship training to be provided across schools, colleges and massive online courses • Objective to skill 1 crore youth in the next 3 years under the PM Kaushal Vikas Yojna-FM Jaitley • National Skill Development Mission has imparted training to 76 lakh youth. 1500 Multi-skill training institutes to be set up.
  38. 38. Energy • Rs. 3000 crore earmarked for nuclear power generation • Govt drawing comprehensive plan to be implemented in next 15- 20 years for exploiting nuclear energy • Govt to provide incentive for deepwater gas exploration • Deepwater gas new disc to get calibrated market freedom, pre- determined ceiling price based on landed price of alternate fuels.
  39. 39. Banking • Banks get a big boost: Rs 25,000 crore towards recapitalization of public sector banks. Jaitley says: Banking Board Bureau will be operationalised, we stand solidly behind public sector banks. • Target of disbursement under MUDRA increased to 1,80,000 crore • Process of transfer of government stake in IDBI Bank below 50% started • General Insurance companies will be listed in the stock exchange • Govt to increase ATMs, micro-ATMs in post offices in next three years
  40. 40. Union Budget 2017-18 • "Union Budget 2017 proposed to offer many benefits on small and medium enterprises (SME) in the country • Income tax on companies with annual turnover of less than Rs 50 crore per year has been reduced to 25% from the earlier 30% • The lending target for Pradhan Mantri Mudra Yojana (MUDRA) has been doubled to Rs 2.44 crore for FY2017-2018.
  41. 41. Union Budget 2017-18 • "Union Budget 2017 proposed to offer many benefits on small and medium enterprises (SME) in the country • Income tax on companies with annual turnover of less than Rs 50 crore per year has been reduced to 25% from the earlier 30% • The lending target for Pradhan Mantri Mudra Yojana (MUDRA) has been doubled to Rs 2.44 crore for FY2017-2018.
  42. 42. Demonetization • Demonetization is expected to have a transient impact on the economy • It will have a great impact on the economy and lives of people • Demonetization is a bold and decisive measure that will lead to higher GDP growth • The effects of demonetization will not spillover to the next fiscal
  43. 43. Agriculture sector • Sowing farmers should feel secure against natural calamities • A sum of Rs. 10 lakh crore is allocated as credit to farmers, with 60 days interest waiver • NABARD fund will be increased to Rs. 40,000 crore • Government will set up mini labs in Krishi Vigyan Kendras for soil testing • A dedicated micro irrigation fund will be set up for NABARD with Rs 5,000 crore initial corpus.
  44. 44. Cont. • Irrigation corpus increased from Rs 20,000 crore to Rs 40,000 crore • Dairy processing infrastructure fund will be initially created with a corpus of Rs. 2000 crore • Issuance of soil cards has gained momentum • A model law on contract farming will be prepared and shared with the States
  45. 45. Rural population • The government targets to bring 1 crore households out of poverty by 2019 • During 2017-18, five lakh farm ponds will be be taken up under the MGNREGA • Over Rs 3 lakh crore will be spent for rural India. MGNREGA to double farmers' income • Will take steps to ensure participation of women in MGNREGA up to 55% • Space technology will be used in a big way to ensure MGNREGA works.
  46. 46. Cont. • The government proposes to complete 1 crore houses for those without homes • Will allocate Rs. 19,000 crore for Pradhan Mantri Gram Sadak Yojana in 2017-18 • The country well on way to achieve 100% rural electrification by March 2018 • Swachh Bharat mission has made tremendous progress; sanitation coverage has gone up from 42% in Oct 13 to 60% now
  47. 47. For youth • Will introduce a system of measuring annual learning outcomes and come out with an innovation fund for secondary education • Focus will be on 3,479 educationally-backward blocks • Colleges will be identified based on accreditation • Skill India mission was launched to maximise potential. Will set up 100 India International centres across the country • Courses on foreign languages will be introduced • Will take steps to create 5000 PG seats per annum
  48. 48. For the poor and underprivilege health care • Rs. 500 crore allocated for Mahila Shakthi Kendras • Under a nationwide scheme for pregnant women, Rs. 6000 will be transferred to each person • A sum of Rs. 1,84,632 crore allocated for women and children. • Affordable housing will be given infrastructure status • Owing to surplus liquidity, banks have started reducing lending rates for housing • Elimination of tuberculosis by 2025 targeted
  49. 49. Cont. • Health sub centres, numbering 1.5 lakh, willl be transformed into health wellness centres • Two AIIMS will be set up in Jharkhand and Gujarat • Will undertake structural transformation of the regulator framework for medical education • Allocation for Scheduled Castes is Rs. 52,393 crore • Aadhaar-based smartcards will be issued to senior citizens to monitor health.
  50. 50. Infrastructure and railways • A total allocation of Rs. 39,61,354 crore has been made for infrastructure • Total allocation for Railways is Rs. 1,31,000 crore • No service charge on tickets booked through IRCTC • Raksha coach with a corpus of Rs. 1 lakh crore for five years (for passenger safety) • Unmanned level crossings will be eliminated by 2020 • 3,500 km of railway lines to be commissioned this year up from 2,800 km last year.
  51. 51. Cont. • SMS-based ''clean my coach service'' is put in place • Coach mitra facility will be introduced to register all coach related complaints • By 2019 all trains will have bio-toilets • Five-hundred stations will be made differently-abled friendly • Railways to partner with logistics players for front-end and back- end solutions for select commodities.
  52. 52. Cont. • Railways will offer competitive ticket booking facility • Rs. 64,000 crore allocated for highways • High speed Internet to be allocated to 1,50,000 gram panchayats • New Metro rail policy will be announced with new modes of financing
  53. 53. Energy sector • A strategic policy for crude reserves will be set up • Rs. 1.26,000 crore received as energy production based investments • Trade infra export scheme will be launched 2017-18
  54. 54. Financial sector • FDI policy reforms - more than 90% of FDI inflows are now automated • Shares of Railway PSE like IRCTC will be listed on stock exchanges • Bill on resolution of financial firms will be introduced in this session of Parliament • Foreign Investment Promotion Board will be abolished • Revised mechanism to ensure time-bound listing of CPSEs • Computer emergency response team for financial sector will be formed
  55. 55. Financial sector • Pradhan Mantri Mudra Yojana lending target fixed at Rs 2.44 lakh crore for 2017-18 • Digital India - BHIM app will unleash mobile phone revolution. The government will introduce two schemes to promote BHIM App - referral bonus for the users and cash back for the traders • Negotiable Instruments Act might be amended • DBT to LPG consumers , Chandigarh is kerosene-free, 84 government schemes are on the DBT platform
  56. 56. Cont. • Head post office as the central office for rendering passport service • Easy online booking system for Army and other defence personnel • For big-time offences - including economic offenders fleeing India, the government will introduce legislative change or introduce law to confiscate the assets of these people within the country
  57. 57. Fiscal situation • Total expenditure is Rs. 21, 47,000 crore • Plan, non-plan expenditure to be abolished; focus will be on capital expenditure, which will be 25.4 % • Rs. 3,000 crore under the Department of Economic Affairs for implementing the Budget announcements • Expenditure for science and technology is Rs. 37,435 crore • Total resources transferred to States and Union Territories is Rs 4.11 lakh crore • Recommended 3% fiscal deficit for three years with a deviation of 0.5% of the GDP • Revenue deficit is 1.9 % • Fiscal deficit of 2017-18 pegged at 3.2% of the GDP. Will remain committed to achieving 3% in the next year
  58. 58. Funding of political parties • The maximum amount of cash donation for a political party will be Rs. 2,000 from any one source • Political parties will be entitled to receive donations by cheque or digital mode from donors • An amendment is being proposed to the RBI Act to enable issuance of electoral bonds .A donor can purchase these bonds from banks or post offices through cheque or digital transactions. They can be redeemed only by registered political parties
  59. 59. Tax proposals • India’s tax to GDP ratio is not favorable • Out of 13.14 lakh registered companies, only 5.97 lakh firms have filed returns for 2016-17 • Proportion of direct tax to indirect tax is not optimal • Individuals numbering 1.95 crore showed an income between Rs. 2.5 lakh to Rs. 5 lakh • Out of 76 lakh individual assesses declaring income more than Rs. 5 lakh, 56 lakh are salaried • Only 1.72 lakh people showed income of more than Rs. 50 lakh a year • Between November 8 to December 30, deposits ranging from Rs. 2 lakh and Rs. 80 lakh were made in 1.09 crore accounts
  60. 60. Cont. • Net tax revenue of 2013-14 was Rs. 11.38 lakh crore. • Out of 76 lakh individual assesses declaring income more than Rs 5 lakh, 56 lakh are salaried. • 1.95 crore individuals showed income between Rs. 2.5 lakh to Rs. 5 lakh. • Rate of growth of advance tax in Personal I-T is 34.8% in the last three quarters of this financial year. • Holding period for long term capital gain lowered to two years • Proposal to have a carry-forward of MAT for 15 years.
  61. 61. Personal income tax • Existing rate of tax for individuals between Rs. 2.5- Rs 5 lakh is reduced to 5% from 10%. • All other categories of tax payers in subsequent brackets will get a benefit of Rs 12,500. • Simple one page return for people with an annual income of Rs. 5 lakh other than business income. • People filing I-T returns for the first time will not come under any government scrutiny. • Ten % surcharge on individual income above Rs. 50 lakh and up to Rs 1 crore to make up for Rs 15,000 crore loss due to cut in personal I-T rate. 15 surcharge on individual income above Rs. 1 crore to remain.
  62. 62. Comparison of budget 2015-2016 to 2016-2017 • Income Tax Slab: Last year, the government had kept the IT slab unchanged. This year too, it decided to continue with the earlier slab, but gave respite to the salaried person by raising the ceiling of tax rebate to Rs. 5,000 from Rs 2,000 if taxable income is less than 5 lakhs. Additionally, house rent paid has been hiked from 24,000 to 60,000 giving bit of pain to people living in rented homes • Increase in excise duty/service tax: The FM last year hiked the excised duty on cigarettes, tobacco products, condensed milk, peanut butter making them expensive. In cigarettes, the excise duty was hiked by 15% to 25%. However, excise duty for leather footwear costing above Rs. 1,000 was reduced from 12% to 6% as well as for LED drivers.
  63. 63. Cont. This year, the FM has continued with the increase of excise duty by 10-15% for tobacco products, except bidi. Also excise duty of 1% has been imposed on purchase of goods and services in cash exceeding 2 lakhs. Additionally, excise duty of 2% to 5% on branded garments will effectively make them dearer. Aerated water and mineral waters will also bear an excise duty of 18% to 21%. In 2015-16, service tax was increased from 12.3% to 14% making several services including eating out, cabs, mobile, DTH, beauty parlor charges all expensive. This year, buying car has become expensive with the introduction of 1% to 4% infrastructure cess depending on the vehicle.
  64. 64. Cont. Surcharge on income of super-rich • Budget 2015-16 had increased surcharge for the super-rich with income of more than 1 crore to 12%. This year, an additional surcharge of 3% (total of 15%) has been levied to this category. New home buyers: • First time home buyers can get an additional deduction of Rs. 50,000 on a housing loan within 30 lakhs. Service tax exemption has also been given for construction of affordable housing up to 60 sq. m. under state and central housing schemes.
  65. 65. Cont. • Corporate Tax: Budget 2015-16 announced that the corporate tax rate will get reduced from 30% to 25% over a period of 4 years. In keeping with the promise, the government in year 2016-17 fixed the corporate tax for new manufacturing units at 25% and proposed to lower the corporate IT rate for small companies with turnover of less than Rs. 5 crore • SC/ST businesses, women entrepreneurs: In last year’s budget, the government had announced a Mudra bank to provide boost to SC/ST entrepreneurs as well as women empowerment. In this budget, FM Jaitley has allocated Rs. 500 crores under the Stand Up India scheme giving boost to the SC/ST and women entrepreneurs
  66. 66. Cont. • Tax on withdrawal of EPF deposits: The Budget 2016 has made 60% of interest earned on employee- contributed EPF corpus taxable, for all contributions made by employees after 1st April, 2016. This is a major shift from a long- running tradition of exemption at all stages on EPF and PPF, the latter of which has remained tax-exempt • Agriculture In 2015-16, Rs 25, 000 crores were allocated for Rural Infrastructure Development Bank. To support Micro Irrigation Programme, Rs 5300 crore were separately assigned and farmers’ credit-target was set at of 8.5 lakh crore. In year 2016-17, Mr. Jaitley set the agriculture credit target at 9 lakh crore. He also announced the Paramparagat Krishi Vikas Yojana to bring 5 lakh acres under organic farming and committed to bring 28.5 lakh hectares to be brought under irrigation and to reorganise agricultural policy to double farmer income in 5 years
  67. 67. Comparison of budget 2016-2017 to 2017-2018 Rail Budget What Provision made for Railways in Budget 2016-17? • There is provision made for an increase in quota for senior citizens and woman in railway coaches. • 100 stations were updating with Wi-Fi in this year, and 400 will update in next year. • The major station was brought CCTV surveillance. • Din Dayal coach for unreserved passengers updated by potable water and lots of mobile charger points. • IRCTC manage the catering service. They provided local cuisine to the available passengers • They also provide a children’s menu, baby food to the mother who is traveling by railways. • They were also trying to bring GPS system in each coach for to know about next station. • They introduced new double-decker train for the business person. As Compare Budget 2016-17 Provision made for Railways in Budget 2017-18?
  68. 68. Cont. • In FY 2017-18 there will focus on safety to the railways. • In FY 20170-18, Under the SWATCH BHARAT mission, the FM Arun Jetly says that they were a provision make that bio-toilets fit in every coach. • 500 stations will be updated in the interest of disabled people with lifts and escalators. • There is no provision in that about 400 stations updated with wife in this year. • In 2017-18, the government will be awarded 25 railway stations. • The government will introduce COACH MITRA FACILITY to the passengers to compliant. • The government will not take service charge on booking by IRCTC. • The government increase rail facility for to pilgrimage and tourism
  69. 69. Agriculture Allocation to the Agriculture in Budget 2016-17? • In 2016-17, the government allocated 35984 crore to the agriculture and farmer welfare. • The government provided irrigation to the 28.5 hectares. • The government made provision that 5 lakh acres use for organic farming. • NABARD gave Rs. 22000 fund to the farmer for irrigation facility. • Allotment to the Agriculture in Budget 2017-18? On the other hand, in 2017-18, the government will fund for micro irrigation to the farmers. • The government increase in a mini lab for soil testing. • The government will provide 10,00,000 to the farmer under KRUSHI VIMA YOJANA scheme. • The government also get back the interest of 60 days to the farmer’s loan. • The government provides Rs.2000 crore funding to the dairy industry.
  70. 70. Rural population Effect of Budget on rural population in 2016-17 • As per 14th finance commission, the government allocated 2.87 lakh crore Rs. in the interest of Gram Panchayat & Municipals • Under DIN DAYAL ANTODAYA MISSION, every area which is affected by drought and rural distress are included in an intensive block • The government introduced new scheme t the villages i.e. RASHTRIYA GRAM SWARAJ ABHIYAAN.
  71. 71. Cont. Impact of Budget on rural population in 2017-18? • The government will include 55% woman in MANREGA scheme • The government will increase road up to 133 Km. in a GRAM SADAK YOJANA.
  72. 72. Infrastructure Allocation to the Infrastructure in Budget 2016-17 • The government permitted to the shop keepers for to remain open whole week. • They provided Rs. 221246 for infrastructure development. • They developed green filed ports at east and west see-shore. • They allowed partnership firm to the small airport venture. • MAT applied to the start-up firm to qualify fully tax-free. • Apportionment to the Infrastructure in Budget 2017-18 • The government will allocate 3961354 crore to develop infrastructure. • To increase road facility the government provide 64,900 Cores. • The government also provide high-speed broadband to the 1.5 lakh Gram Panchayat. • The government will allocate Rs. 398135 crore to develop infrastructure in a home.
  73. 73. Youth What Provision made for Youth in Budget 2016-17? • The government allocated 1804 crore for skill development & also set up new 1500 multi-skill training institute. • The NATIONAL BOARD FOR SKILL DEVELOPMENT CERTIFICATION made the partnership between industry and academia for to improve youth’s skill. • They also tried to improve entrepreneurship to youth by Entrepreneurship education and training. • As Compare Provision made for Youth in Budget 2017-18? • The government introduces SANKALP YOJANA for youth skill development. • They allocate Rs. 1.934 crore to the sports player.
  74. 74. Poor people & health related Impact of Budget on Poor Population in 2016-17 • The government provided Rs. 38,500 crore for MANREGA. • They gave LPG connection to woman BPL families. The allocation made for that Rs. 2000 crore for five years. • They gave grants to Gram Panchayat and Municipalities about 2.87 Lakh. • They set up 300 urban clusters under SHYAMA PRASAD MUKHERJI RURBAN MISSION. • The government provided Rs. 1, 51,581 crore for education and health. • New health protection scheme introduced which is cover up to Rs. 1 lakh and additional 30000 provided to the senior citizens. • Under the JAN AUSHADHI YOJANA, the government established 300 stores
  75. 75. Cont. Impact of Budget on Poor Population in 2017-18 • The government allocates 500 crore for MAHILA SHASHAKTI KARAN KENDRA & 1.84 crore for woman and children empowerment. • The government pays Rs. 6000 to a pregnant woman. • The banks cut the interest in housing loan. • The government eliminates TB from the country. • The government will get AIIMS to Gujrat and Jharkhand. • The ADHAAR Card use as health monitor card for senior citizens. • Government increase sits in graduation to fill a shortage of doctors.
  76. 76. Energy sector Provision for Energy Sector in Budget 2016-17 • The government gave Rs. 3000 crore for nuclear power generation • The government initiate to those people who is working in deepwater gas exploration • The Govt. is thinking about to implement a project for exploiting nuclear energy
  77. 77. Cont. Provision for Energy Sector in Budget 2017-18 • The government will set a policy for crude reserve. • The government invests in energy sector about Rs. 1.26 lakhs. • The government introduces high capacity solar parks to produce more electricity
  78. 78. Financial sector Key Allocation to the Finance Sector in Budget 2016-17 • A government gets a comprehensive code on a resolution of any financial firm. • The government establishes a Finance Data Management Center. • RBI gives a facility to direct participation in govt. Security. • The SEBI is developed new products in derivative markets. • The government allocated Rs. 1.8 lakh crore under PRADHAN MANTRI MUDRA YOJANA. • The government owned listing insurance companies in share markets.
  79. 79. Cont. Key Allocation to the Finance Sector in Budget 2017-18 • The government reform the FDI. The government is eliminating FBIP in India. • The government does a listing of IRCTC & IRKON at the stock market. • The negotiable instrument will be amended in the year 2017-18. • The post office can render passport.
  80. 80. Fiscal situation How much Allocation made for Growth in Fiscal Policy Budget 2016- 17? • Fiscal deficit in the year 2016-17 is about 3.5%. Total expenditure is about 19.87 crore. • Revenue deficit projected at 2.8% to 2.5%. • Expenditure pegged at 5.50 Laky Cores, and it is increasing at 15.3%.
  81. 81. Cont. How much Allocation made for Growth in Fiscal Policy Budget 2017- 18? • The government spends 21.27 crore for fiscal policy. • The government pegged fiscal deficit at 3.2% of a GDP and 3% in the next year.
  82. 82. Tax What Proposals made for Tax in Budget 2016-17 • Infrastructure and agriculture cess levied in the year 2016-17. • Excise duty increase about 15% on tobacco products. • The government levied 1% service charge on the purchase of luxury car worth about 10 lakh & Any cash purchase of goods and services exceed than 2 lakh. • 0.5% KRUSHI KALYAN cess levied on all services. • Companies which are doing profit less than 5 crore that taxable at 29%. • The prices of luxury cars are taxable at 4% high capacity tax. • Jewellery is taxable at 1% more excise duty except for silver.
  83. 83. Cont. What Proposals made for Tax in Budget 2017-18 • The GST will impose from 1st July 2017 • The customs duty reduces from 2.5% to 5% • The government announces that any individual do not transact into cash
  84. 84. Monetary Policies 2014-15 • Short-term lending (Repo) rate unchanged at 8% • Cash reserve ratio (CRR) unchanged at 4% • SLR cut by 50 bps to 22.5% to unlock banking funds • Expect economic growth for 2014-15 to be between 5-6% • Further policy tightening will not be warranted if inflation continues to decline • Reiterates CPI inflation target of 8% by January 2015, 6% by 2016 • Decisive election results should help bring in gradual recovery of growth
  85. 85. Monetary Policies 2014-15 • Farm sector outlook clouded by forecast of delay in monsoon • Export credit refinance facility cut to 32% from 50% • FPIs allowed in currency derivative market • Indians as well as non-residents can carry up to Rs 25,000 while leaving country • This facility not valid for citizens of Pakistan and Bangladesh • Next bi-monthly policy statement on August 5 • Hikes eligibility limit for forex remittances to USD 1,25,000, from USD 75,000 at present.
  86. 86. Monetary Policies 2015-16 • Short-term lending rate (repo) unchanged at 7.5 pc • Cash Reserve Ratio unchanged at 4 pc • Retains Statutory Liquidity Ratio at 21.5 pc • Estimates GDP growth at 7.8% in FY'16, up from 7.5% in FY'15 • Forecasts CPI inflation at 5.8 pc by March 2016 • CPI inflation to dip to 4 pc in August 2015
  87. 87. Monetary Policies 2015-16 • Hailstorms in March affected 17% of the rabi crop sown area • Future rate cuts will depend on interest rate reduction by banks • India better prepared to deal with volatility post US Federal Reserve rate action • State cooperative banks to be allowed to set up off-site/ mobile ATMs without prior approval from RBI • RBI to formulate scheme for market making by primary dealers in semi-liquid G-Secs
  88. 88. Monetary Policies 2016-17 • Repo rate cut by 0.25% to 6.50% • Reverse repo hiked by 0.25% to 6% • Cash reserve ratio or CRR unchanged at 4% • Minimum daily cash maintenance by banks with RBI cut by 5% • MSF rate cut by 0.75% to lower banks’ borrowing cost
  89. 89. Monetary Policies 2016-17 • Policy to remain accommodative going forward • Pegs 2016—17 growth forecast at 7.6% • Expects inflation at around 5% • Cut in small savings rate, MCLR introduction to improve monetary policy transmission • Government adhering to fiscal consolidation path will help lower inflation • 7th Pay Commission award to put upward pressure of up to 1.5% on inflation • Proposes custodian banks; banks focusing on wholesale and long term financing
  90. 90. Monetary Policies 2017-18 Rate cut: • The RBI has consistently surprised the markets over the last two monetary policy announcements. • For the current policy, the market widely expects repo rate to be reduced by 25 basis points (bps) to 6%. • One bps is a hundredth of a percentage point. The government’s comparatively conservative fiscal deficit target of 3.2% for financial year 2017-18 would help in making this decision. • If the RBI chooses to surprise the market once again, it would be imperative to know the regulator’s reasoning behind it.
  91. 91. Monetary Policies 2017-18 Inflation: • Retail inflation decelerated to a two-year low of 3.41% in December from 3.63% the previous month as vegetable prices continued to fall. • RBI is aiming to keep retail inflation under 5% in the fourth quarter and 4% within a band of 2 percentage points on either side in the medium term. • Economists agree that the RBI’s assessment of the inflation situation would be crucial to understand all future rate movements.
  92. 92. Monetary Policies 2017-18 Demonetization impact: • This is the second RBI monetary policy announcement since Prime Minister Narendra Modi’s announcement of removing Rs500 and Rs1, 000 currency notes from circulation. • In the last monetary policy announcement, the regulator did not clarify the impact of demonetization on growth in India. • It would be crucial to find out if there are any real consequences of removing 86% of currency notes by value from circulation. • Data points about the total deposits acquired by banks during the 50-day period and the number of new currency notes pushed back into the banking system would also be awaited.
  93. 93. Monetary Policies 2017-18 MPC decisions: • All six members of the Monetary Policy Committee (MPC) have consistently been on the same side of the fence whenever it comes to monetary policy decision making. • It would be important to see if all six votes are in favor of a rate cut or a pause, as economists believe that such a vote would show some dissonance between the way these members thought and voted.
  94. 94. Monetary Policies 2017-18 Commentary on sectoral issues: • The banking regulator has not made any major announcements around banking sector issues such as capital and asset quality since the demonetization announcement. • The March 2017 deadline talked by the RBI under former governor Raghuram Rajan is fast approaching and the banking sector’s bad loan trouble is nowhere close to being solved. • It would be pertinent to watch out for the regulator’s commentary on the same
  95. 95. Similarities b/w the RBI Governor Continuity: Only if we could overlook the outward charisma and the celebrity status that has been given to Raghuram Rajan and rightfully so, we could see that Patel is going to be all about the continuity of the same policies that Rajan initiated. His insight into fighting inflation is shared wholeheartedly by the successor who is most likely to continue the good work. That should be all that matters. Foreign degrees: Rajan’s suspension came with accusations of him being the man who doesn’t know much of Indian economy and that his foreign degrees and work experiences have made him less sensible of India’s need of the hour. It would be interesting to see how haters are going to handle the same credentials of the new chief.
  96. 96. Similarities b/w the RBI Governor Similar stand: It is being said that Patel had a great role in designing the inflation-targeting regime which makes it easier to understand that they are not so different after all and that there is hope that the new governor will take a stance against all the odds that lie ahead. It will be interesting to see how he manages to cut down inflation rate which is at 6% but the government is not going to be happy until it is down to 4%. Similar approach: His approach on RBI’s monetary policy from focus of wholesale price (WPI inflation) to consumer price (CPI inflation) has been lauded by Raghuram Rajan which shows they are on the same page. He will be seen continuing with the smart decisions that witnessed alongside Rajan when he was the deputy governor, taking over responsibilities when the former was outside India.
  97. 97. Differences b/w the RBI Governor Rock star v/s Taciturn: Rajan has always been popular for his eloquence and charisma that he aptly used to stress upon the economical need of the country. His not so friendly ties with the government and open battles make him the rock star RBI governor while the new guy is a tamed low-key banker who would do better than to risk losing the favor of the ruling government. The torch bearer v/s The follower: It is not being predicted that Patel will try to divert or change the monetary policies that were initiated by Rajan. It is more likely that they will be kept intact. What makes these two gentlemen differ is their contribution. While Rajan will always be the torch bearer who took the bold steps to bring in transformation, Patel will always be the follower who kept up the good work started by Rajan.
  98. 98. Differences b/w the RBI Governor Hawk v/s Dove: Economic history of India shall always remember Raghuram Rajan as the hawk who took the courage to stand for what everyone else doubted. He is the man who took the big risk upon his reputation while implementing the policies. Patel, though respected by everyone, is the silent dove, a man of few words. Rewarding silence: Patel’s silence could reward him in times to come if his appointment is apolitical and he manages to keep his peace with those in power. His silence and taciturn could go a long way in giving him a rather more secure job promise. He won’t be doing all the talking and his focus will be on his research.
  99. 99. Conclusion
  100. 100. India GDP Annual Growth Rate • The Indian economy advanced 7 percent year-on-year in the last three months of 2016, slowing from an upwardly revised 7.4 percent rise in the previous quarter but beating expectations of a 6.4 percent growth. • The expansion was mainly driven by a surge public spending and agriculture. The GDP is expected to grow 7.1 percent in the fiscal year ending in March 2017. • GDP Annual Growth Rate in India averaged 6.10 percent from 1951 until 2016, reaching an all time high of 11.40 percent in the first quarter of 2010 and a record low of -5.20 percent in the fourth quarter of 1979.
  101. 101. Cont. • Real GDP growth or Gross Domestic Product (GDP) growth of India at constant (2011-12) prices in the year 2016-17 is estimated at 7.11 percent as compared to the growth rate of 7.93 percent in 2015-16. Quarterly GDP growth rates are : Q1 (7.2%), Q2 (7.4%), Q3 (7.0%) • GVA growth rates of Agriculture & allied, Industry, and Services sector are 4.37%, 5.77%, and 7.87%, respectively. Manufacturing growth is at 7.7%. India has registered highest growth of 11.2% in 'Public Administration, defence and other services' sector and lowest 1.3% in 'Mining & quarrying' sector.
  102. 102. Cont. • At current prices, GDP growth rates for year 2016-17 is 11.52%. Growth for Q1, Q2, Q3 are 10.8%, 11.8%, 10.6%, respectively. GVA growth rates of Agriculture & allied, Industry, and Services sector are 9.64%, 8.32%, and 11.87%, respectively • At constant prices GVA (Gross Value Added), GNI (Gross National Income), NNI (Net National Income) growth of India is estimated at 6.67%, 7.17% and 7.24%, respectively. At curent prices these figures is 10.43%, 11.60% and 11.61%
  103. 103. Cont. • Data from 1950-51 to 2011-12 is from 2004-05 series and 2011-12 to 2014-15 is from 2011-12 series • According to IMF World Economic Outlook (October-2016), GDP growth rate of India in 2016 is 7.6% and India is 4th fastest growing nation of the world. Average growth rate from 1980 to 2016 stands at 6.32%, reaching an all time high of 10.26% in 2010 and a record low of 1.06% in the 1991 • Average growth rate from 1951 to 2014 stands at 4.96%, reaching an all time high of 10.16% in 1988-89 and a record low of -5.2% in the 1979-80. In 4 years, Growth was negative
  104. 104. Rural Development • Rural education programmes have gained prominence in the past few years. Around 97% children of the ages 6-14 are enrolled in government and private schools • Focus on increasing tourism in rural areas has been made by the tourism ministry. Tourism has also started pushing agriculture down on the list of main economic drivers of the country • Development of small scale industries have made people independent and confident • Various schemes have been launched to upgrade the living standards of people in rural areas. Some of them are: MGNREGA, DIKSHA, BHARAT NIRMAN, etc.
  105. 105. Power • In the last 10 years, power sector in India has seen increased participation of private sector, both foreign and domestic • ‘New’ Electricity act, 2003 is a landmark document, first of its kind that revamps the regulatory framework governing the power sector • The Eleventh Plan (2007-12) aimed at addition of 78000 MW of power and the Twelfth 5-year plan (2012-17) is even more ambitious, which aims at addition of over 100,000 MW of power • There are various problems with the power generation and transmission in our country, which are as follows: Transmission capacity lags behind generating capacity. Land acquisition is a major problem.
  106. 106. Military research and development • Military research and development has not progressed as it was predicted by the observers and hoped by the leaders. The Prithvi battlefield is similar to that of the US Army Tactical Missile System (ATACMS), but it is less flexible. To be able to combat during emergency situations, it should integrate many more advanced features such as integrated surveillance • The Agni missile is also a completely indigenous design. The Arjun tank was much hyped one, but many army personnel say that it doesn’t shoot straight!
  107. 107. Cont. • India has set a budget of $ 100 billion for defense purchases for this decade. With this whooping amount, India has its sight set on modernizing military and jump-start its own defense industry. • Let’s have a look at various deals: $ 10 billion contract for 126 multi-role combat aircraft, $ 7.6 billion contract for 12 stealth frigates, $ 3.5 billion tender for 7 submarines, $ 3 billion deal for 197 light helicopters.
  108. 108. Tourism • Rich history, geographical and cultural diversity attracts large number of international tourists in India. • Tourism generates much revenue and opens employment opportunities in the country. GDP of tourism sector has increased by 229% in the years 1990-2011. • Tourism generated USD 121 billion revenue, 39.3 million jobs in the last few years. • And the count has been increasing ever since. • The booming medical tourism sector is expected to reach about rupees 9500 crore, with an estimated annual growth of 30%. Chennai, Delhi, Mumbai,
  109. 109. Cont. • Agra are the four most visited cities of India by tourists of all nations. • But tourism ministry is still not able to cope up with this whooping number. • Tourism infrastructure in India remains underdeveloped. India still needs 150000 more hotel rooms to accommodate the increasing number of tourists. In the past few years, concerted efforts are being made to popularize new forms of tourism such as cruise, rural, eco-tourism and medical. Meanwhile, “Incredible India” campaign is being maintained well by the tourism ministry.
  110. 110. Economic Growth • With fundamental reforms and their renewal in 1991 and 2000s respectively, India has managed to emerge as a free market economy. India is the 4th largest economy in the world. According to the Ease of Doing Business Index, India was ranked 132nd in year 2012 and ranks 123rd in Index of Economic Freedom world ranking. • Agriculture: India is the 2nd largest food producer in the world. Agriculture and allied sectors like fishing, forestry, etcetera, gave employment to 60% of the total workforce with 18.6% of GDP in 2005.
  111. 111. Cont. • Oil and Natural gas reserves: India has massive reserves of oil and natural gas. As of January 2010, India has about 5.62 billion barrels of oil and 1.437 billion cubic metres of natural gas reserves • Employment: Employment growth in India is only 2.3% per year, but labour force is growing by 2.5% a year. Unemployment in India is more than 9% and only 10% of workforce is engaged in regular employment • The government of India has taken an initiative to eradicate child labour and massive allocations have been made for the same. It was US 10 million in 1995-96, U.S $16 million in 1996-87, and U.S $ 21 million for the year 2007
  112. 112. Infrastructure • Aspirations of Indians are soaring high. This requires massive investments to create new jobs, housing and to make cities and towns more livable. With the development of India’s human potential, infrastructure development plays a major role to determine the shape of country • Infrastructure of any country boosts its pride and India has been witnessing continuous changes in this sector, be it roadways, railways, airport, etc. let’s have a look at a few of the major developments infra sector of India in the past few years
  113. 113. Cont. • Mumbai’s eastern freeway, a magnificent second largest flyover of India, opened to public in June 2013 • Indore’s BRTS, reflects a planned commuting system in India, which helps in the reduction of emission and reduces pollution by improving air quality (July 2009) • Double-decker trains (April 2013), Solar park in Gujarat (April 2012), GIFT city in Gujarat, Metro rail project in various cities, Modernisation of underway at airports, etc.are a few worth noticing infrastructure developments in India.
  114. 114. Urbanization • It was after India’s adoption of mixed system of economy that urbanization in India gained prominence. • Only 11.4% of population resided in urban areas according to 1901 census. The count kept on increasing and it was 28.53% in 2001 and crossed 30% in 2011, constant at 31.16%. • It has been analysed in a survey that by 2030, this count will go up to 40.76%. Delhi’s population increased by 4.1%, Mumbai’s by 3.1% and Kolkata’s by 2.1% in 2011 as compared to 2001 census
  115. 115. Cont. • Right now, India has around 300 million people living in metro cities. • Our country is witnessing the massive wave of urbanization, as around 10 million people migrate to towns and cities every year in search of jobs. • This is also being termed as the largest rural-to-urban migration of India.
  116. 116. Education • There has been a drastic change in the field of education in India. Education system has witnessed a great extent of development in the past few years. This is due to increased investment and various mushroomed institutes all over the country. The literacy rate in India was recorded as 74% in 2011 census. India is now ranked at number 3 after china and U.S.A in the field of higher education. • Online education in India is an advantageous system that aims at delivering education to the students via internet. This can simultaneously be done with one’s present job. Thus, online education is one kind of a revolution in the field of education system • Distant education is also one of its own kind beneficial forms of learning that aims at helping students who cannot attend regular classes.
  117. 117. Cont. • Private education market has increased to U.S $ 68-70 billion in 2012 as compared to $ 40 billion in 2008. • According to the records of Annual Status of Education Report (ASER), 96.5% of children between the ages 6-14 were enrolled in school in 2012. This was a great achievement but still, we need to focus more on the quality of education now. • Women’s literacy rate in India never went above 30% until 2001, when women’s literacy rate touched 50% of overall women population and it has been increasing ever since. Government of India launched Saakshar Bharat mission to hamper female literacy rate.
  118. 118. Healthcare • Substantial expansion and strengthening of public sector health care systems. • It stresses on cooperation between public and private health care providers. • Expansion of medical colleges and hospitals, etc. • Past few years have witnessed many changes in the Indian health related issues. Let’s have a look on a few: • It was in 2012, when India, for the first time in history, emerged as a polio free nation. • Various NGOs like Indian Heart Foundation, etc. have been created to spread health related awareness. • National Rural Health mission was launched in April 2005 by the Government of India to provide better and advanced health care to the people in rural and remote areas.
  119. 119. Some key points for budget 2017 • The agriculture sector is likely to increase at 4.6percent, as the target of agriculture expenditure set at Rs 10 lakh crore. • Funds to colleges will be given according to the rankings. • Safe drinking water to cover 28,000 arsenic and Fluoride-affected habitations in the next four years. • Total allocation for rural, agricultural and allied sectors for 2017-18 is Rs 187223 crore, which is 24% higher than last year. • In the Railway Budget, service charge on IRCTC e-tickets has been removed. • The target for the Fiscal Deficit for this year is 3.2%. • This time with the Union Budget, Railway Budget also got presented. In 93 years,for the first time the budget got presented on February 1.

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