1. A Chance to fly
India’s Economy
Budget in question

2. Agenda
India in Retrospect
Strap on the engines
Jumbo on the runway
India “Buy” once more
Making your own breeze
Taking the giant steps
Union Budget Highlights 2015-16

3. India in Retrospect
• India stands out among other emerging markets.
 China economy in slow motion
 Brazil in Stagflation
 Russia in recession
 South Africa – inefficiency and corruption
• Re-learn from 1991 budget.

4. Strap on the engines
• High growth potential.
 50% population below 25years.
 Poor economy – more opportunities.
• GDP per person (2013):
 India - $5500
 China - $11900
 Brazil - $15000
• Better development, better days.
• Move from agriculture to Industry & Service.

5. Jumbo on the runway
• Land acquisitions from farmers
 Ex: second international airport in Mumbai
• Prime locations go to job creating
projects.
• Power shortage disrupts manufacture.
• Auction of licenses a step forward.
• Reforms in state and national labour
laws.

6. India “Buy” once more
• Story of Apollo
 Established in 1972
 Limda factory, Vadodara, completed in 1991
 Recent addition in 2009
 1million passenger car tyres export to Europe
 Jumbo tyres for monster mining vehicles
• Improved conditions:
• Consumer-price inflation halved to 5.1%
• Current account deficit shrunk
• Rupee more stable than in years.
• Growth in GDP by 7.5% year on year

7. Making your own breeze
• Huge corruption scandals broke
• Inflation fuelled by cheap money and fiscal
stimulus
• Auctioning replacement licensing
• Indian banks flooded with dud loans
• State banks require billions to cover the
losses

8. Taking the giant steps
• Single portals for new businesses
• Push forward plans on national GST
• Switch from subsidies to cash for needy
• Issue banking licenses for mobile application
• Remove the cap on firm size

9. Union Budget Highlights 2015-16
1. Tax rates unchanged; wealth tax abolished:
 Income tax rates unchanged.
 Corporate tax reduced from 30% to 25% over next four years.
 Technical Services tax reduced to 10% from 25%
 GST in place of indirect tax system by 1 April, 2016
2. New tax exemptions let you save more:
 Increase in transportation (Rs. 800 to Rs. 1600).
 Health insurance premium reduction (Rs. 15,000 to Rs. 25,000).
 Senior citizens total exemption of up to Rs. 4,44,200.

10. Cont…
3. Gold monetization: Make your gold pay:
 Earn interest on gold deposit with the government or banks.
4. More jobs ahead with focus on skill development
 National Skills Mission for youth below 25 years of age
 Rs.15,000 million for skill development and entrepreneurship
5. More roads, better highways planned
 Rs.70,000 crores to the infrastructure sector

11. Cont…
6. To make India the manufacturing hub of the world
7. To achieve fiscal deficit of 3 per cent of GDP in three years:
 3.9 per cent in 2015-16,
 3.5 per cent in 2016-17, and
 3 per cent in 2017-18
8. Rs.1500 million allocated to create world class IT hub
9. Custom duty on raw materials to be reduced

12. Cont.…
10. PPP model to be revisited and revitalized
 Atal Innovation Mission announced for entrepreneurs and researchers
11.Rs.1500 million allocated for Research & Development
12.Rs.10,000 million for techno-financial development.
13.Rs.750 million for electric cars' production.

13. Cont.…
14. IT based student financial aid scheme for higher education
15.Make in India for manufacturing of Defence equipment
 Rs.2,467,270 million
16.Rs.10,000-million fund announced for tech startups, entrepreneurs
17.Allocation for Renewable energy target for 2022:
 100K MW in solar;
 60K MW in wind;
 10K MW in biomass;
 5K MW in small hydro;
18.5 ultra-mega power projects, each of 4000MW

14. THANK YOU
PRESENTED BY:
ABHILASH P A
G OWTH