Union Budget 2021 LIVE Updates: FM highlights key features; Opposition slams Budget

• Last year, budget allocation for the financial support extended through loans to FCI for procurement at MSP was Rs 1,36,600 cr. Less than Rs 85,000 was spent.
• No amount is allocated this yr. Such things make farmers think that it's a conspiracy to shut FCI
• National and state highways will be blocked from 12 noon to 3 pm on February 6,

When asked about why individual taxes were not decreased after a harsh COVID-hit year, Smriti Irani said," Taxes have already been reformed. Several economies taxed their citizens to help their economy, but we did not increase our taxes. I thank the Finance Minister for giving tax exemption to senior citizens. Today's budget cannot be seen just as a single day's announcement, but must be seen as a part of the several schemes announced during the pandemic too."

Commenting on the 'over-simplification of the taxes' by Rahul Gandhi and Congress, she said, "You expect a serious debate based on facts from Rahul Gandhi? He had told that cities will burn at a press meet. As a responsible politician, he should have told people to maintain peace instead of calling for violence. For debate, one must know the facts of the issue. He never talks on statistics."

Talking about the 'Glocal' approach, she said," We saw the best implementation of glocal during lockdown when within 2 months, we made a $1 billion PPE manufacturing industry, at local level at global standards. We did not have a single PPE manufacturing unit. We became the 2nd biggest PPE exporter. We have great skill set in our doctors, workers etc, which is in high demand outside India. This is local talent pool with a global demand."
 

Defence Budget consists of three component - revenue, pension & capital component. The Budget allocation (for the capital component) in 2020-21 was Rs 1,13,734 crores. It has gone to Rs 1,35,060 crores which is an increase of 20%: TV Somanathan, Secretary, Expenditure

FM spoke of 6 prominent pillars, with the topmost pillar being health & well being. Investment in health sector has risen 137% which is 2.47 times more than our last year's Budget estimates. This is an achievement in its own: Health Minister Dr Harsh Vardhan 
 

"Defence expenditure increased only by Rs 4000 crores, but mentions reduction in pensions.  Defence expenditure and health care  expenditure the govt has failed the people," said Chidambaram at Congress press conference. Talking about push for FDI in insurance, he added,"It is good to see increase in FDI limit in insurance sector in 74% - which they had opposed when we wanted to allow 20% FDI."

Rebutting Centre's claims of Healthcare budget increase, he said, " It is a trick. She added one time cost of vaccination. There is actually a reduction in the budget allocated for health, while very small expenditure is done on health." Commenting on agriculture, he said, "The farm sectors is also affected. The allocation to agriculture is reduced. The proportion of total expenditure is reduced. MSMEs were ignored. Nothing was mentioned about providing liberal no interest loans. If there are no public sector banks, how will announce RDIF funds, education loans, agriculture loans? By the time they finish their term, they may sell off all public sector banks."

Concluding that the Budget's failures, he said," The Budget was let down like never before.  Let the states know that not one rupee will be spent on the numerous schemes she announced for the poll-bound states by this year. No mention of reduction in petrol or diesel prices. Definitely invest in infrastructure, but give equal weightage to poor, working and middle-class."

We welcome the Finance Minister's emphasis on healthcare spending & immunization especially for COVID-19 & the pneumococcal vaccines as this will help India recover rapidly from this pandemic: Serum Institute of India CEO Adar Poonawalla

Union Budget provides much-needed fillip to health, sanitation, nutrition & pollution control, all of which are key elements in promoting health & well-being of our population in a holistic manner: PHFI chief K Srinath Reddy

It is anti-people budget. They always make false statements. India's first paperless budget sold almost every sector. There is nothing for the unorganized sector in the budget: West Bengal Chief Minister Mamata Banerjee

This budget is not for the development of the country but for its sale. Earlier, they sold Railways, Air India, Bharat Petroleum, & others. This budget is about more such entities that will be sold including gas pipeline, stadium, roadways & warehouses: RJD leader Tejashwi Yadav

Congress: 'Road for vote'

Lauding the budget which sets the foundation for a new decade, PM Modi on Monday said that India has presented a budget which tackled issues proactively rather than reactively. Thanking FM Nirmala Sitharaman and her team, he said that the Centre had eased the common man's burden and expanded the budget. Union Nirmala Sitharaman presented India's first paperless budget on Monday in Parliament amid the COVID pandemic.

"Under these circumstance, today's budget has given a vision of India's Aatmanirbhar and for each and every citizen. This budget has eased the rules and enhanced the ease of living. I wish FM Nirmala Sitharaman, Anurag Thakur and her team for such a progressive budget. It is very rare to see such a budget which has garnered so many positive reviews, within 1-2 hours," he said.

Union Finance Minister Nirmala Sitharaman proposed a capital expenditure of Rs 5.54 lakh crore for FY 2021-21 and announced Centre's aim to provide the states and autonomous bodies with more than Rs 2 lakh crore over and above that as capital expenditure in the Union Budget 2021 which was presented on Monday. Presenting a 'paperless budget' for the first time, Finance Minister Nirmala Sitharaman announced a massive boost in infrastructure spending in various sectors in India including roads, highways, railways, ports and power.  

READ FULL STORY HERE 

On Monday, Union Finance Minister Nirmala Sitharaman made a number of key announcements pertaining to indirect taxation while presenting the Union Budget 2021-22. Elaborating on the efforts to simplify the GST, she assured all the stakeholders that it will made more smooth with removal of anomalies such as the inverted duty structure. Moreover, she revealed that a revised Customs Duty structure will be put in place from October 1, 2021 besides reviewing more than 400 old exemptions to achieve the Customs Duty rationalization. 

READ FULL STORY HERE 

I am happy that south states, north-east states and UTs of Ladakh and J&K have been given growth impetus; while there is an effort boost coastal areas: PM Modi on Union Budget 2021

Union Budget 2021 LIVE Updates: Affordable housing projects can now avail Tax holiday for one more year

In the post-COVID India, Union Finance Minister Nirmala Sitharaman, on Monday, announced an expanded focus on Health, allocating 2.83 lakh crores in this year's Union Budget - a 137% in Health budget. Under the Health and well-being sector, she announced a Centre-sponsored Health system - PM Aatmanirbhar Swasth Yojana with an outlay of Rs 64,180 crores over 6 years in addition to the National Health Mission. The FM outlined the six pillars on which the Aatmanirbhar sector of Budget 2021 rested - Health and Well-Being, Physical and Financial capital and infrastructure, Inclusive Development for Aspirational India, Reinvigorating Human Capital, Innovation and R&D.

"A new Centrally, sponsored Health system - PM Aatmanirbhar Swasth Yojana with an outlay of Rs 64,180 crores over 6 years. This will strengthen the existing detection and curing centres and set up new centres in addition to the National Health Mission," said Sitharaman. The Finance Minister is currently presenting India's first digital Budget due to the ongoing pandemic.

READ ALL DETAILS HERE - 37% Hike In Health Spending; PM Aatmanirbhar Swasth Bharat Yojana Launched

Union Budget 2021 LIVE Updates: Govt proposes to make income tax appellate tribunals faceless; to set up national income tax appellate tribunal centre

Union Budget 2021 LIVE Updates: Serious tax offences of concealment of income of over Rs 50 lakh can be reopened after 10 years: FM

Union Budget 2021 LIVE Updates: The forthcoming census would be the first digital census in the history of India. For this monumental task, I have allocated 3,768 crores in this year 2021-22, says FM

Union Budget 2021 LIVE Updates: NRIs to be spared from double taxation. New rules to be notified, says FM

Union Budget 2021 LIVE Updates: Exemptions to senior citizens (Above 75) whose only income is pension and interest, from filing Income Tax return

Union Budget 2021 LIVE Updates: Central university to be set up in Leh

• FISCAL DEFICIT OF 20-21 ESTIMATE: 6.8% OF GDP
   
• FISCAL DEFICIT OF  20-21: 9.5% OF GDP

"A new Centrally, sponsored Health system - PM Aatmanirbhar Swasth Yojana with an outlay of Rs 64,180 crores over 6 years. This will strengthen the existing detection and curing centres and set up new centres in addition to the National Health Mission," said Sitharaman. The Finance Minister is currently presenting India's first digital Budget due to the ongoing pandemic.

Features of PM- Aatmanirbhar Swasth Yojana scheme:  

• Support for 17,000 rural and urban wellness centres

• Setting up health labs in all districts and 3382 public block units in 11 states

• Establishing critical care units in 602 districts and 12 govt institutions

• Strengthening National Centre for Disease control - its five centres and its urban units

• Expansion of the integrated Health portal to all states & UTs

• Operationalisation of 17 Public Health units and strengthening of 33 existing units at points of  entry - 33 airports, 7 sea ports and 11 land crossings

• Setting up of 17 health emergency centres and 2 mobile hospitals

• Setting up a regional WHO centre office, 9 bio-safety level 3 laboratories, 4 regional National Institute of Virology 

Union Budget 2021 LIVE Updates: Special 1000 cr scheme for welfare of tea workers in Assam and West Bengal

Union Budget 2021 LIVE Updates:  FM announces National Language Translation Mission

Union Budget 2021 LIVE Updates: FM says minimum wages will apply to all categories of workers and women will be allowed to work in all categories and all shifts

Union Budget 2021 LIVE Updates: 100 new Sainik schools to be open

Union Budget 2021 LIVE Updates: 5 Major Fishing Harbour announced by FM in Chennai, Cochin, Visakhapatnam, Paradeep & Petua Guard

Union Budget 2021 LIVE Updates: Government proposes to use data analytics, artificial intelligence, machine learning-driven for Ministry of Corporate Affairs' database. Version 3.0 of MCA-21 includes additional modules for e-scrutiny, e-adjudication, e-consultation and compliance management.

Union Budget 2021 LIVE Updates: BPCL, Air India, Shipping Corp, Container Corp and other disinvestments will be completed in 2021-22, says FM

Union Budget 2021 LIVE Updates: Free cooking gas LPG scheme Ujjwala to be extended to 1 cr more beneficiaries

Union Budget 2021 LIVE Updates: Govt proposes further recapitalisation of state-owned banks; earmarks Rs 20,000 crore

Union Budget 2021 LIVE Updates: FDI in insurance increased to 74 pc from 49 pc

Union Budget 2021 LIVE Updates: Opposition creates ruckus as FM Sitharaman says: "Govt is committed for welfare of farmers"

FM allocates Rs 65,000 cr for road, highway projects in Kerala, Rs 3,400 cr for Assam

FM allocates Rs 3,400 cr for road, highway projects inpoll-bound  Assam

Union Budget 2021 LIVE Updates: FM says 100 pc electrification of broad gauge rail tracks to be done by December 2023

Union Budget 2021 LIVE Updates: FM announces 7 port projects worth more than Rs 2,000 cr via PPA mode

Union Budget 2021 LIVE Updates: City gas distribution network of providing CNG to automobiles and piped cooking gas to households in 100 more districts

Union Budget 2021 LIVE Updates: Govt proposes to launch hydrogen energy mission next fiscal for generating hydrogen from green power sources

Union Budget 2021 LIVE Updates: Govt proposes investor charter across financial products

Union Budget 2021 LIVE Updates: FM announces Rs 25,000 cr road projects in poll-bound West Bengal

Union Budget 2021 LIVE Updates: Record Rs 1,10,055 crore provided for railways, of which Rs 1,07,100 cr for capital expenditure in 2021-22

Pipelines of GAIL (India) Ltd, Indian Oil Corp (IOC) and HPCL will be monetised

Union Budget 2021 LIVE Updates: FM says, "8,500 kms of road, highway projects to be awarded by March 2022 to further augment road infrastructure."

Fm Sitharaman says: "More than 13,000 km of roads awarded under Bharat Mala project. Around 3,800 km have been constructed in Bharatmala so far and 8,500 km to be awarded by March 2022. Will complete additional 11,000 km of NH corridor by March 2022. More economic corridors are being planned - 3,500 km of NH works are ongoing in Tamil Nadu."

She adds, "NHAI has sponsored one InVit to attract investors. Thus 5 operational roads with Rs 5,000 crore value being transferred to NHAI InVit. NHAI operational roll roads are to be monetised."

For Railways: "Railways will monetise dedicated freight corrdior after commissioning. The next lot of airports will also be monetised for operations and management. AAI airports in tier-2,3 cities and other railway assets are to be monetised."

FM Sitharaman proposes sharp increase in capital expenditure for next fiscal at Rs 5.54 lakh cr, up from Rs 4.39 lakh cr of last year

FM Sitharaman announces Jal Jeevan mission with outlay of Rs 2.87 lakh crore for 4,378 urban local bodies

Scheme of mega investment textiles park in addition to PLI scheme will be launched

Swachh Bharat 2.0 will be implemented with outlay of Rs 1,41,678 cr over 5 years, says FM Sitharaman

Union Budget 2021 LIVE Updates: Govt to introduce bill to set up development financial institution with an outlay of Rs 20,000 cr, says FM Sitharaman

Union Budget 2021 LIVE Updates: PLI scheme with outlay of Rs 1.97 lakh crore for 5 years starting this fiscal

Union Budget 2021 LIVE Updates: National monetisation pipeline for potential brownfield infrastructure assets will be launched. 

Union Budget 2021 LIVE Updates: Budget proposals rest on 6 pillars, namely : 

• Health & well-being

• Physical & financial capital & infrastructure

• Inclusive development for aspirational India

• Reinvigorating human capital

• Innovation & R&D

• Minimum Govt and Maximum Governance

FM Sitharaman says, "We announce voluntary vehicle scrapping policy. Vehicles to undergo fitness test - which is 20 years for passenger vehicles and 15 years for commercial vehicles. Further details of the scrappage policy to be announced shortly."

Union Budget 2021 LIVE Updates: Finance Minister Nirmala Sitharaman says this year she presented almost 5 mini budgets, hails India's COVID vaccines. "India has 2 COVID-19 vaccines; two more to be launched", says FM

"Faith is the bird that feels the light and sings when the dawn is still dark" - Union Finance Minister Nirmala Sitharaman has quoted Rabindranath Tagore, adding that this moment in history is the dawn of a new era, where India is well-poised to be the land of promise and hope". 

Union Budget 2021 LIVE Updates: We introduce the Aatmanirbhar Health Yojana with an outlay of Rs 64,180 crore over six years. This will strengthen the National Centre for Disease Control. Besides this, the government will also set up 15 Health Emergency Centres

Stock market soars as FM's Union Budget 2021 speech begins: Sensex surges 600 pts, Nifty nears 13,800

FM Sitharaman starts Union Budget 2021 speech

Congress leader Jaiveer Shergill taunted the paperless budget and said that the reading of Budget from Made in India tab would only make sense if the contents of budget generate money and jobs of people. 

Ahead of presentation of Union Budget 2021, Congress spokesperson Randeep Singh Surjewala took a dig at the Centre and asked if "Maximum slogan and Minimum work" government will live upto expectations. He issued a challenge to the Finance Minister and said that she should "travel beyond thinking and execution paralysis" to meaningful delivery for the welfare of people. 

Lok Sabha Speaker Om Birla arrives at the Parliament ahead of presentation of Union Budget 2021

Union Budget 2021 LIVE Updates: Union Cabinet's meeting begins ahead of the presentation of UnionBudget 2021-22 by Finance Minister Nirmala Sitharaman at the Parliament today.

Union Budget 2021: With the Union Budget 2021 set to be delivered in paperless form for the first time, Finance Minister Nirmala Sitharaman replaced the Swadeshi 'bahi khata' and switched to a tablet. The Finance Minister was seen carrying a tablet kept inside a red coloured cover with a golden coloured national emblem embossed on it.

Finance Minister Nirmala Sitharaman on Monday will deliver her promised budget like no other that is expected to provide relief to the pandemic-hit common man as well as focus more on driving the economic recovery through higher spending on healthcare, infrastructure and defence amid rising tensions with neighbours.

As India emerges from the COVID-19 crisis, the ninth budget under the Modi government, including an interim one, is widely expected to focus on boosting spending on job creation and rural development, generous allocations for development schemes, putting more money in the hands of the average taxpayer and easing rules to attract foreign investments.

Sitharaman, who had in her first budget in 2019 replaced leather briefcase that had been for decades used for carrying budget documents with a traditional red cloth 'bahi-khata', had earlier this month stated that the budget for the fiscal year beginning April will be "like never before".

Expert panel with Arnab explains the situation of the Indian economy

As India awaits a 'Budget like no other', listen in to what our expert panel expects from the Union Budget this year. The Budget will be presented by Finance Minister Nirmala Sitharaman in the Parliament at 11 am today. 

FM Nirmala Sitharaman and MoS Finance Anurag Thakur left from the Ministry of Finance. FM will present the Union Budget 2021-22 at Parliament today. For the first time ever, the Budget will be paperless this year due to COVID. It will be available for all as a soft copy, online.

Union Finance Minister Nirmala Sitharaman has arrived at the Ministry of Finance. She will present the union budget 2021-22 in the Parliament at 11 am today. 

Exuding confidence in the Union Budget 2021, which is to be presented by Finance Minister Nirmala Sitharaman at 11 am today, MoS Finance Anurag Thakur said it will be in accordance with the people's expectations. 

"The government which functions on mantra of 'Sabka Saath, Sabka Vikas, Sabka Vishwas' has given a new direction to India by announcing the Aatmanirbhar package, protecting it from the pandemic and bringing the economy back on track swiftly," he said ahead of the Budget presentation. 

Minister of State (MoS) Finance Anurag Thakur offered prayers at his residence ahead of the Union Budget 2021-22 Presentation in the Parliament today. The Budget will be presented by Union Finance Minister Nirmala Sitharaman at 11 am on February 1. 

The Economic Survey 2020-21, authored by a team led by Chief Economic Adviser Krishnamurthy Venkata Subramanian, details the state of different sectors of the economy as well as reforms that should be undertaken to accelerate growth. The Indian economy can contract by 7.7% in the current financial year ending on March 31 and the growth could be 11% in the next financial year, according to the Economic Survey. 

The CEA explained how the 'humane approach' to the pandemic 'saved lives and livelihood' as India battled COVID-19, stating  that India's stringent lockdown helped save 37 lakh cases and 1 lakh lives. While the lockdown resulted in a 23.9 per cent contraction in GDP in Q1, the recovery has been a V-shaped one as seen in the 7.5 per cent decline in Q2 and the recovery across all key economic indicators, experienced a V-shaped recovery since then aided by a stable currency, comfortable current account, burgeoning forex reserves, and encouraging signs in the manufacturing sector output. The IMF has predicted a 11.5% growth rate for India in FY-22, followed by a fall to 6.5% in FY-23.

Here Are Key Expectations 

Focus on healthcare sector:

As the COVID-19 period has underscored the need for better healthcare facilities in the country, the Centre might spend more on the healthcare sector. Reportedly, there can be an extension of tax benefits under Section 35AD. Moreover, an increase in deduction under Section 80D of the mediclaim premium is likely. 

Relief on the Income Tax front

The budget is expected to ensure that people have more dispensable income owing to the fact that several people lost their jobs or suffered a pay cut due to the novel coronavirus-induced lockdown. It is speculated that the basic tax exemption limit for an individual might be raised from Rs.2.5 lakh to Rs.5 lakh for people below 60 years of age. The Union government may also introduce a COVID-19 cess on high-income earners.

Boost for infrastructure and employment

One of the priority areas of the government will be employment generation in the country. Therefore, a special focus is likely on sectors such as infrastructure, textiles, housing, MSME etc. which might help boost employment. Reports suggest that the Centre can liberalise FDI rules in construction apart from allocating a credit-linked subsidy for the home buyers. Additionally, the credit guarantee scheme for the MSMEs might be extended.

Here Are Key Expectations

Less number of public sector banks

 After the merger of 10 public sector banks into 4 big banks in 2019, there are only 12 public sector banks in the country at present. There is a likelihood of the number of public sector banks being reduced further through more mergers. 

Improving the farm infrastructure

 Amid the ongoing protests by farmers against the three agrarian laws, agriculture is expected to get more focus in the upcoming Budget. There has been a demand for strengthening the existing farmer producer organizations and the addition of more FPOs to ensure improved access to the markets, especially for small farmers. Furthermore, there might be an increased allocation of funds to fast-track projects like rural roads and irrigation and for development of warehousing facilities. 

Revisiting the divestment target

 For the fiscal year 2020-21, the Centre had set a divestment target of Rs. 2.1 lakh crore. As the privatization of government-owned entities such as Air India, BPCL etc. remains pending, Sitharaman might announce an increase in the divestment target in this year's Budget. 

Change in fiscal deficit

 The fiscal deficit, which is the difference between the total revenue and total expenditure for 2020-21, was pegged at 3.5%. The Union Finance Minister had defended not raising the fiscal deficit to a higher level such as 4.5% citing that excess borrowing would have an impact on the Budget as well as the consolidated fund. According to reports, the Centre might follow a relaxed fiscal roadmap to bring down the budget deficit to 4% of GDP by 2025-26. This shall require amendments to the Fiscal Responsibility and Budget Management Act. 

Finance Minister Nirmala Sitharaman on Friday presented the Economic Survey that details the state of the economy, ahead of the government's Budget for the fiscal year beginning April 1, 2021. The Economic Survey 2020-21, authored by a team led by Chief Economic Adviser Krishnamurthy Venkata Subramanian, details the state of different sectors of the economy as well as reforms that should be undertaken to accelerate growth.

Read the full Annual Economic Survey here - Annual Economic Survey 2020-2021

Learning from the Spanish Flu, Centre learnt intense lockdown provided a win-win strategy to save lives, and preserve livelihoods via economic recovery in the medium to long-term. India which imposed most stringent lockdown at the very onset of the pandemic - with measures like shutdowns, closure of schools and non-essential business, travel restrictions enabled flattening of the pandemic curve and, thereby, provided the necessary time to ramp up the health and testing infrastructure. As per the Survey,  India restricted the COVID-19 spread by 37 lakh cases and saved more than 1 lakh lives, while the actual cases in US are more than the estimated cases by 62.5 lakh cases.  

The Survey further revealed Uttar Pradesh, Gujarat and Bihar have restricted the case spread the best; Kerala, Telangana and Andhra Pradesh have saved the most lives; Maharashtra has underperformed the most in restricting the spread of cases and in saving lives. Fundamental strategies used were - (a) mitigation: slowing the epidemic spread by reducing R0 (b) suppression: reverse epidemic growth by reducing R0 below 1.

While the lockdown resulted in a 23.9 per cent contraction in GDP in Q1, the recovery has been a V-shaped one as seen in the 7.5 per cent decline in Q2 and the recovery across all key economic indicators, experienced a V-shaped recovery since then aided by a stable currency, comfortable current account, burgeoning forex reserves, and encouraging signs in the manufacturing sector output. The survey states the '5 T' strategy - Test, Track, Trace, Treat, Technology, helped India reached the peak in mid-September, after which rising mobility has been accompanied with lower daily new cases. The pandemic lockdowns led to local, regional, and global supply disruptions rendering a 'supply shock' leading to 'demand shock', affecting household income.

Not 'wasting a crisis', India initiated a slew of multi-sectoral supply-side structural reforms - Pradhan Mantri Garib Kalyan Yojana (PMGKY) for ensuring food security through public distribution system, direct benefit transfers to widows, pensioners and women, additional funds for MGNREGS, and debt moratoria and liquidity support for businesses. Atmanirbhar 2.0 and 3.0 helped to pump investment and consumption demand when lockdown eased. Major structural reforms launched by the Government – in agriculture markets, labour laws and definition of MSMEs – provide unparalleled opportunity to grow and prosper now and thereby contribute to job creation in the primary and secondary sectors.

Tabled in the Parliament on Friday, the Economic Survey 2020-21 strongly endorsed the three farm laws amid the ongoing protest by farm unions at the Delhi borders. In the chapter 'Agriculture & Food Management', Chief Economic Advisor KV Subramanian stressed that the agrarian reforms are catered for the benefit of the small and marginal farmers which constitutes around 85% of farmers. Maintaining that they are the biggest sufferers of the "regressive" APMC regulated market regime, he opined that the new era of "market freedom" can tremendously help in the improvement of farmer welfare. Moreover, the Survey listed several occasions in the past where the Centre was suggested to enact these reforms.

Subramanian appreciated the fact that agriculture and allied sectors showed resilience amid the coronavirus-induced crisis by clocking a growth rate of 3.4% at constant prices during 2020-21. The foodgrain production in 2019-20 was higher than the production of foodgrains in the previous fiscal year by 11.44 million tonnes. Additionally, India's agricultural and allied exports amounted to nearly Rs.2,52,000 crore as of 2019-20 with the major export destinations being the USA, Saudi Arabia, Iran, Nepal and Bangladesh. The Economic Survey also noted that the Centre increased the Minimum Support System for all mandated Kharif and Rabi crops for the 2020-21 season whereby the MSP was fixed at 1.5 times of the cost of production. It also threw light on the Centre's announcement for agriculture under the aegis of the Atmanirbhar Bharat Abhiyan. 
 

The Survey recommends the following steps to help Healthcare sector:

• Given its potential to provide healthcare access in remote areas, telemedicine needs to be harnessed to the fullest by especially investing in internet connectivity and health infrastructure. 
• In conjunction with Ayushman Bharat, the emphasis on National Health Mission should continue. 
• An increase in public spend from 1 per cent to 2.5-3 per cent of GDP – as envisaged in the National Health Policy 2017 – can decrease the Out-Of-Pocket Expenditures from 65 per cent to 30 per cent of overall healthcare spend. 
• As a bulk of the healthcare in India is provided by the private sector, it is critical for policymakers to design policies that mitigate information asymmetry in healthcare, which creates market failures and thereby renders unregulated private healthcare sub-optimal.

On Tuesday, the international monetary Fund (IMF)  projected a 11.5% growth for India in 2021 - making it the only major economy of the world to register double-digit growth this year amidst the coronavirus pandemic. China is next with 8.1 per cent growth in 2021 followed by Spain (5.9 per cent) and France (5.5 per cent). IMF has also projected that India’s economy is projected to grow by 6.8 per cent in 2022 and that of China by 5.6 per cent, with India regaining its ag of the fastest developing economies of the world.

 IMF Managing Director Kristalina Georgieva said that she is impressed by the appetite for structural reforms that India is retaining. The United Nations, on the other hand, projected India's economy to grow at 7.3 per cent in 2021, even as it is estimated to contract by 9.6 per cent in 2020. “What we see is that transition, combined with policy support, seems to have worked well. Why? Because if you look at mobility indicators, we are almost where we were before COVID in India, meaning that economic activities have been revitalized quite significantly,” said IMF Managing Director Kristalina Georgieva adding, "“Emerging markets on average have provided six per cent of GDP. In India this is slightly above that. Good for India is that there is still space to do more". 

Amid a series of consultations with various stakeholders, Sitharaman held a pre-Budget meeting with the Finance Ministers of all states on Monday. She has promised a "Budget like never before," hinting that the Centre would take all possible steps to boost the Indian economy. The previous Budget entailed various initiatives such as a streamlined exam for employment, elimination of human interface in tax assessment, tax holidays for start-ups, Taxpayers’ Charter, increasing the insurance on bank deposits besides a focus on skill development, infrastructure and agriculture. 

Here are some of the key expectations from the Budget:

Focus on healthcare sector- As the COVID-19 period has underscored the need for better healthcare facilities in the country, the Centre might spend more on the healthcare sector. Reportedly, there can be an extension of tax benefits under Section 35AD. Moreover, an increase in deduction under Section 80D of the mediclaim premium is likely. 
Relief on the Income Tax front-  The budget is expected to ensure that people have more dispensable income owing to the fact that several people lost their jobs or suffered a pay cut due to the novel coronavirus-induced lockdown. It is speculated that the basic tax exemption limit for an individual might be raised from Rs.2.5 lakh to Rs.5 lakh for people below 60 years of age. The Union government may also introduce a COVID-19 cess on high-income earners.

Boost for infrastructure and employment- One of the priority areas of the government will be employment generation in the country. Therefore, a special focus is likely on sectors such as infrastructure, textiles, housing, MSME etc. which might help boost employment. Reports suggest that the Centre can liberalise FDI rules in construction apart from allocating a credit-linked subsidy for the home buyers. Additionally, the credit guarantee scheme for the MSMEs might be extended.

Less number of public sector banks- After the merger of 10 public sector banks into 4 big banks in 2019, there are only 12 public sector banks in the country at present. There is a likelihood of the number of public sector banks being reduced further through more mergers. 

Improving the farm infrastructure- Amid the ongoing protests by farmers against the three agrarian laws, agriculture is expected to get more focus in the upcoming Budget. There has been a demand for strengthening the existing farmer producer organizations and the addition of more FPOs to ensure improved access to the markets, especially for small farmers. Furthermore, there might be an increased allocation of funds to fast-track projects like rural roads and irrigation and for development of warehousing facilities. 

Revisiting the divestment target- For the fiscal year 2020-21, the Centre had set a divestment target of Rs. 2.1 lakh crore. As the privatization of government-owned entities such as Air India, BPCL etc. remains pending, Sitharaman might announce an increase in the divestment target in this year's Budget. 

Change in fiscal deficit- The fiscal deficit, which is the difference between the total revenue and total expenditure for 2020-21, was pegged at 3.5%. The Union Finance Minister had defended not raising the fiscal deficit to a higher level such as 4.5% citing that excess borrowing would have an impact on the Budget as well as the consolidated fund. According to reports, the Centre might follow a relaxed fiscal roadmap to bring down the budget deficit to 4% of GDP by 2025-26. This shall require amendments to the Fiscal Responsibility and Budget Management Act. 
 

The Finance Minister has already raised hopes by stating that it will "be a Budget like never before."

GST collections surged to an all-time high of about Rs 1.20 lakh crore in January as economic activities picked up after the withdrawal of stringent lockdown restrictions. Mop-up from the Goods and Services Tax (GST), which is levied when a consumable item is sold or a service such as travel booking rendered, in January was 8 percent higher than such receipts in the same month of 2020.

The Finance Ministry said the January collections were the highest ever since the implementation of the nationwide tax in July 2017.

Ahead of the presentation of Union Budget 2021-22 by Finance Minister Nirmala Sitharaman, the Union Cabinet will hold a meeting at 10:15 am today. The Budget will be presented at 11 am in the Parliament on February 1.

Parliamentary Affairs Minister Pralhad Joshi said on Saturday that the budget session, which started on January 29, will take up 38 legislative items.

The first part of the budget session will continue till February 15. The second part of the session will be held from March 8 to April 8. Rajya Sabha will function from 9 am to 2 pm and Lok Sabha from 4 pm to 9 pm with Zero Hour and Question Hour.

The first part of the Budget Session of Parliament will end on February 13 instead of February 15 as the Rajya Sabha, on Sunday, decided to change its sitting, sources said. Rajya Sabha Chairman M Venkaiah Naidu also made a fervent appeal to the leaders of various parties at an all-party meeting to ensure smooth and effective functioning of the House during the Budget Session.

Leaders of various parties attending the meeting assured that there would be full participation in all the debates and discussions in the House, the sources add.  It was also decided that the Rajya Sabha would sit on February 13 instead of the scheduled sitting on February 15, as the last of the first part of the Budget Session.

Full time table of Union Budget 2021

Time: 8:30 AM approx
FM will leave her residence for North Block 

Time: 9:00 AM
Photo along with Budget Team when FM Nirmala Sitaraman leaving for Rashtrapati Bhawan

10:00 AM
Photo Shoot when FM entering the Parliament House with Budget Brief case

10:15 AM
Union Cabinet meeting in Parliament to pass the Budget

11:00 AM 
FM will present Budget

3:00 PM
FM Nirmala Sitaraman will address a Post Budget Press Conference along with Minister of State for Finance and all other Secretaries at Media Center

Time: 4:45PM
Suneet Sharma, Chairman & CEO, Railway Board along with other Railway Board Members will hold a Press Conference on provisions for Indian Railways in General Budget 2021 in Conference Hall, 2nd Floor, Rail Bhawan, New Delhi.

With the economy ground to a halt by the Coronavirus (COVID-19) lockdown enforced by the Centre to 'break the transmission', PM Modi announced a Rs 20 lakh crore economic package - including the previous monetary package and the liquidity measures announced by RBI till date (amounting to 10.26 lakh crore) to kickstart Indian economy's growth as India emerged from total lockdown. Finance Minister Nirmala Sitharaman announced a slew of reforms in five parts to strengthen MSMEs, migrants, street vendors, urban poor, agriculture, animal husbandry, sectors like - Coal, defence production, minerals, civil aviation (Airports, Airspace Mgmt & MRO), power distribution in UTs, Space, atomic energy. While the industry hailed the government's economic package, the Opposition slammed it calling a 'farce'. 

• The first tranche dealt with credit to MSMEs, NBFCs, EPF support, liquidity infusion into various sectors and extending filing Income Tax return for Fiscal Year 2019-20 upto December 2020. 
• As a part of the second tranche, nine main measures to aid migrant workers, street vendors, small farmers, self-employed people were announced under the government's MUDRA, MNREGA schemes.
• Under the third tranche, the government announced 11 measures - of which 8 of them focused on strengthening infrastructure, capacities and building better logistics in Agriculture, Fisheries and animal husbandry, while the rest 3 pertained to governance and administrative reforms - i.e the Farm Laws.
• The fourth tranche of its economic package made structural reforms in eight sectors namely - Coal, defence production, minerals, civil aviation (Airports, Airspace Mgmt & MRO), power distribution in UTs, Space and atomic energy opening up these sectors to privatisation, corporatisation.
• The last tranche announced 7 steps namely for MNREGA, health and education, for states, and for easing of business, infusing more capital into the existing government schemes.

Giving a preview to the Budget 2020-21, Finance Minister Nirmala Sitharaman on Friday presented the Economic Survey that details the state of the economy, ahead of the government's Budget for the fiscal year beginning April 1, 2021. The Economic Survey 2020-21, authored by a team led by Chief Economic Adviser Krishnamurthy Venkata Subramanian, details the state of different sectors of the economy as well as reforms that should be undertaken to accelerate growth. The Indian economy can contract by 7.7% in the current financial year ending on March 31 and the growth could be 11% in the next financial year, according to the Economic Survey. 

The CEA explained how the 'humane approach' to the pandemic 'saved lives and livelihood' as India battled COVID-19, stating  that India's stringent lockdown helped save 37 lakh cases and 1 lakh lives. While the lockdown resulted in a 23.9 per cent contraction in GDP in Q1, the recovery has been a V-shaped one as seen in the 7.5 per cent decline in Q2 and the recovery across all key economic indicators, experienced a V-shaped recovery since then aided by a stable currency, comfortable current account, burgeoning forex reserves, and encouraging signs in the manufacturing sector output. The IMF has predicted a 11.5% growth rate for India in FY-22, followed by a fall to 6.5% in FY-23.

Marking a first, the Centre has decided not to print documents related to the Union Budget for the fiscal beginning of April (FY 2021-22). All MPs will get soft copies of the budget and Economic Survey that contains an account of the state of the economy. The Budget documents will be available on the Mobile App - “Union Budget Mobile App” after the completion of the Budget Speech by the Finance Minister in Parliament on 1st February 2021. the App developed by the National Informatics Centre (NIC) under the guidance of the Department of Economic Affairs (DEA) is available both in Hindi and English and will be available on both Android and iOS platforms. The two-part Union Budget session will start from January 29 till February 13 and the second session will take place between 8 March and 8 April.