Published 15:21 IST, November 12th 2020
Aatmanirbhar Bharat 3.0: Rozgar Yojana to vaccine grant - FM's 12-point economic stimulus
Finance Minister Nirmala Sitharaman has announced 12 new measures in the series of stimulus announcements by the Central government to boost the economy
- Economy News
- 4 min read
Finance Minister Nirmala Sitharaman on Thursday announced 12 new measures in the series of stimulus announcements by the Central government to boost the economy. Speaking about the economy, she said there is definitely a strong recovery and quite a few indicators show that. She also said that the demand is rising as the country is seeing a downfall in active COVID-19 cases.
The Finance Minister said that RBI has predicted a strong likelihood of the Indian economy "returning to positive growth" in Q3:2020-21, ahead by a quarter of the earlier forecast. FM Sitharaman also stated that Moody's has reassessed India's 2020 GDP growth at -8.9% (as against -9.6% earlier). "For 2021, they have revised estimate to 8.6% (from 8.1% earlier). This shows that a positive correction is happening as regards our economic prospects," she said.
'Various unrelenting systemic reforms have helped'
The Finance Minister spoke about the progress some key measures announced during Atmanirbhar Bharat Abhiyan 2.0 which will show that the new measures are "in continuity" with the previous ones. "28 states have been brought under One Nation One Ration Card scheme, 68.6 crore beneficiaries can hence lift food grains from any of these 28 states/UTs. Around 14 lakh loans have been sanctioned under PM SVANidhi scheme for street vendors," she said. The Labour Ministry with the Finance Ministry and other concerned ministries are working together closely with the States, and the work has commenced on creating a portal for migrant workers, FM Sitharaman said.
Credit boost to 2.5 crore farmers
The Centre has given credit boost to 2.5 crore farmers through Kisan Credit Cards, Rs 1.4 lakh crore has been distributed to farmers and Rs 25,000 crores has been disbursed to farmers from Additional Emergency Working Capital Funding through NABARD, Nirmala Sitharaman said.
Aatmanirbhar Bharat 2.0 - Progress
To show the progress of Aatmanirbhar Bharat 2.0 which was announced on October 12, the Finance Minister shared a slide stating that SBI Utsav cards are being distributed, under the festival advance scheme announced. 11 states have been sanctioned Rs 3,621 crores as an interest-free loan towards capital expenditure, she stated.
Atmanirbhar Bharat 3.0: The 12 point plan
As part of Atmanibharat Bharat 3.0, the Finance Minister said that there are 12 announcements.
1. Atmanirbhar Bharat Rozgaar Yojana
New scheme Aatmanirbhar Bharat Rozgar Yojana is being launched to incentivize job creation during COVID-19 recovery, FM Sitharaman said.
2. Emergency Credit Line Guarantee Scheme
The existing Emergency Credit Line Guarantee Scheme has extended till 31st March 2021.
The Centre is launching credit guarantee support scheme for the health care sector and 26 sectors stressed due to COVID19, FM Sitharaman said.
3. Production Linked Incentive
Production Linked Incentive worth ₹ 1.46 lakh crore is being offered to 10 champion sectors, this will help boost the competitiveness of domestic manufacturing. This will give a big boost to the economy, investment, exports and job creation, FM Sitharaman said.
4. Rs 18,000 crore for PM Awaas Yojana
Finance Minister announced an additional outlay of Rs 18,000 crore for PM Awaas Yojana - Urban which will help ground 12 lakh houses and complete 18 lakh houses.
5. Support for Construction and Infrastructure
6. Demand booster for Residential Real Estate
7. Rs 1.1 lakh crore Platform for Infra Debt Financing
The government will make Rs 6,000 crore equity investment in debt platform of National Investment and Infrastructure Fund, which will help NIIF raise Rs 1.1 lakh crore by 2025 for financing infrastructure projects, Nirmala Sitharaman said.
8. Support for Agriculture
9. Boost for Rural Development
10. Boost for Project Exports
11. Capital and Industrial Stimulus
12. R&D grant for COVID vaccine development
Updated 15:21 IST, November 12th 2020