'India will expand its production by 20 lakh crores', says Piyush Goyal

Measures in the Union Budget 2021-22 will help India expand production by Rs 20 lakh crores, said Union Minister Piyush Goyal while addressing the media via video-conference on Tuesday. Asserting that the Union Budget 2021-22 promoted 'entrepreneurship', Goyal remarked that production-linked incentives in the budget had the potential to expand the production ecosystem in India by about Rs 20 lakh crores.

"Through a series of announcements of production linked incentives, the government has come up with measures which will expand production ecosystem by about Rs 20 lakh crores. Union Budget has brought out a series of reform and support measures. Both fiscal and monetary to help the industry get back on its feet in the post lockdown period. Production Linked Incentives (PLI), Quality control, and ease of doing initiative will help to enhance our production by Rs 20 lakh crores," he said. 

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The Minister also highlighted how the budget was centered around bringing the economy back on track post the COVID-19 pandemic, saying, "The budget will help industry with liquidity support to help businesses in the domestic sector and our international trade goods and services to once again get back to its original numbers, and then move forward with the strength to make the economic activity on a fast track."

"With that, the multiplier effect is believed that there will be a significant impact to economic growth in the coming year, and the years to come. Government support to infrastructure, private sector investments in infrastructure will boost to the economy," he added. 

Union Budget 2021

In the first post-COVID budget, FM Sitharaman allocated a whopping 2.83 lakh crores - a 137% hike for the Health sector, introducing 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. Other major points of focus in this year's budget are the 'National Monetization Pipeline' which covered key state assets to be monetized, strategic disinvestment of several PSUs, increased FDI limit from 49% to 74%, disinvestment, infrastructure, agriculture, fiscal deficit, and direct taxes.

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(With Agency Inputs)