Presenting the General Budget for the financial years 2016-17, Union Finance Minister Arun Jaitley on Monday announced “nine pillars for transforming India”, with a strong emphasis on agriculture and rural sector.
Jaitley presented a budget outlay of Rs 87,700 crore for rural development, including Rs 38500 crore for MNREGA, and Rs 35,984 crore was allocated for Agriculture and Farmers’ welfare. Meeting market expectations, infrastructure also got a total outlay for infrastructure Rs. 2,21,246 crores.
The budget also saw Jaitley announce 100 per cent electrification of villages by May 1, 2018.
Here is the budget in numbers:
# CPI inflation down to 5.4%.
# Rs. 35,984 crores total allocation for farmers’welfare.
# Nabard corpus of Rs. 20,000 cr for irrigation projects.
# 5 lakh acres to be brought under Organic farming over three years.
# Rs 1900 crore allocated under Pradan Mantri Gram Yojna.
# 65 eligible habitats to be connected via 2.23 lakh kms of road. Current construction pace is 100 kms per day.
# Target: 8.5 lakh crore of agricultural credit in 2015-’16. In 2016-17: 9 lakh crore.
# 38500 cr allocated for MNREGA.
# Rural electrification of 5542 villages in Feb 2016, more than total combined achievement of previous three years. Rs 8500 crore for rural electrification: FM
# 100% rural electrification by May 1, 2018.
# Quantum jump of 228% in grants to gram panchayats and urban local bodies in accordance with FFC recommendations.
# Rs. 87,765 crores for rural development as a whole have been allocated in the budget.
# A new health protection scheme will provide upto Rs 1 lakh financial aid for the needy and senior citizens will get an additional Rs 30,000.
# Stand Up India scheme allocated Rs.500 Crores for SC, ST and women entrepreneurs.
# Appreciation for 75 lakh Middle class and lower middle class for willingly giving up LPG Subsidy.
# Rs 9,000 crores allocated to Swaccha Bharat Abhiyaan.
# Rs 1700 crores for Pradhan Mantri Kaushal Vikas Yojana.
# Govt. will pay EPF contribution of 8.33% for all new employees for 1st three years.
# National Skill Development Mission has imparted training to 76 lakh youth. 1500 Multi skill training institutes to be set up.
# 55000 cr for roads and highways. Total allocation including rural is 97,000 cr.
# Target of 10,000 kms of national highway and upgradation of 50,000 kms of state highways in 2016/17.
# Total outlay for infrastructure Rs. 2,21,246 crores in 2016/17.
# 100% FDI through FAPB route in marketing of food products produced and manufactured in India.
# Rs 25,000 crore recap for government banks.
# Amount sanctioned under PM Mudra Yojana has reached Rs.1 lakh crore to cover 2.5 crore borrowers by Feb, 2016.
# Target of disbursement under MUDRA increased to 1,80,000 crore.
# 900 crore rupees for Market Stabilization Fund for pulses.
# Tax ceiling raised from Rs 2000 to Rs 5000 for those who earn less than Rs 5 lakh
# Relief to those in rented houses: deduction raised from 24,000 to 60,000 Rs. under Section 88G.
# 100% deduction for profits of undertakings from housing projects in cities during Jun ’16 – Mar ’19.
# Krishi Kalyan Cess of 0.5% on all taxable services.
# Clean Energy cess to be renamed to #CleanEnvironment cess, increased from 200 to 400 rs/ton of coal.
# Surcharge on income tax for those with incomes exceeding 1 crore per annum. Earlier: 12%, Now on: 15%.
# 10-15% tax on tobacco products.
# Penalty to be 50% of tax in income under-reporting cases, 200% in misreporting of facts.