Recap: President’s Address to Parliament in 2019, and the current status of those initiatives

What did Kovind say on June 20, 2019? What is the current status of the initiatives he underlined?

The President said India was on its way to become the fifth largest economy in terms of GDP, a claim that the International Monetary Fund (IMF) corroborated last year. Further, he said the government sought to make India a $5 trillion economy by 2024. India’s GDP is estimated to grow at 5 per cent in 2019-20, compared to the 6.8 per cent growth rate in 2018-19. The GDP in 2019-20 is estimated at $2.9 trillion, which is 7.5 per cent higher than the provisional estimate for 2018-19.

Growth rate of Agriculture, Manufacturing, and Services sectors (in %). (PRS data)

Second, the President said inflation was low and fiscal deficit under control. In the first three quarters of 2019-20, CPI inflation was: 3.1 per cent (April-June); 3.5 per cent (July-September); and 5.8 per cent (October-December). India has a target of 4 per cent (within a 2 per cent to 6 per cent range) for CPI inflation for the period 2016-2021

Food inflation in the first three quarters of 2019-20 was 1.7 per cent (April-June); 3.5 per cent (July-September); and 10.7 per cent (October-December)

The fiscal deficit target to be achieved as per the FRBM Act is 3 per cent of the GDP. In 2019-20, it is budgeted to be 3.3 per cent (Rs 7,03,760 crore). Till November 2019, the first eight months of 2019-20, fiscal deficit stood at Rs 8,07,834 crore or 3.8 per cent of the GDP.

The President said foreign exchange reserves were growing. On January 10, 2020, foreign exchange reserves were up by 16 per cent over the last one year, and stood at $461 billion, as compared to $397 billion on January 11, 2019.

Between April to December 2019, India’s exports grew at 0.9 per cent over the same period in 2018, and stood at $397.5 billion. Imports, on the other hand, declined by 5.8 per cent, and stood at $455.1 billion.

Explained: Why the President’s Address matters

President Kovind said the government would implement the National Register of Citizens (NRC) on a priority basis in regions affected by infiltration. The NRC was updated in Assam — in the complete draft published on August 31, 2019, 3,11,21,004 people were found eligible for inclusion, and 19,06,657 people were excluded.

Cases of infiltration along Indian borders. (PRS data)

President Kovind said the government would amend the Citizenship Act, 1955. The Citizenship (Amendment) Bill, 2019 was passed on December 11, 2019.

The President said necessary measures would be taken to development Jammu and Kashmir, and provide a safe and peaceful environment for its residents. In this regard, the Jammu and Kashmir Reorganisation Bill, 2019 was passed by Parliament on August 6, 2019. Jammu and Kashmir was bifurcated into two Union Territories — Jammu and Kashmir and Ladakh — on October 31, 2019.

To double farmers’ income by 2022, the President said the government has taken certain decisions including increasing Minimum Support Prices, approving 100% per cent foreign direct investment (FDI) in food processing, and extension of Crop Insurance Scheme and Soil Health Cards.

MSP for paddy was increased by 3.7 per cent from Rs 1,750 per quintal in 2018-19 to Rs 1,815 per quintal in 2019-20. The MSP for wheat increased by 4.6 per cent from Rs 1,840 per quintal in 2018-19 to Rs 1,925 per quintal in 2019-20.

The Pradhan Mantri Fasal Bima Yojana (PMFBY) was launched from Kharif 2016.

President Kovind said the government would strive to secure equal rights for women in the country and eradicate social evils like ‘Triple Talaq’ and ‘Nikah-Halala’. Parliament passed the Muslim Women (Protection of Rights on Marriage) Bill, 2019 on July 30, 2019. The law makes declaration of talaq, including in written or electronic form, void and illegal.

President Kovind said the government would launch Chandrayaan-2. The mission was successfully launched into the Earth’s orbit on July 22, 2019 and entered the Moon’s orbit. However, it failed to make a soft-landing.

The President reiterated the government’s commitment to water conservation. The Ministry of Jal Shakti was created in June 2019 with two departments; Drinking Water and Sanitation, and Water Resources, River Development and Ganga Rejuvenation.

(Analysis and data by PRS Legislative Research)

From the homepage

Supreme Court hints at allowing green crackers in Delhi-NCR this Diwali on trial basis

Bihar’s economy needs jobs and investments, but can it afford pre-poll sops?

Gaza ceasefire goes into effect, what happens next?