Budget 2021 Highlights: Rs 35,000-cr shot for vaccine, Rs 1.10 lakh crore outlay for railways

Budget 2021 Highlights: The Union Budget 2021-22, which has come at a time when India’s financial system is reeling beneath the aftereffects of the Covid-19 induced lockdown, is being offered by Union Finance Minister Nirmala Sitharaman at Parliament. During her speech, Sitharaman introduced a complete spend of round Rs 2 lakh crore on healthcare, Rs 35,000 crore for the Covid-19 vaccine, Rs 1.10 lakh crore outlay for railways and stated the federal government goals to finish 11,000 km of nationwide freeway infrastructure this 12 months.

According to the Economic Survey 2020-21, which was tabled by the Finance Minister within the Lok Sabha Friday, the federal government sees the Indian financial system rising at 11 per cent within the monetary 12 months 2021-22 (FY22). However, the GDP development charge is estimated at minus 7.7 per cent for the continuing fiscal. The annual doc by the Ministry of Finance beneath the steering of Chief Economic Advisor KV Subramanian gives a abstract of annual financial growth throughout the nation throughout the monetary 12 months 2020-21.
This is Sitharaman’s third funds beneath the National Democratic Alliance (NDA) authorities led by Prime Minister Narendra Modi. In a big departure from the custom, this 12 months’s Budget is exclusive as it’s paperless. The papers didn’t get printed for the primary time since Independence, as a result of COVID-19 pandemic. Last 12 months, the Finance Minister had ditched the leather-based briefcase for a conventional “bahi khaata” — or purple, handmade ledger — saying that it was “high time we move on from the British hangover, to do something on our own”.

Union Budget 2021 highlights:
# FM Sitharaman stated Budget 2021 was ready in “unprecedented times” and thanked the important staff who continued to serve the nation amid the lockdown.
# Sitharaman highlighted what the federal government has achieved for the poor, the migrants, kids in addition to senior residents beneath numerous schemes. “Announcements made earlier were like 5 mini budgets themselves,” she stated.
# Sitharaman quoted Tagore throughout the Budget presentation. “Today, India has two vaccines and is not only comforting citizens of her own country, but those of neighbouring nations too,” Sitharaman stated as she highlighted the Covid-19 pandemic associated efforts of the federal government. Quoting Tagore, Sitharaman stated, “Faith is the bird that feels the light when the dawn is still dark,” including that this second in historical past is the daybreak of a brand new period, the place India is well-poised to be the land of promise and hope”. She additionally remembered the Indian cricket staff victory’s in Australia.
Finance Minister Nirmala Sitharaman with MoS for Finance Anurag Thakur leaves the Finance Ministry for the Parliament to announce the 2021-22 Union Budget in New Delhi.
# Sitharaman stated the funds for 2021-22 rests on six pillars – from healthcare to infrastructure. She has additionally introduced a complete spend of round Rs 2 lakh crore on healthcare.
# “So far only three times the budget has followed a contraction. Our government is fully prepared to support and facilitate a reset of the economy,” she stated, including that 2021 is the 12 months of “milestones.”
# The Finance Minister stated India might have by no means imagined the well being disaster that was about to unfold when she offered the funds for 2020. “The total impact of Atmanirbhar Bharat and measures by RBI was Rs 27.1 lakh crore, which amounts to 30 per cent of GDP,” Sitharaman stated.
# The funds proposals of Part A will strengthen the ‘Sankalp of Aatmanirbhar Bharat’. The focus, Sitharaman stated, will probably be on 6 pillars, which embody Health & well-being, Physical & monetary capital & infrastructure, Inclusive growth for aspirational India, Reinvigorating human capital, Innovation & R&D and Minimum Govt & Maximum Governance.
# FM Sitharaman introduced PM Aatmanirbhar Swastha Bharat, which will probably be launched with an outlay of 64,180 cr over 6 years. “Intend to focus on reduction of single-use plastic, air pollution and segregation of waste,” she added.
# Sitharaman additionally stated that the federal government will launch Mission Poshan 2.0 and Jal Jeevan Mission Urban. “The Urban Swachh Bharat scheme will be implemented with an outlay of over Rs 1.4 lakh crore,” she stated.

# Sitharaman introduced Rs 35,000 crore for the Covid-19 vaccine. “The government is committed to providing more funds. The Budget outlay for health and welfare is Rs 2,23,846 crore in the 2021-22 Budget. This is a 137 per cent increase.”
# The Finance Minister stated 217 initiatives value over Rs 1 lakh crore have been accomplished beneath National Infrastructure Pipeline.
# She additionally introduced that she would quickly desk a invoice on DFI basically to fill the hole in long-term finance for infrastructure sectors.
# The Budget additionally mentions seven ‘Textile Parks’ to be developed within the subsequent three years and that Railways will monetize devoted fright hall property for operations and upkeep after commissioning.
Finance Minister Nirmala Sitharaman delivering her funds speech in Parliament, New Delhi.
# The Finance Minister additionally introduced that Rs 95,000 crore will probably be spent on roads in West Bengal. The announcement for the state of Bengal acquired the loudest thumping of desks, because the state goes to polls in just a few months.
# “For 2022, I propose a sharp increase in capital expenditure at 5.54 lakh crore, from Rs 4.39 lakh crore in 2021. More economic corridors being planned to boost road infrastructure,” FM Sitharaman added.
# Sitharaman stated that the federal government goals to finish 11,000 km of nationwide freeway infrastructure this 12 months. Highway works proposed embody 3,500 km hall in Tamil Nadu, 1,100 km in Kerala at funding of Rs 65,000 cr, 675 km in West Bengal at a price of Rs 95,000 cr and 1,300 km in Assam within the subsequent 3 years.
# The authorities goals to spend Rs 1.97 lakh crore on numerous PLI schemes over the subsequent 5 years, beginning this fiscal. This is along with the Rs 40,951 crore introduced for the PLI for digital manufacturing schemes.
# The Finance Minister additionally introduced Rs 1.10 lakh crore outlay for railways, of which Rs 1.7 lakh crore is for capital expenditure. Also, Centre will present Rs 18,000 crore for public buses, she added.
FM Niramal Sitharaman and President Kovind (Image: Twitter/@Rashtapatibhvn)
# Sitharaman introduced Rs 3.05 lakh crore outlay for the facility sector and added that 100 extra cities to be added within the subsequent 3 years to the gasoline distribution community.
# Coming to Jammu and Kashmir, Finance Minister Nirmala Sitharaman introduced a brand new gasoline pipeline undertaking for the state.
# Rs 1,000 crore to photo voltaic vitality company and Rs 1,500 to renewable vitality growth company have been additionally introduced.
# Also, as per the Budget 2021, the FDI in insurance coverage sector proposed to be hiked to 74% from 49% now.
# Government will help the event of a world-class fintech hub at GIFT and an investor constitution will probably be launched, stated Sitharaman.
# The FM introduced additional infusion of Rs 20,000 crore for public sector banks. “The government plans to sell part of its holding in Life Insurance Corporation of India through an initial public offering in the coming year. An amendment to the existing Act to facilitate the public offer,” Sitharaman stated.
Finance Minister Nirmala Sitharaman with MoS for Finance Anurag Thakur leaves the Finance Ministry for the Parliament to announce the 2021-22 Union Budget in New Delhi
# Taking concerning the farm legal guidelines, Sitharaman stated, ” The authorities is dedicated to the welfare of farmers.” Amid protests from opposition leaders, she additional stated, “MSP has gone through a sea change. Over Rs 75,000 crore paid to wheat farmers in 2020-21, 43.36 lakh benefited from this.”
# Sitharaman proposed a rise in agriculture credit score goal to Rs 16.5 lakh crore. “The MSP regime has undergone a change to assure price that is at least 1.5 times the cost of production across all commodities. The total amount paid to paddy farmers surged to Rs 1.72 lakh crore in 2020-21.”
# The Finance Minister put disinvestment receipts at Rs 1.75 lakh cr for the fiscal 12 months starting April 1, 2021. Two PSBs and one common insurance coverage firm to be divested, legislations amendments to be launched on this session, she added.
# National Education Policy additionally acquired talked about in Sitharaman’s Budget speech. Asserting that the coverage acquired an excellent reception, the FM stated, “Over 15,000 schools to be qualitatively strengthened under National Education Policy.”