First Published | Saturday, February 28, 2015 - 16:26
NEW DELHI: Finance minister Arun Jaitley presented the first full-year Budget of the NDA government led by Prime Minister Narendra Modi’s on Saturday.
Here are the key aspects of the Union Budget 2015:
• Growth for 2015-2016 expected to be at 8-8.5% • Intending double digit growth rate
• Additional fiscal space to be created for more investment • Roadmap to achieve Fiscal deficit of 3% of GDP in three years: Target is 3.9% in 2015-16, 3.5% in 2016-17 and 3% in 2017-18 • To meet fiscal deficit of 4.1% in Financial Year 2015 • Need to keep fiscal discipline in mind in spite for higher investment
• Aim is set up stable taxation policy • Expects to apply goods and services tax by April next year • Individual tax payer can get the benefit of more than Rs. 4 lakh • Huge reduction in corporate tax, down by 5% • Corporate tax trimming would boost investment
• Aim to permit infrastructure bonds in rail, road and inflation • The latest CPI inflation is 5.1 percent • Anticipates that the consumer inflation to remain approximately 5% in March
• Offer to generate a universal social security system for all Indians • Propose to combine commodities regulator with SEBI • Allocates Rs. 346.99 billion for rural employment guarantee scheme in 2015-16 • Set up public debt management group
• Investment in infrastructure will rise by Rs. 700 billion in 2015-16 over last year • Aims to set up national investment infrastructure fund • Suggests tax-free infrastructure bonds for projects in roads, rail and irrigation projects • Recommends five ultra mega power projects for 4,000 MW each • Second unit of Kudankulam nuclear power station to be commissioned in 2015-16 • Need to sanction 1 lakh km of new roads
Arun Jaitley - Comments Highlights
• “The world is predicting it's India's time to fly” • “We inherited a sentiment of doom and gloom. The investment community had almost written us off. We have come a long way since then.” • People have voted for change, for corruption free India • “We have turned around the economy, dramatically restoring macroeconomic stability and creating the conditions for sustainable poverty elimination, job creation, durable double digit economic growth.” • “While being mindful of the challenges ... this gives us reason to feel optimistic.” • “Domestic and international investors are seeing us with renewed interest and hope.” • To conclude, it is no secret that the expectations from this budget have been high. Even our worst critics would agree, we have moved quickly. We are committed to achieving what we have been voted in power for.