Budget 2021 Live Updates: Budget will bring in several positive changes, says PM

Communist Party of India-Marxist statement: "It is a classic illustration of the Modi government's unshakeable commitment to promoting the interests of a handful of big business houses at the expense of increasing distress and misery for the working people."

"The panacea for this Government is to sell off India’s national assets and privatize even profit-making public sector companies. The monetisation project announced in the budget included the sale of valuable land held at present by public sector companies. The target is to mobilise 1.75 lakh crores through disinvestment. The increase in FDI in insurance to 74 per cent is highly objectionable. This drive for privatisation is a subversion of the national interests and a mockery of the slogan of Atmanirbharta."

"The Polit Bureau calls upon the people to protest against this pro-corporate budget and step up struggles for immediate cash transfers, free food and universal employment guarantee programmes."

Nirmala Sitharaman says that Budget 2021 introduces various reforms in financial sectors.

* Progressive steps such as IPO of LIC, disinvestment to continue, opening up of insurance sector to FDI.

* We have come up with a formulation to clean up NPAs in banks

* Agriculture has received emphasis in Budget 2021

* Government has attended to the needs of the health sector, capacity building in health given a big place

* Allocation for credit flow through NABARD increased

* Government is bringing in Agriculture Infrastructure Development Cess through restructuring, without consumers having to pay more.

* DEA Secretary: Confident of meeting the fiscal deficit target of 6.8 per cent for FY22

Prime Minister Narendra Modi has assured the country that the Union Budget 2021 will bring in several positive changes for individuals, investors, industry and infrastructure sector

In a brief address to the nation, Prime Minister Modi said, "Union Budget 2021-22 has been presented amid unprecedented circumstances."

"We have taken the approach of widening new opportunities for growth, new openings for our youth, a new high to human resources, develop new regions for infrastructure, walking towards technology & bring new reforms with this Budget."

The Congress party has come out and slammed the Union Budget, calling it disappointing. 

Congress leader Anand Sharma took to Twitter to say, "Budget 2021 is disappointing as it is without a roadmap for accelerating growth & revival of consumer demand. The FM could have been brave but chose to be timid. The nation needed a bold budget and more direct transfers to the weaker sections to revive demand, restart job creation."

He further said, "The FM could have been bold and extended help to the poor and the working class. She chose to be timid and continued with the government's rhetoric."

"The sale of profit making PSUs like LIC and GIC is against broader national interests. More needs to be done to recapitalize banks, facing serious NPA concerns. The economy is not in a V shaped but a K shaped recovery because many sectors continue to be under severe stress," Sharma said.

"One nation, one ration card and increased spending on public health were two bright spots in an otherwise directionless budget which will be forgotten in a few weeks," he added.

Finance Minister Nirmala Sitharaman will address her post-Budget Press Conference at 3PM at the National Media Centre in New Delhi.

Nirmala Sitharaman's Union Budget 2021 has received rave reviews from the industry with some even terming it as one of the finest-ever.

Shortly after the Budget speech, Asianet Newsable reached out to industry majors who gave a thumbs up to the Union Budget 2021.

Finance Minister Nirmala Sitharaman announces extending of tax holidays for startups by one year, till March 31, 2022

* Govt withdraws exemptions on some mobile phone parts.

* Tax audit limit for MSMEs increased from Rs 5 crore to Rs 10 crore.

* Customs duties on gold and silver rationalised.

* Exemption on tunnel boring machines withdrawn, and to be taxed at 7.5%.

* Duties on copper scrap reduced from 5% to 2.5%.

FM: Senior citizens over 75 years with only pension and interest income need not file IT returns

* Our tax system should be transparent. Government instructed series of reforms for Direct Tax mechanism. Faceless assessment was introduced in the direct tax administration to improve the tax efficiency.

* Reopening of tax cases only till after 3 years (it was 6 years earlier).

* Government to set-up a faceless dispute resolution mechanism for small taxpayers.

Finance Minister Nirmala Sitharaman said that the fiscal deficit in FY21 has been pegged at 9.5% of GDP. The government will need another Rs 80,000 crore for which it intends to approach the market in next two months. FY22 gross borrowing target at Rs 12 lakh crore.

* A National Language Translation Mission will be set up to further boost our regional languages

* Rs 1,500 cr earmarked for a scheme for financial incentives for digital payments.

* Social security benefit to be extended to platform and gig workers

Finance Minister Nirmala Sitharaman provides Rs 700 crore for MSME sector, more than double of what it was.

* Allocation raised for 'Eklavya' schools to Rs 38 crore and Rs 40 crore in hilly areas.

* 15,000 schools to be strengthened as per National Education Policy.

* 100 new sainik schools to be set up in partnership with NGOs. 

* To ramp up Higher Education in Ladakh under NEP 2020, FM proposes setting up of central university in place

US-India Business Council welcomes Nirmala Sitharaman's announcement raising FDI limits on insurance to 74%.

The USIBC said that the government had "acknowledged the need for changes to management & control regulations".

"Details matter so we look forward to further engagement on these safeguards. More foreign capital in the sector will give a substantial lift to Indians' personal security, financial inclusion, entrepreneurship & economic growth," the USIBC said.

* A portion of the agricultural fund will be allocated to APMC for furthering their infrastructure.

* Micro irrigation corpus doubled to Rs 10,000 cr. Agriculture infra fund will be made available to APMCs.

* Migrant workers can claim ration under 'One Nation One Ration Card'. 32 states and UTs are under the scheme with over 69 crore beneficiaries.

* Rural infrastructure fund increased to Rs 40,000 crore.

Nirmala Sitharaman announces further infusion of Rs 20,000 crore for public sector banks.

* Asset reconstruction and management company to be set up for stressed assets of banks

* Finance Minister says the government is committed to the welfare of farmers. The MSP regime has undergone a change to assure price that is at least 1.5 times the cost of production. 

* Farm credit target for the financial year 2022 is pegged at Rs 16.5 lakh crore. Additional allocations will be made for rural infrastructure and irrigation. 

* Rs 75,060 crore paid to farmers for wheat procurement in 2020-21. The same amount was Rs 62,802 crore in 2019-2020 

* More than 10,500 crore rupees has been given as MSP for pulses in the year 2020-21 which is 14 times higher as compared to 2013-14.

* 1000 more mandis (APMCs) will be integrated with ENams; 5 major fishing hubs will be developed as hubs for economic activity

Nirmala Sitharaman faces sloganeering in Parliament as she begins talking on farmer welfare and MSP procurement 

Nirmala Sitharaman proposes the strategic divestment of 2 PSU banks and 1 general insurance company.

* Divestment target for the Financial Year 2022 at Rs 1.75 lakh crore

* Rs 1.97 lakh crore to be spent over 5 years starting this financial year, for production-linked incentive schemes to create manufacturing global champions for an Aatmanirbhar Bharat. This will nurture size and scale and create jobs for youth.

* Decriminalisation of Limited Liability Partnerships Act to be undertaken.

* Government to bring IPO of LIC in FY22

* Govt to announce a policy for the privatisation of state-run cos & to create new list of companies for divestment.

* Government to allow for one-person companies.

* Propose further recap of Rs 20,000 crore for PSBs in FY21-22.

Nirmala Sitharaman announces that the FDI limit in insurance will be increased to 74% from 49%.

Government has allowed foreign ownership in insurance albeit with safeguards.

]Nirmala Sitharaman announces Discom assistance scheme with an outlay of Rs 3 lakh crore.

* Ujjwala scheme to be expanded to over 1 crore more beneficiaries

* Independent gas transport system operator to be set up.

* Rs 1.18 trillion provided for Ministry of Roads, of which Rs 1.08 trillion will be towards capital expenditure, the highest ever

* Hydrogen energy mission to be launched by the Indian govt in 2021-22

* Rs 1,10,055 crore funds allocated for Railways in FY22

Nirmala Sitharaman: Consumers to be given a choice of more than one power distribution company.

"Share of public transport to be enhanced with an outlay of Rs 18,000 crore."

"By March 2022, we would be awarding another 8,500 kms and complete an additional 11,000 kms of National Highway Corridors."

"Will work towards raising the share of public transport with an outlay of Rs 18,000 crore."

"Indian Railways have a National Rail Plan for 2030. Railways to have record capital expenditure of Rs 2.17 lakh crore."

"Another lot of airports to be privatized in tier 2 and 3 towns and cities."