11 Feb Budget Highlights
Budget Highlights- Today Current Affairs
The Budget 2022-23 has referred to the 25 years of period between 75th year and 100th year of independence as Amrit Kaal and has marked the celebration of this period as Azadi ka Amrit Mahotsav.
Today Current Affairs
The goals of Amrit Kaal have been set as : The Hindu Analysis
- focus on growth and all inclusive welfare;
- promoting Technology enabled development energy transition and climate action; and
- Virtuous cycle starting from private investment, Crowded in by public capital investment.
The four priorities of the budget are : The Hindu Analysis
- PM Gati Shakti
- Inclusive Development
- Financing of Investment, and
- Productivity Enhancement and Investment, Sunrise Opportunities, Energy Transition and Climate Action
The budget on the basis of DPP data of previous years and quarters has stated that the place of the recovery of the economy in the backdrop of Covid impact, is reflective of the country’s resilience.
The Indian economy on the basis of fast recovery is Staging a sustained recovery. Today Current Affairs
Under PM Gati Shakti Yojna a National Master Plan has been framed which aims to develop world class modern infrastructure and logistic synergies. It is essentially a digital platform to bring 16 Ministries including Railways and Roadways together for integrated planning and coordinated implementation of infrastructure connectivity projects. This Yojana will be driven by seven important engines of infrastructure that are roads Railways airports ports mass transportation waterways and Logistic infrastructure.
Under this program the followings are the targets : The Hindu Analysis
- 25000 km national highways will be completed in 2022-23,
- Integration of postal and Railways network facilitating parcel movement
- One Station one product
- Extending coverage of Kavach
- 400 new generation Vande Bharat trains
- Multimodal connectivity between mass urban transport and railway stations
- National roadway development plan as a sustainable alternative to conventional roads
- capacity building for infrastructure projects
Agriculture and food processing industries have also been given equal importance. The government has the following proposal to boost agriculture and its backward and forward linkages.
- Promoting chemical free natural farming starting with farmer’s lands close to River Ganga
- Promoting post harvest value addition, consumption and branding of millet products
- Delhivery of digital and Hi-Tech services to farmers in PPP model
- Use of Kisan Drones to aid farmers
- Launching fund with blended capital to finance agricultural startups
- Implementation of Ken Betwa Link Project benefitting 9.1 lakh hectare farm land, providing drinking water to 62 lakh people and generating 130MW power
- 5 more such projects under process of implementation.
As education plays a very crucial role in the development of the country, the budget has aimed for universalisation of quality education. The government has proposed followings goals in the budget for the field of education and skill development.
- One class One TV channel programme to be expanded to 200 TV channels
- Virtual labs and skilling e-labs to promote critical thinking skills and stimulated learning environment
- A Digital University will be established with world class quality universal education
- High quality e-content will be delivered through Digital Teachers
- Digital Ecosystem for Skilling and Livelihood (DESH-Stack e-portal) will be launched to promote online training
- Startups will be promoted to facilitate Drone Shakti for Drone-As-A-Service
In the sector of health, Which is very much important for a developing country like India to push the economy and also in terms of creating healthy labor force, The budget has proposed the following goals and
- National Digital Health Ecosystem will be rolled out
- National Tele Mental Health Programme will be launched for quality counseling
- Integrated architecture: Mission Shakti, Mission Vatsalya, Saksham Anganwadi, and Poshan 2.0 to be launched
- Two lakh Anganwadis to be upgraded to Saksham Anganwadis
In terms of of Inclusive Welfare Focus, the following has been proposed to be achieved by 2022-23 – Today Current Affairs
- Har Ghar, Nal Se Jal: 3.8 crore households to be covered in 2022-23
- PM Awas Yojana: 80 lakh houses to be completed in 2022-23
- PM-DevINE: To fund infrastructure and social development based on felt needs of the North East
- Aspirational Blocks Programme: For development of lagging blocks of aspirational districts
- Vibrant Villages Programme: Targeting development of villages on the Northern Border left out from the development gains
- Digital Banking by Post Offices: 100% of post offices to come on the core banking system
- Digital Payments: Scheduled Commercial Banks to set up 75 Digital Banking Units in 75 districts
To recover the economy and to achieve better growth, the investment has to be pushed up. The investment by private parties could be sluggish during these times of Covid especially when it is getting mutated and mutated, out of fear of losses. As per the statement of budget the government will be the torchbearer of the investment. Capital expenditure in the budget 2022-23 has been pushed up to the level of 20% of total expenditure which was around 12% in the pre Covid budgets. The following are the points through which the government is going to crowd in private investment by supporting the private party in various sectors.
- Public investment to continue to pump prime private investment and demand in 2022-23
- Introduction of Digital Rupee by RBI starting 2022-23
Mobilization of Resources/Funds are to be done by : The Hindu Analysis
- Green Bonds to mobilize resources for green infrastructure
- Infrastructure status for Data Centers and Energy Storage Systems
- Measures to aid investment by Venture Capital and Private Equity Investment
- Blended Finance for sunrise sectors
- Providing greater fiscal space to States
- Enhanced outlay to Scheme for Financial Assistance to States for Capital Investment • For 2022-23 States will be allowed a fiscal deficit of 4% of GSDP of which 0.5% will be tied to power sector reforms