Moving from “Ease of Doing Business” to “Ease of Living”

Post by Admin February 1, 2018

The Budget 2018-19 has focused on strengthening the rural economy and on improving healthcare and education. The government will move from Ease of Doing Business to Ease of Living for the poor and middle class. Budget 2018 will work with states to provide more resources to improve quality of education. The focus is on low-cost farming, higher MSP. The emphasis is on generating farm and non-farm employment for farmers.

BUDGET 2018 HIGHLIGHTS:

  • The government allocates INR 500 crore for the launch ‘Operation Greens’ along the lines of ‘Operation Flood’.
  • INR 1290 crore allocated for a bamboo mission.
  • The Government proposes to increase the target of providing free LPG connections to 8 crore poor women.
  • Proposal to construct more 2 Crore toilets under Swachh Bharat Mission.
  • 2 crore more toilets is the target in the next two years.
  • INR 1200 crore allocated for health wellness
  • INR 14.34 lakh crore rupees allocated for rural infrastructure.
  • Allocation to National Livelihood Mission increased to INR 5000 crore.
  • Loans to women self-help groups will be increased to 75,000 crore by March 19, 2019.
  • The Jan Dhan Yojana to be extended to all 60 crore bank accounts.
  • INR 56,000 crore allocated for SC welfare programmes; INR 39,000 crore for STs.
  • INR 19,428 core awarded to the water supply contracts for 494 projects worth.
  • 5 lakh Wi-Fi spots to be created in rural areas.

 CHEAPER, COSTLIER: 

  • Mobile phones will get costlier as the customs duty on the mobile phones has been increased to 20 percent from 15 percent.
  • Customs duty on television sets has also been increased to 20 percent.
  • Customs duty on raw cashew will be reduced from 5 percent to 2.5 percent.

AGRICULTURE AND RURAL ECONOMY

  • Focus on generating higher income for farmers and employment on farms.
  • The Government will provide a free gas connection to women.
  • Ujjawala Yojana target has been extended to 8 crore women living below the poverty line. It was earlier set at 5 crores.
  • Agri-Market Development Fund with a corpus of 2000 crore to be set up for developing agricultural markets.
  • The Minimum Support Price (MSP) has been set at 1.5 times the production cost for Kharif crops.
  • Agricultural corpus worth INR 2000 crore will be set up.
  • INR 10 lakh crore to INR 11 lakh crore as credit for agricultural activities.
  • The government proposed to raise institutional credit for agriculture to INR 11 Lakh Crore for the financial year 2018-19.
  • INR 5 lakh per family per year for 10 crore poor families. This, Arun Jaitley said, is the world’s largest government-funded programme.
  • The government to develop 22,000 gramin agricultural markets.
  • INR 10,000 crore allocated for the fishery, aquaculture development, and animal husbandry, which will be set up with a total corpus.

INFRASTRUCTURE

  • A total of INR 50 lakh crore is needed to create world-class infrastructure in India.
  • The government has selected 99 cities with an outlay of INR 2.09 lakh crore under Smart City programme.
  • 10 prominent tourist sites will be developed into iconic ones to boost tourism.

EDUCATION

  • Integrated programs for teachers. The Government plans to move from Blackboard to digital board.
  • 18 new Schools of Planning and Architecture will be set up in the IITs and NITs.
  • By 2022, every block with more than 50percentt ST population will have an Eklavya Model Residential School.
  • For Education, the government will launch ‘Revitalising Infrastructure and Systems’ by 2022.
  • Integrated B-Ed programme for teachers.
  • The Government will set up two new full-fledged Schools of Planning and Architecture.
  • 24 new govt medical colleges and hospitals will be set up by upgrading existing district hospitals.
  • By 2022, every block with more than 50% ST population and at least 20,000 tribal people will have ‘Ekalavya’ school at par with Navodaya Vidyalas.
  • INR 1 lakh crore to be invested for the next 4 years to boost Research and Development in Education sector.

INCOME TAX

  • No changes in personal Income Tax slabs.
  • Relief for salaried taxpayers Standard Deduction of INR 40000 under transport, medical reimbursement. Facility extended to pensioners. Revenue cost is INR 8000 crore.
  • The Government proposes 100 per cent tax rebate for farmer producer companies having a turnover of INR 100 crore.
  • The Government proposes to extend 25 per cent corporate tax rate to companies with revenue up to INR 250 crore.
  • Exemption of interest income on bank deposits raised to INR 50,000 for senior citizens.

RAILWAYS

  • All railways stations with more than 25,000 footfall will have escalators, Wi-Fi and CCTVs progressively.
  • Redevelopment of 600 major railway stations will be taken up.
  • INR 17,000 crore is being set aside for Bengaluru Metro. INR 11,000 crore allocated for Mumbai locals.
  • The Budget 2018 focuses on the safety, maintenance of railway tracks, increase in use of technology and fog safety devices.
  • Special attention has been given to the maintenance of railway track infrastructure.