From raising public expenditure on health to allocating additional Rs 40,000 crore to boost employment: Key highlights of FM speech
New Delhi | Jagran News Desk: Finance Minister Nirmala Sitharaman on Sunday addressed a press conference in the national capital for the fifth and final tranche of Rs 20 lakh crore economic stimulus package. She focused on MGNREGA, health and education, businesses and COVID, decriminalization of Company’s Act, ease of doing business, public sector enterprises and resources related to state governments.
This comes a day after the Finance Minister made the fourth tranche of announcements focused on eight sectors -- coal, minerals, defence production, aviation/airspace management, MRO (maintenance, repair and overhaul), power distribution companies, space, and atomic energy.
PM Modi on Tuesday had announced Rs 20,000 economic stimulus to deal with COVID-19 situation in the country. The package is the second-largest in Asia after Japan.
Here are the highlights of Nirmala Sitharaman's speech:
Land, labour and liquidty, all have been addressed in the package.
Today marks the announcement of last tranche of economic package.
Pulses were given 3 months in advance. I appreciate concerted efforts of Food Corporation of India, National Agricultural Cooperative Marketing Federation of India and states, giving pulses and grains in huge quantities, despite logistical challenges.
Pradhan Mantri Garib Kalyan package used technology to do direct benefit transfer to people. We could do what we did because of the initiatives taken during the last few years.
One-time transfer of Rs 2,000 has reached 8.19 crore farmers, total amount Rs 16,394 crore. NSAP beneficiaries got Rs 1,405 crore in first installment & Rs 1,402 crore in second instalment, target of Rs 3,000 crore nearly achieved.
20 crore Jan Dhan account holding women got Rs 10,025 crores. 2.2 crore building and construction workers got Rs 3,950 crores. 6.81 crore people got free LPG cylinders and12 lakh EPFO holders got online withdrawal of advance.
Shramik special trains were started when it was possible for workers to move, states were requested to bring workers to stations, 85% cost was borne by the Central government.
Govt has taken a number of health-related steps for COVID19 containment- Rs 15000 crore announced for states, essential items&testing labs&kits alongwith rolling out of teleconsultation services,launch of Arogya Setu app&protection to health care workers with adequate PPEs
Online education during COVID19: Swayam Prabha DTH channels launched to support and reach those who do not have access to the internet; now 12 channels to be added.
Today, announcements will be made about 7 steps taken by the govt - MGNREGA, health & education related steps, business & COVID, decriminalization of Companies Act, ease of doing business, public sector enterprises, state govt resources.
The Government is working on a mission mode on the next phase of 'ease of doing business' reforms.
More than Rs 4,113 crores have been released to states. Insurance cover of Rs 50 lakhs per person has been announced for healthcare workers & Epidemic Diseases Act was amended for protection of healthcare workers.
The government will now allocate an additional Rs 40,000 crores to MGNREGS to provide employment boost,
44% recovery achieved since the inception of Insolvency and Bankruptcy Code.
Health expenditure will be increased&investment at grassroots level will be ramped up for health&wellness centres, with particular focus on aspirational districts. All districts will have infectious diseases block in hospitals. Public health labs will be set up at block levels.
Technology-driven education to be the focus- PM eVIDYa programme for multi-mode access to digital/online education to be launched immediately. Top 100 universities will be permitted to automatically start online courses by 30th May 2020.
Timely action was taken during COVID19 to reduce compliance burden under various provisions of Companies Act. Board meetings were allowed to be online, rights issues can be done digitally, major reform in corporate governance.
Debts due to COVID19 will not be included in the category of 'default.
Decriminalisation of Companies Act defaults;7 compoundable offences altogether dropped and 5 to be dealt with under alternative framework. The amendment will de-clog the criminal courts and NCLT.
Now, Indian public companies can list their securities directly in foreign jurisdictions. Private companies which list Non Convertible Debentures on stock exchanges will not be regarded as listed companies.
Govt to announce a new public sector policy- a list of strategic sectors requiring presence of PSEs in public interest will be notified. In strategic sectors,at least 1 enterprise to remain in public sector but pvt sector to be allowed. In other sectors,PSEs to privatised.
The states have seen a sharp decline in the revenue, we have consistently extended help to the states. Revenue Deficit Grants to states of Rs 12,390 crores was given on time in April&May despite Centre's stressed resources; devolution of taxes of Rs 46,038 in April given fully.
States have so far borrowed only 14 per cent of the limit which is authorised to them. 86 per cent of the limit remains unutilised. Centre has decided to increase borrowing limits of states from 3 per cent to 5 per cent of Gross State Domestic Product (GSDP) for 2020-21.
The stimulus of Rs 1,92,800 crores was given even before the PM spoke of the new economic package.
The break up of the first tranche of announcements, amounting to Rs 5,94,550 crores under economic package.
The stimulus provided in the second tranche of the economic package- Rs 3,10,000 crores.
The stimulus of Rs 1,50,000 crores in the third tranche of the total Rs 20 lakh crores economic package.
The stimulus provided in the fourth & fifths tranches of the economic package amounts to Rs 48,100 crores.
To promote state-level reforms, part of the borrowing will be linked to specific reforms like increasing job creation through investment and promoting urban development, health and sanitation.
The overall stimulus package under the Atmanirbhar (self-reliant) Bharat amounts to Rs 20,97,053 crores.
I want to tell the Opposition party that on the issue to migrants we all must work together. We are working with all states on this issue. With folded hands, I ask Sonia Gandhi ji that we must speak & deal with our migrants more responsibly.
Posted By: James Kuanal