Union budget to be presented on Feb 29
GN Staff | January 15, 2016
With union budget in sight and calls for deferring fiscal consolidation becoming louder, the finance ministry today made it clear that the government is committed to promoting and strengthening inclusive and sustainable development by ensuring proper and effective utilisation of funds. In a statement the ministry said these measures would be achieved without compromising fiscal consolidation.
As a result of sound prudent policies formulated during 2015-16, the fiscal deficit at the end of November 2015 is Rs. 4.83 lakh crore or 87% of the budget estimate for this fiscal. The fiscal deficit — the gap between expenditure and revenue — for the entire current fiscal year has been pegged at Rs 5.55 lakh crore (3.9% of GDP).
The ministry said the present fiscal situation is an improvement over the previous year’s when the fiscal deficit was then 98.9% of the Budget Estimates 2014-15. In absolute terms, there is a decrease of Rs. 41, 611 crore over November 2014 figure.
Similarly, the effective revenue deficit (revenue deficit net of grants for creation of capital assets) which is Rs.2,64,404 crore in November 2015 has shown a significant decrease of 20% at Rs 65,087 crore over November, 2014.
The finance ministry has deferred fiscal consolidation path by a year by pegging fiscal deficit at 3.9% of GDP in the current financial year instead of 3.6% envisaged earlier.
Budget 2016 on Feb 29
Meanwhile, minister of state for finance Jayant Sinha said that the government would present the budget for 2016-17 on February 29 (Monday). He said thebudget would be more than an annual document and will set the road map for the next two-three years.
“We will establish a road map for two or three years,” Sinha said in New Delhi.
“We have consistently followed a very clear set of economic policies. We have laid out economic principles very well and we are very confident that we will be able to sustain high growth over a long period of time,” he said.
It is likely that the economic survey 2015-16 could be tabled on February 26, which is a Friday.
Finance minister Arun Jaitley, in his second full-year Budget, is likely to focus on steps to accelerate economic growth that seems to have stagnated in the 7-7.5 per cent range amid a global slowdown.
Speaking on the priorities of the government, Sinha said the first and foremost responsibility was to eliminate poverty. “We are a pro-poor government but we are a pro-market government as well. If competition does not flourish, if market and companies do not flourish, how can we generate economic surplus, the tax revenues that will enable us to eliminate poverty?” he asked.
He said the government was working on increasing productivity of agriculture. On Wednesday, the government announced the National Crop Insurance Programme to protect farmers from crop damage due to natural calamity, adding, the government has launched a programme on irrigation.
BJP is all set to retain Gujarat, indicated one exit poll. Another exit poll, however, showed a tough fight in at least one region. Aaj Tak exit poll showed that BJP will win 99 – 113 seats, getting a majority in the 182 member assembly. The Congress will get 68 – 82 seats, falli
Goa shipyard Limited (GSL) has delivered the second fuel barge to Indian Navy on December 2, 33 days ahead of contractual delivery schedule, and recently got inducted into the Navy. Navy was in the need of self-propelled 1000Ton fuel barges, with a view to fuel big ships like INS Vikramadity
Minister of state for defence Subhash Bhamre has assured Hindustan Aeronautics Ltd (HAL) that work load for its Nashik unit will continue to flow even after Su-MKI manufacturing and production activities conclude in the next few years. “HAL has the world class facilities and giv
Naval submarine INS Kalvari was dedicated to the nation by prime minister Narendra Modi on Thursday in Mumbai. INS Kalvari is a diesel-electric attack submarine built by the Mazagon Dock Shipbuilders Ltd for the Indian Navy. As per the plan, five more such submarines would be inducted into
People queued up since early morning to cast their ballot to decide the political fate of 851 candidates in the second and final phase of the bitterly fought Gujarat assembly elections. The votes in all the 182 seats will be counted on December 18. Over 22 million people are eligible to cast
Had the situation not been so desperate, then the AAP government’s proposal to sprinkle water from helicopters would have been considered hare-brained. But, a more practical solution to tackling air pollution may well be around the corner and it lies in the success of a pilot project in Iceland.