Resource centre on India's rural distress
 
 

Union Budget

KEY TRENDS

 
If one goes by the expenditure of major items, then according to the [inside]Final Union Budget 2019-20[/inside] (please click here to access):

• Expenditure on Pension was increased from Rs. 1,66,618 crore in 2018-19 (R.E.) to Rs. 1,74,300 crore in 2019-20 (B.E.)

• Budgetary allocation for fertilizer subsidy was Rs. 70,080 crore in 2018-19 (Budget Estimates) according to the Interim Union Budget documents presented on 1st February 2019. However, the same is Rs. 70,090 crore (B.E.) if we rely on the Final Union Budget 2019-20 documents dated 5th July, 2019. The 2018-19 budget documents also show that the budgetary allocation for fertilizer subsidy was Rs. 70,080 crore (B.E.) in 2018-19.

• Budgetary allocation for fertilizer subsidy was Rs. 79,996 crore in 2019-20 (Budget Estimates)
 
• Expenditure on Food Subsidy was raised from Rs. 1,71,298 crore in 2018-19 (R.E.) to Rs. 1,84,220 crore in 2019-20 (B.E.). Budgetary allocation on Food Subsidy was Rs. 1,69,323 crore in 2018-19 (B.E.)

• Budgetary allocation on Food Subsidy as a proportion of total budgetary expenditure was 6.9 percent in 2018-19 (B.E.), which reduced slightly to 6.6 percent in 2019-20 (B.E.)

• Expenditure on Agriculture and Allied Activities was increased from Rs. 86,602 crore in 2018-19 (R.E.) to Rs. 1,51,518 crore in 2019-20 (B.E.). Budgetary allocation on Agriculture and Allied Activities was Rs. 63,836 crore in 2018-19 (B.E.)

• Budgetary allocation on Agriculture and Allied Activities as a proportion of total budgetary expenditure was 2.6 percent in 2018-19 (B.E.), which increased to 5.4 percent in 2019-20 (B.E.)

• Expenditure on Rural Development was increased from Rs. 1,35,109 crore in 2018-19 (R.E.) to Rs. 1,40,762 crore in 2019-20 (B.E.). Budgetary allocation on Rural Development was Rs. 1,38,097 crore in 2018-19 (B.E.)

• Budgetary allocation on Rural Development as a proportion of total budgetary expenditure was 5.7 percent in 2018-19 (B.E.), which reduced to 5.1 percent in 2019-20 (B.E.)

• Expenditure on Health was increased from Rs. 55,949 crore in 2018-19 (R.E.) to Rs. 64,999 crore in 2019-20 (B.E.). Budget documents of the Final Union Budget 2019-20 shows that the budgetary allocation on Health was Rs. 54,668 crore in 2018-19 (B.E.)

• Budgetary allocation on Health as a proportion of total budgetary expenditure was 2.2 percent in 2018-19 (B.E.), which grew marginally to 2.3 percent in 2019-20 (B.E.)

• Expenditure on Education was increased from Rs. 83,626 crore in 2018-19 (R.E.) to Rs. 94,854 crore in 2019-20 (B.E.). Budgetary allocation on Education was Rs. 85,010 crore in 2018-19 (B.E.)

• Budgetary allocation on Education as a proportion of total budgetary expenditure was 3.5 percent in 2018-19 (B.E.), which reduced marginally to 3.4 percent in 2019-20 (B.E.)
 
• Expenditure on Social Welfare was increased from Rs. 46,492 crore in 2018-19 (R.E.) to Rs. 50,850 crore in 2019-20 (B.E.)
 
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Allocations for various schemes under the Union Interim Budget 2019-20 (please click here to access):

(A) Core of the Core Schemes

• National Social Assistance Progamme-NSAP (that includes old age pension, widow pension, pension for disabled, National Family Benefit Scheme & Annapurna) - Rs. 9,975 crore in 2018-19 (Budget Estimate) and Rs. 9,200 crore in 2019-20 (B.E.); Rs. 8,900 crore in 2018-19 (Revised Estimate)

• Mahatma Gandhi National Rural Employment Guarantee Programme - Rs. 55,000 crore in 2018-19 (B.E.) and Rs. 60,000 crore in 2019-20 (B.E.); Rs. 61,084 crore in 2018-19 (R.E.)

• Umbrella Scheme for Development of Schedule Castes - Rs. 5,183 crore in 2018-19 (B.E.) and Rs. 5,445 crore in 2019-20 (B.E.); Rs. 7,609 crore in 2018-19 (R.E.)

• Umbrella Programme for Development of Scheduled Tribes - Rs. 3,806 crore in 2018-19 (B.E.) and Rs. 3,810 crore in 2019-20 (B.E.); Rs. 3,778 crore in 2018-19 (R.E.)

• Umbrella Programme for Development of Minorities - Rs. 1,440 crore in 2018-19 (B.E.) and Rs. 1,590 crore in 2019-20 (B.E.); Rs. 1,440 crore in 2018-19 (R.E.)

• Umbrella Programme for Development of  Other Vulnerable Groups - Rs. 2,287 crore in 2018-19 (B.E.) and Rs. 1,818 crore in 2019-20 (B.E.); Rs. 1,550 crore in 2018-19 (R.E.)

(B) Core Schemes

• Green Revolution - Rs. 13,909 crore in 2018-19 (B.E.) and Rs. 12,561 crore in 2019-20 (B.E.); Rs. 11,802 crore in 2018-19 (R.E.)

• White Revolution - Rs. 2,220 crore in 2018-19 (B.E.) and Rs. 2,240 crore in 2019-20 (B.E.); Rs. 2,431 crore in 2018-19 (R.E.)

• Blue Revolution - Rs. 643 crore in 2018-19 (B.E.) and Rs. 560 crore in 2019-20 (B.E.); Rs. 501 crore in 2018-19 (R.E.)

• Pradhan Mantri Krishi Sinchai Yojana - Rs. 9,429 crore in 2018-19 (B.E.) and Rs. 9,682 crore in 2019-20 (B.E.); Rs. 8,251 crore in 2018-19 (R.E.)

• Pradhan Mantri Gram Sadak Yojana - Rs. 19,000 crore in both 2018-19 (B.E.) and 2019-20 (B.E.); Rs. 15,500 crore in 2018-19 (R.E.)

• Pradhan Mantri Awas Yojana - Rs. 27,505 crore in 2018-19 (B.E.) and Rs. 25,853 crore in 2019-20 (B.E.); Rs. 26,405 crore in 2018-19 (R.E.)

• National Rural Drinking Water Mission - Rs. 7,000 crore in 2018-19 (B.E.) and Rs. 10,001 crore in 2019-20 (B.E.); Rs. 5,500 crore in 2018-19 (R.E.)

• Swachh Bharat Mission (SBM) - Rs. 17,843 crore in 2018-19 (B.E.) and Rs. 12,644 crore in 2019-20 (B.E.); Rs. 16,978 crore in 2018-19 (R.E.)

• National Health Mission (NHM) - Rs. 30,634 crore in 2018-19 (B.E.) and Rs. 33,651 crore in 2019-20 (B.E.); Rs. 31,187 crore in 2018-19 (R.E.)

• National Education Mission - Rs. 32,613 crore in 2018-19 (B.E.) and Rs. 38,547 crore in 2019-20 (B.E.); Rs. 32,334 crore in 2018-19 (R.E.)

• National Programme of Mid Day Meal in Schools - Rs. 10,500 crore in 2018-19 (B.E.) and Rs. 11,000 crore in 2019-20 (B.E.); Rs. 9,949 crore in 2018-19 (R.E.)

• Umbrella Integrated Child Development Services (ICDS) - Rs. 23,088 crore in 2018-19 (B.E.) and Rs. 27,584 crore in 2019-20 (B.E.); Rs. 23,357 crore in 2018-19 (R.E.)

• Mission for Protection and Empowerment for Women - Rs. 1,366 crore in 2018-19 (B.E.) and Rs. 1,330 crore in 2019-20 (B.E.); Rs. 1,156 crore in 2018-19 (R.E.)

• National Livelihood Mission - Ajeevika - Rs. 6,060 crore in 2018-19 (B.E.) and Rs. 9,774 crore in 2019-20 (B.E.); Rs. 6,294 crore in 2018-19 (R.E.)

• Jobs and Skill Development - Rs. 5,071 crore in 2018-19 (B.E.) and Rs. 7,260 crore in 2019-20 (B.E.); Rs. 6,830 crore in 2018-19 (R.E.)

• Environment, Forestry and Wildlife - Rs. 1,019 crore in 2018-19 (B.E.) and Rs. 886 crore in 2019-20 (B.E.); Rs. 996 crore in 2018-19 (R.E.)

• Urban Rejuvenation Mission : AMRUT - Atal  Mission for Rejuvenation and Urban Transformation & Smart Cities Mission - Rs. 12,169 crore in 2018-19 (B.E.) and Rs. 13,750 crore in 2019-20 (B.E.); Rs. 12,569 crore in 2018-19 (R.E.)

• Modernisation of Police Forces - Rs. 3,157 crore in 2018-19 (B.E.) and Rs. 3,462 crore in 2019-20 (B.E.); Rs. 3,192 crore in 2018-19 (R.E.)

• Infrastructure Facilities for Judiciary - Rs. 630 crore in 2018-19 (B.E.) and Rs. 720 crore in 2019-20 (B.E.); Rs. 658 crore in 2018-19 (R.E.)

• Border Area Development Programme - Rs. 771 crore in 2018-19 (B.E.) and Rs. 825 crore in 2019-20 (B.E.); Rs. 771 crore in 2018-19 (R.E.)

• Shyama Prasad Mukherjee Rurban Mission - Rs. 1200 crore in 2018-19 (B.E.) and Rs. 800 crore in 2019-20 (B.E.); Rs. 451 crore in 2018-19 (R.E.)

• Rashtriya Gram Swaraj Abhiyan (RGSA) - Rs. 675 crore in 2018-19 (R.E.) and Rs. 822 crore in 2019-20 (B.E.)

• Rashtriya Swasthya Bima Yojana - Rs. 2,000 crore in 2018-19 (B.E.) and Rs. 6,556 crore in 2019-20 (B.E.); Rs. 2,700 crore in 2018-19 (R.E.)

Some Important Central Sector Schemes (please click here to access)

• Crop Insurance Scheme - Rs. 13,000 crore in 2018-19 (B.E.) and Rs. 14,000 crore in 2019-20 (B.E.); Rs. 12,976 crore in 2018-19 (R.E.)

• Interest subsidy for short term credit to farmers - Rs. 15,000 crore in 2018-19 (B.E.) and Rs. 18,000 crore in 2019-20 (B.E.); Rs. 14,987 crore in 2018-19 (R.E.)

• Market Intervention Scheme and Price Support Scheme (MIS-PSS) - Rs. 200 crore in 2018-19 (B.E.) and Rs. 3,000 crore in 2019-20 (B.E.); Rs. 2,000 crore in 2018-19 (R.E.)

• Pradhan Mantri Annadata Aay Sanrakshan Abhiyan (PM-AASHA) - Rs. 1,400 crore in 2018-19 (R.E.) and Rs. 1,500 crore in 2019-20 (B.E.)

• Distribution of Pulses to State / Union Territories for Welfare Schemes - Rs. 550 crore in 2018-19 (R.E.) and Rs. 800 crore in 2019-20 (B.E.)

• Pradhan Mantri Kisan Samman Nidhi/ Income Support Scheme - Rs. 20,000 crore in 2018-19 (R.E.) and Rs. 75,000 crore in 2019-20 (B.E.)

• Pradhan Mantri Kisan Pension Yojana - Rs. 900 crore in 2019-20 (B.E.)

• Urea Subsidy - Rs. 45,000 crore in 2018-19 (B.E.) and Rs. 53,629 crore in 2019-20 (B.E.); Rs. 44,995 crore in 2018-19 (R.E.)

• Nutrient Based Subsidy - Rs. 25,090 crore in 2018-19 (B.E.) and Rs. 26,367 crore in 2019-20 (B.E.); Rs. 25,090 crore in 2018-19 (R.E.)

• Direct Benefit Transfer - Rs. 16,478 crore in 2018-19 (B.E.) and Rs. 29,500 crore in 2019-20 (B.E.); Rs. 16,478 crore in 2018-19 (R.E.)

• LPG connection to poor households - Rs. 3,200 crore in 2018-19 (B.E.) and Rs. 2,724 crore in 2019-20 (B.E.); Rs. 3,200 crore in 2018-19 (R.E.)

• Price Stabilisation Fund - Rs. 1,500 crore in 2018-19 (B.E.) and Rs. 2,000 crore in 2019-20 (B.E.); Rs. 1,500 crore in 2018-19 (R.E.)

• Food Subsidy to Food Corporation of India (FCI) under National Food Security Act (NFSA) - Rs. 1,38,123 crore in 2018-19 (B.E.) and Rs. 1,51,000 crore in 2019-20 (B.E.); Rs. 1,40,098 crore in 2018-19 (R.E.)

• Food Subsidy for Decentralized Procurement of Foodgrains under NFSA - Rs. 31,000 crore in 2018-19 (B.E.) and Rs. 33,000 crore in 2019-20 (B.E.); Rs. 31,000 crore in 2018-19 (R.E.)

• Pradhan Mantri Swasthya Suraksha Yojana - Rs. 3,825 crore in 2018-19 (B.E.) and Rs. 4,000 crore in 2019-20 (B.E.); Rs. 3,825 crore in 2018-19 (R.E.)

• Family Welfare Schemes - Rs. 770 crore in 2018-19 (B.E.) and Rs. 700 crore in 2019-20 (B.E.); Rs. 519 crore in 2018-19 (R.E.)

• Police Infrastructure - Rs. 4,750 crore in 2018-19 (B.E.) and Rs. 4,757 crore in 2019-20 (B.E.); Rs. 4,836 crore in 2018-19 (R.E.)

• Pradhan Mantri Karam Yogi Maandhan - Rs. 750 crore in 2019-20 (B.E.)

• Pradhan Mantri Shram Yogi Maandhan - Rs. 500 crore in 2019-20 (B.E.)
 
• Prime Minister Employment Generation Programme (PMEGP) - Rs. 1,801 crore in 2018-19 (B.E.) and Rs. 2,327 crore in 2019-20 (B.E.); Rs. 2,119 crore in 2018-19 (R.E.)

• Deen Dayal Upadhyaya Gram Jyoti Yojna - Rs. 3,800 crore in 2018-19 (B.E.) and Rs. 4,066 crore in 2019-20 (B.E.); Rs. 3,800 crore in 2018-19 (R.E.)

• Amended Technology Upgradation Fund Scheme (ATUFS) - Rs. 2,300 crore in 2018-19 (B.E.) and Rs. 700 crore in 2019-20 (B.E.); Rs. 623 crore in 2018-19 (R.E.)

• Procurement of Cotton by Cotton Corporation under Price Support Scheme - Rs. 924 crore in 2018-19 (B.E.) and Rs. 2018 crore in 2019-20 (B.E.); Rs. 924 crore in 2018-19 (R.E.)  
 
**page**
 
If one goes by the expenditure of major items, then according to the [inside]Union Interim Budget 2019-20[/inside] (please click here to access):

• Expenditure on Pension was increased from Rs. 1,66,618 crore in 2018-19 (R.E.) to Rs. 1,74,300 crore in 2019-20 (B.E.)

• Expenditure on Fertilizer Subsidy was increased from Rs. 70,075 crore in 2018-19 (R.E.) to Rs. 74,986 crore in 2019-20 (B.E.). Budgetary allocation on Fertilizer Subsidy was Rs. 70,080 crore in 2018-19 (B.E.)

• Expenditure on Food Subsidy was raised from Rs. 1,71,298 crore in 2018-19 (R.E.) to Rs. 1,84,220 crore in 2019-20 (B.E.). Budgetary allocation on Food Subsidy was Rs. 1,69,323 crore in 2018-19 (B.E.)

• Budgetary allocation on Food Subsidy as a proportion of total budgetary expenditure was 6.9 percent in 2018-19 (B.E.), which reduced slightly to 6.6 percent in 2019-20 (B.E.)

• Expenditure on Agriculture and Allied Activities was increased from Rs. 86,602 crore in 2018-19 (R.E.) to Rs. 1,49,981 crore in 2019-20 (B.E.). Budgetary allocation on Agriculture and Allied Activities was Rs. 63,836 crore in 2018-19 (B.E.)

• Budgetary allocation on Agriculture and Allied Activities as a proportion of total budgetary expenditure was 2.6 percent in 2018-19 (B.E.), which increased to 5.4 percent in 2019-20 (B.E.)

• Expenditure on Rural Development was increased from Rs. 1,35,109 crore in 2018-19 (R.E.) to Rs. 1,38,962 crore in 2019-20 (B.E.). Budgetary allocation on Rural Development was Rs. 1,38,097 crore in 2018-19 (B.E.)

• Budgetary allocation on Rural Development as a proportion of total budgetary expenditure was 5.7 percent in 2018-19 (B.E.), which reduced to 5.0 percent in 2019-20 (B.E.)

• Expenditure on Health was increased from Rs. 55,949 crore in 2018-19 (R.E.) to Rs. 63,538 crore in 2019-20 (B.E.). Budgetary allocation on Health was Rs. 54,667 crore in 2018-19 (B.E.)

• Budgetary allocation on Health as a proportion of total budgetary expenditure was 2.2 percent in 2018-19 (B.E.), which grew marginally to 2.3 percent in 2019-20 (B.E.)

• Expenditure on Education was increased from Rs. 83,626 crore in 2018-19 (R.E.) to Rs. 93,848 crore in 2019-20 (B.E.). Budgetary allocation on Education was Rs. 85,010 crore in 2018-19 (B.E.)

• Budgetary allocation on Education as a proportion of total budgetary expenditure was 3.5 percent in 2018-19 (B.E.), which reduced marginally to 3.4 percent in 2019-20 (B.E.)
 
• Expenditure on Social Welfare was increased from Rs. 46,492 crore in 2018-19 (R.E.) to Rs. 49,337 crore in 2019-20 (B.E.)
 
Please click here to access Union Interim Budget Speech 2019-20, which was delivered by Shri Piyush Goyal, on 1st February, 2019
 

***

 

Allocations for various schemes under the Union Interim Budget 2019-20 (please click here to access):

(A) Core of the Core Schemes

• National Social Assistance Progamme-NSAP (that includes old age pension, widow pension, pension for disabled, National Family Benefit Scheme & Annapurna) - Rs. 9,975 crore in 2018-19 (Budget Estimate) and Rs. 9,200 crore in 2019-20 (B.E.); Rs. 8,900 crore in 2018-19 (Revised Estimate)

• Mahatma Gandhi National Rural Employment Guarantee Programme - Rs. 55,000 crore in 2018-19 (B.E.) and Rs. 60,000 crore in 2019-20 (B.E.); Rs. 61,084 crore in 2018-19 (R.E.)

• Umbrella Scheme for Development of Schedule Castes - Rs. 5,183 crore in 2018-19 (B.E.) and Rs. 5,395 crore in 2019-20 (B.E.); Rs. 7,609 crore in 2018-19 (R.E.)

• Umbrella Programme for Development of Scheduled Tribes - Rs. 3,806 crore in 2018-19 (B.E.) and Rs. 3,810 crore in 2019-20 (B.E.); Rs. 3,778 crore in 2018-19 (R.E.)

• Umbrella Programme for Development of Minorities - Rs. 1,440 crore in 2018-19 (B.E.) and Rs. 1,551 crore in 2019-20 (B.E.); Rs. 1,440 crore in 2018-19 (R.E.)

• Umbrella Programme for Development of  Other Vulnerable Groups - Rs. 2,287 crore in 2018-19 (B.E.) and Rs. 1,227 crore in 2019-20 (B.E.); Rs. 1,550 crore in 2018-19 (R.E.)

(B) Core Schemes

• Green Revolution - Rs. 13,909 crore in 2018-19 (B.E.) and Rs. 12,612 crore in 2019-20 (B.E.); Rs. 11,802 crore in 2018-19 (R.E.)

• White Revolution - Rs. 2,220 crore in 2018-19 (B.E.) and Rs. 2,140 crore in 2019-20 (B.E.); Rs. 2,431 crore in 2018-19 (R.E.)

• Blue Revolution - Rs. 643 crore in 2018-19 (B.E.) and Rs. 560 crore in 2019-20 (B.E.); Rs. 501 crore in 2018-19 (R.E.)

• Pradhan Mantri Krishi Sinchai Yojana - Rs. 9,429 crore in 2018-19 (B.E.) and Rs. 9,516 crore in 2019-20 (B.E.); Rs. 8,251 crore in 2018-19 (R.E.)

• Pradhan Mantri Gram Sadak Yojana - Rs. 19,000 crore in both 2018-19 (B.E.) and 2019-20 (B.E.); Rs. 15,500 crore in 2018-19 (R.E.)

• Pradhan Mantri Awas Yojana - Rs. 27,505 crore in 2018-19 (B.E.) and Rs. 25,853 crore in 2019-20 (B.E.); Rs. 26,405 crore in 2018-19 (R.E.)

• National Rural Drinking Water Mission - Rs. 7,000 crore in 2018-19 (B.E.) and Rs. 8,201 crore in 2019-20 (B.E.); Rs. 5,500 crore in 2018-19 (R.E.)

• Swachh Bharat Mission (SBM) - Rs. 17,843 crore in 2018-19 (B.E.) and Rs. 12,750 crore in 2019-20 (B.E.); Rs. 16,978 crore in 2018-19 (R.E.)

• National Health Mission (NHM) - Rs. 30,634 crore in 2018-19 (B.E.) and Rs. 32,251 crore in 2019-20 (B.E.); Rs. 31,187 crore in 2018-19 (R.E.)

• National Education Mission - Rs. 32,613 crore in 2018-19 (B.E.) and Rs. 38,572 crore in 2019-20 (B.E.); Rs. 32,334 crore in 2018-19 (R.E.)

• National Programme of Mid Day Meal in Schools - Rs. 10,500 crore in 2018-19 (B.E.) and Rs. 11,000 crore in 2019-20 (B.E.); Rs. 9,949 crore in 2018-19 (R.E.)

• Umbrella Integrated Child Development Services (ICDS) - Rs. 23,088 crore in 2018-19 (B.E.) and Rs. 27,584 crore in 2019-20 (B.E.); Rs. 23,357 crore in 2018-19 (R.E.)

• Mission for Protection and Empowerment for Women - Rs. 1,366 crore in 2018-19 (B.E.) and Rs. 1,330 crore in 2019-20 (B.E.); Rs. 1,156 crore in 2018-19 (R.E.)

• National Livelihood Mission - Ajeevika - Rs. 6,060 crore in 2018-19 (B.E.) and Rs. 9,524 crore in 2019-20 (B.E.); Rs. 6,294 crore in 2018-19 (R.E.)

• Jobs and Skill Development - Rs. 5,071 crore in 2018-19 (B.E.) and Rs. 7,511 crore in 2019-20 (B.E.); Rs. 6,830 crore in 2018-19 (R.E.)

• Environment, Forestry and Wildlife - Rs. 1,019 crore in 2018-19 (B.E.) and Rs. 1082 crore in 2019-20 (B.E.); Rs. 996 crore in 2018-19 (R.E.)

• Urban Rejuvenation Mission : AMRUT - Atal  Mission for Rejuvenation and Urban Transformation & Smart Cities Mission - Rs. 12,169 crore in 2018-19 (B.E.) and Rs. 13,900 crore in 2019-20 (B.E.); Rs. 12,569 crore in 2018-19 (R.E.)

• Modernisation of Police Forces - Rs. 3,157 crore in 2018-19 (B.E.) and Rs. 3,378 crore in 2019-20 (B.E.); Rs. 3,192 crore in 2018-19 (R.E.)

• Infrastructure Facilities for Judiciary - Rs. 630 crore in 2018-19 (B.E.) and Rs. 720 crore in 2019-20 (B.E.); Rs. 658 crore in 2018-19 (R.E.)

• Border Area Development Programme - Rs. 771 crore in 2018-19 (B.E.) and Rs. 825 crore in 2019-20 (B.E.); Rs. 771 crore in 2018-19 (R.E.)

• Shyama Prasad Mukherjee Rurban Mission - Rs. 1200 crore in 2018-19 (B.E.) and Rs. 800 crore in 2019-20 (B.E.); Rs. 451 crore in 2018-19 (R.E.)

• Rashtriya Gram Swaraj Abhiyan (RGSA) - Rs. 675 crore in 2018-19 (R.E.) and Rs. 831 crore in 2019-20 (B.E.)

• Rashtriya Swasthya Bima Yojana - Rs. 2,000 crore in 2018-19 (B.E.) and Rs. 6,556 crore in 2019-20 (B.E.); Rs. 2,700 crore in 2018-19 (R.E.)

Some Important Central Sector Schemes (please click here to access)

• Crop Insurance Scheme - Rs. 13,000 crore in 2018-19 (B.E.) and Rs. 14,000 crore in 2019-20 (B.E.); Rs. 12,976 crore in 2018-19 (R.E.)

• Interest subsidy for short term credit to farmers - Rs. 15,000 crore in 2018-19 (B.E.) and Rs. 18,000 crore in 2019-20 (B.E.); Rs. 14,987 crore in 2018-19 (R.E.)

• Market Intervention Scheme and Price Support Scheme (MIS-PSS) - Rs. 200 crore in 2018-19 (B.E.) and Rs. 3,000 crore in 2019-20 (B.E.); Rs. 2,000 crore in 2018-19 (R.E.)

• Pradhan Mantri Annadata Aay Sanrakshan Abhiyan (PM-AASHA) - Rs. 1,400 crore in 2018-19 (R.E.) and Rs. 1,500 crore in 2019-20 (B.E.)

• Distribution of Pulses to State / Union Territories for Welfare Schemes - Rs. 550 crore in 2018-19 (R.E.) and Rs. 800 crore in 2019-20 (B.E.)

• Pradhan Mantri Kisan Samman Nidhi/ Income Support Scheme - Rs. 20,000 crore in 2018-19 (R.E.) and Rs. 75,000 crore in 2019-20 (B.E.)

• Urea Subsidy - Rs. 45,000 crore in 2018-19 (B.E.) and Rs. 50,164 crore in 2019-20 (B.E.); Rs. 44,995 crore in 2018-19 (R.E.)

• Nutrient Based Subsidy - Rs. 25,090 crore in 2018-19 (B.E.) and Rs. 24,832 crore in 2019-20 (B.E.); Rs. 25,090 crore in 2018-19 (R.E.)

• Direct Benefit Transfer - Rs. 16,478 crore in 2018-19 (B.E.) and Rs. 29,500 crore in 2019-20 (B.E.); Rs. 16,478 crore in 2018-19 (R.E.)

• LPG connection to poor households - Rs. 3,200 crore in 2018-19 (B.E.) and Rs. 2,724 crore in 2019-20 (B.E.); Rs. 3,200 crore in 2018-19 (R.E.)

• Price Stabilisation Fund - Rs. 1,500 crore in 2018-19 (B.E.) and Rs. 2,000 crore in 2019-20 (B.E.); Rs. 1,500 crore in 2018-19 (R.E.)

• Food Subsidy to Food Corporation of India (FCI) under National Food Security Act (NFSA) - Rs. 1,38,123 crore in 2018-19 (B.E.) and Rs. 1,51,000 crore in 2019-20 (B.E.); Rs. 1,40,098 crore in 2018-19 (R.E.)

• Food Subsidy for Decentralized Procurement of Foodgrains under NFSA - Rs. 31,000 crore in 2018-19 (B.E.) and Rs. 33,000 crore in 2019-20 (B.E.); Rs. 31,000 crore in 2018-19 (R.E.)

• Pradhan Mantri Swasthya Suraksha Yojana - Rs. 3,825 crore in 2018-19 (B.E.) and Rs. 4,000 crore in 2019-20 (B.E.); Rs. 3,825 crore in 2018-19 (R.E.)

• Family Welfare Schemes - Rs. 770 crore in 2018-19 (B.E.) and Rs. 700 crore in 2019-20 (B.E.); Rs. 519 crore in 2018-19 (R.E.)

• Police Infrastructure - Rs. 4,750 crore in 2018-19 (B.E.) and Rs. 5,117 crore in 2019-20 (B.E.); Rs. 4,836 crore in 2018-19 (R.E.)

• Bima Yojana for unorganised workers - Rs. 50 crore in 2018-19 (B.E.) and Rs. 524 crore in 2019-20 (B.E.)

• Prime Minister Employment Generation Programme (PMEGP) - Rs. 1,801 crore in 2018-19 (B.E.) and Rs. 2,327 crore in 2019-20 (B.E.); Rs. 2,119 crore in 2018-19 (R.E.)

• Deen Dayal Upadhyaya Gram Jyoti Yojna - Rs. 3,800 crore in 2018-19 (B.E.) and Rs. 4,066 crore in 2019-20 (B.E.); Rs. 3,800 crore in 2018-19 (R.E.)

• Amended Technology Upgradation Fund Scheme (ATUFS) - Rs. 2,300 crore in 2018-19 (B.E.) and Rs. 700 crore in 2019-20 (B.E.); Rs. 623 crore in 2018-19 (R.E.)

• Procurement of Cotton by Cotton Corporation under Price Support Scheme - Rs. 924 crore in 2018-19 (B.E.) and Rs. 2018 crore in 2019-20 (B.E.); Rs. 924 crore in 2018-19 (R.E.)
 
**page**
 
If one goes by the expenditure of major items, then according to the [inside]Union Budget 2018-19[/inside] (please click here to access):

• Expenditure on Pension was increased from Rs. 1,47,387 crore in 2017-18 (R.E.) to Rs. 1,68,466 crore in 2018-19 (B.E.)

• Expenditure on Fertiliser Subsidy was raised from Rs. 64,974 crore in 2017-18 (R.E.) to Rs. 70,080 crore in 2018-19 (B.E.)

• Expenditure on Food Subsidy was enhanced from Rs. 1,40,282 crore in 2017-18 (R.E.) to Rs. 1,69,323 crore in 2018-19 (B.E.)

• Expenditure on Petroleum Subsidy was raised from Rs. 24,460 crore in 2017-18 (R.E.) to Rs. 24,933 crore in 2018-19 (B.E.)

• Expenditure on Agriculture and Allied Activities was increased from Rs. 56,589 crore in 2017-18 (R.E.) to Rs. 63,836 crore in 2018-19 (B.E.)

• Expenditure on Education was raised from Rs. 81,869 crore in 2017-18 (R.E.) to Rs. 85,010 crore in 2018-19 (B.E.)

• Expenditure on Rural Development was enhanced from Rs. 1,35,604 crore in 2017-18 (R.E.) to Rs. 1,38,097 crore in 2018-19 (B.E.)

• Expenditure on Social Welfare was raised from Rs. 38,624 crore in 2017-18 (R.E.) to Rs. 44,220 crore in 2018-19 (B.E.) 
 

Please click here to access [inside]Union Budget Speech 2018-19[/inside], which was delivered by Shri Arun Jaitley, on 1st February, 2018 

 

Please click here to access [inside]'Know Your Budget' (published in 2018)[/inside]

 

Please click here to access the Union Budget Primer, which has been prepared by Avinash Celestine for PRS Legislative Research, February, 2008.

 

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Allocations for various schemes under the [inside]Union Budget 2018-19[/inside] (please click here to access):

(A) Core of the Core Schemes


• National Social Assistance Progamme - Rs. 9,975 crore (B.E.)

• Mahatma Gandhi National Rural Employment Guarantee Programme - Rs. 55,000 crore (B.E.)

• Umbrella Scheme for Development of Schedule Castes - Rs. 5,182.58 crore (B.E.)

• Umbrella Programme for Development of Scheduled Tribes - Rs. 3,806.02 crore (B.E.)

• Umbrella Programme for Development of Minorities - Rs. 1,440 crore (B.E.)

• Umbrella Programme for Development of  Other Vulnerable Groups - Rs. 2,287.15 crore (B.E.)

 

(B) Core Schemes


• Green Revolution - Rs. 13,908.92 crore (B.E.)

• White Revolution - Rs. 2,219.89 crore (B.E.)

• Blue Revolution - Rs. 642.61 crore (B.E.)

• Pradhan Mantri Krishi Sinchai Yojana - Rs. 9429.05 crore (B.E.)

• Pradhan Mantri Gram Sadak Yojna - Rs. 19,000 crore (B.E.)

• Pradhan Mantri Awas Yojna - Rs. 27,505 crore (B.E.)

• National Rural Drinking Water Mission - Rs. 7,000 crore (B.E.)

• Swachh Bharat Mission (SBM) - Rs. 17,843.1 crore (B.E.)

• National Health Mission (NHM) - Rs. 30,634.04 crore (B.E.)

• National Education Mission - Rs. 32,612.51

• National Programme of Mid Day Meal in Schools - Rs. 10,500.00

• Umbrella Integrated Child Development Services - Rs. 23,088.8 crore (B.E.)

• Mission for Protection and Empowerment for Women - Rs. 1,365.58 crore (B.E.)

• National Livelihood Mission - Ajeevika - Rs. 6,060 crore (B.E.)

• Jobs and Skill Development - Rs. 5,071.13 crore (B.E.)

• Environment, Forestry and Wildlife - Rs. 1,019 crore (B.E.)

• Urban Rejuvenation Mission : AMRUT - Atal  Mission for Rejuvenation and Urban Transformation & Smart Cities Mission - Rs. 12,169 crore (B.E.)

• Modernisation of Police Forces - Rs. 3,157.29 crore (B.E.)

• Infrastructure Facilities for Judiciary - Rs. 630 crore (B.E.)

• Border Area Development Programme - Rs. 770.97 crore (B.E.)

• Shyama Prasad Mukherjee Rurban Mission - Rs. 1,200 crore (B.E.)


Some Important Central Sector Schemes (please click here to access)


• Crop Insurance Scheme - Rs. 13,000 crore (B.E.)

• Interest subsidy for short term credit to farmers - Rs. 15,000 crore (B.E.)

• Market Intervention Scheme and Price Support Scheme (MIS-PSS) - Rs. 200 crore (B.E.)

• LPG connection to poor households - Rs. 3,200 crore (B.E.)

• Price Stabilisation Fund - Rs. 1,500 crore (B.E.)

• Family Welfare Schemes - Rs. 770 crore (B.E.)

• National Means cum Merit Scholarship Scheme - Rs. 299.74 crore (B.E.)

• National Scheme for Incentive to Girl Child for Secondary Education - Rs. 255.9 crore (B.E.)

• National Fellowship and Scholarship for Higher Education of ST Students - Rs. 100 crore (B.E.)

• National Fellowship for SCs - Rs. 300 crore (B.E.)

• Credit Support Programme - Rs. 700 crore (B.E.)

• Prime Minister Employment Generation Programme (PMEGP) - Rs. 1,800.64 crore (B.E.)

• Deen Dayal Upadhyaya Gram Jyoti Yojna - Rs. 3,800 crore (B.E.)

• Amended Technology Upgradation Fund Scheme (ATUFS) - Rs. 2,300 crore (B.E.)

 

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Allocations for various schemes under the [inside]Union Budget 2017-18[/inside] (please click here to access):

(A) Core of the Core Schemes

• National Social Assistance Progamme - Rs. 9,500 crore (B.E.)

• Mahatma Gandhi National Rural Employment Guarantee Programme - Rs. 48,000 crore (B.E.)

• Umbrella Scheme for Development of Schedule Castes - Rs. 5,114 crore (B.E.)

• Umbrella Programme for Development of Scheduled Tribes - Rs. 3,490 crore (B.E.)

• Umbrella Programme for Development of Minorities - Rs. 4,072 crore (B.E.)

• Umbrella Programme for Development of  Other Vulnerable Groups - Rs. 1,580 crore (B.E.)

(B) Core Schemes

• Green Revolution - Rs. 13,741 crore (B.E.)

• White Revolution - Rs. 1,634 crore (B.E.)

• Blue Revolution - Rs. 401 crore (B.E.)

• Pradhan Mantri Krishi Sinchai Yojana - Rs. 7,377 crore (B.E.)

• Pradhan Mantri Gram Sadak Yojna - Rs. 19,000 crore (B.E.)

• Pradhan Mantri Awas Yojna - Rs. 29,043 crore (B.E.)

• Pradhan Mantri Awas Yojna (Rural) - Rs. 23,000 crore (B.E.)

• Pradhan Mantri Awas Yojna (Urban) - Rs. 6,043 crore (B.E.)

• National Rural Drinking Water Mission - Rs. 6,050 crore (B.E.)

• Swachh Bharat Mission (SBM) - Rs. 16,248 crore (B.E.)

• Swachh Bharat Mission (Rural) - Rs. 13,948 crore (B.E.)

• Swachh Bharat Mission (Urban) - Rs. 2,300 crore (B.E.)

• National Health Mission (NHM) - Rs. 27,131 crore (B.E.)

• National Rural Health Mission - Rs. 21,189 crore (B.E.)

• National Urban Health Mission - Rs. 752 crore (B.E.)

• Tertiary Care Programmes - Rs. 725 crore (B.E.)

• Human Resources for Health and Medical Education - Rs. 4,025 crore (B.E.)

• National AYUSH Mission - Rs. 441 crore (B.E.)

• National Health Protection Scheme (erstwhile RSSY) - Rs. 1,000 crore (B.E.)

• National Education Mission - Rs. 29,556 crore (B.E.)

• Sarva Shiksha Abhiyan - Rs. 23,500 crore (B.E.)

• Rashtriya Madhyamik Shiksha Abhiyan - Rs. 3,830 crore (B.E.)

• Teachers Training and Adult Education - Rs. 926 crore (B.E.)

• Rashtriya Uchhatar Shiksha Abhiyan - Rs. 1,300 crore (B.E.)

• National Programme of Mid Day Meal in Schools - Rs. 10,000 crore (B.E.)

• Integrated Child Development Services - Rs. 20,755 crore (B.E.)

• Anganwadi Services - Rs. 15,245 crore (B.E.)

• National Nutrition Mission - Rs. 1,500 crore (B.E.)

• Maternity Benefit Programme - Rs. 2,700 crore (B.E.)

• Scheme for Adolescent Girls - Rs. 460 crore (B.E.)

• Child Protection Scheme and Scheme for welfare of working children in need of care and protection - Rs. 650 crore (B.E.)

• National Creche Scheme - Rs. 200 crore (B.E.)

• Mission for Empowerment and Protection for Women - Rs. 1,089 crore (B.E.)

• National Livelihood Mission - Ajeevika - Rs. 4,849 crore (B.E.)

• National Rural Livelihood Mission - Rs. 4,500 crore (B.E.)

• National Urban Livelihood Mission - Rs. 349 crore (B.E.)

• Jobs and Skill Development - Rs. 4,089 crore (B.E.)

• Environment, Forestry and Wildlife - Rs. 962 crore (B.E.)

• Urban Rejuvenation Mission : AMRUT - Atal  Mission for Rejuvenation and Urban Transformation & Smart Cities Mission - Rs. 9,000 crore (B.E.)

• Modernisation of Police Forces - Rs. 2,022 crore (B.E.)

• Infrastructure Facilities for Judiciary - Rs. 629 crore (B.E.)

• Border Area Development Programme - Rs. 1,100 crore (B.E.)

• Shyama Prasad Mukherjee Rurban Mission - Rs. 1,000 crore (B.E.)

Some Major Central Sector Schemes

• Interest subsidy for short term credit to farmers - Rs. 15,000 crore (B.E.)

• Namami Gange-National Ganga Plan - Rs. 2,250 crore (B.E.)

• LPG connection to poor households - Rs. 2,500 crore (B.E.)

• Crop Insurance Scheme - Rs. 9,000 crore (B.E.)

• Price Stabilisation Fund - Rs. 3,500 crore (B.E.)

• Pradhan Mantri Mudra Yojana and other Credit Guarantee Funds - Rs. 1,040 crore (B.E.)

• Family Welfare Schemes - Rs. 755 crore (B.E.)

• Pradhan Mantri Swasthya Suraksha Yojana - Rs. 3,975 crore (B.E.)

• National Means cum Merit Scholarship Scheme - Rs. 282 crore (B.E.)

• National Scheme for Incentive to Girl Child for Secondary Education - Rs. 320 crore (B.E.)

• National Fellowship and Scholarship for Higher Education of ST Students - Rs. 120 crore (B.E.)

• National Fellowship for SCs - Rs. 230 crore (B.E.)

• Credit Support Programme - Rs. 3,002 crore (B.E.)

• Prime Minister Employment Generation Programme (PMEGP) - Rs. 1,024 crore (B.E.)

• Deen Dayal Upadhyaya Gram Jyoti Yojna - Rs. 4,814 crore (B.E.)

• Amended Technology Upgradation Fund Scheme (ATUFS) - Rs. 2,013 crore (B.E.)

 

Please click here to access the Highlights of the Union Budget 2017-18.
 

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Allocations for various schemes under the [inside]Union Budget 2016-17[/inside],
(please click here to access)


• Mahatma Gandhi National Rural Employment Guarantee Scheme - Rs. 38,500 crore (BE)

• National Social Assistance Programme - Rs. 9,500 crore (BE)

• Schemes under Tribal Sub-Plan- across all Ministries - Rs. 24,005 crore (BE)

• Schemes under Scheduled Castes Sub-Plan- across all Ministries - Rs. 38,833 crore (BE)

• Allocation for North Eastern Region-across all Ministries - Rs. 33,097 crore (BE)

• Umbrella Scheme for Development of Minorities - Rs. 1,245 crore (BE)

• Green Revolution - Rs. 12,980 crore (BE)

• White Revolution - Rs. 1,273 crore (BE)

• Blue Revolution - Rs. 575 crore (BE)

• Pradhan Mantri Krishi Sinchai Yojana (PMKSY) - Rs. 5717 crore (BE)

• Pradhan Mantri Gram Sadak Yojana - Rs. 19,000 crore (BE)

• National Rural Drinking Water Programme - Rs. 5,000 crore (BE)

• Swachh Bharat Abhiyan (SBA) - Rs. 11,300 crore (BE)

• National Health Mission (NHM) - Rs. 20,037 crore (BE)

• Rashtriya Swastha Suraksha Yojana (RSSY) - Rs. 1,500 crore (BE)

• National Education Mission (NEM) - Rs. 28,010 crore (BE)

• Sarva Shiksha Abhiyan (under the NEM) - Rs. 22,500 crore (BE)

• National Programme of Mid-day Meals in Schools - Rs. 9,700 crore (BE)

• Integrated Child Development Scheme (Umbrella ICDS) - Rs. 16,120 crore (BE)

• Pradhan Mantri Awas Yojana (PMAY) - Rs. 20075 crore (BE)

• Urban Rejuvenation Mission (AMRUT and Mission for Development of 100 Smart Cities) - Rs. 7,296 crore (BE)

• Make in India: Scheme for Investment Promotion and Amended Technology Upgradation Fund Scheme - Rs. 1,804 crore (BE)

• National Industrial Corridors - Rs. 1,448 crore (BE)

• Digital India Programme and E-learning, E-panchayat, Land Records Modernisation - Rs. 2,059 crore (BE)

• Central Pool of Resources for North Eastern Region and Sikkim - Rs. 900 crore (BE)

• Schemes of North Eastern Council - Rs. 795 crore (BE)

• National Investment and Infrastructure Fund - Rs. 4,000 crore (BE)

• Equity Capital to Mudra and Credit Guarantee Fund under Pradhan Mantri Mudra Yojana - Rs. 2,400 crore (BE)

• Start up and stand up - Rs. 1,100 crore (BE)

• Schemes for employment generation - Rs. 1,155 crore (BE)

• Scheme for LPG connection to poor households - Rs. 2,000 crore (BE)

• Deendayal Upadhyaya Gram Jyoti Yojana and Integrated Power Development Scheme(IPDS) - Rs. 8,500 crore (BE)

• Sagarmala - Rs. 450 crore (BE)

• Pradhan Mantri Kaushal Vikas Yojana - Rs. 1,771  crore (BE)

• Metro Projects - Rs. 10,000 crore (BE)

• Namame Gange- National Ganga Plan - Rs. 2,250 crore (BE)

• Rashtriya Yuva Sashakthikaran Karyakram - Rs. 397 crore (BE)

• Khelo India - Rs. 216 crore (BE)

• Recapitilization of Public Sector Banks - Rs. 25,000 crore (BE)

Please check the table below for allocations of important Ministries, Sectors and Vulnerable Sections under Union Budget 2016-17

 

Table Union Budget 2016-17

 

According to the Union Budget Speech 2016-17 delivered by Arun Jaitley on 29 February, 2016 (please click here to access):

• Global growth has slowed down from 3.4 percent in 2014 to 3.1 percent in 2015.

• The growth of GDP has accelerated to 7.6 percent. This happened despite the contraction of global exports by 4.4 percent compared to 7.7 percent growth in world exports during the last three years of the previous UPA Government.

• The Consumer Price Index inflation was at 9.4 percent during the last three years of the previous UPA Government. Under the present NDA Government, CPI inflation has come down to 5.4 percent, providing big relief to the public. This was accomplished despite two consecutive years of monsoon shortfall of 13 percent, compared to normal rainfall in the last three years of the previous UPA Government.

• The NDA Government has increased the Plan expenditure at the Revised Estimate (RE) stage in 2015-16 in contrast to the usual practice of reducing it. The Government achieved this despite adopting the Fourteenth Finance Commission recommendations which increased devolution to the states by 55 percent.

• The financial years 2015-16 and 2016-17 have been and will be extremely challenging for Government expenditure. The 14th Finance Commission has reduced the Central share of taxes to 58 percent from the 68 percent.

• In the financial year 2015-16, the NDA Government managed to improve upon the budgeted expenditure due to revenue buoyancy, notwithstanding the steep reduction in the Central share of taxes.

• The next financial year 2016-17 will cast an additional burden on account of the recommendations of the 7th Central Pay Commission and the implementation of Defence One-Rank-One-Pension (OROP).

• The budget proposals are built on the transformative agenda with the following nine distinct pillars:

(i) Agriculture and Farmers’ Welfare: with focus on doubling farmers’ income in five years;

(ii) Rural Sector: with emphasis on rural employment and infrastructure;

(iii) Social Sector including Healthcare: to cover all under welfare and health services;

(iv) Education, Skills and Job Creation: to make India a knowledge based and productive society;

(v) Infrastructure and Investment: to enhance efficiency and quality of life;

(vi) Financial Sector Reforms: to bring transparency and stability;

(vii) Governance and Ease of Doing Business: to enable the people to realise their full potential;

(viii) Fiscal Discipline: prudent management of Government finances and delivery of benefits to the needy; and

(ix) Tax Reforms: to reduce compliance burden with faith in the citizenry.

Agriculture and Farmers' Welfare

• The Government will reorient its interventions in the farm and non-farm sectors to double the income of the farmers by 2022. The total allocation for Agriculture and Farmers’ welfare is Rs. 35,984 crore.

• Irrigation is a critical input for increasing agriculture production and productivity. Out of 141 million hectares of net cultivated area in the country, only 46 percent is covered with irrigation. The ‘Pradhan Mantri Krishi Sinchai Yojana’ has been strengthened and will be implemented in mission mode. 28.5 lakh hectares will be brought under irrigation under this Scheme.

• Implementation of 89 irrigation projects under AIBP, which have been languishing, will be fast tracked. This will help to irrigate 80.6 lakh hectares. These projects require Rs. 17,000 crore next year and Rs. 86,500 crore in the next five years. The Government will ensure that 23 of these projects are completed before 31st March, 2017.

• A dedicated Long Term Irrigation Fund will be created in NABARD with an initial corpus of about Rs. 20,000 crore. To achieve all these, a total provision of Rs. 12,517 crore has been made through budgetary support and market borrowings in 2016-17.

• Simultaneously a major programme for sustainable management of ground water resources has been prepared with an estimated cost of Rs. 6,000 crore and proposed for multilateral funding.

• At least 5 lakh farm ponds and dug wells in rain fed areas and 10 lakh compost pits for production of organic manure will be taken up by making productive use of the allocations under MGNREGA.

• The Soil Health Card Scheme is now being implemented with greater vigour. Through this, farmers get information about nutrient level of the soil and can make judicious use of fertilizers. The target is to cover all 14 crore farm holdings by March 2017. Rs. 368 crore has been provided for National Project on Soil Health and Fertility. Besides, 2,000 model retail outlets of Fertilizer companies will be provided with soil and seed testing facilities during the next three years.

• A policy for conversion of city waste into compost has also been approved by the Government under the Swachh Bharat Abhiyan.

• To increase crop yields in rain fed areas, which account for nearly 55 percent of the country’s arable land, organic farming is being promoted. Towards this end, the Government has launched two important schemes. First, the ‘Parmparagat Krishi Vikas Yojana’ which will bring 5 lakh acres under organic farming over a three year period. Second, the Government has launched a value chain based organic farming scheme called “Organic Value Chain Development in North East Region”. The emphasis is on value addition so that organic produce grown in these parts find domestic and export markets. A total provision of Rs. 412 crore has been made for these schemes.

• Incentives are being given for enhancement of pulses production. Rs. 500 crores under National Food Security Mission has been assigned to pulses. The number of districts covered has been increased to 622.

• A national level competition will be held among 674 Krishi Vigyan Kendras with a total prize money of Rs. 50 lakh to improve the efficiency and performance of these Kendras.

• The Government is implementing the Unified Agriculture Marketing Scheme which envisages a common e-market platform that will be deployed in selected 585 regulated wholesale markets. Amendments to the APMC Acts of the states are a pre-requisite to join this e-platform. 12 states have already amended their APMC Acts and are ready to come on board.

• 97 lakh MT of storage capacity was added to the Central pool stock during the current year.

• The allocations in 2012-13 and 2013-14 were only Rs. 8,885 crore and Rs. 9,805 crore respectively. The NDA has substantially increased the allocation in the last two years and has now allocated Rs. 19,000 crore in 2016-17. Together with States’ share, totally about Rs. 27,000 crore will be spent on this Yojana in 2016-17. The goal is to advance the completion target of the programme from 2021 to 2019 and connect the remaining 65,000 eligible habitations by constructing 2.23 lakh kms of roads. Accordingly, the pace of construction which is currently 100 kms per day, as compared to the average of 73.5 kms during 2011-14, will be substantially stepped up.

• Special focus has been given to ensure adequate and timely flow of credit to the farmers. Against the target of Rs. 8.5 lakh crore in 2015-16, the target for agricultural credit in 2016-17 will be Rs. 9 lakh crore. To reduce the burden of loan repayment on farmers, a provision of Rs. 15,000 crore has been made in the BE 2016-17 towards interest subvention.

• The FM has proposed a sum of Rs. 5,500 crore for the Prime Minister Fasal Bima Yojana in the Budget 2016-17.

• Three specific initiatives will be taken up in 2016-17 so that the benefit of MSP reaches farmers in all parts of the country. First, the remaining States will be encouraged to take up decentralized procurement. Second, an online Procurement System will be undertaken through the Food Corporation of India. This is expected to usher in transparency and convenience to the farmers through prior registration and monitoring of actual procurement. Third, effective arrangements have been made for pulses procurement.

• To make dairying more remunerative to the farmers, four new projects will be taken up: first, the ‘Pashudhan Sanjivani’, an animal wellness programme and provision of Animal Health Cards (‘Nakul Swasthya Patra’); second, an Advanced breeding technology; third, Creation of ‘E-Pashudhan Haat’, an e-market portal for connecting breeders and farmers; and fourth, a National Genomic Centre for indigenous breeds. These projects will be implemented at a cost of Rs. 850 crores over the next few years.

• There has been a visible rise in the yield of honey, from an average of 18 to 20 kg per box per annum in the year 2013-14 to 25 kg per box per annum by 2015-16. The total production of honey in the country has increased from 76,150 metric tonnes in 2014-15 to 86,500 metric tonnes. Nearly 90 percent of the domestic honey is now exported.

Rural Sector

• For rural development as a whole, Rs. 87,765 crore has been allocated.

• A sum of Rs. 2.87 lakh crore will be given as Grant in Aid to Gram Panchayats and Municipalities as per the recommendations of the 14th Finance Commission. This is a quantum jump of 228 percent compared to the previous five year period. The funds now allocated, translate to an average assistance of over Rs. 80 lakh per Gram Panchayat and over Rs. 21 crore per Urban Local Body. These enhanced allocations are capable of transforming villages and small towns.

• Every block in these distress areas will be taken up as an intensive Block under the Deen Dayal Antyodaya Mission. Formation of Self Help Groups (SHGs) will be speeded up to promote multiple livelihoods. Cluster Facilitation Teams (CFT) will be set up under MGNREGS to ensure water conservation and natural resource management. These districts would also be taken up on priority under Pradhan Mantri Krishi Sinchaii Yojna. A sum of Rs. 38,500 crore has been allocated for MGNREGS in 2016-17.

• 300 Rurban Clusters will be developed under the Shyama Prasad Mukherjee Rurban Mission launched by the Honourable Prime Minister recently. These Clusters will incubate growth centres in rural areas by providing infrastructure amenities and market access for the farmers. They will also expand employment opportunities for the youth.

• As on 1st April, 2015, a total of 18,542 villages were not electrified. The Honourable Prime Minister, in his address to the Nation on 15th August, 2015 announced that the remaining villages will be electrified within the next 1000 days.

• As on 23rd February, 2016, 5542 villages have been electrified. This is more than the total combined achievement of previous three years. The NDA Government is committed to achieve 100 percent village electrification by 1st May, 2018. Rs. 8,500 crore has been provided for Deendayal Upadhayaya Gram Jyoti Yojna and Integrated Power Development Schemes.

• Rs. 9,000 crore has been provided for Swachh Bharat Abhiyan.

• Two Schemes to promote digital literacy have been approved: National Digital Literacy Mission; and Digital Saksharta Abhiyan (DISHA). A new Digital Literacy Mission Scheme will be launched for rural India to cover around 6 crore additional households within the next 3 years.

• The National Land Record Modernisation Programme has been revamped under the Digital India Initiative and will be implemented as a Central sector scheme with effect from 1st April, 2016. The revamped Programme will build an integrated land information management system. Rs. 150 crore has been provided for this purpose.

• Panchayat Raj Institutions need to develop governance capabilities to deliver on the Sustainable Development Goals. Therefore, a new restructured scheme, namely, Rashtriya Gram Swaraj Abhiyan, will be launched for which Rs. 655 crore is being set apart in 2016-17.

Social Sector including Health Care

• A sum of Rs. 2,000 crore in this year’s Budget has been set aside to meet the initial cost of providing LPG connections to women members of poor households. This is expected to benefit about 1 crore 50 lakh households below the poverty line in 2016-17. The Scheme will be continued for at least two more years to cover a total of 5 crore BPL households.

• In order to help poor families, the Government will launch a new health protection scheme which will provide health cover up to Rs.One lakh per family. For senior citizens of age 60 years and above belonging to this category, an additional top-up package up to Rs. 30,000 will be provided.

• The NDA Government will reinvigorate the supply of generic drugs. 3,000 Stores under Prime Minister’s Jan Aushadhi Yojana will be opened during 2016-17.

• A ‘National Dialysis Services Programme’. Funds will be made available through PPP mode under the National Health Mission, to provide dialysis services in all district hospitals.

• The Union Cabinet has approved the “Stand Up India Scheme” to promote entrepreneurship among SC/ST and women. Rs. 500 crore has been provided for this purpose. The Scheme will facilitate at least two such projects per bank branch, one for each category of entrepreneur. This will benefit at least 2.5 lakh entrepreneurs.

• It is proposed to constitute a National Scheduled Caste and Scheduled Tribe Hub in the MSME Ministry in partnership with industry associations. This Hub will provide professional support to Scheduled Caste and Scheduled Tribe entrepreneurs to fulfil the obligations under the Central Government procurement policy 2012, adopt global best practices and leverage the Stand Up India initiative.

• The schemes for welfare and skill development for Minorities such as Multi-sectoral Development Programme and USTAAD shall be implemented effectively.

Education, Skills and Job Creation

- Education

• An increasing share of allocation under Sarva Shiksha Abhiyan will be allocated for universalization of primary education. Further, 62 new Navodaya Vidyalayas will be opened in the remaining uncovered districts over the next two years.

• An enabling regulatory architecture will be provided to ten public and ten private institutions to emerge as world-class Teaching and Research Institutions.

• A Higher Education Financing Agency (HEFA) with an initial capital base of Rs. 1,000 crores will be set up. The HEFA will be a not-for-profit organisation that will leverage funds from the market and supplement them with donations and CSR funds.

• It is proposed to establish a Digital Depository for School Leaving Certificates, College Degrees, Academic Awards and Mark sheets, on the pattern of a Securities Depository.

- Skill Development

• In order to set up 1500 Multi Skill Training Institutes across the country, Rs. 1,700 crore will be set aside.

• The FM proposed to scale up Pradhan Mantri Kaushal Vikas Yojna to skill one crore youth over the next three years.

• Entrepreneurship Education and Training will be provided in 2200 colleges, 300 schools, 500 Government ITIs and 50 Vocational Training Centres through Massive Open Online Courses.

- Job Creation

• A National Career Service was launched in July, 2015. Already 35 million jobs seekers have registered on this platform. The FM proposed to make 100 Model Career Centres operational by the end of 2016-17 and also proposed to inter-link State Employment Exchanges with the National Career Service platform.

• In order to incentivize creation of new jobs in the formal sector, Government of India will pay the Employee Pension Scheme contribution of 8.33% for all new employees enrolling in EPFO for the first three years of their employment.

Infrastructure and Investment

• In the road sector, there were more than 70 projects that were languishing at the beginning of the year, due to legacy factors. Aggregate length of these projects was about 8,300 kms involving more than Rs. 1 lakh crore investment. With exemplary and proactive interventions, nearly 85 percent of these projects have been put back on track.

• An allocation of Rs. 55,000 crore in the Budget for Roads and Highways is proposed. This will be further topped up by additional Rs. 15,000 crore to be raised by NHAI through bonds. Thus the total investment in the road sector, including PMGSY allocation, would be Rs. 97,000 crore during 2016-17.

• Together with the capital expenditure of the Railways, the total outlay on roads and railways will be Rs. 2,18,000 crore in 2016-17.

• The total outlay for infrastructure in BE 2016-17 stands at Rs. 2,21,246 crore.

• The Sagarmala project has already been rolled out. The work on the National Waterways is being expedited. Rs. 800 crore has been provided for these initiatives.

• Government is drawing up a comprehensive plan, spanning next 15 to 20 years, to augment the investment in nuclear power generation. Budgetary allocation up to Rs. 3,000 crore per annum, together with public sector investments, will be leveraged to facilitate the required investment for this purpose.

• To augment infrastructure spending further, Government will permit mobilisation of additional finances to the extent of Rs. 31,300 crore by NHAI, PFC, REC, IREDA, NABARD and Inland Water Authority through raising of Bonds during 2016-17.

• There are about 160 airports and air strips with State Governments which can be revived at an indicative cost of Rs. 50 crore to Rs. 100 crore each. The Central Government will partner with the State Governments to develop some of these airports for regional connectivity. Similarly, 10 of the 25 non-functional air strips with the Airport Authority of India will also be developed.

 

Please click here to access the Highlights of the Union Budget 2016-17.


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According to the [inside]Union Budget Speech 2015-16[/inside] delivered by Arun Jaitley (Please click here to download) on 28 February, 2015:

• The International Monetary Fund (IMF) has downgraded its earlier forecast of global economic growth by 0.3 percent, and the World Trade Organization has revised its forecast of world trade growth from 5.3 percent to 4 percent. Forecasts for India, however, have either been upgraded, or remained the same, without downgrades.


• In November, 2012, CPI inflation, stood at 11.2%. The latest CPI inflation rate is 5.1%, and the wholesale price inflation is negative. The Central Statistics Office has recently released a new series for GDP, which involves a number of changes relative to the old series. Based on the new series, estimated GDP growth for 2014-15 is 7.4%. Growth in 2015-16 is expected to be between 8 to 8.5%.

 

• In keeping with the true spirit of co-operative federalism, NDA Govt. devolved a 42% share of the divisible pool of taxes to States. The devolution to the states would be of the order of Rs. 5.24 lakh crore in 2015-16 as against the devolution of Rs. 3.38 lakh crore as per revised estimates of 2014-15. Another Rs. 3.04 lakh crore would be transferred by way of grants and plan transfers. Thus, total transfer to the States will be about 62% of the total tax receipts of the country.

• Instead of fixing a target of reducing fiscal deficit to 3 percent of GDP in 2015-16, the Finance Minister's road map for fiscal consolidation is a fiscal deficit of 3.9% for 2015-16, 3.5% for 2016-17 and 3.0% for 2017-18.

Irrigation


The Budget provided for allocation of Rs. 5,300 crore to support micro-irrigation, watershed development and the Pradhan Mantri Krishi Sinchai Yojana.The Minister urged the States to chip in substantially in this vital sector.

Micro Units Development Refinance Agency (MUDRA) Bank

The Finance Minister has proposed to create a Micro Units Development Refinance Agency (MUDRA) Bank, with a corpus of Rs. 20,000 crore, and credit guarantee corpus of Rs. 3,000 crore. MUDRA Bank will refinance Micro-Finance Institutions through a Pradhan Mantri Mudra Yojana. In lending, priority will be given to SC/ST enterprises. It is worth noting that there are some 5.77 crore small business units, mostly individual proprietorship, which run small manufacturing, trading or service businesses. 62% of these are owned by SC/ST/OBC.

Agriculture Credit with a Special Focus on Small and Marginal Farmers

The Finance Minister, presenting the Union Budget 2015-16, supported the agriculture sector with the help of effective and hassle-free agriculture credit, with a special focus on small and marginal farmers. He proposed the Budget allocation of Rs. 25,000 crore in 2015-16 to the corpus of Rural Infrastructure Development Fund (RIDF) set up in NABARD; Rs. 15,000 crore for Long Term Rural Credit Fund; Rs. 45,000 crore for Short Term Cooperative Rural Credit Refinance Fund; and Rs. 15,000 crore for Short Term RRB Refinance Fund.

The Finance Minister said that “Farm credit underpins the efforts of our hard-working farmers, therefore an ambitious target of Rs. 8.5 lakh crore of credit during the year 2015-16 is set up", which the Minister was sure that the banks would surpass.

Paramparagat Krishi Vikas Yojna

The Finance Minister, presenting the Union Budget 2015-16, said that “Our commitment to farmers runs deep. We have already taken major steps to address the two major factors critical to agricultural production: soil and water”. In order to improve soil health, the Finance Minister proposed to support Agriculture Ministry’s organic farming scheme – “Paramparagat Krishi Vikas Yojana”.

Allocations for Social Sectors

The Finance Minister allocated an amount of Rs. 68,968 crore to the Education Sector including Mid Day Meals, Rs. 33,152 crore to the Health Sector and Rs. 79,526 crore for Rural Development Activities including MGNREGA in the Budget for 2015-16. The Finance Minister proposed an initial allocation of Rs. 34,699 crore for the MGNREGA programme in the Budget.

An amount of Rs. 22,407 crore has been provided for Housing and Urban Development, Rs. 10,351 crore for Women and Child Development and Rs. 4,173 crore for Water Resources and Namami Gange.

 

If the Ministry of Finance is able to garner some additional resources during the year from tax buoyancy, then the Finance Minister promised to increase allocations to MGNREGA by Rs. 5,000 crore; Integrated Child Development Scheme (ICDS) by Rs. 1,500 crore; Integrated Child Protection Scheme (ICPS) by Rs. 500 crore; and the Pradhan Mantri Krishi Sinchai Yojana by Rs. 3,000 crore; and the initial inflow of Rs. 5,000 crore into the NIIF. 


In order to support programmes for Women Security, Advocacy and Awareness, another Rs. 1000 crore has been allocated to the Nirbhaya Fund in the year 2015-16.

The Budget Speech informed that the National Optical Fibre Network Programme of 7.5 lakh Kilometre, networking 2.5 lakh villages, is being speeded up as a part of progress towards making digital India.

Universal Social Security System for the poor and under-privileged

The Finance Minister informed that the Pradhan Mantri Suraksha Bima Yojana will be launched to cover accidental death risk of Rs. 2 lakh for a premium of just Rs. 12 per year. Similarly, he also informed that the Atal Pension Yojana will be launched, which will provide a defined pension, depending on the contribution, and its period. To encourage people to join this scheme, the Government will contribute 50% of the beneficiaries’ premium limited to Rs. 1,000 each year, for five years, in the new accounts opened before 31st December, 2015.

The Finance Minister also informed about the third Social Security Scheme "Pradhan Mantri Jeevan Jyoti Bima Yojana" which covers both natural and accidental death risk of Rs. 2 lakhs. The premium will be Rs. 330 per year, or less than one rupee per day, for the age group 18-50.

The Finance Minister said that there are unclaimed deposits of about Rs. 3,000 crore in the PPF, and approximately Rs. 6,000 crore in the EPF corpus. The Finance Minister proposed the creation of a Senior Citizen Welfare Fund, in the Finance Bill, for appropriation of these amounts to a corpus which will be used to subsidize the premiums of vulnerable groups such as old age pensioners, BPL card-holders, small and marginal farmers and others. He informed that a detailed scheme would be issued in March.

The Finance Minister proposed a new scheme for providing Physical Aids and Assisted Living Devices for senior citizens, living below the poverty line.

The Finance Minister informed that Rs. 30,851 crore has been allocated for SC, Rs. 19,980 crore for ST and Rs. 79,258 crore for Women.   

The Finance Minister announced an integrated education and livelihood scheme called ‘Nai Manzil’ to be launched this year to enable Minority Youth who do not have a formal school-leaving certificate to obtain one and find better employment. Further, to showcase civilization and culture of the Parsis, the Government will support, in 2015-16, an exhibition, ‘The Everlasting Flame’.

Skills & Training

The Finance Minister emphasized on formal skill training and informed that the Government will launch a National Skills Mission which will consolidate skill initiatives spread across several Ministries. He said Rs. 1,500 crore has been set apart for Deen Dayal Upadhyay Gramin Kaushal Yojana. He proposed to set up a fully IT based Student Financial Aid Authority to administer and monitor Scholarship as well Educational Loan Schemes, through the Pradhan Mantri Vidya Lakshmi Karyakram.

Budgetary support

The Finance Minister while giving the budget estimates for 2015-16 said Non-Plan expenditure estimates for the Financial Year are Rs. 13,12,220 crore. Plan expenditure is estimated to be Rs. 4,65,277 crore, which is very near to the Revised Estimate (RE) of 2014-15. Total Expenditure has accordingly been estimated at Rs. 17,77,477 crore. Gross Tax receipts are estimated to be Rs. 14,49,490 crore. Devolution to the States is estimated to be Rs. 5,23,958 crore. Share of Central Government will be Rs. 9,19,842 crore. Non Tax Revenues for the next fiscal are estimated to be Rs. 2,21,733 crore. He said with the above estimates, fiscal deficit will be 3.9 percent of GDP and Revenue Deficit will be 2.8 percent of GDP in 2015-16.

Concessions for the middle-class

A. Increase in the limit of deduction in respect of health insurance premium from Rs.15,000 to Rs.25,000.

(1)   For senior citizens the limit will stand increased to Rs.30,000 from the existing Rs.20,000.

(2)   For very senior citizens of the age of 80 years or more, who are not covered by health insurance, deduction of Rs.30,000 towards expenditure incurred on the treatment will allowed.

B. The deduction limit of Rs.60,000 towards expenditure on account of specified diseases of serious nature is proposed to be enhanced to Rs.80,000 in case of very senior citizens.

C. Additional deduction of Rs.25,000 will be allowed for differently abled persons under Section 80DD and Section 80U of the Income-tax Act.

D. The limit on deduction on account of contribution to a Pension Fund and the New Pension Scheme is proposed to be increased from Rs. 1 lakh to Rs. 1.5 lakh.

E. To provide social safety net and the facility of pension to individuals and additional deduction of Rs.50,000 is proposed to be provided for contribution to the New Pension Scheme under Section 80 CCD.   This will enable India to become a pensioned society instead of a pensionless society.

F. Investments in Sukanya Samriddhi Scheme is already eligible for deduction under Section 80C.  All payments to the beneficiaries including interest payment on deposit will also be fully exempt.

G. Transport allowance exemption is being increased from Rs. 800 to Rs. 1,600 per month.

H. For the benefit of senior citizens, service tax exemption will be provided on Varishta Bima Yojana.

The list of Schemes (A) to be fully supported by Union Government (B) to be run with the Changed Sharing Pattern (C) to be delinked from support of the Centre is given below:-

(A) Schemes to be fully supported by Union Government:

1. Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGA)

2. Multi-Sectoral Development Programme for Minorities (MSDP)

3. Pre-Matric scholarship for children of those engaged in unclean occupation

4. Scholarship Schemes (Post and Pre-Matric) for SC, ST and OBCs

5. Support for machinery for Implementation of Protection of Civil Rights Act, 1955 and Prevention of Atrocities Act, 1989

6. National Programme for Persons with Disabilities

7. Scheme for providing Education to Minorities

8. Umbrella Scheme for education of ST children

9. Indira Gandhi Matritva Sahyog Yojana (IGMSY)

10. Integrated Child Protection Scheme (ICPS)

11. Rajiv Gandhi Scheme for Empowerment of Adolescent Girls (RGSEAG)-SABLA

12. National Nutrition Mission

13. Scheme for Protection and Development of Women

14. Assistance for Schemes under Proviso (i) to article 275 (1) of the Constitution

15. Special Central Assistance to Tribal Sub-plan

16. Sarva Shiksha Abhiyaan (Financed from Education Cess)

17. Mid Day Meal

18. Schemes of North Eastern Council

19. Special package for Bodoland Territorial Council

20. National Social Assistance Programme (NSAP) including Annapurna

21. Grants from Central Pool of Resources for North Eastern Region and Sikkim

22. Social Security for Unorganized Workers Scheme

23. Support to Educational Development including Teacher Training and Adult Education

24. Border Area Development Programme

25. Member of Parliament Local Area Development Scheme (MPLADS)

26. Cess backed allocation for Pradhan Mantri Gram Sadhak Yojana (PMGSY)

27. Roads and Bridges financed from Central Road Fund

28. Project Tiger

29. Project Elephant

30. Additional Central Assistance for Externally Aided Projects (loan portion)

31. Additional Central Assistance for Externally Aided Projects (Grant portion)

(B) Schemes to be run with the Changed Sharing Pattern:

1. Cattle Development

2. Mission for Integrated Development of Horticulture

3. Rashtriya Krishi Vikas Yojana

4. National Livestock Mission

5. National Mission on Sustainable Agriculture

6. Dairy Vikas Abhiyaan

7. Veterinary Services and Animal Health

8. National Rural Drinking Water Programme

9. Swaccha Bharat Abhiyaan (Rural and Urban)

10. National Afforestation Programme

11. National Plan for Conservation of Aquatic Eco-system (NPCA)

12. National AIDS and STD Control programme

13. National health Mission

14. National Urban Livelihoods Mission (NULM)

15. Rashtriya Madhyamik Shiksha Abhiyaan (RMSA)

16. Strategic Assistance for State Higher Education - Rashtriya Uchcha Shiksha Abhiyan (RUSA)

17. For Development of Infrastructure Facilities for Judiciary

18. National Land Records Modernisation Programme

19. National Rural Livelihood Mission (NRLM)

20. Rural Housing-Housing for All

21. Integrated Child Development Service

22. Rajiv Gandhi Khel Abhiyan (RGKA) (erstwhile Panchayat Yuva Krida aur Khel Abhiyan (PYKKA)

23. PMKSY (including Watershed programme and micro irrigation)

24. Impact Assessment Studies of AIBFMP

(C) Schemes delinked from support of the Centre:

1. National e-Governance Plan

2. Backward Regions Grant Funds

3. Modernization of Police Forces

4. Rajiv Gandhi Panchayat Sashaktikaran Abhiyaan (RGPSA)

5. Scheme for Central Assistance to the States for developing export infrastructure

6. Scheme for setting up of 6000 Model Schools

7. National Mission on Food processing

8. Tourist Infrastructure

 

**page**

 

According to the [inside]Union Budget Speech 2014-15 delivered by Arun Jaitley[/inside] (Please click here to download) on 10 July, 2014:

•    The steps announced in 2014-15 Union Budget are only the beginning of a journey towards a sustained growth of 7-8 per cent or above within the next 3-4 years along with macro-economic stabilization that includes lower levels of inflation, lesser fiscal deficit and a manageable current account deficit.

•    There is an urgent need to generate more resources to fuel the economy. For this, the tax to GDP ratio must be improved and non-tax revenues increased.

•    The decline in fiscal deficit from 5.7 per cent of GDP in 2011-12 to 4.8 per cent in 2012-13 and 4.5 per cent in 2013-14 was mainly achieved by reduction in expenditure rather than by way of realization of higher revenue. The fiscal deficit will be 4.1% of GDP and Revenue deficit will be 2.9 per cent of GDP in 2014-15.

•    Although, the external sector witnessed a turn-around with the year ending with a Current Account Deficit of 1.7 per cent of the GDP against 4.7 per cent in 2012-13, this was mainly achieved through restriction on non-essential imports and slowdown in overall aggregate demand.

•    The Finance Minister's (FM) Road map for fiscal consolidation is a fiscal deficit of 3.6 per cent for 2015-16 and 3 per cent for 2016-17. The previous FM tried to reduce fiscal deficit to 4.1 per cent of the GDP in Interim Budget.

•    While inflation has remained at elevated levels relative to what is perceived as acceptable, there has been a gradual moderation in Wholesale Price Index (WPI) recently, from a high of 7.35% in 2012-13 and 5.98% in 2013-14.

Swatchh Bharat Abhiyan

•    The need for sanitation is of utmost importance. Although the Central Government is providing resources within its means, the task of total sanitation cannot be achieved without the support of all. The Government intends to cover every household by total sanitation by the year 2019, the 150th year of the Birth anniversary of Mahatma Gandhi through Swatchh Bharat Abhiyan.

Deendayal Upadhyaya Gram Jyoti Yojana

•    Power is a vital input for economic growth and the Government is committed to providing 24x7 uninterrupted power supply to all homes. “Deen Dayal Upadhyaya Gram Jyoti Yojana” for feeder separation will be launched to augment power supply to the rural areas and for strengthening sub-transmission and distribution systems. A sum of Rs. 500 crore for this purpose has been allocated.

RURAL DEVELOPMENT

Pradhan Mantri Gram Sadak Yojana

•    Pradhan Mantri Gram Sadak Yojana initiated during the NDA-I under the stewardship of Prime Minister Atal Behari Vajpayee has had a massive impact in improvement of access for Rural population. A sum of Rs. 14,389 crore has been allocated for PMGSY.

MGNREGA

•    The Government is committed to providing wage and self-employment opportunities in rural areas. However, wage employment would be provided under MGNREGA through works that are more productive, asset creating and substantially linked to agriculture and allied activities.

National Livelihood Mission

•    Ajeevika, the National Rural Livelihood Mission (NRLM), aims to eliminate rural poverty through sustainable livelihood options. Under this mission, Women SHGs are provided bank loans at 4% on prompt repayment in 150 districts and at 7% in all other districts. The FM has proposed to extend the provision of bank loan for women SHGs at 4% in another 100 districts. He has also proposed to set up a “Start Up Village Entrepreneurship Programme” for encouraging rural youth to take up local entrepreneurship programs. An initial sum of Rs. 100 crore was allocated for this.

Rural Housing

•    The Rural Housing Scheme has benefited a large percentage of rural population who have availed credit through Rural Housing Fund (RHF). Accordingly, allocations for the year 2014-15 has been increased to Rs. 8,000 crore for National Housing Bank (NHB) with a view to expand and continue to support Rural Housing in the country.

Watershed Development

•    To give an added impetus to watershed development in the country, the FM has proposed to start a new programme called “Neeranchal” with an initial outlay of Rs. 2,142 crores in the current financial year.

Panchayati Raj

•    Backward Region Grant Fund (BRGF) is being implemented in 272 backward districts in 27 States, to fill up the critical gaps in development of basic infrastructure facilities and for capacity building of Panchayats/ Gram Sabhas in backward areas. The FM has proposed to restructure the BRGF to address intra-district inequalities to ensure that backward sub-districts units within States receive adequate support.

Safe Drinking Water

•    Rs 3,600 crore has been allocated under National Rural Drinking Water Programme for providing safe drinking water in approximately 20,000 habitations affected with arsenic, fluoride, heavy/ toxic elements, pesticides/ fertilizers through community water purification plants in next 3 years.

Women & Child Development

•    An outlay of Rs. 50 crores will be spent by Ministry of Road Transport & Highways on pilot testing a scheme on “Safety for Women on Public Road Transport”. A sum of Rs. 150 crores will also be spent by Ministry of Home Affairs on a scheme to increase the safety of women in large cities. It has been also proposed to set up “Crisis Management Centres” in all the districts of NCT of Delhi this year in all government and private hospitals. The funding will be provided from the Nirbhaya Fund.

Beti Bachao, Beti Padhao Yojana

•    It is a shame that while the country has emerged as a major player amongst the emerging market economies, the apathy towards girl child is still quite rampant in many parts of the country. Therefore Beti Bachao, Beti Padhao Yojana has been launched which will be a focused scheme that would help in generating awareness and also help in improving the efficiency of delivery of welfare services meant for women. A sum of Rs. 100 crore has been allocated for this.

Gender Mainstreaming

•    Government would focus on campaigns to sensitize people of this country towards the concerns of the girl child and women. The process of sensitization must begin early, therefore, the school curriculum must have a separate chapter on gender mainstreaming.

Welfare of Scheduled Castes/Scheduled Tribes

•    Government is committed to the welfare of SCs and STs. This year an amount of Rs. 50,548 crore is proposed under the SC Plan and Rs. 32,387 crore under TSP.

•    To provide credit enhancement facility for young start up enterpreneurs from Scheduled Castes, who aspire to be part of the neo-middle class, a sum of Rs. 200 crore which will be operationalised through a scheme by IFCI has been allocated.

•    For the welfare of the tribals “Van Bandhu Kalyan Yojana” is being launched with an initial allocation of Rs. 100 crore.

Empowerment of the Differently Abled Persons

•    Government will make all out efforts to create a more inclusive society for Persons with Disabilities to enable them to enjoy equal opportunities to lead an empowered life with dignity. The scheme for Assistance to Disabled Persons for purchase/fitting of Aids and Appliances (ADIP) has been extended to include contemporary aids and assistive devices. It has been also proposed to establish National level institutes for Universal Inclusive Design and Mental Health Rehabilitation and also a Centre for Disability Sports.

Incentives for the Visually Challenged

•    The Braille Presses in the Government and private sector are not able to meet the demand of Braille Text books for the visually impaired students. It has been proposed to provide assistance to the State Governments to establish fifteen new Braille Presses and modernize ten existing Braille Presses in the current financial year. Government will also print currency notes with Braille like signs to assist the visibly challenged persons.

Welfare of Senior Citizens

Varishtha Pension Bima Yojana

•    NDA Government during its last term in office had introduced the Varishtha Pension Bima Yojana (VPBY) as a pension scheme for senior citizens. Under the scheme a total no. of 3.16 lakh annuitants are being benefitted and the corpus amounts to Rs. 6,095 crore. The scheme has been revived for a limited period from 15 August, 2014 to 14 August, 2015 for the benefit of citizens aged 60 years and above.

•    Government is fully committed to the social security and welfare of employees serving in the organized sector. The Government is notifying minimum pension of Rs. 1,000 per month to all subscriber members of EP Scheme and has made an initial provision of Rs. 250 crore in the current financial year to meet the expenditure. Further, increase in mandatory wage ceiling of subscription to EPS from Rs. 6,500 to Rs. 15,000 has been made and a provision of Rs. 250 crore has been provided in the current budget. For the convenience of the subscribers, EPFO will launch the “Uniform Account Number” Service for contributing members to facilitate portability of Provident Fund accounts.

Youth

•    Employment exchanges will be transformed into career centres and in addition for providing information about job availability. These centers will also extend counseling facilities to the youth for selecting the jobs best suited to their ability and aptitude. A sum of Rs. 100 crore for this purpose has been allocated.

•    In order to promote leadership skills among the youth, “A Young Leaders Programme” will be set up with an initial allocation of Rs. 100 crore.

Minorities

•    A programme for the up gradation of skills and training in ancestral arts for development for the minorities called “Up gradation of Traditional Skills in Arts, Resources and Goods” would be launched to preserve the traditional arts and crafts which are rich heritage.

•    An additional amount of Rs. 100 crores for Modernization of Madarsas has been provided to the Department of School Education.

Health and Family Welfare

•    To move towards “Health for All”, the two key initiatives i.e. the Free Drug Service and Free Diagnosis Service would be taken up on priority.

•    In order to achieve universal access to early quality diagnosis and treatment to TB patients, two National Institutes of Ageing will be set up at AIIMS, New Delhi and Madras Medical College, Chennai. A national level research and referral Institute for higher dental studies would be set up in one of the existing Dental institutions.

•    It is a matter of great satisfaction that all the six new AIIMS at Jodhpur, Bhopal, Patna, Rishikesh, Bhubaneswar and Raipur, which are part of Pradhan Mantri Swasthya Suraksha Yojana, have become functional. A plan to set up four more AIIMS like institutions at Andhra Pradesh, West Bengal, Vidarbha in Maharashtra and Poorvanchal in UP is under consideration. A sum of Rs. 500 crore for this has been allocated.

•    Presently 58 government medical colleges have been approved. It has been also proposed to add 12 more government medical colleges. In addition, dental facilities would also be provided in all the hospitals. 56. For the first time, the Central Government will provide central assistance to strengthen the States’ Drug Regulatory and Food Regulatory Systems by creating new drug testing laboratories and strengthening the 31 existing State laboratories.

•    In keeping with the Government’s focus on improving affordable healthcare and to augment the transfer of technology for better health care facilities in rural India, fifteen Model Rural Health Research shall be set up in the states, which shall take up research on local health issues concerning rural population.

School Education

•    Elementary education is one of the major priorities of the Government. There is a residual gap in providing minimal school infrastructure facilities. Government would strive to provide toilets and drinking water in all the girls school in first phase. An amount of Rs. 28,635 crore is being funded for Sarva Shiksha Abhiyan and Rs. 4,966 crore for Rashtriya Madhyamik Shiksha Abhiyan.

•    A School Assessment Programme is being initiated at a cost of Rs. 30 crore. To infuse new training tools and motivate teachers, “Pandit Madan Mohan Malviya New Teachers Training Programme” is being launched. An initial sum of Rs. 500 crore has been allocated for this.

•    To take advantage of the reach of the IT, a sum of Rs. 100 crore has been allocated for for setting up virtual classrooms as Communication Linked Interface for Cultivating Knowledge (CLICK) and online courses.

Higher Education

•    The country needs a large number of Centres of higher learning which are world class. Jai Prakash Narayan National Centre for Excellence in Humanities in Madhya Pradesh will be set up. Five more IITs in the Jammu, Chattisgarh, Goa, Andhra Pradesh and Kerala will be set up. Five IIMs would be set up in the States of Himachal Pradesh, Punjab, Bihar, Odisha and Maharashtra. A sum of Rs. 500 crore has been allocated for this.

•    The Government has proposed to ease and simplify norms to facilitate education loans for higher studies.

Digital India

•    A National Rural Internet and Technology Mission for services in villages and schools, training in IT skills and E-Kranti for government service delivery and governance scheme has been proposed. A sum of Rs. 500 crore has been allocated for this purpose.

•    A programme for promoting “Good Governance” would be launched and Rs. 100 crore has been allocated for this.

Community Radio Stations

•    So far around 400 permissions for setting up of a Community Radio Stations have been issued. To encourage the growth in this sector, a new plan scheme is being taken up with an allocation of Rs. 100 crore. This scheme would support about 600 new and existing Community Radio Stations.

Housing for All in urban areas

•    The Government intends to extend additional tax incentive on home loans to encourage people, especially the young, to own houses.

•    The FM has proposed setting up a Mission on Low Cost Affordable Housing which will be anchored in the National Housing Bank. Schemes will be evolved to incentivize the development of low cost affordable housing. The FM has allocated a sum of Rs. 4,000 crores for NHB with a view to increase the flow of cheaper credit for affordable housing to the urban poor/EWS/LIG segment.

•    The FM has also proposed to add inclusion of slum development in the list of Corporate Social Responsibility (CSR) activities to encourage the private sector to contribute more towards this activity.

Food Security and Nutrition

•    A national programme in Mission Mode is urgently required to halt the deteriorating malnutrition situation in India, as present interventions are not adequate. A comprehensive strategy including detailed methodology, costing, time lines and monitorable targets will be put in place within six months.

•    Restructuring FCI, reducing transportation and distribution losses and efficacy of PDS would be taken up on priority.

•    The Government is committed to provide wheat and rice at reasonable prices to the weaker sections of the society. Even if due to inadequate rainfall, there is a marginal decline in agriculture production, stocks in the Central pool are adequate to meet any exigency. Government shall, when required, undertake open market sales to keep prices under control.

Kisan TV

•    Kisan TV, dedicated to the interests of the agriculture and allied sector will be launched in the current financial year. This will disseminate real time information to the farmers information regarding new farming techniques, water conservation, organic farming etc. The FM has allocated a sum of Rs. 100 crore for this purpose.

Organic Food in the North Eastern States

•    North Eastern Region of India has tremendous potential for development of organic farming. With a growing global demand for organic food, people living in the NE states can reap rich harvest from development of commercial organic farming. To facilitate this, a sum of Rs. 100 crore has been allocated for this purpose in the current financial year.

Pradhan Mantri Krishi Sinchayee Yojana

•    Bulk of India's farm lands are rain fed and dependent on monsoons. Therefore, there is a need to provide assured irrigation to mitigate risk. To improve access to irrigation the FM has proposed to initiate the scheme “Pradhan Mantri Krishi Sinchayee Yojana”. A sum of Rs. 1,000 crore for this purpose has been allocated.

AGRICULTURE

•    Indian Agricultural Research Institute, Pusa has been at the forefront of research in the area of agro-technology development and creation and modernization of existing agri-business infrastructure. However, since Independence only one such centre has been established. Government will establish two more such institutions of excellence on similar pattern in Assam and Jharkhand with an initial sum of Rs. 100 crore in the current financial year. In addition, an amount of Rs. 100 crores is being set aside for setting up an “Agri-Tech Infrastructure Fund”.

•    It has been proposed to establish Agriculture Universities in Andhra Pradesh and Rajasthan and Horticulture Universities in Telangana and Haryana. An initial sum of Rs. 200 crores has been allocated for this purpose.

•    The Government will initiate a scheme to provide to every farmer a soil health card in a Mission mode. A sum of Rs. 100 crore for this purpose has been set aside and an additional Rs. 56 crores has been allocated to set up 100 Mobile Soil Testing Laboratories across the country.

•    To establish a “National Adaptation Fund” for climate change, an initial sum an amount of Rs. 100 crore will be transferred to the Fund.

•    The NDA is committed to sustaining a growth of 4% in Agriculture and for this it will bring technology driven second green revolution with focus on higher productivity and include “Protein revolution” as an area of major focus.

•    The FM has proposed to provide finance to 5 lakh joint farming groups of “Bhoomi Heen Kisan” through NABARD in the current financial year.

•    To mitigate price volatility, a sum of Rs. 500 crore for establishing a Price Stabilization Fund has been set aside.

•    To accelerate setting up of a National Market, the Central Government will work closely with the State Governments to re-orient their respective APMC Acts., to provide for establishment of private market yards/ private markets. The state governments will also be encouraged to develop Farmers’ Markets in town areas to enable the farmers to sell their produce directly.

•    The FM has set aside a sum of Rs. 50 crores for the development of indigenous cattle breeds and an equal amount for starting a blue revolution in inland fisheries.

Agriculture Credit

•    Banks are providing strong credit support to the agriculture sector. A target of Rs. 8 lakh crore has been set for agriculture credit during 2014-15.

Interest Subvention Scheme for Short Term Crop Loans

•    Under the Interest Subvention Scheme for short term crop loans, the banks are extending loans to farmers at a concessional rate of 7%. The farmers get a further incentive of 3% for timely repayment. The FM has continued the Scheme in 2014-15.

Rural Infrastructure Development Fund

•    NABARD operates the Rural Infrastructure Development Fund (RIDF), out of the priority sector lending shortfall of the banks, which helps in creation of infrastructure in agriculture and rural sectors across the country. The FM has raised the corpus of RIDF by an additional Rs. 5,000 crores from the target given in the Interim Budget to Rs. 25,000 crores in the current financial year.

Warehouse Infrastructure Fund

•    Increasing warehousing capacity for increasing the shelf life of agriculture produces and thereby the earning capacity of the farmers is of utmost importance. Keeping in view the urgent need for availability of scientific warehousing infrastructure in the country, the FM has allocated Rs. 5,000 crore for the fund for the year 2014-15.

Creation of Long Term Rural Credit Fund

•    The FM has proposed to set up “Long Term Rural Credit Fund” in NABARD for the purpose of providing refinance support to Cooperative Banks and Regional Rural Banks with an initial corpus of Rs. 5,000 crore.

Allocation of STCRC (Refinance) Fund

•    The Short Term Cooperative Rural Credit (STCRC) – Refinance Fund was announced in Union Budget 2008-09 with initial corpus of Rs. 5,000 crore. In order to ensure increased and uninterrupted credit flow to farmers and to avoid high cost market borrowings by NABARD, the FM has allocated an amount of Rs. 50,000 crore for STCRC Fund during 2014-15.

Producers Development and Upliftment Corpus (PRODUCE)

•    The issue of profitability of small holding based agriculture has assumed importance in view of increasing proportion of small and marginal farmers in the country. The FM has proposed to supplement NABARD’s Producers’ organization development fund for Producer’s development and upliftment called PRODUCE with a sum of Rs. 200 crore which will be utilized for building 2,000 producers organizations across the country over the next two years.

New & Renewable Energy

•    The FM has proposed to take up Ultra Mega Solar Power Projects in Rajasthan, Gujarat, Tamil Nadu, and Laddakh in J&K. A sum of Rs. 500 crores has been allocated for this. A scheme for solar power driven agricultural pump sets and water pumping stations for energizing one lakh pumps will be launched. A sum of Rs. 400 crores has been set aside for this purpose. An additional Rs. 100 crore has been set aside for the development of 1 MW Solar Parks on the banks of canals. Implementation of the Green Energy Corridor Project will be accelerated in this financial year to facilitate evacuation of renewable energy across the country.

Smart Cities

•    The Prime Minister has a vision of developing ‘one hundred Smart Cities’, as satellite towns of larger cities and by modernizing the existing mid-sized cities. To provide the necessary focus to this critical activity, a sum of Rs. 7,060 crore in the current fiscal has been provided.

---

 

According to the [inside]Interim Budget Speech 2014-15[/inside] delivered by P Chidambaram (please click here to download) on 17 February, 2014:

Economy

•    GDP growth rate has declined from 7.5 percent in Q1 of 2011-12 to 4.4 percent in Q1 of 2013-14.

•    Growth in Q2 of 2013-14 has been placed at 4.8 percent and growth for the whole year has been estimated at 4.9 percent.  This means that growth in Q3 and Q4 of 2013-14 will be at least 5.2 percent.

•    At the end of January 2014, WPI inflation was 5.05 percent and core inflation 3.0 percent.

Social sector spending

•    In 2014-15, an amount equal to or higher than in the BE of 2013-14 is allocated (irrespective of the revised estimates for the year):

Ministry of Minority Affairs-Rs. 3,711 crore
Ministry of Tribal Affairs-Rs. 4,379 crore
Ministry of Housing & Poverty Alleviation-Rs. 6,000 crore
Ministry of Social Justice & Empowerment-Rs. 6,730 crore
Ministry of Panchayati Raj-Rs. 7,000 crore
Ministry of Drinking Water & Sanitation-Rs. 15,260 crore
Ministry of Women & Child Development-Rs. 21,000 crore
Ministry of Health & Family Welfare-Rs. 33,725 crore
Ministry of Human Resource Development-Rs. 67,398 crore
Ministry of Rural Development-Rs. 82,202 crore

Agriculture

•    Food inflation is still the main worry, although it has declined sharply from a high of 13.6 percent (last year during budget speech) to 6.2 percent.

•    Foodgrain production in 2012-13 was 255.36 million tonnes and the estimate for the current year is 263 million tonnes. 

•    Estimates of production of sugarcane, cotton, pulses, oilseeds and quality seeds point to new records. 

•    Agriculture exports in 2012-13 stood at USD 41 billion versus imports of USD 20 billion.  In 2013-14, agriculture exports are likely to cross USD 45 billion. 

•    Agricultural credit is likely to touch Rs. 735,000 crore, exceeding the target of Rs. 700,000 crore. 

•    Agricultural GDP growth increased to 3.1 percent in the five year period of UPA-I and further to 4.0 percent in the first four years of UPA-II.  In the current year, agricultural GDP growth is estimated at 4.6 percent.

•    In the present year, banks will exceed the target of Rs. 700,000 crore of agricultural credit. A new target of Rs. 800,000 crore is set for 2014-15. An interest subvention scheme was introduced in 2006-07. There is a subvention of 2 percent and an incentive of 3 percent for prompt payment, thus reducing the effective rate of interest on farm loans to 4 percent.  So far, Rs. 23,924 crore has been released under the scheme. The scheme will be continued in 2014-15.

•    Government has approved the National Agro-Forestry Policy 2014, which has multiple objectives including employment, productivity, conservation and adaptation.

•    A mechanism for marketing minor forest produce has been introduced, and the Budget has allocated Rs. 444.59 crore to continue the scheme in 2014-15.

Gender

•    Rs. 48,638 crore is allocated to the scheduled caste sub-plan and Rs. 30,726 crore to the tribal sub-plan. The gender budget is Rs. 97,533 crore and the child budget is Rs. 81,024 crore.

•    The Bharatiya Mahila Bank was inaugurated on 19.11.2013. Rs. 6,000 crore was provided to the Rural Housing Fund and Rs. 2,000 crore to the Urban Housing Fund.

•    Ten years ago, only 9,71,182 women Self-Help Groups had been credit linked to banks. At the end of December 2013, 41,16,000 women SHGs had been provided credit and the outstanding amount of credit was Rs. 36,893 crore.

•    To ensure the dignity and safety of women, Nirbhaya Fund was promised and put Rs. 1000 crore into the Fund. So far, two proposals have been proposed that will receive support from the Fund. In order to make it clear that the Fund will be a permanent fund, the grant of Rs. 1000 crore is declared as non-lapsable. Another sum of Rs. 1000 crore is contributed to the Nirbhaya Fund next year. 
 
Non Plan Expenditure/ Subsidies

•    Non-plan expenditure in 2014-15 is estimated at Rs. 12,07,892 crore. Of this, the expenditure on subsidies for food, fertilizer and fuel will be Rs. 246,397 crore. This is slightly more than the revised estimate of Rs. 245,452 crore in 2013-14. For fuel subsidy, Rs. 65,000 crore will be provided.  Rs. 115,000 crore has been allocated for food subsidy keeping in mind UPA2 Government’s firm and irrevocable commitment to implement the National Food Security Act throughout the country.

Direct Benefit Transfer scheme/ Aadhaar

•    The DBT scheme is barely a year old. Money is being transferred to beneficiaries under 27 identified schemes, including the National Social Assistance Programme (NSAP). A total of 54,20,114 transactions have been put through until 31.1.2014 and Rs. 628 crore has been transferred. Another sum of Rs. 3,370 crore has been transferred to 2.1 crore LPG beneficiaries. The latter scheme has been put on hold for the time being pending resolution of some difficulties that have been pointed out. The Government remains fully committed to Aadhaar under which 57 crore unique numbers have been issued so far and to opening bank accounts for all Aadhaar holders in order to promote financial inclusion.  

Nutrition

•    The restructured ICDS has been implemented in 400 districts and will be rolled out in the remaining districts from 1.4.2014.

Health

•    Ministry of Health and Family Welfare has delivered new technologies to the people:  the JE vaccine, a diagnostic test for Thalassaemia, and a Magnivisualizer for detection of cervical cancer.

Infrastructure

•    In 2012-13 and in the nine months of the current financial year, India added 29,350 megawatts of power capacity, 3,928 kilometres of national highways, 39,144 kilometres of rural roads under PMGSY, 3,343 kilometres of new railway track, and 217.5 million tonnes of capacity per annum in our ports.

•    Besides, 19 oil and gas blocks were given out for exploration and 7 new airports are under construction.

•    A new plan scheme with an allocation of Rs. 100 crore has been approved to promote community radio stations.

Historic Legislations

•    12.8 lakh land titles covering 18.80 lakh hectare were distributed under the Scheduled Tribes and Other Traditional Forest Dwellers Act.

•    The Right to Fair Compensation and Transparency in Land Acquisition, Rehabilitation and Resettlement Act was notified on 1.1.2014, finally putting to rest an oppressive colonial law of 1894.

•    The National Food Security Act was passed assuring foodgrain to 67 percent of the population.

Credit to Minority Communities

•    Ten years ago, the minorities had 14,15,000 bank accounts in 121 districts of India where there is a concentration of minorities. At the end of March, 2013, they had 43,52,000 accounts and the volume of lending had soared from Rs. 4,000 crore to Rs. 66,500 crore.  Loans to minority communities in the whole country stood at Rs. 211,451 crore at the end of December 2013.

Skill development

•    The National Skill Certification and Monetary Reward Scheme was launched in August 2013 and has been widely hailed as a success. At last count, 24 Sector Skill Councils, 442 Training Partners and 17 Assessment Agencies had joined the programme. 204 job roles have been finalised. 168,043 youth had enrolled and 77,710 have completed their training. Last year Rs. 1,000 crore was set aside for the scheme. 

**page**

According to the [inside]Budget Speech 2013-14 delivered by P Chidambaram[/inside], http://indiabudget.nic.in/ub2013-14/bs/bs.pdf:

•    In 2012-13, the CSO has estimated growth at 5 percent while the RBI has estimated growth at 5.5 percent.

•    The estimate of Plan Expenditure is placed at Rs. 5,55,322 crore.  As a proportion of total expenditure (Rs. 16,65,297 crore), it will be 33.3 percent. Non Plan Expenditure is estimated at Rs. 11,09,975 crore.

Empowerment

•    Allocation of Rs. 41,561 crore to the scheduled caste sub plan and Rs. 24,598 crore to the tribal sub plan will be made.

•    Gender budget is Rs. 97,134 crore and child budget is Rs. 77,236 crore in 2013-14.

•    An additional sum of Rs. 200 crore has been made to Ministry of Women and Child Development to begin work for most vulnerable groups, including single women and widows.

•    Rs. 1000 crore has been allocated for Nirbhaya Fund for empowerment and safety of women.

•    Donations made to the National Children’s Fund will now be eligible for 100 percent deduction.

•    Rs. 3,511 crore has been allocated to the Ministry of Minority Affairs, which is an increase of 12 percent over the BE and 60 percent over the RE of 2012-13.

•    Rs. 110 crore has been allocated to the Department of Disability Affairs for the ADIP Scheme in 2013-14, as against the RE of Rs. 75 crore in the current year.

Health

•    Rs. 37,330 crore has been allocated to the Ministry of Health and Family Welfare.

•    New National Health Mission that combines the rural mission and the proposed urban mission will get Rs. 21,239 crore, an increase of 24.3 percent over the RE.

•    Rs. 4,727 crore will be provided for medical education, training and research. Rs. 1,069 crore will be given to the Department of AYUSH.

Education

•    Rs. 65,867 crore has been allocated to the Ministry of Human Resource Development, which is an increase of 17 percent over the RE of the previous year.

•    Rs. 27,258 crore will be provided for Sarva Shiksha Abhiyan (SSA) in 2013-14.

•    Rs. 5,284 crore will be given to the various Ministries for the purpose of scholarships to students belonging to Scheduled Castes, Scheduled Tribes, Other Backward Classes and Minorities, and girl children as compared Rs. 4,575 crore in the RE of the current year.

•    The Mid-Day Meal Scheme (MDM) will be provided Rs. 13,215 crore as compared to Rs. 11,937 crore in 2012-13.

ICDS

•    Rs. 17,700 crore has been allocated to ICDS in 2013-14 as compared to Rs. 15,850 crore in 2012-13.

Drinking Water

•    Rs. 15,260 crore will be given to the Ministry of Drinking Water and Sanitation, as against the RE of Rs. 13,000 crore in the current year.

Rural Development

•    MGNREGS will get Rs. 33,000 crore, PMGSY will get Rs. 21,700 crore, and IAY will get Rs. 15,184 crore.

•    Rs. 80,194 crore will be given in 2013-14 as compared to Rs. 55,000 crore.

Agriculture

•    In 2012-13, total foodgrain production will be over 250 million tonnes.

•    Rs. 27,049 crore will be allocated to the Ministry of Agriculture, an increase of 22 percent over the RE of the current year. Of this, agricultural research will be provided Rs. 3,415 crore.

•    The target of agricultural credit has been raised to Rs. 700,000 crore in 2013-14 from Rs. 575,000 crore in 2012-13.

•    Rs. 1000 crore has been allocated for Bringing the Green Revolution to eastern India.

•    Rs. 9,954 crore and Rs. 2,250 crore will be provided to Rashtriya Krishi Vikas Yojana and National Food Security Mission, respectively.

•    Allocation for the Integrated Watershed Programme has been increased from Rs. 3,050 crore in 2012-13 (BE) to Rs. 5,387 crore.

•    Rs. 200 crore has been allocated to start the pilot programme on Nutri-Farms for introducing new crop varieties that are rich in micro-nutrients such as iron-rich bajra, protein-rich maize and zinc-rich wheat.

•    Rs. 307 crore will be given for the National Livestock Mission in 2013-14.

•    Rs. 10,000 crore will be allocated, over and above the normal provision for food subsidy, towards the incremental cost that is likely under the National Food Security Act.

Housing

•    Rs. 6,000 crore will be given to the Rural Housing Fund in 2013-14.

Backward Regions Grant Fund

•    Rs. 11,500 crore will be allocated in 2013-14 as well as another sum of Rs. 1,000 crore will be given for LWE affected districts. BRGF will include a State component for Bihar, the Bundelkand region, West Bengal, the KBK districts of Odisha and the 82 districts under the Integrated Action Plan.

Panchayati Raj

•    Rs. 455 crore will be given to the Ministry of Panchayati Raj in 2013-14 apart from an additional allocation of Rs. 200 crore.

JNNURM

•    Rs. 14,873 crore will be given for JNNURM, as against the RE of Rs. 7,383 crore in the current year.

**page**

 

According to the [inside]Budget Speech 2012-13 delivered by Pranab Mukherjee[/inside], http://indiabudget.nic.in/bspeecha.asp

India’s Gross Domestic Product (GDP) is estimated to grow by 6.9 per cent in 2011-12, after having grown at the rate of 8.4 per cent in each of the two preceding years.

The growth is estimated to be 2.5 per cent in agriculture, 3.9 per cent in industry and 9.4 per cent in services during 2011-12.

Monthly food inflation declined from 20.2 per cent in February 2010, to 9.4 per cent in March 2011 and turned negative in January 2012. The February 2012 inflation figure has gone up marginally.

The Government has decided that from 2012-13 subsidies related to food and for administering the Food Security Act will be fully provided for. All other subsidies would be funded to the extent that they can be borne by the economy without any adverse implications. It will be the endeavour to restrict the expenditure on Central subsidies to under 2 per cent of GDP in 2012-13. Over the next three years, it would be further brought down to 1.75 per cent of GDP. 

The recommendations of the task force headed by Nandan Nilekani on IT strategy for direct transfer of subsidy have been accepted. Based on these recommendations, a mobile-based Fertiliser Management System (mFMS) has been designed to provide end-to-end information on the movement of fertilisers and subsidies, from the manufacturer to the retail level. This will be rolled out nation-wide during 2012. Direct transfer of subsidy to the retailer, and eventually to the farmer will be implemented in subsequent phases. This step will benefit 12 crore farmer families, while reducing expenditure on subsidies by curtailing misuse of fertilisers. Pilot projects show that substantial economies in subsidy outgo can be achieved by the use of Aadhaar platform. 

The enrolments into the Aadhaar system have crossed 20 crore and the Aadhaar numbers generated upto date have crossed 14 crore.  There is plan to allocate adequate funds to complete another 40 crore enrolments starting from April 1, 2012. The Aadhaar platform is now ready to support the payments of MG-NREGA; old age, widow and disability pensions; and scholarships directly to the beneficiary accounts in selected areas.

The total plan outlay for the Department of Agriculture and Cooperation is being increased by 18 per cent from Rs. 17,123 crore in 2011-12 to Rs. 20,208 crore in 2012-13. 

The outlay for Rashtriya Krishi Vikas Yojana (RKVY) is being increased from Rs. 7,860 crore in 2011-12 to Rs. 9,217 crore in 2012-13. 

The initiative of Bringing Green Revolution to Eastern India (BGREI) has resulted in a significant increase in production and productivity of paddy. States in eastern India have reported additional paddy production of seven million tonnes in Kharif 2011. There is a proposal to increase the allocation for this scheme from Rs. 400 crore in 2011-12 to Rs. 1000 crore in 2012-13.

Under RKVY, Rs. 300 crore has been allocated to Vidarbha Intensified Irrigation Development Programme. This Scheme seeks to bring in more farming areas under protective irrigation. 

To improve productivity in the dairy sector, a Rs. 2,242 crore project is being launched with World Bank assistance. To broaden the scope of production of fish to coastal aquaculture, apart from fresh water aquaculture, the outlay in 2012-13 is being stepped up to Rs. 500 crore. Suitable allocations are also being made for poultry, piggery and goat rearing. 

The target for agricultural credit in 2012-13 has been raised to Rs. 5,75,000 crore. This represents an increase of Rs. 1,00,000 crore over the target for the current year.

The interest subvention scheme for providing short term crop loans to farmers at 7 per cent interest per annum will be continued in 2012-13. An additional subvention of 3 per cent will be available to prompt paying farmers. In addition, the same interest subvention on post harvest loans up to six months against negotiable warehouse receipt will also be available. This will encourage the farmers to keep their produce in warehouses.

A Short term RRB Credit Refinance Fund is being set-up to enhance the capacity of Regional Rural Banks to disburse short term crop loans to the small and marginal farmers. Rs. 10,000 crore has been allocated to NABARD for refinancing the RRBs through this fund. 

Kisan Credit Card (KCC) is an effective instrument for making agricultural credit available to the farmers. KCC scheme will be modified to make KCC a smart card, which could be used at ATMs.   

A sum of Rs. 200 crore would be set aside for incentivising research with rewards, both for institutions and the research team responsible for scientific breakthroughs in agriculture.  

To maximise the flow of benefits from investments in irrigation projects, structural changes in Accelerated Irrigation Benefit Programme (AIBP) are being made. The allocation for AIBP in 2012-13 is being stepped up by 13 per cent to Rs. 14,242 crore. 

To mobilise large resources to fund irrigation projects, a Government owned Irrigation and Water Resource Finance Company is being operationalised. The Company would start its operations in 2012-13 by focusing on financing sub-sectors like micro-irrigation, contract farming, waste water management and sanitation. 

A new centrally sponsored scheme titled “National Mission on Food Processing” would be started, in cooperation with the State Governments in 2012-13.

The Government has taken steps to create additional foodgrain storage capacity in the country. Creation of 2 million tonnes of storage capacity in the form of modern silos has already been approved. Nearly 15 million tonnes capacity is being created under the Private Entrepreneur’s Guarantee Scheme, of which 3 million tonnes of storage capacity will be added by the end of 2011-12 and 5 million would be added next year.

To reduce India’s import dependence in urea, Government has taken steps to finalise pricing and investment policies for urea. It is expected that with the implementation of the investment policy, country will become self sufficient in manufacturing urea in the next five years. In case of the potassic-phosphatic (P&K) fertiliser, use of single super phosphate (SSP) will be encouraged through greater extension work. This fertiliser is manufactured entirely in the domestic sector. 

The Government has taken definite steps to create food security at the household level by making food a legal entitlement for all targeted people, especially for the poor and vulnerable segments of India's population. The National Food Security Bill, 2011 is before the Parliamentary Standing Committee.

To ensure that the objectives of the National Food Security Bill are effectively realised, a Public Distribution System Network is being created using the Aadhaar platform. A National Information Utility for the computerisation of PDS is being created. It will become operational by December 2012. 

Following the decision taken in the Prime Minister’s National Council on India’s Nutritional Challenges, a multi-sectoral programme to address maternal and child malnutrition in selected 200 high burden districts is being rolled out during 2012-13. It will harness synergies across nutrition, sanitation, drinking water, primary health care, women education, food security and consumer protection schemes.

For 2012-13, an allocation of Rs. 15,850 crore has been made as against Rs. 10,000 crore in 2011-12 for the Integrated Child Development Services (ICDS) scheme. This amounts to an increase of over 58 per cent

In 2012-13, National Programme of Mid Day Meals in Schools has been allocated Rs. 11,937 crore as against Rs. 10,380 crore in 2011-12.

Rajiv Gandhi Scheme for Empowerment of Adolescent Girls, SABLA, has been introduced in 2011-12 with a view to address the nutritional needs and other educational and skill development initiatives for self development of adolescent girls in the age group of 11 to 18 years. For 2012-13, an allocation of Rs. 750 crore has been proposed for the scheme. 

Budgetary allocation for rural drinking water and sanitation has been raised from Rs. 11,000 crore in 2011-12 to Rs. 14,000 crore in 2012-13, which is an increase of over 27 percent. 

A major initiative has been proposed to strengthen Panchayats across the country through the Rajiv Gandhi Panchayat Sashaktikaran Abhiyan (RGPSA). This programme will expand on the existing schemes for Panchayat capacity building. 

Backward Regions Grant Fund scheme is given an enhanced allocation of Rs. 12,040 crore in 2012-13, an increase of about 22 per cent over BE of 2011-12. This includes the State component which covers projects in backward areas in Bihar, West Bengal and the Kalahandi-Bolangir-Koraput region of Odisha, development projects for drought mitigation in the Bundelkhand region and projects under the Integrated Action Plan (IAP) to accelerate the pace of development in selected tribal and backward districts.

Allocation under Rural Infrastructure Development Fund (RIDF) is enhanced to Rs. 20,000 crore.  An amount of Rs. 5,000 crore is earmarked from the above allocation exclusively for creating warehousing facilities under RIDF.

For 2012-13, Rs. 25,555 crore has been provided for Right to Education-Sarva Shiksha Abhiyan. This is an increase of 21.7 per cent over 2011-12.

In the Twelfth Plan, 6,000 schools have been proposed to be set up at block level as model schools to benchmark excellence. Of these, 2500 will be set up under Public Private Partnership (PPP).

The Rashtriya Madhyamik Shiksha Abhiyan (RMSA) was launched in March, 2009 to enhance access to quality secondary education. In 2012-13, Rs. 3,124 crore has been allocated for RMSA, which is nearly 29 per cent higher than the allocation in 2011-12.

National Rural Health Mission (NRHM) is being implemented through ‘Accredited Social Health Activist’- ‘ASHA’.  The scope of ASHA’s activities is being enlarged to include prevention of Iodine Deficiency Disorders, ensure 100 per cent immunisation and better spacing of children.  At the community level, a more active role is envisaged for ASHA as the convenor of the Village Health and Sanitation Committee, as also to support the initiative on malnutrition. 

Allocation to NRHM has been increased from Rs. 18,115 crore in 2011-12 to Rs. 20,822 crore in 2012-13.

National Urban Health Mission is being launched to encompass the primary healthcare needs of people in the urban areas. The Pradhan Mantri Swasthya Suraksha Yojana (PMSSY) aimed at setting up of AIIMS-like institutions and upgradation of existing Government medical colleges is being expanded to cover upgradation of 7 more Government medical colleges. 

The Swarnjayanti Gram Swarozgar Yojana (SGSY) has been restructured into National Rural Livelihood Mission (NRLM) to provide self-employment opportunities.  A sub-component, Mahila Kisan Sashaktikaran Pariyojana, under NRLM seeks to provide better targeting of women farmers. For NRLM, allocation has been increased by over 34 per cent from Rs. 2,914 crore in 2011-12 to Rs. 3,915 crore in 2012-13. 

A ‘Women’s SHG’s Development Fund’ has been set up in NABARD. Rs. 200 crore will be provided to enlarge the corpus to Rs. 300 crore. This Fund will support the objectives of Aajeevika i.e. the National Rural Livelihood Mission.  It will empower women SHGs to access bank credit.

Interest subvention to Women SHGs is provided to avail loans up to Rs. 3 lakh at 7 per cent per annum. Women SHGs that repay loans in time will get additional 3 per cent subvention, reducing the effective rate to 4 per cent. The initiative, in the first phase, would focus on selected 600 Blocks of 150 districts, including the Left Wing Extremism affected districts.

A credit linked subsidy programme namely Prime Minister’s Employment Generation Programme (PMEGP) is being implemented through KVIC. The allocation for this programme has been increased by 23 per cent from Rs. 1,037 crore in 2011-12 to Rs. 1,276 crore in 2012-13.

Under the ongoing Indira Gandhi National Widow Pension Scheme and Indira Gandhi National Disability Pension Scheme for BPL beneficiaries, the monthly pension amount per person is being raised from Rs. 200 to Rs. 300.

Organised retail helps in reducing cost of intermediation due to economies of scale, benefiting both consumers and producers. At present, FDI in single brand and in cash and carry wholesale trade is permitted to the extent of 100 per cent. The decision in respect of allowing FDI in multi-brand retail trade up to 51 per cent, subject to compliance with specified conditions, has been held in abeyance. Efforts are on to arrive at a broad based consensus in consultation with the State Governments. 

For the year 2012-13, Rs. 15,888 crore is provided for capitalisation of Public Sector Banks, Regional Rural Banks and other financial institutions including NABARD. 

In 2010-11, “Swabhimaan” campaign was launched to extend banking facilities through Business Correspondents to habitations having population in excess of 2000.  Out of 73,000 identified habitations that were to be covered by March, 2012, about 70,000 habitations have been provided with banking facilities. With this, over 2.55 crore beneficiary accounts would have been operationalised.  The remaining habitations are likely to be covered by March 31, 2012.  As a next step, Ultra Small Branches are being set up at these habitations, where the Business Correspondents would deal with cash transactions. 

In 2012-13, the “Swabhimaan” campaign will be extended to habitations with population of more than 1000 in North Eastern and hilly States and to other habitations which have crossed population of 2,000 as per Census 2011.

82 RRBs in India, 81 have successfully migrated to Core Banking Solutions (CBS) and have also joined the National Electronic Fund Transfer system so as to meet rural credit needs.  

In 2012-13, the allocation for Scheduled Castes Sub Plan (SCSP) is Rs. 37,113 crore which represents an increase of 18 per cent over 2011-12. The allocation for Tribal Sub Plan (TSP) in 2012-13 is Rs. 21,710 crore representing an increase of 17.6 per cent over 2011-12.

With the objective of promoting market access of Micro and Small Enterprises, Government has approved a policy which requires Ministries and CPSEs to make a minimum of 20 per cent of their annual purchases from MSEs. Of this, 4 per cent will be earmarked for procurement from MSEs owned by SC/ST entrepreneurs.

**page**  

 

 


•    During 2009-10, Rs. 42490 crore was allocated for food and Rs. 2866 crore was allocated for kerosene/ LPG under the public distribution system (PDS). It covered 23.3 percent of all households (above poverty line-APL and below poverty line-BPL in 2004-05). Annapurna scheme covered 1.7 percent households with elderly.


 


•    During 2009-10, Rs. 30100 crore was allocated under Mahatma Gandhi National Rural Employment Guarantee (MGNREG) Scheme. It covered 33 percent of rural households in 2008-09.


 


•    For the Swarnajayanti Gram Swarozgar Yojana (SGSY), Rs. 2115 crore was allocated during 2001-10. It covered 0.8 percent of rural households in 2004-05. Sampoorna Grameen Rozgar Yojana covered 1 percent rural households in 2004-05.


 


•    During 2009-1o, Rs. 5109 crore was allocated under India Gandhi National Old Age Pension Scheme (IGNOAPS). It covered 8.3 percent households with elderly in 2004-05. Widows pension scheme covered 6.2 percent of households widows.


 


•    For the Indira Awas Yojana (IAY), Rs. 7920 crore was allocated during 2009-10. It covered 12.8 percent rural households in 2004-05.


 


•    For the Midday Meal Scheme (MDMS), Rs. 8000 crore was allocated during 2009-10.


 


•    For the Rashtriya Swasthya Bima Yojana (RSBY), Rs. 350 crore was allocated during 2009-10.


 


•    For Social Insurance for Unorganized Workers, Rs. 270 crore was allocated during 2009-10.


 


According to the [inside]Budget Speech 2011-12 delivered by Pranab Mukherjee[/inside], http://indiabudget.nic.in/bspeecha.asp:

 


• The total food inflation declined from 20.2 per cent in February 2010 to less than half at 9.3 per cent in January 2011. At the beginning of the 2011, food inflation was high for some cereals, sugar and pulses.

• The recent spurt in food prices was driven by increase in the prices of items like fruits and vegetables, milk, meat, poultry and fish, which account for more than 70 per cent of the WPI basket for primary food items.

• The Gross Domestic Product (GDP) of India is estimated to have grown at 8.6 per cent in 2010-11 in real terms. In 2010-11 agriculture is estimated to have grown at 5.4 per cent, industry at 8.1 per cent and services at 9.6 per cent.

• Indian economy is expected to grow at 9 per cent with an outside band of +/- 0.25 per cent in 2011-12.

• During the year 2010-11, the Nutrient Based Subsidy (NBS) policy was successfully implemented for all fertilisers except urea.  The policy has been well received by all stakeholders, and the availability of fertilisers has improved. The extension of the NBS regime to cover urea is under active consideration of the Government.

• The Government provides subsidies, notably on fuel and food grains, to enable the common man to have access to these basic necessities at affordable prices. A significant proportion of subsidised fuel does not reach the targeted beneficiaries and there is large scale diversion of subsidised kerosene oil. To ensure greater efficiency, cost effectiveness and better delivery for both kerosene and fertilisers, the Government will move towards direct transfer of cash subsidy to people living below poverty line in a phased manner.

• A task force headed by Shri Nandan Nilekani has been set-up to work out the modalities for the proposed system of direct transfer of subsidy for kerosene, LPG and fertilisers. The interim report of the task force is expected by June 2011. The system will be in place by March 2012.

• As a part of financial strengthening of Regional Rural Banks, an amount of Rs. 350 crore was given to these banks during this year. Rs. 500 crore will be provided to them during 2011-12 to enable them maintain a Tier I Capital to Risk Weighted Asset Ratio (CRAR) of at least 9 per cent as on March 31, 2012.

• There is a proposal to create in the course of the year, "India Microfinance Equity Fund" of `100 crore with SIDBI.

• To empower women and promote their Self Help Groups (SHGs), there is a proposal to create a “Women’s SHG’s Development Fund” with a corpus of `500 crore. The Committee set up by RBI to look into issues relating to micro finance sector in India has submitted its report. The Government is considering putting in place appropriate framework to protect the interests of small borrowers.

• The Rural Infrastructure Development Fund (RIDF) is an important instrument for routing bank funds for financing rural infrastructure. This is popular among State Governments. There is a proposal to raise the corpus of RIDF XVII to Rs. 18,000 crore in 2011-12 from Rs. 16,000 crore in the current year. The additional allocation would be dedicated to creation of warehousing facilities.

• Handloom weavers have been facing economic stress. Consequently, many of them have not been able to repay debts to handloom weaver cooperative societies which have become financially unviable. There is a proposal to provide Rs. 3,000 crore to NABARD, in phases for these cooperative societies. The initiative would benefit 15,000 cooperative societies and about 3 lakh handloom weavers. The details of the scheme would be worked out by the Ministry of Textiles in consultation with Planning Commission.

• Outstanding loans to minority communities which stood at 13 per cent of total priority sector lending at the end of last year have increased to 13.6 per cent in the current year. It has been directed to the Public Sector Banks to achieve the target of 15 per cent at the earliest.

• The total allocation of Rashtriya Krishi Vikas Yojana (RKVY) has been increased from Rs. 6,755 crore in 2010-11 to Rs. 7,860 crore in 2011-12.

• In order to make Green Revolution reach the Eastern Region, allocation of Rs. 400 crore has been made. The program would target the improvement in the rice based cropping system of Assam, West Bengal, Orissa, Bihar, Jharkhand, Eastern Uttar Pradesh and Chhattisgarh.

• Government's initiative on pulses has received a positive response from the farmers. As per the second advance estimates, a record production of 165 lakh tonnes of pulses is expected in 2011-12 as against 147 lakh tonnes in 2010-11. There is a proposal to provide an amount of Rs. 300 crore to promote 60,000 pulses villages in rainfed areas for increasing crop productivity and strengthening market linkages.

• The domestic production of edible oil meets only about 50 per cent demand. The gap in supply is met through imports, which are often at high prices due to the quantum of India's requirement. Recent interventions by the Government and good rains are expected to result in a higher oilseeds production of 278 lakh tonnes in 2010-11 as against 249 lakh tonnes in 2009-10. To achieve a major breakthrough, There is a proposal of an amount of Rs. 300 crore to bring 60,000 hectares under oil palm plantation, by integrating the farmers with the markets. The initiative will yield about 3 lakh metric tonnes of palm oil annually in 5 years.

• The growing demand for vegetables has to be met by a robust increase in the productivity and market linkage. An efficient supply chain, to provide quality vegetables at competitive prices will have to be established. There is a proposal to provide an amount of Rs. 300 crore for implementation of vegetable initiative to set in motion a virtuous cycle of higher production and incomes for the farmers. To begin with, this programme will be launched near major urban centres.

• Bajra, jowar, ragi and other millets are highly nutritious and are known to possess several medicinal properties. The availability and consumption of these Nutri-cereals is, however, low and has been steadily declining over recent years.  A provision of Rs. 300 crore is being made to promote higher production of these cereals, upgrade their processing technologies and create awareness regarding their health benefits. This initiative would provide market linked production support to ten lakh millet farmers in the arid and semi-arid regions of the country. The programme would be taken up in 1000 compact blocks covering about 25,000 villages. This will help improve nutritional security and increase feed and fodder supply for livestock.

• The consumption of foods rich in animal protein and other nutrients has risen of late, with demand growing faster than production. The National Mission for Protein Supplements is being launched in 2011-12 with an allocation of Rs. 300 crore. It will take up activities to promote animal based protein production through livestock development, dairy farming, piggery, goat rearing and fisheries in selected blocks.

• There is a proposal to provide Rs. 300 crore for Accelerated Fodder Development Programme which will benefit farmers in 25,000 villages.

• There has been deterioration in soil health due to removal of crop residues and indiscriminate use of chemical fertilizers, aided by distorted prices. To address these issues, the Government proposes to promote organic farming methods, combining modern technology with traditional farming practices like green manuring, biological pest control and weed management.

• For the year 2011-12, there has been a raise in the target of credit flow to the farmers from Rs. 3,75,000 crore this year to Rs. 4,75,000 crore in 2011-12. Banks have been asked to step up direct lending for agriculture and credit to small and marginal farmers.

• The existing interest subvention scheme of providing short term crop loans to farmers at 7 per cent interest will be continued during 2011-12. There is a proposal  to enhance the additional subvention to 3 per cent in 2011-12.  Thus, the effective rate of interest for such farmers will be 4 per cent per annum.

• In view of the enhanced target for flow of agriculture credit, there is a proposal to strengthen NABARD's capital base by infusing Rs. 3000 crore, in a phased manner, as Government equity. This would raise its paid-up capital to Rs. 5,000 crore.

• An estimated 40 per cent of the fruit and vegetable production in India goes waste due to lack of storage, cold chain and transport infrastructure. To address these issues, the Eleventh Plan target for number of Mega Food Parks was set at 30. So far, 15 such parks have been sanctioned. During 2011-12, approval is being given to set up 15 more Mega Food Parks.

• The years 2008 to 2010 saw very high levels of foodgrain procurement. On January 1, 2011, the foodgrain stock in Central pool reached 470 lakh metric tonnes, 2.7 times higher than 174 lakh metric tonnes on January 1, 2007. The storage capacity for such large quantities requires augmentation. Process to create new storage capacity of 150 lakh metric tonnes through private entrepreneurs and warehousing corporations has been fast tracked. Decision to create 20 lakh metric tonnes of storage capacity under Public Entrepreneurs Guarantee (PEG) Scheme through modern silos has been taken. While India will be able to add about 2.6 lakh tonnes of capacity by March 2011, based on existing sanctions, the addition will reach 40 lakh tonnes by March 2012. During 2010-11, another 24 lakh metric tonnes of storage capacity has been created under the Rural Godown Scheme.

• Investment in cold storage projects is now gaining momentum.  During this year, 24 cold storage projects with a capacity of 1.4 lakh metric tonnes have been sanctioned under National Horticulture Mission. In addition, 107 cold storage projects with a capacity of over 5 lakh metric tonnes have been approved by the National Horticulture Board.

• To attract investment in this sector, henceforth, capital investment in the creation of modern storage capacity will be eligible for viability gap funding scheme of the Finance Ministry. It is also proposed to recognize cold chains and post-harvest storage as an infrastructure sub-sector.

• The recent episode of inflation in vegetables and fruits has exposed serious flaws in our supply chains. The government regulated mandis sometimes prevent retailers from integrating their enterprises with the farmers. There is need for the State Governments to review and enforce a reformed Agriculture Produce Marketing Act urgently.

• Infrastructure is critical for India's development. For 2011-12, an allocation of over Rs. 2,14,000 crore is being made for this sector, which is 23.3 per cent higher than current year. This amounts to 48.5 per cent of the Gross Budgetary Support to plan expenditure.

• To provide a real wage of Rs. 100 per day, the Government has decided to index the wage rates notified under the MGNREGA to the Consumer Price Index for Agricultural Labour. The enhanced wage rates have been notified by the Ministry of Rural Development on January 14, 2011. It has resulted in significant enhancement of wages for the beneficiaries across the country.

• The Anganwadi workers and Anganwadi helpers are the backbone of Integrated Child Development Services Scheme.  It has been announced to increase the remuneration of Anganwadi workers from Rs. 1,500 per month to Rs. 3,000 per month and for Anganwadi helpers from Rs. 750 per month to Rs. 1,500 per month.  This will be effective from April 1, 2011. Around 22 lakh Anganwadi workers and helpers will benefit from the increase.

• In the Budget for 2011-12, specific allocations are being earmarked towards Scheduled Castes Sub-plan and Tribal Sub-plan. These will be shown in the Budget of the relevant Ministries and Departments under separate minor heads of account. There is a proposal to increase the Budget allocation for primitive tribal groups from Rs. 185 crore in 2010-11 to Rs. 244 crore in 2011-12.

• There is a proposal of an allocation of Rs. 52,057 crore for education, which is an increase of 24 per cent over the current year.

• The existing operational norms of Sarva Shiksha Abhiyan have been revised to implement the right of children to free and compulsory education which has come into force with effect from April 1, 2010. For the year 2011-12, there is a proposal to allocate Rs. 21,000 crore which is 40 per cent higher than Rs. 15,000 crore allocated in the Budget for 2010-11. A revised Centrally Sponsored Scheme “Vocationalisation of Secondary Education” will be implemented from 2011-12 to improve the employability of youth.

• In 2011-12, there is a proposal to introduce a scholarship scheme for needy students belonging to the Scheduled Castes and Scheduled Tribes studying in classes ninth and tenth. It would benefit about 40 lakh Scheduled Caste and Scheduled Tribe students.

• For health, there is a proposal to step up the plan allocations in 2011-12 by 20 per cent to Rs. 26,760 crore. The Rashtriya Swasthya Bima Yojana has emerged as an effective instrument for providing a basic health cover to poor and marginal workers. It is now being extended to MGNREGA beneficiaries, beedi workers and others. In 2011-12, there is proposal to further extend this scheme to cover unorganized sector workers in hazardous mining and associated industries like slate and slate pencil, dolomite, mica and asbestos etc.

• In Budget 2010-11 a co-contributory pension scheme “Swavalamban” was announced. This scheme has been welcomed by the workers in unorganised sector. Over 4 lakh applications have already been received. On the basis of the feedback received, exit norms have been relaxed whereby a subscriber under Swavalamban will be allowed exit at the age of 50 years instead of 60 years, or a minimum tenure of 20 years, whichever is later. There is proposal to extend the benefit of Government contribution from three to five years for all subscribers of Swavalamban who enroll during 2010-11 and 2011-12. An estimated 20 lakh beneficiaries will join the scheme by March 2012.

• Under the on-going Indira Gandhi National Old Age Pension Scheme for BPL beneficiaries, the eligibility for pension is proposed to be reduced from 65 years at present to 60 years. Further, for those who are 80 years and above, the pension amount is being raised from Rs. 200 at present to Rs. 500 per month.

• There is proposal to allocate Rs. 200 crore from the National Clean Energy Fund as Centre's contribution in 2011-12 for launching environmental remediation programmes.

• The UID Mission has taken off and Aadhaar numbers are being generated in large numbers. So far 20 lakh Aadhaar numbers have been given and from 1st October 2011, ten lakh numbers will be generated per day. The stage is now set for realising the potential of Aadhaar for improving service delivery, accountability and transparency in governance of various schemes.

• To provide green and clean transportation for the masses, National Mission for Hybrid and Electric Vehicles will be launched in collaboration with all stakeholders.

 

**page**

 

 

 

[inside]Highlights of the Finance Minister Pranab Mukherji's budget speech (2010-2011)[/inside] delivered on 26 February, 2010, http://indiabudget.nic.in/ub2010-11/bs/speecha.htm

• During 2009, growth had started decelerating and the business sentiment was weak. The economy's capacity to sustain high growth was under serious threat from the widespread economic slowdown in the developed world. 

• There was uncertainty on account of the delayed and sub-normal south-west monsoon, which had undermined the kharif crop in the country. There were concerns about production and prices of food items and its possible repercussions on the growth of rural demand.

• The economy stabilised in the first quarter of 2009-10 itself, when it clocked a GDP growth of 6.1 per cent, as against 5.8 per cent in the fourth quarter of the preceding year. It registered a strong rebound in the second quarter, when the growth rate rose to 7.9 per cent. The Advance Estimates places the likely growth for 2009-10 at 7.2 per cent.

• The growth rate in manufacturing in December 2009 was 18.5 per cent— the highest in the past two decades. There are also signs of a turnaround in the merchandise exports with a positive growth in November and December 2009 after a decline of about twelve successive months.

• A major concern during the second half of 2009-10 has been the emergence of double digit food inflation. There was a momentum in food prices since the flare-up of global commodity prices preceding the financial crisis in 2008, but it was expected that the agriculture season beginning June 2009 would help in moderating the food inflation. However, the erratic monsoons and drought like conditions in large parts of the country reinforced the supply side bottlenecks in some of the essential commodities. This set in motion inflationary expectations. Since December 2009, there have been indications of these high food prices, together with the gradual hardening of the fuel product prices, getting transmitted to other non-food items as well. The inflation data for January seems to have confirmed this trend.

• A Nutrient Based Subsidy policy for the fertiliser sector has been approved by the Government recently and will become effective from April 1, 2010. This policy is expected to promote balanced fertilization through new fortified products and focus on extension services by the fertiliser industry. Over time, the policy is expected to reduce volatility in the demand for fertiliser subsidy in addition to containing the subsidy bill. Government will ensure that nutrient based fertiliser prices for transition year 2010-11, will remain around MRPs currently prevailing. The new system will move towards direct transfer of subsidies to the farmers.

• Provide further capital to strengthen the RRBs (regional rural banks) so that they have adequate capital base to support increased lending to the rural economy.

• The Government intends to follow a four-pronged strategy covering (a) agricultural production; (b) reduction in wastage of produce; (c) credit support to farmers; and (d) a thrust to the food processing sector.

--The first element of the strategy is to extend the green revolution to the eastern region of the country comprising Bihar, Chattisgarh, Jharkhand, Eastern UP, West Bengal and Orissa, with the active involvement of Gram Sabhas and the farming families. For the year 2010-11, Rs.400 crore will be provided for this initiative. Proposal to organise 60,000 "pulses and oil seed villages" in rain-fed areas during 2010-11 and provide an integrated intervention for water harvesting, watershed management and soil health, so as to enhance the productivity of the dry land farming areas.  Rs.300 crore will be provided for this purpose. This initiative will be an integral part of the Rashtriya Krishi Vikas Yojana. More focues on conservation farming, which involves concurrent attention to soil health, water conservation and preservation of biodiversity. An allocation of Rs.200 crore will be made for launching this climate resilient agriculture initiative.

--The second element of the strategy relates to reduction of significant wastages in storage as well as in the operations of the existing food supply chains in the country. The deficit in the storage capacity is met through an ongoing scheme for private sector participation where the FCI has been hiring godowns from private parties for a guaranteed period of 5 years. This period is now being extended to 7 years.

--The third element of the strategy relates to improving the availability of credit to farmers. For the year 2010-11, the target has been raised to Rs.3,75,000 crore from Rs.3,25,000 crore in the current year. Under the Debt Waiver and Debt Relief Scheme for Farmers, there is proposal to extend by six months the period for repayment of the loan amount by farmers from December 31, 2009 to June 30, 2010. The effective rate of interest on short-term loans for farmers who repay on timely basis will now be five per cent per annum.

--The fourth element of the strategy aims at lending a further impetus to the development of food processing sector by providing state-of-the art infrastructure. In addition to the ten mega food park projects already being set up, the Government has decided to set up five more such parks. As a part of the farm to market initiative, External Commercial Borrowings will henceforth be available for cold storage or cold room facility, including for farm level pre-cooling, for preservation or storage of agricultural and allied produce, marine products and meat.

• The Jawaharlal Nehru National Solar Mission envisages establishing India as a global leader in solar energy. An ambitious target of 20,000 MW of solar power by the year 2022 has been set under the mission. There will be an increase in the plan outlay for the Ministry of New and Renewable Energy by 61 per cent from Rs.620 crore in 2009-10 to Rs.1,000 crore in 2010-11.

• In order to set up solar, small hydro and micro power projects in Ladakh region of Jammu and Kashmir, an allocation of Rs.500 crore will be made.

• A one-time grant of Rs. 200 crore to the Government of Tamil Nadu towards the cost of installation of a zero liquid discharge system at Tirupur to sustain hosiery industry .

• The draft Food Security Bill will be placed in the public domain very soon. To fulfil these commitments, the spending on social sector has been gradually increased to Rs.1,37,674 crore which now stands at 37 per cent of the total plan outlay in 2010-11. Another 25 per cent of the plan allocations are devoted to the development of rural infrastructure.

• About 98 per cent of habitations are now covered by primary schools. There will be an increase in the plan allocation for school education from Rs.26,800 crore in 2009-10  to Rs. 31,036 crore in 2010-11. In addition, States will have access to Rs.3,675 crore for elementary education under the Thirteenth Finance Commission grants for 2010-11.

• An Annual Health Survey to prepare the District Health Profile of all Districts shall be conducted in 2010-11. There will be an increase in the plan allocation for the Ministry of Health and Family Welfare, from Rs. 19,534 crore to Rs. 22,300 crore for 2010-11.

• An augmentation of Rs.100 crore for each of the Financial Inclusion Fund and a Financial Inclusion Technology Fund, which shall be contributed by Government of India, RBI and NABARD.

• For the year 2010-11, Rs.66,100 crore will be made available for rural development. Mahatma Gandhi National Rural Employment Guarantee Scheme has completed four years of implementation during which it has been extended to all districts covering more than 4.5 crore households. The allocation for NREGA has been stepped up to Rs.40,100 crore in 2010-11. Bharat Nirman has made a substantial contribution to the upgradation of rural infrastructure through its various programmes. For the year 2010-11, there will be an allocation of Rs. 48,000 crore for these programmes.

• The Rashtriya Swasthya Bima Yojana will extend its benefits to all such Mahatma Gandhi NREGA beneficiaries who have worked for more than 15 days during the preceding financial year.

• The unit cost of construction under this Indira Awas YOjana is raised to Rs.45,000 in the plain areas and to Rs.48,500 in the hilly areas. For the year 2010-11, the allocation for this scheme is being increased to Rs.10,000 crore.

• There will be an enhancement in the allocation to Backward Region Grant Fund by 26 per cent from Rs. 5,800 crore in 2009-10 to Rs. 7,300 crore in 2010-11.

• Allocation of Rs. 1,270 crore for 2010-11 as compared to Rs. 150 crore last year for Rajiv Awas Yojana for slum dwellers. This marks an increase of over 700 per cent.

• Micro, Small and Medium Enterprises (MSMEs) contribute 8 per cent of the country's GDP, 45 per cent of the manufactured output and 40 per cent of our exports. They provide employment to about 6 crore persons through 2.6 crore enterprises. A High Level Council on Micro and Small Enterprises will monitor the implementation of the recommendations and the agenda for action. Allocation for this sector will be raised from Rs. 1,794 crore to Rs. 2,400 crore for the year 2010-11.

• The fund corpus for 'Micro-Finance Development and Equity Fund' is being doubled to Rs. 400 crore in 2010-11.

• As a follow up to the Unorganised Sector Workers Social Security Act, 2008, it has been decided to set up a National Social Security Fund for unorganised sector workers with an initial allocation of Rs. 1,000 crore. This fund will support schemes for weavers, toddy tappers, rickshaw pullers, bidi workers etc. To encourage the people from the unorganised sector to voluntarily save for their retirement and to lower the cost of operations of the New Pension Scheme (NPS) for such subscribers, Government will contribute Rs. 1,000 per year to each NPS account opened in the year 2010-11. This initiative, "Swavalamban" will be available for persons who join NPS, with a minimum contribution of Rs. 1,000 and a maximum contribution of Rs. 12,000 per annum during the financial year 2010-11. The scheme will be available for another three years. An allocation of Rs. 100 crore for the year 2010-11 has been made. It will benefit about 10 lakh NPS subscribers of the unorganised sector. 

• The plan outlay for Women and Child Development will be raised by almost 50 per cent. A Mahila Kisan Sashaktikaran Pariyojana to meet the specific needs of women farmers is being launched. Rs. 100 crore will be provided for this initiative as a sub-component of the National Rural Livelihood Mission.

• Allocation of Rs. 1,900 crore to the Unique Identification Authority of India (UIDAI) for 2010-11.

 

According to the [inside]Interim Budget 2009-10[/inside] of the Ministry of Finance
http://indiabudget.nic.in/ub2009-10(I)/bh/bh1.pdf

 

• With record procurement of 22.7 million tonnes of wheat and 28.5 million tonnes of rice for India's Public Distribution System in 2008, the granaries are full.

• Annual growth rate of agriculture rose to 3.7 per cent during 2003-04 to 2007-08. The foodgrain production recorded an increase of 10 million tonnes each year during this period and touched an all time high of 230 million tonnes in 2007-08.

• Despite a high base, the outlook for 2008-09 is encouraging with the country receiving normal rainfall during the agricultural season.

• In the period between 2003-04 and 2008-09, our Government increased the plan allocation for agriculture by 300 per cent.

• The Rashtriya Krishi Vikas Yojana was launched in 2007-08 with an outlay of Rs.25 thousand crore, to increase growth rate of agriculture and allied sector to four per cent per annum during the Eleventh Plan period. The scheme has encouraged State Governments to take initiatives to develop the agricultural sector.

• On June 18, 2004, the Government formed by United Progressive Alliance (UPA) had announced a package for doubling the flow of credit to agriculture. The credit disbursements have already gone up from Rs.87 thousand crore in 2003-04 to about Rs.2.5 lakh crore in 2007-08 marking a three fold increase.

• To strengthen the short-term co-operative credit structure, the Government is implementing a revival package in 25 States involving a financial assistance of around Rs.13 thousand five hundred crore. The Government is expected to continue to provide interest subvention in 2009-10 to ensure that farmers get short-term crop loans upto Rs.3 lakhs at 7 per cent per annum.

• The Agricultural Debt Waiver and Debt Relief Scheme for farmers, announced in the last budget speech, was implemented by June 30, 2008 as scheduled.  The Scheme has been able to restore institutional credit to indebted farmers. As per early reports, the total debt waiver and debt relief so far, amounts to Rs.65,300 crore covering 3.6 crore farmers.

• The UPA-I (2004-09) Government was committed to ensuring “food security” in the country and meeting the food requirement of the poor under the Targeted Public Distribution System (TPDS).  In spite of higher procurement costs and higher international prices during the last five years, the central issue prices under the TPDS have been maintained at the level of July 2000 in case of Below Poverty Line (BPL) and Antyodaya Anna Yojana (AAY) categories and at July 2002 levels for Above Poverty Line (APL) category.

• The UPA-I (2004-09) government has ensured remunerative prices for the farmers for their crops.  Since 2003-04, Minimum Support Price (MSP) for the common variety of paddy was increased from Rs.550 to Rs.900 per quintal for the crop year 2008-09. In case of wheat the increase was from Rs.630 in 2003-04 to Rs.1,080 per quintal for the year 2009.

• The National Rural Employment Guarantee Scheme (NREGS) was launched in February 2006 and has now been extended to all the districts of the country.  During the year 2008-09, employment of 138.76 crore person days, covering 3.51 crore households, has already been generated.  The implementation of this programme has resulted in increased wage employment, enhanced wage earnings, improved equity with significant benefits flowing to SC/ST and women.  This has also led to increased demand for and consumption of wage goods.  There has been an allocation of Rs.30,100 crore for NREGS for the year 2009-10.

• The National Rural Health Mission (NRHM) aims to bring about uniformity in quality of preventive and curative healthcare in rural areas across the country. There has been an allocation of Rs.12,070 crore for this programme during the year 2009-10.

• The gross capital formation in agriculture as a proportion of agriculture GDP has increased from 11.1 per cent in 2003-04 to 14.2 per cent in 2007-08

• ‘Priyadarsini Project’ a rural women’s employment and livelihood programme will be implemented as pilot in the district of Madhubani and Sitamarhi in Bihar and Shravasti, Bahraich, Rai Bareli and Sultanpur in Uttar Pradesh.

• Rs.8,000 crore allocated for Mid-day Meals Scheme for the year 2009-10.

• Allocation of Rs.6,705 crore proposed for Integrated Child Development Scheme (ICDS) for the year 2009-10. New WHO child growth standards adopted for monitoring growth of children under ICDS.

• Major subsidies including food, fertilizer and petroleum estimated at Rs.95,579 crore.

Rural Development Schemes running in India

 

National Rural Employment Guarantee Act (NREGA): The NREGA, which was notified on 7th September, 2005, aims at better livelihood security of households in rural areas of the country by providing at least one hundred days of guaranteed wage employment, in a financial year, to every household whose adult members volunteer to do unskilled manual work. The choice of works suggested in the Act addresses causes of chronic poverty like drought, deforestation and soil erosion, so that the process of employment generation is maintained on a sustainable basis. The Act covered 200 districts in its first phase, implemented on February 2, 2006, and was extended to 330 additional districts in 2007-2008. All the remaining rural areas have been notified with effect from April 1, 2008. The Ministry of Rural Development and National Informatic Centre (NIC) commenced the preparation of appropriate e-governance solution to strengthen NREG scheme way back in October, 2005 and when the scheme was launched in February, 2006, the NREGASoft was also launched across the country.  The software is available to all stakeholders online through http://www.NREGA.nic.in and also could be downloaded for off-line working. The package is Unicode enabled and supports local languages. The training to use the software has been organized in States.

Funding

The Central Government bears the costs on the following items:
• The entire cost of wages of unskilled manual workers
• Seventy five percent of the cost of material and wages of skilled and semi-skilled workers
• Administrative expenses as may be determined by the central government, which will include inter alia, the salary and the allowances of the Programme Officer and his supporting staff and work-site facilities
• Expenses of the National Employment Guarantee Council

The state governments bear the costs on the following items:
• Twenty five percent of the cost of material and wages of skilled and semi-skilled workers
• Unemployment Allowance payable in case the state government cannot provide wage employment on time
• Administrative expenses of the State Employment Guarantee Council

Permissible works under NREGA

• Water conservation
• Drought proofing (including plantation and afforestation)
• Irrigation canals
• Minor irrigation, horticulture and land development on the land of SC/ST/ -BPL/IAY and land reform beneficiaries
• Renovation of traditional water bodies
• Flood Protection
• Land Development
• Rural connectivity
• Any other work that may be notified by the Central Government in consultation with the State Government

Source: Annual Report 2007-08, Ministry of Rural Development, Government of India,  http://rural.nic.in/annualrep0708/anualreport0708_eng.pdf


Sampoorna Grameen Rozgar Yojana (SGRY): This programme was launched on 25th September 2001, with the enshrined objectives of providing additional wage employment ensuring food security while creating durable community, social & economic infrastructure and assets in the rural areas. The programme was evolved by merging two of the then existing schemes of Jawahar Gram Samridhi Yojana and Employment Assurance Scheme (EAS). The programme is self-targeting in nature with special emphasis to provide wage employment to women, scheduled castes, scheduled tribes and parents of children withdrawn from hazardous occupations. However, SGRY along with National Food for Work Programme (NFFWP) have been subsumed in the NREGA districts. The SGRY is Centrally Sponsored Scheme (CSS) on cost sharing basis between the Centre and the States in the ratio of 75:25. In case of Union Territories (UTs), the Centre provides entire funds. Foodgrains are provided, through Food Corporation of India (FCI), free of cost to States and UTs. No contractors are permitted to be engaged for execution of any of the works and no middle men/ intermediate agencies employed for executing works under the Scheme. Use of machinery, which may displace manual labour, is also not permissible with a view to create maximum possible additional employment opportunities. During 2007-08, SGRY is being implemented in 264 districts.

Work prohibited under SGRY

• Buildings for religious purposes and the like
• Monuments, Memorials, Statues, Idols, Arch Gates/ Welcome Gates and the like
• Bridges
• Buildings for higher secondary schools/ senior secondary schools
• Buildings for colleges
• Black topping of roads

Source: Annual Report 2007-08, Ministry of Rural Development, Government of India,  http://rural.nic.in/annualrep0708/anualreport0708_eng.pdf


Swarnjayanti Gram Swarozgar Yojana (SGSY): The promotion of self-employment amongst the rural poor for their socio economic uplift has been long an integral part of the strategy for poverty eradication. SGSY is the largest self-employment programme for the rural poor. The assisted families (Swarozgaris) may be individuals or groups (Self-Help Groups). However, the emphasis is on the group approach. The objective of the SGSY is to bring the assisted poor families above the poverty line by providing them income-generating assets through a mix of bank credits and government subsidy. It is a holistic programme covering all aspects of self-employment such as organization of poor into Self-Help Groups and taking care of training, credit, technology infrastructure and marketing. SGSY is being implemented by the District Rural Development Agencies (DRDAs) with the active participation of Panchayat Raj Institutions, the banks, the line Departments, and Non-Governmental Organisations. In order to provide incentives to rural artisans, SARAS fairs are also organized in various parts of the country to promote sale of products produced by Self- Help Groups. The SGSY programme was started from 01.04.1999 after restructuring the erstwhile Integrated Rural Development Programme (IRDP) and its allied programmes: Training of Rural Youth for Self Employment (TRYSEM), Development of Women and Children in Rural Areas (DWCRA), Supply of Toolkits in Rural Areas (SITRA) and Ganga Kalyan Yojana (GKY), besides Million Wells Scheme (MWS). The SGSY is financed on 75:25 cost sharing basis between the Centre and the States. SGSY stresses on cluster approach for taking up economic activities. The key activities are to be taken up in clusters. The cluster may not merely be geographic agglomerations but limits where backward and forward linkages can effectively be established. Separate clusters are to be taken up for each activity. More and more Swarozgaris can be added to the cluster each year. The cluster approach in the programmes is adopted to facilitate infrastructure and marketing support to the activity. Families below the Poverty Line (BPL) in rural areas constitute the target group of the SGSY. Within the target group, special safeguards have been provided to vulnerable sections, by way of reserving 50% benefits for SCs/STs, 40% for women and 3% for disabled persons.

Source: Annual Report 2007-08, Ministry of Rural Development, Government of India,  http://rural.nic.in/annualrep0708/anualreport0708_eng.pdf


Pradhan Mantri Gram Sadak Yojana (PMGSY): This scheme was launched in December, 2000 as a 100% centrally sponsored scheme to provide connectivity to unconnected habitations. The scheme is one of the components of Bharat Nirman with the target of providing road connectivity to all habitations with a population of thousand (500 in case of hilly or tribal areas) with all weather roads by 2009. It is expected under the scheme that an expanded and renovated rural road network will lead to increase in rural employment opportunities, better access to regulated and fair market, better access to health, education and other public services, and thus bridge the rural-urban divide and pave the path of economic growth.

Source: Annual Report 2007-08, Ministry of Rural Development, Government of India,  http://rural.nic.in/annualrep0708/anualreport0708_eng.pdf


Indira Awas Yojana (IAY): Housing is one of the basic needs of mankind. The Ministry of Rural Development is implementing the Indira Awaas Yojana since 1985-86 to help build or upgrade homes to households below the poverty line. Rural housing is one of the components of Bharat Nirman package. In a major initiative to impart transparency to the selection process of beneficiaries, a 'permanent waitlist' is being prepared under IAY. The funding of IAY is shared between the Centre and States in the ratio of 75:25. In the case of Union Territories, the entire fund of IAY are provided by the Centre. Under IAY, a BPL family is given grant of Rs. 25,000/- for new construction in plain areas and Rs.27,500/- for construction in hilly/difficult areas. Besides, IAY funds (upto a maximum of 20% of the allocation) can be made available for upgradation or/ and credit-cum-subsidy scheme at the rate of Rs. 12,500/- for each dwelling unit. Since inception of the scheme 171 lakh houses have been constructed with an expenditure of Rs. 1,89,898.56 crore (upto 12/2/08).

Source: Annual Report 2007-08, Ministry of Rural Development, Government of India, http://rural.nic.in/annualrep0708/anualreport0708_eng.pdf


National Social Assistance Programme (NSAP): The Constitution of India directs the States to provide public assistance to its citizens in case of unemployment, old age, sickness and disability and in cases of other undeserved want within the limit of the economic capacity of the State.  The National Social Assistance Programme (NSAP) was launched for fulfillment of this obligation in 1995-96. The NSAP then comprised of National Old Age Pension Scheme (NOAPS), National Family Benefit Scheme (NFBS) and National Maternity Benefit Scheme (NMBS). Under NOAPS, till 31st March 2006 Rs. 75 per month was being provided per beneficiary over the age of 65 in case of destitution. The amount of pension was increased to Rs.200 per month from 1st April 2006 and States were requested to top up with another Rs.200 from their own resources. Hon'ble Prime Minister in his address on 15th August 2007 made a commitment to provide old age pension to all citizens above the age of 65 years and living below the poverty line.  Accordingly, a new scheme named Indira Gandhi National Old Age Pension Scheme (IGNOAPS) was launched on 19.11.2007 by the Hon'ble Prime Minister. Under the scheme, the States have been asked to certify that all eligible persons have been covered.  The coverage under IGNOAPS is therefore estimated to increase to 157.19 lakh from 87.56 lakhs covered under NOAPS in 2006-07.

Source: Annual Report 2007-08, Ministry of Rural Development, Government of India, http://rural.nic.in/annualrep0708/anualreport0708_eng.pdf


Resettlement & Rehabilitation Policy: The National Common Minimum Programme claims that "more effective system of relief and rehabilitation will be in place for tribal and other groups displaced by development projects". Accordingly, the Ministry of Rural Development formulated a revised National Resettlement & Rehabilitation Policy-2007, after wide ranging consultations with the concerned Ministries of Govt. of India, State Govts., members of civil societies and all interested citizens. The provisions of the NRRP-2007 provide for the basic minimum requirements, and all projects leading to involuntary displacement of people must address the rehabilitation and resettlement issues comprehensively. The Rehabilitation and Resettlement Bill, 2007 has been developed on the lines of the provisions of the National Rehabilitation and Resettlement Policy, 2007, so as to give a statutory backing to them. The Bill was introduced in the Lok Sabha on 6th December, 2007 during the Winter Session of Parliament.

Source: Annual Report 2007-08, Ministry of Rural Development, Government of India, http://rural.nic.in/annualrep0708/anualreport0708_eng.pdf


Accelerated Rural Water Supply Programme (ARWSP): The Central Government supplements efforts made by the States for providing safe drinking water and sanitation by providing financial and technical assistance under two centrally sponsored programmes namely, the 'Accelerated Rural Water Supply' (ARWSP) and the 'Central Rural Sanitation Programme' (CRSP). Rural Drinking Water is also one of the six components of Bharat Nirman, envisaging coverage of the remaining habitations of Comprehensive Action Plan (CAP) of 1999, dealing with the problem of quality of water in some areas and to address the problem of slippage in the habitations. For promoting the role of Panchayati Raj Institutions in the planning, implementation, operation and maintenance of rural drinking water supply schemes of its choice, 'Swajaldhara' has also been launched. Under the scheme, 90% funds towards the project cost is provided by the government and the beneficiary group has to contribute 10% of the cost.

Source: Annual Report 2007-08, Ministry of Rural Development, Government of India, http://rural.nic.in/annualrep0708/anualreport0708_eng.pdf


'Central Rural Sanitation Programme' (CRSP): This scheme, which was launched in 1986 aims at improving the quality of life of the rural poor and to provide privacy and dignity to women in rural areas. In 1999, 'Total Sanitation Campaign' (TSC) under restructured CRSP was launched to promote sanitation in rural areas. TSC follows participatory demand-responsive approach, educating the rural households about the benefits of proper sanitation and hygiene. Special thrust has also been given on school sanitation and hygiene education. An incentive scheme called Nirmal Gram Puraskar has been launched for Panchayati Raj Institutions, which is helpful in eliminating the practice of open defecation.

Source: Annual Report 2007-08, Ministry of Rural Development, Government of India, http://rural.nic.in/annualrep0708/anualreport0708_eng.pdf


Provision of Urban Amenities in Rural Areas (PURA): The Scheme of Provision of Urban Amenities in Rural Areas (PURA), announced by the Hon'ble Prime Minister in his speech on 15th August 2003, aims at bridging the rural-urban divide and achieving balanced socio-economic development. It was implemented on a pilot basis w.e.f 2004–05 for a period of three years in seven States by selecting one cluster of 10 to 15 villages in each of them, to provide physical and social infrastructure in the identified rural clusters to further their growth potential. The pilot phase of PURA was implemented in seven clusters viz. Rayadurg (district Annanthpur in the State of Andhra Pradesh), Gohpur (district Sonitpur in the State of Assam), Motipur (district Muzaffarpur in the State of Bihar), Basmath (district Hingoli in the State of Maharashtra), Kujunga (district Jagatsinghpur in the State of Orissa), Shahpur (district Bhilwara in the State of Rajasthan) and Bharthana (district Etawah in the State of Uttar Pradesh). The budgetary provision for the scheme had been Rs. 10 crores per year in 2004 -05, 2005-06 and 2006 -07. The funds were mainly released for roads, market connectivity, education, drinking water, Common Facility Centre for readymade garment industries etc. The States had reported an expenditure of Rs. 20.27 crores as on 31.12.2007 against the total release of Rs. 30 crores during the pilot phase of PURA. The pilot phase of PURA ended in March 2007.

Source: Annual Report 2007-08, Ministry of Rural Development, Government of India, http://rural.nic.in/annualrep0708/anualreport0708_eng.pdf


Integrated Wastelands Development Programme (IWDP): It is a Centrally Sponsored Programme, which has been under implementation since 1989-90. From 1st April 1995, the programme is being implemented through watershed approach under the Common Guidelines for Watershed Development. The development of wastelands and degraded lands under the programme is expected to promote the generation of employment in the rural areas besides enhancing the participation of people at all stages, leading to sustainable development of land and equitable sharing of the benefits. IWDP envisages the development of non-forests wastelands in the country. The basic approach in implementation of this programme has been modified from 1.4.1995 when the Guidelines for Watershed Development through watershed approach came into force. Since then, projects for development of wastelands on micro watershed basis have been sanctioned. 170 projects covering an area of 15.48 lakh hectares were completed by 31.1.2008. During 2007-08, 40 projects were completed by 31.1.08. An area of 3.31 lakh hectares has been treated as a result of completion of these projects in 2007-08.

Source: Annual Report 2007-08, Ministry of Rural Development, Government of India, http://rural.nic.in/annualrep0708/anualreport0708_eng.pdf

 

Drought Prone Areas Programme (DPAP): It is the earliest area development programme launched by the Central Government in 1973-74 to tackle the special problems faced by those fragile areas, which are constantly affected by severe drought conditions. These areas are characterized by large human and cattle populations, which are continuously putting heavy pressure on the already degraded natural resources for food, fodder and fuel. The major problems are continuous depletion of vegetative cover, increase in soil erosion and fall in ground water levels due to continuous exploitation without any effort to recharge the underground aquifers. At present, the Drought Prone Areas Programme (DPAP) is under implementation in 972 blocks of 185 districts in 16 States. Till March 1999 the funds were shared on 50:50 basis between the Central Government and the State Governments. However, with effect from 1st April 1999, the funding is shared on 75:25 basis between the Centre and State Government.

Source: Annual Report 2007-08, Ministry of Rural Development, Government of India, http://rural.nic.in/annualrep0708/anualreport0708_eng.pdf


Desert Development Programme (DDP): The Desert Development Programme (DDP) was started both in hot desert areas of Rajasthan, Gujarat and Haryana and the cold deserts of Jammu & Kashmir and Himachal Pradesh in 1977-78. From 1995-96, the coverage has been extended to a few more districts in Andhra Pradesh and Karnataka. The programme has been conceived as a long-term measure for restoration of ecological balance by conserving, developing and harnessing land, water, livestock and human resources. It seeks to promote the economic development of the village community and improve the economic conditions of the resource poor and disadvantaged sections of society in the rural areas. The Desert Development Programme (DDP) is under implementation in 235 blocks of 40 districts in 7 States. With effect from 1.4.1999, the programme is being funded on the basis of 75:25 between the Centre and State Government for the watershed projects sanctioned on or after 1.4.1999.

Source: Annual Report 2007-08, Ministry of Rural Development, Government of India, http://rural.nic.in/annualrep0708/anualreport0708_eng.pdf


National Rural Health Mission (NRHM): The National Rural Health Mission (2005-12) seeks to provide effective healthcare to rural population throughout the country with special focus on 18 states, which have weak public health indicators and/or weak infrastructure. These 18 States are Arunachal Pradesh, Assam, Bihar, Chhattisgarh, Himachal Pradesh, Jharkhand, Jammu & Kashmir, Manipur, Mizoram, Meghalaya, Madhya Pradesh, Nagaland, Orissa, Rajasthan, Sikkim, Tripura, Uttaranchal and Uttar Pradesh.  The Mission is an articulation of the commitment of the Government to raise public spending on Health from 0.9% of GDP to 2-3% of GDP. It seeks to revitalize local health traditions and mainstream AYUSH into the public health system. It aims at effective integration of health concerns with determinants of health like sanitation & hygiene, nutrition, and safe drinking water through a District Plan for Health. The NRHM seeks decentralization of  programmes for district management of health. It seeks to address the inter-State and inter-district disparities, especially among the 18 high focus States, including unmet needs for public health infrastructure. The NRHM seeks to improve access of rural people, especially poor women and children, to equitable, affordable, accountable and effective primary healthcare. It aims at strengthening existing primary healthcare centers (PHCs) and community healthcare centers (CHCs) and provision of 30-50 bedded CHC per lakh population for improved curative care to a normative standard (Indian Public Health Standards defining personnel, equipment and management standards). Every village/large habitat will have a female Accredited Social Health Activist (ASHA), chosen by and accountable to the panchayat so as to act as the interface between the community and the public health system. 

 

Goals

• Reduction in Infant Mortality Rate (IMR) and Maternal Mortality Ratio (MMR)
• Universal access to public health services such as women’s health, child health, water, sanitation & hygiene, immunization, and nutrition.  
• Prevention and control of communicable and non-communicable diseases, including locally endemic diseases   
• Access to integrated comprehensive primary healthcare   
• Population stabilization, gender and demographic balance  
• Revitalize local health traditions and mainstream AYUSH   
• Promotion of healthy life styles  

Source: National Rural Health Mission, Ministry of Health and Family Welfare, Government of India,  http://www.mohfw.nic.in/NRHM/Documents/NRHM%20Mission%20Document.pdf


Integrated Child Development Scheme (ICDS): The programme of the Integrated Child Development Services (ICDS) was launched in 1975 seeking to provide an integrated package of services in a convergent manner for the holistic development of the child. It is the only major national programme that addresses the health and nutrition needs of children under the age of six. It seeks to provide young children with an integrated package of services, including supplementary nutrition, health care and pre-school education. Since the needs of a young child cannot be addressed in isolation from those of his or her mother, the programme also extends to adolescent girls, pregnant women and nursing mothers. ICDS services are provided through a vast network of ICDS centres, better known as "Anganwadis". Given the central role of ICDS in this context, and the fact that about half the child population and over 70% of all poor children are malnourished, an effective strategy for children under six must include the universalisation of ICDS, or more precisely, “universalisation with quality”. In concrete terms, “universalisation with quality” would mean: (1) Every settlement has an Anganwadi center; (2) All ICDS services are extended to all children under the age of six years and all eligible women; and (3) Quality of services is radically improved. 

Goals

• Lay the foundation for proper psychological development of the child
• Improve nutritional & health status of children 0-6 years
• Reduce incidence of mortality, morbidity, malnutrition and school drop-outs
• Enhance the capability of the mother and family to look after the health, nutritional and development needs of the child
• Achieve effective coordination of policy and implementation among various departments to promote child development

Source: Ministry of Women and Child Development, Government of India, http://wcd.nic.in/icds.htm


Nutrition Programme for Adolescent Girls (NPAG): To address the problem of under-nutrition among adolescent girls and pregnant women and lactating mothers, the Planning Commission, in the year 2002-03, launched the Nutrition Programme for Adolescent Girls (NPAG), on a Pilot Project basis in 51 districts in the country. Under this scheme, 6 kg of food-grains were given to under nourished adolescent girls, pregnant women and lactating mothers. Eligibility was determined on the basis of their weight. The Pilot Project was continued in the year 2003-04 also. It, however, could not be continued in the year 2004-05. The Government approved the implementation of NPAG, through the Department of Women and Child Development, in 51 backward districts identified by the Planning Commission in the year 2005-06 to provide 6 kg of free food-grains to undernourished adolescent girls only (pregnant women & lactating mothers are not covered as these are targeted under ICDS). The scheme is being continued for the Annual Plan 2006-07 on pilot project basis. The funds are given as 100% grant to States/UTs so that they can provide food grains through the Public Distribution System free of cost to the families of identified undernourished persons. The success of the intervention is dependent on effective linkages with the Public Distribution System (PDS).

Source: Ministry of Women and Child Development, Government of India, http://wcd.nic.in


National Old Age Pension Scheme (NOAPS): This scheme is a component of the National Social Assistance Programme (NSAP), which came into effect from 15 August, 1995. It is a 100 percent Centrally Sponsored Programme. The National Old Age Pension Scheme is available to all poor persons aged 65 years or older. Under the NOAPS, the Central Government provides for Rs. 200/- per pensioner per month and the States are urged to contribute an equal amount. The scheme should be implemented as per State guidelines and the old age pension beneficiaries should get the benefit regularly each month. After the expansion of the scheme to all old persons below the poverty line, the scheme has been renamed as “Indira Gandhi National Old Age Pension Scheme”.

Source: Supreme Court Commissioners, Government of India,  http://www.sccommissioners.org/schemes/noaps


Mid Day Meal Scheme (MDMS): The Mid-Day Meal Scheme was launched by the Ministry of Human Resource Development (Department of Education) with effect from 15th August, 1995 for the benefit of students in primary schools under Employment Assurance Scheme (EAS)/earlier Revamped Public Distribution System (RPDS) blocks (2368). The Scheme covers students of Class I-V in the Government Primary Schools / Primary Schools aided by Government and the Primary Schools run by local bodies. Foodgrains (wheat and rice) are supplied free of cost @ 100 gram per child per school day where cooked/processed hot meal is being served with a minimum content of 300 calories and 8-12 gms of protein each day of school for a minimum of 200 days and 3 kgs per student per month for 9-11 months in a year, where foodgrains are distributed in raw form.  In drought-affected areas, the mid day meal is distributed in summer vacations also. To cut down delays in implementation of the scheme, Department of Elementary Education & Literacy has been authorized to make State / UT-wise allocation of foodgrains under intimation to this Department. Food Corporation of India (FCI) releases foodgrains to States/UTs at BPL rates as per allocation made by Department of Elementary Education and Literacy.

Source: Department of Food and Public Distribution, Government of India, http://fcamin.nic.in/dfpd/EventDetails.asp?EventId=152&Section=Welfare%20Schemes&ParentID=0&Parent=1&check=0


Sarva Shiksha Abhiyan (SSA): It is Government of India's flagship programme for achievement of Universalization of Elementary Education (UEE) in a time bound manner, as mandated by 86th amendment to the Constitution of India making free and compulsory education to the children of 6-14 years age group, a fundamental right. SSA is being implemented in partnership with State Governments to cover the entire country and address the needs of 192 million children in 1.1 million habitations. The programme seeks to open new schools in those habitations, which do not have schooling facilities and strengthen existing school infrastructure through provision of additional class rooms, toilets, drinking water, maintenance grant and school improvement grants. Existing schools with inadequate teacher strength are provided with additional teachers, while the capacity of existing teachers is being strengthened by extensive training, grants for developing teaching-learning materials and strengthening of the academic support structure at a cluster, block and district level. SSA seeks to provide quality elementary education including life skills. SSA has a special focus on girl's education and children with special needs. SSA also seeks to provide computer education to bridge the digital divide. Quality issues in elementary education under the SSA will revolve around the quality of infrastructure and support services, opportunity time, teacher characteristics and teacher motivation, pre-service and in-service education of teachers, curriculum and teaching-learning materials, classroom processes, pupil evaluation, monitoring and supervision etc.
 
Source: Ministry of Human Resource Development, Government of India,  http://ssa.nic.in/


Public Distribution System (PDS): With a network of more than 400,000 Fair Price Shops (FPS), the Public Distribution System (PDS) in India is perhaps the largest distribution machinery of its type in the world. PDS is said to distribute each year commodities worth more than Rs 15,000 crore to about 16 crore families. This huge network can play a more meaningful role if only the system is able to translate into micro level, a macro level self-sufficiency by ensuring availability of food grains for the poor households. The PDS was criticised on a wide front:  its failure to serve the population Below Poverty Line (BPL), for its perceived urban bias, negligible coverage in States with a high density of rural poor and lack of transparent and accountable arrangements for delivery. Given that backdrop, the Government acted to streamline PDS during the Ninth Five Year Plan period by issuing special cards to BPL families and selling to them foodgrains through PDS outlets at specially subsidised prices (with effect from June, 1997). Under the new Targeted Public Distribution System (TPDS) each poor family is entitled to 10 kilograms of food grains per month (20 kg w.e.f. April 2000) at specially subsidised prices. This is likely to benefit about six crore poor families, to whom a quantity of about 72 lakh tonnes of food grains per year is earmarked. The identification of the beneficiaries is done by the States, based on state-wise poverty estimates of the Planning Commission. The thrust is to limit the benefit to the truly poor and vulnerable sections: landless agricultural labourers, marginal farmers, rural artisans/craftsmen, potters, tappers, weavers, blacksmiths, and carpenters in the rural areas; similarly those covered by TPDS in urban areas are: slum dwellers and people earning livelihood on a daily basis in the informal sector like the porters and rickshaw pullers and hand cart pullers, fruit and flower sellers on the pavements, etc. 
 
Source: Planning Commission, Government of India, http://planningcommission.gov.in/plans/mta/mta-9702/mta-ch8.pdf