Jennifer

Budget 2011 Simplified

• FY’12 FERTILISER SUBSIDY SEEN AT Rs. 50,000 CR
• GOVERNMENT MAY HIKE PETROL PRICES SOON
• DIVESTMENT TARGET MODERATED TO Rs. 22,144 CR IN FY’11
• CORP TAX MOP UP FOR FY’12 PEGGED AT Rs. 3.6 LAKH CR
• FY’12 SHORT TERM BORROWING SEEN AT Rs. 15,000 CR
• SERVICE TAX MOP UP PEGGED AT Rs. 82000 CR IN FY’12
• TO BRING DIAGNOSTIC SERVICES UNDER SERVICE TAX NET
• FY’12 DRAWDOWN CASH BALANCE ESTIMATED AT Rs. 20,000 CR
• FY’12 FOOD SUBSIDY SEEN AT Rs. 60,500 CR VS Rs. 60,600 CR (YOY)
• FY’12 PETRO SUBSIDY SEEN AT Rs. 23,600 CR VS Rs. 38,400 CR (YOY)
• TO GIVE Rs. 14,000 CR MORE SUBSIDY TO OIL COMPANIES IN FY’11
• MSS CEILING FOR FY’12 AT Rs. 50,000 CR
• CONCESSION ON CELLPHONE EQUIPMENT MFG EXTENDED
• EXCISE DUTY ON SPECIFIED TEXTILE MACHINERY CUT TO 5%
• TO LEVY 1% EXCISE DUTY ON 130 CONSUMER ITEMS
• NOMINAL EXCISE DUTY TO BE IMPOSED ON 130 ITEMS
• CENTRAL EXCISE RATE RETAINED AT 10%
• NET REVENUE LOSS OF Rs. 11500 CRORE ON DIRECT TAX IN FY’12
• NET MKT BORROWING AT Rs. 3.43 LAKH CR IN FY’12
• TAX SOPS OF Rs. 20,000 FOR INVESTMENT IN INFRA BONDS
• 15% TAX ON DIVIDEND RECEIVED FROM FOREIGN SUBSIDIARY
• MAT TO BE LEVIED ON DEVELOPERS OF SEZ AS WELL FROM FY’12
• TAX EXEMPTION FOR PEOPLE ABOVE 80 YRS HIKED TO Rs. 5 LAKH
• SURCHARGE ON DOMESTIC COMPANIES CUT TO 5% FROM 7.5%
• MAT RATE HIKED TO 18.5% VS 18%
• PLANNING A NEW TAX CATEGORY FOR VERY SENIOR CITIZENS
• TAX EXEMPTION FOR GENERAL CATEGORY RAISED TO Rs. 1.8 LAKH
• REVENUE DEFICIT SEEN AT 1.8% IN FY’12
• REVENUE DEFICIT SEEN AT 2.3% IN FY’11
• FY’12 FISCAL DEFICIT SEEN AT 4.6% OF GDP
• FY’11 FISCAL DEFICIT TARGET REVISED TO 5.1%
• PLANNED EXPENDITURE UP 18.3% (YOY) AT Rs. 14.41 LAKH CR
• NET TAX RECEIPTS FOR FY’12 SEEN AT Rs. 6.64 LAKH CR
• GROSS TAX RECEIPTS FOR FY’12 SEEN AT Rs. 9.32 LAKH CR
• NON TAX REVENUE FOR FY’12 SEEN AT Rs. 1.25 LAKH CR
• TOTAL EXPENDITURE UP 13.4% AT Rs. 12.57 LAKH CR
• ALLOCATED Rs. 69199 CR FOR DEFENCE CAPEX IN FY’12
• Rs. 8000 CRORE FOR NORTHEAST INDIA
• Rs. 8000 CRORE FOR DEVELOPMENT NEEDS OF JAMMU & KASHMIR
• OLD AGE PENSION FOR PEOPLE OVER 80 YRS HIKED TO Rs. 500/MONTH
• NATIONAL MISSION ON HYBRID VEHICLES TO BE STARTED
• PROPOSE Rs. 5000 CR FOR TAKEOUT FINANCING SCHEME
• PROPOSE A 5 FOLD STRATEGY TO DEAL WITH BLACK MONEY
• TO EXTEND INFRA TAX BREAKS FOR THE FERTILISER SECTOR
• CLOSE TO FINALISING NATIONAL FOOD SECURITY BILL
• PLAN Rs. 1.6 LAKH CR SPENDING FOR SOCIAL SECTOR PROJECTS
• TO BRING BROADBAND CONNECTIVITY TO ALL VILLAGES
• ALLOCATION FOR BHARAT NIRMAN RAISED TO Rs. 58000 CR
• NREGA WAGE RATE INDEXED TO CONSUMER PRICE INDEX
• SCHEDULED TRIBES ALLOCATION RAISED TO Rs. 2.44 LAKH CR
• ALLOCATION FOR EDUCATION RAISED TO Rs. 52057 CR
• PLANNED ALLOCATION FOR HEALTHCARE UP 20% TO Rs. 27,600 CR
• IIFCL’S FY’12 DISBURSEMENT TARGET AT Rs. 25,000 CR
• SPEND ON INFRA SECTOR TO BE HIKED BY 23%
• GOVT AGENCIES CAN RAISE Rs. 30,000 CR FROM TAX FREE BONDS
• COLD STORAGE TO BE BOUGHT UNDER AMBIT OF INFRA SECTOR
• FURTHER SUBVENTION OF 3% FOR REPAYING FARM LOANS ON TIME
• INTEREST SUBVENTION FOR FARM LOANS AT 7% TO CONTINUE
• FII LIMIT IN INFRA SECTOR CORP BONDS RAISED TO $25 BN
• TO SIMPLIFY SERVICE TAX REFUND PROCESS
• MFG SHARE IN GDP TO RISE TO 25% OVER NEXT 10 YEARS
• TO SET UP 15 MORE MEGA FOOD PARKS
• RBI TO BRING OUT GUIDELINES ON NEW BANKING LICENCES
• Rs. 6000 CR TO ENABLE BANKS TO MAINTAIN 8% TIER 1 CAPITAL
• TO MOVE INSURANCE, PENSION AND BANKING BILLS IN PARLIAMENT
• TO INFUSE Rs. 500 CR IN REGIONAL RURAL BANKS
• ROLLOUT OF DTC TO BE EFFECTIVE FROM APRIL 1, 2012
• TO SET UP INDIA MICROFINANCE EQUITY FUND WITH Rs. 100 CR
• PROPOSE TO GIVE Rs. 3000 CR TO NABARD
• TO GIVE Rs. 5000 CR TO SIDBI TO REFINANCE SMALL FIRMS
• LIBERALISE INTEREST SUBVENTION OF HOME LOAN UP TO Rs. 15 LAKH
• TO ENHANCE FUNDS UNDER RURAL HOUSING FUND TO Rs. 30,000 CR
• MORTGAGE RISK GUARANTEE FUND FOR HOME LOANS TO POOR
• HAVE HIKED PRIORITY HOME LOAN LIMIT TO Rs. 25 LAKH
• TO GIVE PSU BANKS Rs. 20157 CR TO RAISE TIER 1 CAPITAL
• NEW COMPANIES BILL TO BE INTRODUCED IN THE CURRENT SESSION
• MINORITIES’ LOAN TARGET UP AT 15% OF PRIORITY LOANS
• ALLOCATION FOR FARM DEVELOPMENT HIKED TO Rs. 7860 CR
• DISCUSSIONS ON TO FURTHER LIBERALISE THE FDI POLICY
• GOVT TO MAINTAIN MOMENTUM OF DIVESTMENT
• GOVT TO MOVE TOWARD DIRECT SUBSIDY TO PEOPLE LIVING BPL
• DIRECT CASH SUBSIDY ON KEROSENE, FERTILISERS FOR BPL
• EXTENDING NBS TO COVER UREA UNDER CONSIDERATION
• PREPARATION OF GST ROLLOUT IN FINAL STAGES
• MUST REVISIT EXACT CLASSIFICATION OF EXPENDITURE
• TO INTRODUCE GST BILL AMENDMENTS IN THIS SESSION
• AIM FOR FISCAL DEFICIT OF 3% BY FY’14
• GST AND DTC REFORMS TO MODERATE RATES AND SIMPLIFY NORMS
• PROPOSE INTRODUCING PUBLIC DEBT MGMT OF INDIA BILL
• EXPECT RBI MEASURES TO MODERATE INFLATION
• EXPECT CURRENT ACCOUNT DEFICIT TO COME DOWN NEXT YEAR
• EXPECT INFLATION TO COME DOWN NEXT YEAR
• CURRENT ACCOUNT DEFICIT STILL A CONCERN
• HUGE PRICE GAP IN WHOLESALE & RETAIL NOT ACCEPTABLE
• PRICES OF KEY AGRI COMMODITIES HAVE DECLINED
• ECONOMY RESILIENT TO EXTERNAL AND LOCAL SHOCKS
• EXPECT AGRI SECTOR TO GROW AT 5.4% IN FY’11
• GDP ESTIMATED TO GROW 8.6% IN FY’11 IN REAL TERMS
• SIMPLIFYING TAXATION, TRADE AND TARIFFS PROCEDURES
• MUST ADDRESS STRUCTURAL CONCERNS ON INFLATION MGMT
• NEED TO FIGHT CORRUPTION ON ALL FRONTS
• NEED TO BALANCE SUPPLY AND DEMAND COMPONENTS
• NEED TO BALANCE SUPPLY AND DEMAND COMPONENTS
• NEED TO TACKLE SUPPLY SIDE ISSUES IN AGRICULTURE
• REVIVAL IN PRIVATE INVESTMENT SHOULD BE SUSTAINABLE
• FOOD INFLATION REMAINS A CONCERN
• GOVERNANCE PRACTICE REMAINS A PRIORITY
• PRIORITIES REMAIN GROWTH, PUBLIC DELIVERY
• FY’11 FISCAL CONSOLIDATION IMPRESSIVE
• SERVICE GROWING IN DOUBLE DIGITS
• INDUSTRY REGAINING ITS MOMENTUM
• PRANAB MUKHERJEE PRESENTS THE UNION BUDGET 2011
• GOVT SHOULD TAKE MEASURES TO PROMOTE FDI IN ALL SECTORS
• SOME AMOUNT OF LIQUIDITY INFUSION IS POSSIBLE
• REDUCING FISCAL, INFRA DEFICIT CRUCIAL
• MEASURES TO CONTAIN INFLATION ARE VERY CRUCIAL
• EXPECT MEASURES FOR FINANCIAL SAVINGS
• EXPECT VOLATILITY ON FII FLOWS TO CONTINUE
• COMMITTED TO PROVIDING CHEAPER COOKING FUEL
• NEED TO PLUG PDS SLIPPAGES TO EXPAND COVERAGE
• INITIALLY LICENCES SHOULD BE GIVEN TO NBFCS, MFIS
• GIVE TWO KINDS OF BANK LICENCES
• EXPECT VOLATLITY ON FII FLOWS TO CONTINUE
• SLOWDOWN IN FDI PARTLY OFFSET BY FII FLOWS
• BUREAUCRACY IMPEDING FDI FLOWS
• STRONG GROWTH IN EXPORTS AT 29.5% FOR APRIL-DECEMBER
• DEVELOPMENTS IN MID-EAST, EUROPE NEED TO BE WATCHED
• URGENT NEED TO EXPAND STORAGE SPACE, FACILITIES
• NEED TO REVIEW GRAIN RELEASE
• FAVOURS SMART CARDS FOR KEROSENE, FERTILISER SUBSIDY
• SMART CARD, COUPON TO HELP TARGET FOOD SUBSIDIES BETTER
• BETTER SUBSIDY TARGETING FOR BETTER FISCAL MGMT
• ANTI-INFLATIONARY STANCE WARRANTED
• FOOD PRICES, DEMAND PRESSURE TO SHAPE INFLATION OUTLOOK
• RISE IN PURCHASING POWER LEADING TO INFLATION UPTREND
• SIGNS OF FOOD, FUEL PRICE INCREASES SPILLING OVER
• SHARP RISE IN FOOD PRICES A CAUSE OF CONCERN
• EXPENDITURE GROWS AT 11.2% FOR FIRST NINE MONTHS
• REVENUE RECEIPTS GREW BY 50% FOR FIRST NINE MONTHS
• NON TAX REVENUES GREW BY 136.4% FOR FIRST NINE MONTHS
• GROSS TAX REVENUES GREW BY 26.8% FOR FIRST NINE MONTHS
• NEED EXPENDITURE REFORMS TO REACH PROJECTED DEFICIT
• PROSPECT OF REVENUE LED FISCAL CONSOLIDATION
• FY’11 REV DEFICIT EXPECTED TO BE AT 3.5% OF GDP
• FY’11 FISC DEFICIT EXPECTED TO BE AT 4.8% OF GDP
• EFFICIENT TAXATION BY A NEW GST
• IMPROVING NREGA BY FOCUSSING ON PERMANENT ASSET
• SECOND GREEN REVOLUTION IN AGRI
• NEED TO STREAMLINE LAND ACQUISITION, ENV CLEARANCES
• PRIVATE SECTOR PARTICIPATION IN SOCIAL SECTORS
• PLAN TO INCREASE DIESEL PRICES IN A STAGGERED MANNER
• GOVT TO CAP AUTO FUEL PRICES IF CRUDE OIL SPURTS
• CURRENT ACCOUNT GAP TO MODERATE ON HIGHER EXPORTS
• FY’11 FISCAL GAP SEEN AT 4.8% ON HIGHER GDP BASE
• INFLATION TO MODERATE ON FISCAL, MONETARY STEPS
• INFLATION REMAINS A DARK CLOUD FOR THE ECONOMY
• ECONOMY TO GROW BY 8.75% – 9.25% IN FY’12
• GOVT TO CAP AUTO FUEL PRICES IF CRUDE OIL SPURTS
• PLAN TO INCREASE DIESEL PRICES IN STAGGERED MANNER
• COMMITTED TO COOKING FUEL AT AFFORDABLE PRICE
• FAVOURS SMART CARDS ALSO FOR KEROSENE, FERTILISER SUBSIDY
• NEED TO PLUG PDS SLIPPAGES TO EXPAND IMPROVE COVERAGE
• SMART CARD, COUPONS TO HELP TARGET FOOD SUBSIDY BETTER
• ECONOMY TO GROW AT 8.75%-9.25% FOR FY’12
• FY’11 REVENUE GAP SEEN 3.8% OF GDP
• PROSPECTS OF REVENUE-LED FISCAL CONSOLIDATION
• BETTER SUBSIDY TARGETING IMPROVING FISCAL MANAGEMENT
• BUREAUCRACY IMPEDING FDI INFLOWS
• NEED PERSISTENT ANTI-INFLATION MONETARY STANCE
• INFLATION SIGNIFICANTLY ABOVE COMFORT LEVEL
• NEED TO BE VIGILANT AGAINST DEMAND SIDE PRESSURES
• LIQUIDITY MGMT MAJOR CHALLENGE FOR RBI
• DIRECT TAX CODE PROPOSED TO BE LAUNCHED APRIL 2012
• FY’11 FISCAL GAP SEEN 4.8% ON HIGHER GDP BASE

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