Interim Budget Highlights Union Budget 2009 10

This interim budget was more about winning the vote bank and not about the economy. The market, as expected was badly disappointed, ndtv, union budget 2009, union budget 2009 10, interim budget highlights, interim budget

Now the market will once again look at global cues for a sense of direction and maybe it will keep expectations running high for a third economic stimulus or a reduction in interest rates by RBI. For the next three months, this damp squib of interim budget means that India would have to live with nothing really to expect and that too in an extremely hostile global environment.
WHAT DID IT HAVE FOR THE MARKET?
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Ø Nothing, zilch! The BSE increased its speed of fall and was down 277 points as soon as the Budget was over.

Ø No tax changes, no sops for any of the beleaguered industries

Ø Interest subvention for some export loans extended

Ø Sunset clause for gems & jewellery, handicrafts and textiles extended.



THE ECONOMIC NUMBER CRUNCH

Ø FY10 budget revenue deficit seen at 4% and fiscal deficit at 5.5%

Ø FY09 fiscal deficit seen at 6% of GDP v/s estimate of 2.5%

Ø FY09 Revenue deficit of 4.4% of GDP v/s estimate of 1%

Ø Revised estimates of tax collection at Rs 6.25 lakh crore

Ø Revised estimates of spending has gone up from Rs 7.5 lakh crore to 9.9 lakh crore

Ø Allocation of Rs.40,900 crore for Bharat Nirman


THE REPORT CARD

Ø GDP growth rate of 7.1% makes India the second fastest growing country in the world

Ø The GDP went from 7.5% in 04-05 to 9.7% in 06-07 and clocked 9% in 08

Ø IIFCL can raise Rs 10,000 crore; nod for additional Rs 30,000 crore

Ø 54 infra projects cleared under PPP projects with an investment of Rs 67,700 crore

Ø Plan allocation to agri increased 300 pc during the UPA regime

Ø Rs 65,300 crore in loans waived for farmers in FY 08-09, covering 36 million

Ø Fertiliser subsidy has gone up to Rs 4,4863 crore in FY 08

Ø FDI inflow of $23.3 bn between April and Nov 08



WITH AN EYE ON THE VOTE BANK

Ø New scheme for young widows in the age group of 18 to 40 unveiled; will get priority in admission to ITIs and a stipend of Rs 500 per month

Ø 109 maiden vessels sanctioned for customs department

Ø Rural jobs scheme to get Rs 30100 crore in FY 09-10

Ø Mid day meal scheme to get Rs 8000 crore

Ø Govt to continue to provide interest subsidy to farmers in FY 10

Ø Outlay on higher education has been increased 900% in the 11th five year plan

Ø Rs 6705 crore in child development schemes
thanks Really relax now..