Opinionated Article by- Cheena Khanna
INTRODUCTION
The union minister for Finance & Corporate Affairs, Smt Nirmala Sitharaman presented the Union Budget 2022-23 in Parliament on February 1. India's growth is estimated to be at 9.2%, the highest among all large economies; we are now in a strong position to withstand challenges, the Budget estimates the effective capital expenditure of the Central government at Rs 10.68 lakh crore in 2022-23, making up about 4.1 per cent of the GDP. The gross GST collections for January 2022 are Rs 1,40,986 crore — the highest since the inception of the tax in 2017 says FM
Paperless Budget Again, Smt Nirmala Sitharaman Carries Tablet in Red Sleeve
Focus areas of Budget
PM Gati Shakti
Inclusive Development
Productivity Enhancement
Sunrise Opportunities
Energy Transition
Climate Action
Financing of investments
PM Gati Shakti will include infrastructure schemes of several Ministries and State Governments, such as Bharatmala, Sagarmala, inland waterways, dry/land ports, and UDAN, among others. To strengthen connectivity and make Indian enterprises more competitive, economic zones such as textile clusters, pharmaceutical clusters, defence corridors, electronic parks, industrial corridors, fisheries clusters, and agro zones would be encompassed. It will also make substantial use of technology, such as spatial planning tools with ISRO (Indian Space Research Organisation) imagery created by BiSAG-N. (Bhaskaracharya National Institute for Space Applications and Geoinformatics). The vision will reportedly be driven by seven engines: roads, railways, airports, ports, mass transportation, waterways, and logistics, with appropriate external support from energy transmission, IT communication, bulk water and sewerage, and social infrastructure, with the goal of achieving comprehensive multi-modal and last-mile connectivity for citizens through the development of integrated infrastructure projects. Taking this vision further, the national highway network will be consolidated through a 25,000-kilometer expansion expected in 2022-23. For the same, the budget has set aside almost Rs 20,000 crore.
Out of the total Rs 86,200.65 crore (BE) for 2022-23, Rs 83,000 crore has been allocated to the Department of Health and Family Welfare, while Rs 3,200 crore has been allocated to the Department of Health Research. Union Finance Minister Nirmala Sitharaman's announcement of a reduction in customs duty on cut and polished diamonds and gemstones and plan to develop a simplified regulatory framework to facilitate the export of jewellery through e-commerce are positive steps that will enable the sector to grow in the country and boost exports,” Senco Gold & Diamonds CEO Suvankar Sen said. Small gold jewellers, however, said the government should have reduced import duty or GST of gold as diamond is not for the common people.
In a major push for digital currency, Sitharaman stated that the digital rupee will be issued using blockchain technology by the RBI starting 2022-23. This will give a big boost to the economy, the finance minister said. She added that income from the transfer of any virtual digital asset shall be taxed at the rate of 30 per cent. Both Centre and States govt employees’ tax deduction limit to be increased from 10% to 14% to help the social security benefits of state govt employees and bring them at par with the Central govt employees. Income tax relief to cooperative societies with a reduction in the rate of surcharge from 12% to 7% for income up to Rs 10 crores. Taxpayers can now file an updated return within 2 years from the relevant assessment year.
Indian space regulator Indian National Space Promotion and Authorisation Centre (INSPACE), in a little over a year since it was announced, has received close to 40 proposals from large industries, MSMEs, start-ups, and academia covering a broad range of activities in the space domain from the manufacturing of launch vehicles and satellites to earth observation applications and communications, the Economic Survey said on Monday.
CONCLUSION
It's a budget that's entirely focused on investments. The government will seek to deliver development with a more lasting character with a strong focus on public investment while developing enablers to reignite animal spirits in the private sector. This is consistent with the Economic Survey's recommendation for "fiscal headroom to ratchet up capital investment." A forward-thinking statement infused with digital and technology, appealing to India's youthful aspirational population with a surgical focus on health, education, and entrepreneurship. This is the Narendra Modi government’s tenth Budget, and the second paperless budget because of the ongoing Covid-19 pandemic situation. We are amid the Omicron wave, the speed of our vaccination campaign has helped dramatically.
The FM stated that ‘Sabka Prayaas’ will continue with strong growth. Budget 2022 has provided a sharp increase in public investment and capital expenditure provision. Strategic transfer of ownership of Air India has been completed.
“The budget will go a long way in stimulating the economy as the government is fully focused on growth in challenging times. The budget is a landmark when it comes to prioritizing renewable energy.”
- Tulsi Tanti, founder-chairman, Suzlon Group
REFERENCES
https://www.financialexpress.com/budget/union-budget-2022-highlights-keyannouncements-by-fm-nirmala-sitharaman-in-budget-speech/2421958/
https://timesofindia.indiatimes.com/business/budget-2022-live-updates-union-budgetexpectations-what-experts-want/liveblog/89233922.cms
https://www.thehindu.com/business/budget/watch-highlights-of-union-budget-2022- 23/article38359129.ece
https://economictimes.indiatimes.com/news/newsblogs/budget-2022-live-newsupdates-nirmala-sitharaman-announcements/liveblog/89257591.cms
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