Indias Union Budget 2016-17 was presented by Finance Minister Arun Jaitley when we are

evidencing the global economy in a serious crisis. Over the last two years, global growth has
contracted to 3.1% whereas India has presented a steadfast GDP growth rate of 7.6%. Consumer
Price Inflation for January 2016 is reported at 5.69% which is also accredited to be at the 17month high. Last year, Government of India entered in to Monetary Policy Framework
Agreement with RBI, to keep inflation below 6%. RBI and Government of India needs to be
congratulated to be able to keep the same in control and as per the desired expectations (largely
thanks to historically low oil prices). Foreign Direct Investments have risen from $60 million in
February 2014 to $3.74 billion in December 2015.
The International Monetary Fund has hailed India as a bright spot amidst a slowing global
economy. The World Economic Forum has said that Indias growth is extraordinarily high.
Much said about past. Now, the time has come wherein the government has presented its budget
for the Financial Year 2016-17. Budget is regarded as a document which spells out the intent,
commitment and priority of the government for the next fiscal year. It is one of those horses on
which the economic conditions for the next year would ride upon. It will also set path and pace
for the various developmental and socio-economic concerns of India, its economy and its
citizenry.
Let us take a categorical view of comparable developments of the 2 budgets.
Key Achievements
Budget 2016-17
Growth of Economy accelerated to 7.6% in 2015-16.
Foreign exchange reserves touched highest ever level of about 350 billion US
dollars.
Fiscal deficit in RE 2015-16 and BE 2016-17 retained at 3.9% and 3.5%.
Revenue Deficit target from 2.8% to 2.5% in RE 2015-16

Financial Inclusion 12.5 cro

Transparent Coal Block auctio
Swachh Bharat is not only a p
has become a movement to reg
Journey for fiscal deficit targe
years. The fiscal deficit targets
& 2017-18 respectively.

Budget Estimates
Let us look at the big figures of major components of the budget (so that we can know little bit of
the scale government deals with)
Budget 2016-17
Budget 2015-16
Non-Plan expenditure estimates for the
Non-Plan expenditure estimates for the
Financial Year are estimated at Rs. 14,28,050 Financial Year are estimated at Rs. 13,12,200
crore.
crore.
Plan expenditure is estimated to be Rs. 5,50,010 Plan expenditure is estimated to be Rs. 4,65,277

crore.
Total Expenditure has accordingly been
estimated at Rs. 19,78,060 crore.
Gross Tax receipts are estimated to be Rs.
16,30,888 crore.
Devolution to the States is estimated to be Rs.
5,70,337.
Share of Central Government will be Rs.
10,54,101.
Non Tax Revenues for the next fiscal are
estimated to be Rs. 3,22,921 crore.
Fiscal deficit will be 3.5 per cent of GDP and
Revenue Deficit will be 2.3 per cent of GDP.

crore.
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.
Share of Central Government will be Rs.
9,19,842.
Non Tax Revenues for the next fiscal are
estimated to be Rs. 2,21,733 crore.
Fiscal deficit will be 3.9 per cent of GDP and
Revenue Deficit will be 2.8 per cent of GDP.

Individuals
Let us look at the something which would matter to you the most (as an individual taxpayer). We
are talking about the benefits passed on to you.
Budget 2016-17
Budget 2015-16
Rebate under section 87A has been increased Limit of deduction of health insurance premium
from Rs. 2,000 to Rs, 5,000. This rebate is
increased from Rs. 15000 to Rs. 25000, for
available to taxpayers having income below Rs. senior citizens limit increased from Rs. 20000
5,00,000
to Rs. 30000.
Taxpayers who do not own any house property,
are living in a rented premises and who do not
Senior citizens above the age of 80 years, who
receive any HRA (House Rent Allowance) from
are not covered by health insurance, to be
their employers, will get an increased deduction
allowed deduction of Rs. 30000 towards
of Rs. 5,000 per month (Earlier Rs. 2,000 per
medical expenditures.
month) under section 80GG of the Income Tax
Act.
The turnover limit to avail the Presumptive Tax
Scheme under section 44AD, has been
increased from Rs. 1 crore to Rs. 2 crore. The
taxpayers carrying a business will be allowed to Deduction limit of Rs. 60000 with respect to
avail this scheme for which they will have to
specified decease of serious nature enhanced to
declared profits at minimum 8% of the total
Rs. 80000 in case of senior citizen.
turnover and they will be exempted from the
requirement of maintaining any books of
accounts.
Earlier the Presumptive Tax Scheme under
Additional deduction of Rs. 25000 allowed for
section 44AD was available only to individuals differently abled persons.
carrying a business. With effect from 1st april

2016, the benefits of this scheme has also been

extended to the Professionals whose annual
turnover does not exceed Rs. 50,00,000,
provided the declared profits from such
profession are not less than 50%. The
professional availing these scheme will be
exempted from maintaining any books of
accounts.
For the first time home buyers, additional
deduction of Rs. 50,000 annually will be
allowed under section 80EE for interest
payments towards loans taken upto Rs. 35
lakhs. The value of the house should not exceed
Rs. 50 lakhs.
Any amount withdrawn from NPS (New
Pension Scheme) at the time of retirement will
be exempted upto 40% of the total Withdrawal
amount.

Limit on deduction on account of contribution

to a pension fund and the new pension scheme
increased from Rs. 1 lakh to Rs. 1.5 lakh.
Additional deduction of Rs. 50000 for
contribution to the new pension scheme u/s
80CCD.

Payments to the beneficiaries including interest

payment on deposit in Sukanya Samriddhi
scheme to be fully exempt.
Service-tax exemption on Varishtha Bima
Yojana.
Any gains resulting from trading of securities of
Conversion of existing excise duty on petrol
unlisted firms would be long term capital gains
and diesel to the extent of Rs. 4 per litre into
if the period of holding of such securities is 24
Road Cess to fund investment.
months or more. Earlier the holding period
To mitigate the problem being faced by many
requirement was 36 months.
genuine charitable institutions, it is proposed to
modify the ceiling on receipts from activities in
the nature of trade, commerce or business to
20% of the total receipts from the existing
ceiling of Rs. 25 lakh.

The buzzword of the town is ease of doing business and startups. Lets see whats in the box.
Budget 2016-17

Budget 2015-16

Penalty provision in indirect taxes are being

Automation facilities will be provided in 3 lakh
rationalised to encourage compliance and early
fair price shops by March 2017.
dispute resolution.
Amendments in Companies Act to improve
Wealth-tax replaced with additional surcharge
enabling environment for start-ups.
of 2 per cent on super rich with a taxable

income of over Rs. 1 crore annually

Price Stabilisation Fund with a corpus of Rs.
900 crore to help maintain stable prices of
Pulses.
New manufacturing companies incorporated on
or after 1.3.2016 to be given an option to be
taxed at 25% + surcharge and cess provided on
fulfillment of certain conditions
10% rate of tax on income from worldwide
exploitation of patents developed and registered
in India by a resident.
100% deduction of profits for 3 out of 5 years
for startups setup during April, 2016 to March,
2019. MAT will apply in such cases.
Individuals and Hindu Undivided Family
(HUF) setting up start-ups by deploying capital
gains from sale of residential property will also
get tax relief
The budget also proposed to establish a Fund of
Funds to raise Rs 2,500 crore annually for four
years to finance the start-ups.

Domestic transfer pricing threshold limit

increased from Rs. 5 crore to Rs. 20 crore.
Online central excise and service tax
registration to be done in two working days.
Time limit for taking CENVAT credit on inputs
and input services increased from 6 months to 1
year.
Donation made to National Fund for Control of
Drug Abuse (NFCDA) to be eligible for 100%
deduction u/s 80G of Income-tax Act.

Seized cash can be adjusted towards assessees

tax liability

Housing
Let us see the plans our government has for various classes of citizens.
Budget 2016-17
100% deduction for profits to an undertaking in housing project for flats upto 30 sq. metres in
four metro cities and 60 sq. metres in other cities, approved during June 2016 to March 2019 and
completed in three years.
Exemption from service tax on construction of affordable houses up to 60 square metres under
any scheme of the Central or State Government including PPP Schemes.
Extend excise duty exemption, presently available to Concrete Mix manufactured at site for use
in construction work to Ready Mix Concrete.
100% deduction for profits to an undertaking in housing project for flats upto 30 sq. metres in
four metro cities and 60 sq. metres in other cities, approved during June 2016 to March 2019 and
completed in three years.

Infrastructure

Expenditure on infrastructure needs of the country are always centric to any budget. It is one of
those factors which decides the course of various other industries.
Budget 2016-17

Budget 2015-16

Total investment in the road sector, including

PMGSY allocation, would be Rs. 97,000 crore
during 2016-17.
To provide calibrated marketing freedom in
order to incentivise gas production from deepwater, ultra deep-water and high pressure-high
temperature areas
Action plan for revival of unserved and
underserved airports to be drawn up in
partnership with State Governments.

National Investment and Infrastructure Fund

(NIIF), to be established with an annual flow of
Rs. 20,000 crores to it.

Allocation of Rs. 55,000 crore in the Budget

for Roads. Additional Rs. 15,000 crore to be
raised by NHAI through bonds.
Comprehensive plan, spanning next 15 to 20
years, to augment the investment in nuclear
power generation to be drawn up

Tax free infrastructure bonds for the projects in

the rail, road and irrigation sectors.
5 new Ultra Mega Power Projects, each of 4000
MW, in the Plug-and-Play mode.
Ports in public sector will be encouraged, to
corporatize, and become companies under the
Companies Act to attract investment and
leverage the huge land resources.
(SETU) Self-Employment and Talent
Utilization) to be established as Technofinancial, incubation and facilitation programme
to support all aspects of start-up business. Rs.
1000 crore to be set aside as initial amount in
NITI.

Financial Markets / Sectors

The financial markets importance has been increasing immensely as and when we advance on
technological and global front. The closer we move to the concept of global village, the higher is
the integration of financial factors world over.
Budget 2016-17

Budget 2015-16

Public Debt Management Agency (PDMA)

bringing both external and domestic borrowings
under one roof to be set up this year.
A Financial Data Management Centre to be set Forward Markets commission to be merged
up
with SEBI.
RBI to facilitate retail participation in
Proposal to create a Task Force to establish
Government securities
sector-neutral financial redressal agency that
A comprehensive Code on Resolution of
Financial Firms to be introduced.

will address grievance against all financial

service providers.
Amendments in the SARFAESI Act 2002 to
enable the sponsor of an ARC to hold up to
100% stake in the ARC and permit non
institutional investors to invest in Securitization
Receipts
Allocation of Rs. 25,000 crore towards
recapitalisation of Public Sector Banks.
General Insurance Companies owned by the
Government to be listed in the stock exchanges
Budget has also proposed great incentives for
International Financial Service Centres (IFSCs)
like GIFT City in Gujarat.

India Financial Code to be introduced soon in

Parliament for consideration.

Vision of putting in place a direct tax regime,

which is internationally competitive on rates,
without exemptions.

Agriculture, Rural and Social Sector

They have been the prime matter of concern for our Prime Minister Narendra Modi. Major focus
of this budget has been delved on these matters. The whole idea on this front is to improve the
incomes of the farmers and double them by 2022 as well as create new horizons and new
avenues for empowering the growth via creation and maximisation of rural demand. This is also
one of the first efforts towards reducing the urban rural divide.
Budget 2016-17

Budget 2015-16

Pradhan Mantri Krishi Sinchai Yojana to be

Major steps take to address the two major
implemented in mission mode. 28.5 lakh hectares factors critical to agricultural production, that
will be brought under irrigation.
of soil and water.
Implementation of 89 irrigation projects under
Rs. 5,300 crore to support micro-irrigation,
AIBP, which are languishing for a long time, will watershed development and the Pradhan
be fast tracked
Mantri Krishi Sinchai Yojana.
Target of Rs. 9 lakh crore of agricultural credit Target of Rs. 8.5 lakh crore of agricultural
during the year 2016-17
credit during the year 2015-16
A dedicated Long Term Irrigation Fund will be Rs. 25,000 crore in 2015-16 to the corpus of
created in NABARD with an initial corpus of
Rural Infrastructure Development Fund
about Rs. 20,000 crore
(RIDF) set up in NABARD
Programme for sustainable management of
ground water resources with an estimated cost of Rs. 15,000 crore for Short Term RRB
Rs. 6,000 crore will be implemented through 3 Refinance Fund
multilateral funding
Unified Agricultural Marketing ePlatform to
Rs. 45,000 crore for Short Term Co-operative
provide a common e- market platform for
Rural Credit Refinance Fund

wholesale markets
Allocation under Prime Minister Fasal Bima
Yojana Rs. 5,500 crore
A sum of Rs. 38,500 crore allocated for
MGNREGS.
100% village electrification by 1st May, 2018

Rs. 15,000 crore for Long Term Rural Credit

Fund
A sum of Rs. 34,700 crore allocated for
MGNREGS.
Target of renewable energy capacity revised to
175000 MW till 2022, comprising 100000
MW Solar, 60000 MW Wind, 10000 MW
Biomass and 5000 MW Small Hydro.

New health protection scheme will provide health

MUDRA Bank, with a corpus of Rs. 20,000
cover up to Rs. One lakh per family. For senior
crores, and credit guarantee corpus of Rs.
citizens an additional top-up package up to Rs.
3,000 crores to be created.
30,000 will be provided.
Postal network with 1,54,000 points of
3,000 Stores under Prime Ministers Jan
presence spread across villages to be used for
Aushadhi Yojana will be opened during 2016-17. increasing access of the people to the formal
financial system
Stand Up India Scheme to facilitate at least two Pradhan Mantri Suraksha Bima Yojna to cover
projects per bank branch. This will benefit at
accidental death risk of Rs. 2 Lakh for a
least 2.5 lakh entrepreneurs.
premium of just Rs. 12 per year.
Rs. 2,000 crore allocated for initial cost of
providing LPG connections to
BPL families.
GoI will pay contribution of 8.33% for of all new Pradhan Mantri Jeevan Jyoti Bima Yojana to
employees enrolling in EPFO for the first three cover both natural and accidental death risk of
years of their employment. Budget provision of Rs. 2 lakh at premium of Rs. 330 per year for
Rs. 1000 crore for this scheme
the age group of 18-50.
Target of amount sanctioned under Pradhan
Mantri Mudra Yojana increased to Rs. 1,80,000
crore

Make In India
Let us have a birds eye view on the take of Make in India in the Budget. There are other various
efforts being contributed off-budget towards this scheme.
Budget 2016-17

Budget 2015-16

Changes in customs and excise duty rates on

certain inputs to reduce costs and improve
competitiveness of domestic industry in sectors
like Information technology hardware, capital

Additional investment allowance (@ 15%) and

additional depreciation (@35%) to new
manufacturing units set up during the period 0104-2015 to 31-03-2020 in notified backward

areas of Andhra Pradesh and Telangana.

goods, defence production, textiles, mineral
fuels & mineral oils, chemicals &
Rate of Income-tax on royalty and fees for
petrochemicals, paper, paperboard & newsprint,
technical services reduced from 25% to 10%, to
Maintenance repair and overhauling [MRO] of
facilitate technology inflow.
aircrafts and ship repair.

Resource Mobilization
Government has taken various measures on pruning and realigning certain cesses to mobilize
resources for education, rural economy and clean environment.
Budget 2016-17
Tax to be deducted at source at the rate of 1 % on purchase of luxury cars exceeding value of Rs.
ten lakh and purchase of goods and services in cash exceeding Rs. two lakh.
Securities Transaction tax in case of Options is proposed to be increased from .017% to .05%.
Equalization levy of 6% of gross amount for payment made to non- residents exceeding Rs. 1
lakh a year in case of B2B transactions.
Krishi Kalyan Cess, @ 0.5% on all taxable services, w.e.f. 1 June 2016. Proceeds would be
exclusively used for financing initiatives for improvement of agriculture and welfare of farmers.
Input tax credit of this cess will be available for payment of this cess.
Infrastructure cess, of 1% on small petrol, LPG, CNG cars, 2.5% on diesel cars of certain
capacity and 4% on other higher engine capacity vehicles 13 and SUVs. No credit of this cess
will be available nor credit of any other tax or duty be utilized for paying this cess.
Clean Energy Cess levied on coal, lignite and peat renamed to Clean Environment Cess and
rate increased from Rs. 200 per tonne to Rs. 400 per tonne.
Excise duties on various tobacco products other than beedi raised by about 10 to 15%.
13 cesses, levied by various Ministries in which revenue collection is less than Rs. 50 crore in a
year to be abolished.

Yesterday, Finance Minister Arun Jaitley presented the FY2016-17 Union budget in the
parliament. Although the income tax slab rates were unchanged, there were some respite for the
common man too. Lets take a quick look at some of the highlights of this years budget
compared with the 2015 one:
Income Tax Slab
Last year, the government had kept the IT slab unchanged. This year too, it decided to continue
with the earlier slab, but gave respite to the salaried person by raising the ceiling of tax rebate
under Section 87A to Rs. 5,000 from Rs 2,000 if taxable income is less than 5 lakhs.
Additionally, house rent paid under section 80 GG has been hiked from 24,000 to 60,000 giving
relief to people living in rented homes.
Increase in excise duty/service tax:
The FM last year hiked the excised duty on cigarettes, tobacco products, condensed milk, peanut
butter making them expensive. In cigarettes, the excise duty was hiked by 15% to 25%.
However, excise duty for leather footwear costing above Rs. 1,000 was reduced from 12% to 6%
as well as for LED drivers.
This year, the FM has continued with the increase of excise duty by 10-15% for tobacco
products, except bidi. Also excise duty of 1% has been imposed on purchase of goods and
services in cash exceeding 2 lakhs. Additionally, excise duty of 2% to 5% on branded garments
will effectively make them dearer. Aerated water and mineral waters will also bear an excise
duty of 18% to 21%.
In 2015-16, service tax was increased from 12.3% to 14% making several services including
eating out, cabs, mobile, DTH, beauty parlor charges all expensive. This year, buying car has

become expensive with the introduction of 1% to 4% infrastructure cess depending on the

vehicle.
Related: How will Budget 2016 affect your personal budget?
Surcharge on income of super-rich
Budget 2015-16 had increased surcharge for the super-rich with income of more than 1 crore to
12%. This year, an additional surcharge of 3% (total of 15%) has been levied to this category.
New home buyers:
First time home buyers can get an additional deduction of Rs. 50,000 on a housing loan within
30 lakhs. Service tax exemption has also been given for construction of affordable housing up to
60 sq. m. under state and central housing schemes.
Corporate Tax:
Budget 2015-16 announced that the corporate tax rate will get reduced from 30% to 25% over a
period of 4 years. In keeping with the promise, the government this year fixed the corporate tax
for new manufacturing units at 25% and proposed to lower the corporate IT rate for small
companies with turnover of less than Rs. 5 crore.
Related: How Budget 2016 has affected your take home salary
SC/ST businesses, women entrepreneurs:
In last years budget, the government had announced a Mudra bank to provide boost to SC/ST
entrepreneurs as well as women empowerment. In this budget, FM Jaitley has allocated Rs. 500
crores under the Stand Up India scheme giving boost to the SC/ST and women entrepreneurs.
Tax on withdrawal of EPF deposits:
The Budget 2016 has made 60% of interest earned on employee-contributed EPF corpus taxable,
for all contributions made by employees after 1st April, 2016. This is a major shift from a longrunning tradition of exemption at all stages on EPF and PPF, the latter of which has remained
tax-exempt.
Agriculture
In 2015-16, Rs 25, 000 crores were allocated for Rural Infrastructure Development Bank. To
support Micro Irrigation Programme, Rs 5300 crore were separately assigned and farmers

credit-target was set at of 8.5 lakh crore. This year, Mr. Jaitley set the agriculture credit target at
9 lakh crore. He also announced the Paramparagat Krishi Vikas Yojana to bring 5 lakh acres
under organic farming and committed to bring 28.5 lakh hectares to be brought under irrigation
and to reorganise agricultural policy to double farmer income in 5 years.
To get an idea of how Budget 2016 will affect your personal budget, here is: whats become
cheaper and whats become more expensive with Budget 2016.

The Union budget is presented each year on the last working day of February by the finance
minister of India in parliament. In the article 112 of the Indian constitution Union budget of India
is referred to as the Annual Financial Statement of Government of India.
The process of bill presentation is initiated by the means of the financial bill and the
appropriation bill has to be passed by the house before it comes into effect from April 1 every
year. The first day of April marks the beginning of India's financial year.
In the following table some salient features of the budget presented today and the interim budget
2014-15 (vote-on-account since the budget had been placed before the House by the previous
UPA government) have been listed to give readers an idea about the changes which have taken
place over the course of the last two years :
Budget 2014-15

Budget 2015-16

It was presented on July 10, 2014 by Finance

Minister Arun Jaitely

It was presented on February 28, 2015 by

Arun Jaitely

Income tax exemption limit was raised last

year by 50,000 to Rs 2.5 lakh and for senior
citizens to Rs 3 lakh

This year total exemption of up to Rs

4,44,200 can be achieved as stated by the
Finance Minister.

Exemption limit for investment in financial

instruments under 80C raised to Rs 1.5 lakh
from Rs 1 lakh.

Additional 2% surcharge for the super rich

with income of more than 1 crore.

Investment limit in PPF raised to Rs 1.5 lakh

Service Tax increased to 14% from the

from Rs 1 lakh.

current 12.36%. Wealth Tax has been

abolished. 100% exemption for contribution
to Swachch Bharat apart from CSR.

Deduction limit on interest on loan for selfoccupied house was raised to Rs 2 lakh from
Rs 1.5 lakh.

DEFENCE :

Committee to look into all fresh tax demands

for indirect transfer of assets in wake of
retrospective tax amendments of 2012.

AGRICULTURE

Rs 2,46,726 crore allocated for Defence, the

primary focus of this budget is on "Make in
India" for quick manufacturing of Defence
equipment.

Rs 25, 000 crore for Rural Infrastructure

Development Bank.
To support Micro Irrigation Programme Rs
5,300 crore are separately assigned.
Farmers credit- target of 8.5 lakh crore.

Fiscal deficit target was retained at 4.1% of

GDP for current fiscal and 3.6% in FY 16.

INFRASTRUCTURE :
Rs 70, 000 crores to the Infrastructure sector.
Tax free bonds for projects in rail road and
irrigation.
Purchasing Power Parity (PPP) model for
infrastructure development to be revitalised
and govt will bear majority of the risk.

Rs 150 crore was allocated for increasing

safety of women in large cities.

Rs 150 crore allocated this time for research

and development. NITI to be established and
involvement of entrepreneurs, researchers to
foster scientific innovations.

LCD, LED, TV became cheaper last year.

The government has also proposed to set up 5

ultra mega power projects, each of 4,000
MW.

The prices of Cigarettes, pan masala,

tobacco, aerated drinks were raised last year.

The prices of Cigarettes have been increased

again this year. whereas prices of footwear
have been decreased.

Government last year projected revenue

generation from taxes of Rs 9.77 lakh crore.

WELFARE SCHEMES :
50, 000 toilets will be constructed under the
Swacch Bharat Abhiyan. Two new programs
will be introduced - GST and JAM Trinity.
GST will be implemented by April 2016

Rs 2,037 crore was set aside last year for

integrated Ganga conservation. The mission
was named as "Namami Ganga."

Mudra Bank refinance micro finance orgs. to

encourage first generation SC/ST
entrepreneurs.

Kisan Vikas patra was promised to be

It has also been projected by the Finance
reintroduced, national savings certificate with Minister that the government will ensure
insurance cover to be launched
Housing for all by the year 2020.
FDI limit to be hiked at 49 pc in defence,
insurance.

Up gradation of 80, 000 secondary and senior

secondary schools.

Disinvestment target fixed at Rs 58,425 crore

DBT will be further be expanded from 1

crore to
10.3 crore.

Gross borrowings were pegged at Rs 6 lakh

crore in 2013-14.

In the Atal Bihari Pension Yojana,

government will contribute 50% of the
premium limited to Rs 1000 a year.

Contours of GST was finalised last fiscal;

govt assured to look into DTC proposal.

A new scheme for physical aids and assisted

living devices for people aged over 80.

Pt Madan Mohan Malviya New Teachers

Training Program was launched with a sum
of Rs 500 crore.

Government to use 9000 crore rupees

unclaimed funds in PPF/EPF for senior
citizens fund.

It was also declared that the govt will provide Rs 5000 crore additional allocation for
Rs 500 crore for the rehabilitation of
MGNREGA. The government will create a
displaced Kashmiri citizens.
universal security system for all Indians.
It was declared that 5 IIM's will be opened in
HP, Punjab, Bihar, Odisha and Rajasthan.

IIM's will be opened in Jammu and Kashmir

and Andhra Pradesh, Indian Institute of
Mines (IMS) situated in Dhanbad will be
upgraded to IIT.

It was also declared that 5 more IIT's in

Jammu, Chhattisgarh, Goa, Andhra Pradesh

It was announced that a new IIT in Karnataka

will be established.

and Kerala.
Four more AIIMS like institutions to come
up in AP, West Bengal, Vidarbha in
Maharashtra and Poorvanchal in UP

This year AIIMS like institutions to be

opened in Jammu and Kashmir, Punjab,
Tamil Naidu, Himachal Pradesh, Bihar and
Assam.

Digital India program was promised to be

launched last year to ensure broadband
connectivity at village level.

RENEWABLE ENERGY

National Rural Internet and Technology

Mission for services in villages and schools,
training in IT skills proposed.

TOURISM

Rs 100 crore scheme to support 600 new and

existing community radio stations.

There will also be VISA on arrival for 150

countries.

Rs 100 crore were announced for metro

projects in Lucknow and Ahmedabad.

It was also described in the budget report

2015-16 that the credibility of the Indian
economy has been re-established in the last
nine months.The last nine months have seen
a turn around, making India one of the
fastest growing economies in the World with
a real GDP growth expected to be around
7.4%

Govt's plan expenditure pegged at Rs 5.75

lakh crore and non plan at Rs 12.19 lakh
crore

Three Key achievements :

Rs 75 crore for electric cars production.

Renewable energy target for 2022 : 100K
MW in solar; 60K MW in wind; 10K MW in
biomass and 5K MW in small hydro.

Development schemes for churches and

convents in old goa; Hampi, Elephanta caves,
Forests of Rajasthan, Leh Palace, Varanasi,
Jallianwala Bagh, Qutb Shahi tombs at
Hyderabad to be under the new tourism
scheme.

1. Financial inclusion- 12.5 crores families

financially mainstreamed in 100 days.
2. Transparent Coal block auctions to
augment resources of the States.
3. Swacch Bharat is not only a program to
improve hygiene but has also become a

movement to regenerate India.

Rs 4,000 crore to increase flow of cheaper
credit for affordable housing to urban
poors/FWS/LIG segment migrants

Game Changing reforms :

- Goods and Service Tax (GST)
- Jan Dhan, Aadhar and Mobile (JAM) for
direct benefit transfer

Set aside Rs 11,200 crore for PSU banks

capitalization, government in favour of
consolidation of PSU banks ; the objective is
to make banks more accountable and
transparent

Inflation has declined a structural shift has

been observed, CPI Inflation projected at 5%
by the end of the year, consequently, easing
of monetary policy.

Rs 7,060 crore were separately allocated for

setting up 100 smart cities

GDP growth in 2015-16 is projected to be

between 8 to 8.5%.