A glance at Union Budget 2007-2008
▪ Manufacturing growth rate estimated at 11.3 per cent.
▪ 9.2 per cent GDP growth rate estimated in 2006-07. Average growth for last three years is 8.6 per cent.
▪ Saving rate of 32.4 per cent, investment rate of 33.8 per cent will continue.
▪ A number of proposals to perk up agriculture to be announced.
▪ Average inflation in FY '07 to be 5.2-5.4 per cent; Confident of managing inflation, says Finance Minister P Chidambaram.
▪ Bank credit rate grew by 29 per cent during first ten months of 2006-07.
▪ Inflation during 2006-07 estimated at between 5.2 and 5.4 per cent against 4.4 per cent during the previous year.
▪ No new forward contract to be launched on wheat and rice from February 28.
▪ Abhijit Sen report on forward trading to be submitted in two months' time.
▪ Additional irrigation potential of 24 lakh hectares to be implemented, including nine lakh hectares under Accelerated Irrigation Benefit Programme
▪ Economy in a stronger position than ever before
▪ 15,054 villages have been covered under rural telephony and efforts to be made to complete the target of covering 20,000 villages by 2006-07
▪ Allocation on Healthcare to increase by 21.9 per cent
▪ Allocattion for education to be enhanced by 34.2 per cent
▪ Two lakh more teachers to be employed and five lakh more classrooms to be constructed
▪ Secondary education allowance to be increased from Rs.1,837 crore to Rs.3,794 crore
▪ Government committed to fiscal reforms
▪ Foreign exchange reserves stand at 180 billion dollars
▪ Allocation under Rajiv Gandhi Drinking Mission stepped up from Rs 4680 crore to Rs 5850 crore
▪ Government concerned over inflation and would take all steps for moderating it
▪ Already a number of steps on fiscal, monetary and supply management side have been taken
▪ Annual target of 15 lakh houses under Bharat Nirmal Programme to be exceeded
▪ Allocation for National Rural Health Mission stepped up from Rs 8207 crore to Rs 9947 crore
▪ Gross budgetary support in 2007-08 raised to Rs 2,05,100 crore from 1,72,728 crore in 2006-07. Of this, budgetary support to the Central plan will go up to 1,54,939 crore against 1,72,728 crore
▪ Allocation for AIDS control programme to be raised to Rs 969 crore
▪ School dropout rates high. To prevent dropout, a National Means-cum-Merit scholarship to be implemented, with an allocation of Rs 6,000 per child.
▪ Rs 1290 crore to be provided for elimination of polio. Intensive coverage will be undertaken in 20 districts in UP and 10 districts in Bihar. This will be integrated into NRHM.
▪ National AIDS Control Programme to achieve zero level disease.
▪ Measures for significant improvement of health care in rural area.
▪ Allocation for ICDS programme to be increased from Rs 4087 crore to Rs 4761 crore.
▪ 130 more districts under NREGA. Additional allocation of Rs.12,000 crore for it.
▪ Rs 800 crore for Sampoorna Gram Rozgar Yojana in districts not covered by NREGA. Swarna Jayanti Swarozgar Yojana allocation increased from Rs 250 crore to Rs 344 crore.
▪ Computerisation of PDS and integrated computerisation programme for FCI.
▪ Allocation for schemes only for SCs and STs to be increased to Rs 3271 crore.
▪ Rs 63 crore for share capital for National Minorities Development Finance Corporation following Sachar Committee recommendations.
▪ Allocation for SC/ST scholarships enhanced from Rs.440 crore to Rs.611 crore.
▪ Scholarships programme for minorities students to be of the order of Rs 72 crore for pre-metric, Rs 48 crore for graduate and postgraduate.
▪ Total Budget for the Northeastern region raised from Rs 12,041 crore to Rs 14,365 crore.
▪ New Industrial Policy for the northeastern region to be in place before March 31
▪ Women's development allocation will be Rs.22,282 crore
▪ Rs 7,000 crore allocation for better tax administration to be used for social schemes.
▪ Rs 2,25,000 crore farm credit proposed in the new budget. A target of additional 50 lakh farmers to be brought under farm credit.
▪ Farmers' credit likely to reach Rs.1,90,000 crore as against the targeted Rs.1,75,000 crore during 2006-07.
▪ Special Purpose Tea Fund to rejuvenate tea production.
▪ Rs. 100 crore allocated for National Rainfed Area Authority.
▪ National Agricultural Insurance Scheme to be continued for Kharif and Rabi this year.
▪ 70 lakh households to be covered under a social welfare scheme with LIC and with support from state governments.
▪ 50 per cent of the premium at Rs.200 per household to be given by the Centre. Rs.1,000 crore fund to be maintained by LIC for the purpose.
▪ Central public sector enterprises will be given Rs 16,261 crore as equity support and loans of over Rs 2600 crore.
▪ FDI inflows between April and January this fiscal touched 12.5 billion dollars while portfolio investment reached 6.8 billion dollars.
▪ Allocation for National Highway Development programme to be stepped up from Rs 9955 crore to Rs 12600 crore.
▪ Work on Golden Quadrilateral road project nearly complete. Considerable progress made on North-South, East-West corridor and likely to be completed by 2009.
▪ Northeastern region will get Rs 405 crore for highway development. Road-cum-rail project over Brahmaputra in Bogibil, Assam.
▪ Textile Upgradation Fund raised to Rs 911 crore as against Rs 535 crore during 2006-07.
▪ Health insurance cover for weavers to be enlarged to ancillary industries. Allocation increased from Rs 241 crore to Rs 321 crore.
▪ A scheme for modernisation and technological upgradation of choir industry for which Rs 23.55 crore has been earmarked.
▪ Tourism infrastructure to get an allocation of Rs. 520 crore as against Rs. 423 crore last year.
▪ The ceiling of loans for weaker sections under differential rate of interest scheme will be raised from Rs 6,500 to Rs 15,000 and in housing loan from Rs 5,000 to Rs 20,000.
▪ Regulations would be put in place for mortgage a guarantee company for housing loans.
▪ Indian investors to be allowed investment in overseas capital markets through mutual funds. Mutual funds to set up Infrastructure Fund schemes.
▪ Defence allocation increased to Rs 96,000 crore. This includes capital expenditure of Rs 41,922 crore
▪ Any requirement for security of the nation to be provided.
▪ Backward Regions Grant Fund to be raised to Rs 5,800 crore.
▪ E-governance allocation to be increased from Rs 395 to Rs 719 crore. A high-powered committee report aimed at making Mumbai a world class financial centre submitted. Public suggestions will be invited.
▪ Rs 50 crore provided to begin work on vocational education mission for which Task Force in Planning Commission is chalking out a strategy.
