BUDGET HIGHLIGHTS FOR 2021-22


• Total Expenditure ₹34.83 lakh crore.

• Capital Expenditure (Capex) ₹5.54 lakh crore: May give a push to infrastructure and revive investment.

• A Bad Bank has been proposed to address the problem of NPAs across banking industry. Now the banks may focus on lending.

• Target for total credit Agriculture Credit ₹16.5 lakh crore.

• Funds allocated for Recapitalisation of banks ₹20000 crore.

• FDI in Insurance sector has been raised to 74% from 49% • Funds allocated for enhancing and expansion of digital payment industry in India ₹1500 crore. RBI has already announced an Infrastructure Development Fund for promoting digital payments in rural India of ₹345 crore.

• Fiscal deficit has been targeted at 6.8% of GDP.

• The Government has fixed a target for disinvestments at ₹1.75 lakh crore.

• Funds allocated for on going Public Immunization drive ₹35000 crore.

• Two PSBs and one General Insurance Company may be privatized.

• Establishment of Development Financial Institutions (DFIs) has been proposed with a capital base of ₹20000 crore.

• Funds allocated for Railways ₹1.10 lakh crore.

• Funds allocated for MSMEs ₹15700 crore. It is more than double of last year’s allocation.


THE BUDGET HAS BEEN WELCOMED BY THE SHARE MARKET BY SENSEX HIKING MORE THAN 2314 POINTS.IT HAS BEEN WELCOMED BY INDUSTRIES, MSMEs, AGRICULTURISTS, ECONOMISTS AND GENERAL PUBLIC AS NO NEW TAX EXCEPT CESS ON PETROL AND DIESAL .CUSTOM DUTY OF GOLD HAS BEEN REDUCED, WHICH MAY MAKE THE GOLD CHEAPER.THE IDEAN OF A BAD BANK TO TACKLE THE NPAs IS ALSO A GOOD IDEA ACCORDING TO EXPERTS.

Prof. S.P.Singh

One stop solution for all updates in the Banking Arena, assisting one and all to reach soaring heights in their careers. Analysis on recent policies and its impact in the "finance" domain, coming straight from a seasoned Banker and mentor of 1982 vintage.

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