Prominent Themes of Union Budget 2020-2021
Key Points of the Union Budget 2020-21:-
- STRUCTURAL REFORMS
- Honourable exit through IBC for companies.
- 20 percent reduction in turn around time for trucks.
- Benefit to MSMEs through enhanced threshold and composition limits.
- Savings of about 4 per cent of monthly spending for an average household.
- In last 2 years, 60 lakh new taxpayers added and 105 crore e-way bills generated
Shift to DBT :
- During 2018- 19, `7 lakh crore transferred through DBT.
Next wave :
- Improve physical quality of life through National Infrastructure Pipeline.
- Disaster Resilience.
- Social Security through Pension and Insurance penetration.
- Digital Governace
Governance guided by “Sabka Saath, Sabka Vikas, Sabka Vishwas” with focus on:
- Preventive Healthcare: Provision of sanitation and water
- Healthcare: Ayushman Bharat
- Clean energy: Ujjawala and Solar Power
- Financial Inclusion Credit support and Pension Financial Inclusion, Credit support and Pension
- Affordable Hosuing
- Digital penetration
- Deposit Insurance Coverage to increase from `1 lakh to `5 Lakh per depositor.
- Eligibility limit for NBFCs for debt recovery under SARFAESI Act proposed to be reduced to asset size of `100 crore or loan size of `50 Lakh.
- Proposal to sell balance holding of government in IDBI Bank Proposal to sell balance holding of government in IDBI Bank.
- Separation of NPS Trust for government employees from PFRDAI
- Specified categories of government securities would be opened for non-resident investors
- FPI Limit for corporate bonds to be increased to 15 per cent.
- New debt ETF proposed mainly for government securities