Budget 2020 was packaged around three central themes namely: aspirational India, economic development and a caring society. Policy formulations set forth by the government seek to elevate the nation to the next level of health, prosperity, and well-being.
Indian economy is expected to grow at 5% in FY2020 and around 6-6.5% in FY 2021. Impetus provided to agriculture and infrastructure sector is expected to provide the required boost to Indian economy. A 16 Point action plan was suggested to augment farmers income by 2022.
Infrastructure was also given emphasis in the current budget, and National Logistics Policy was proposed to be introduced to create a single window e-logistics market. This would augment inclusion of MSMEs and generate employment.
Honourable finance minister proposed a new scheme ‘NIRVIK’ which provides for higher insurance covers, reduction in premium for small exporters and simplified procedure for claim settlements. It is proposed to digitally refund to exporters, duties and taxes levied at the central, state and local levels, such as electricity duties and VAT on fuel used for transportation, which are not getting exempted or refunded under any other existing mechanism. This scheme provides for enhanced insurance cover for exporters and reduce premium for small exporters to achieve higher export credit disbursements. The scheme is being prepared by Commerce and Industry Ministry, and will be launched this year.
Measures were also proposed for developing & supporting start-ups. The government had proposed to provide early life funding, including a seed fund for supporting ideation and development of early-stage Start-ups. Quantum technology has opened new frontiers in computing, communications, cybersecurity with widespread applications. It is expected that lots of commercial applications would emerge from theoretical constructs which are developing in this area.
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