Finance Minister Nirmala Sitharaman
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Union Budget 2021: Key Highlights

Correspondent TCP February 2, 2021

FM Nirmala Sitharaman presents India’s first ever paperless Budget

New Delhi, Feb 1: Finance Minister Nirmala Sitharaman presented the Union Budget 2021 in the Parliament on Monday. It was the first time that the Budget was presented using a tablet instead of paper as a Covid-19 safeguard. She announced that the budget focuses on 6-pillars – Health & Wellbeing, Physical & Financial Capital and Infrastructure, Inclusive development of Aspirational India, Reinvigorating Human Capital, Innovation and R&D, and Minimum Government and maximum Governance.

Health & Wellbeing

The Budget includes an outlay (total spend) of Rs. 2,23,846 crores for 2021-22 for healthcare as compared to Rs. 94,452 for the previous year. This accounts for a whopping 135% increase since last year. The Made in India Pneumococcal Vaccine to be rolled out across the country. Rs. 35,000 crores were announced for Covid- 19 vaccination programme.Rs. 2,217 crores outlay to tackle air pollution. Jal Jeevan Mission launched for universal supply of water in all Urban Local Bodies.

Expenditure on Health as percentage of GDP
Expenditure on Health as percentage of GDP Image credit: Indiabudget.gov.in

Infrastructure

  • National Rail Plan aims at developing adequate railway infrastructure with an outlay of Rs. 1.10 lakh crores.
  • 100% electrification of Broad- Gauge Routes by 2023.
  • Government aims to complete 11,000 km of national highway construction this year.
  • Rs. 18,000 crores for public buses.
  • Ujjawala Scheme (PNG) to cover more than 1 crore beneficiaries.

Industry

  • Government’s Production Linked Incentive Scheme(PLI) launched to create manufacturing global champions across 13 sectors. Rs. 1.97 lakh crore for the next 5 years has been committed for the scheme.
  • MITRA scheme will create world class infrastructure in textile sector leading to creation of 7 textile parks over 3 years.

Agriculture

  • Government increased the amount of Agriculture credit to Rs. 16.5 lakh crores so that farmers have adequate credit.
  • Rs. 40,000 crores allocated to Rural InfrastructureDevelopment Funds.
  • 1000 new mandis to be integrated with e-NAM (electronicNational Agricultural Market).
  • MSP (Minimum Support Price) regime to assureprocurement price that is at least 1.5 times the cost of production.
MSP Paddy vs MSP Wheat production over the years Image credit: Indiabudget.gov.in
MSP Paddy vs MSP Wheat production over the years Image credit: Indiabudget.gov.in

Education

  • To open 100 new Sainik School, 750 Eklavya School in tribal areas.
  • To strengthen 15000 schools under the National Education Policy.
  • Central University to open in Leh.
Expenditure on Education as percent of GDP Image credit: Indiabudget.gov.in
Expenditure on Education as percent of GDP Image credit: Indiabudget.gov.in

Innovation and Research & Development

  • National Research Foundation outlay of Rs. 50,000 crores.
  • National Language Translate Mission (NLTM) to ensure Government policy related information in various Indian Languages.

Minimum Government maximum Governance
• Rs. 3,768 crores allocated to India’s first ever, milestone marking task – Digital census.

Major allocations Image credit: Indiabudget.gov.in
Major allocations Image credit: Indiabudget.gov.in

For more information read: Indiabudget.gov.in/pib.gov.in/PressReleasePage