Unorganised Sector Labourers

According to the survey conducted by the National Sample Survey Organization (NSSO) in 2004-05, the total employment in both the organized and the unorganized sectors in the country was 45.9 crore, of which 43.3 crore (about 94%) were in the unorganized sector.  In Chhattisgarh State, the number of unorganised workers was 1.05 crore.

                 Recognizing the need to provide social security to unorganised workers, the Government has enacted the Unorganised Workers’ Social Security Act 2008. The Act provides for constitution of National Social Security Board at the Central level which shall recommend formulation of social security schemes viz  life and disability cover, health and maternity benefits, old age protection and any other benefit as may be determined by the Government for unorganized workers.  Similar Social Security Boards shall be constituted at the State Level also.

The Rashtriya Swasthya Bima Yojana (RSBY) was launched on 01.10.2007 to provide smart card based cashless health insurance cover of Rs. 30000 to BPL families ( a unit of five) in the unorganized sector. 

          The Government has launched the Aam Admi Bima Yojana (AABY) to provide insurance against death and disability to landless rural households.

       Indira Gandhi National Old Age Pension scheme (IGNOAPS) was expanded by revising the eligibility criteria. The persons living below poverty line and above the age of 60 year are eligible for old age pension of Rs. 200 per month.  For persons above the age of 80 years the amount of pension has been raised to Rs. 500 per month

        The States are provided part premium funding by the Central Government on the basis of number of smart cards issued. Hence, there is no State-wise allocation under Rashtriya Swasthya Bima Yojana (RSBY).  Under Aam Admi Bima Yojana (AABY), there is a corpus fund.  There is a combined allocation for National Social Assistance Programme of which IGNOAPS is a component.  The number of beneficiaries covered under RSBY, AABY and IGNOAP for the last three years are at Annexure-I .

                This information was given by Minister of Labour and Employment Shri   Mallikarjun Kharge  in reply in reply to a written question regarding the number of workers engaged in the unorganised sector in the country including Chhattisgarh; the number of welfare schemes implemented for the said workers during the last three years alongwith the budget allocation for each schemes during the said years; the utilisation of funds as against the Budget allocated for such schemes and the total number of beneficiaries therefrom, State-wise and year-wise; and the extent to which the interests of the workers of the unorganised sector are being protected.

Annexure-I

Number of smart cards issued under RSBY

S.No.	Name of the State/Union Territory		2009-2010	2010-11	2011-12  (as on 29.02.2012)
1.	Arunachal Pradesh	-		15711	39615
2.	Assam	81565		204465	204548
3.	Bihar	2038909		5101901	7096914
4.	Chandigarh	5407		4913	4913
5.	Chhattisgarh	927672		1230378	1384680
6.	Delhi	218055		113608	144518
7.	Goa	3505		Discontinued the scheme
8.	Gujarat	682354		1919086	1850643
9.	Haryana	682354		621741	584683
10.	Himachal Pradesh	115828		237946	235131
11.	Jharkhand	434762		1329254	9484
12.	Karnataka	36971		157405	1060286
13.	Kerala	1173388		1796315	1748471
14.	Maharashtra	1440407		1516687	2172918
15.	Manipur	-		18259	31921
16.	Meghalaya	22579		59055	67150
17.	Mizoram			15240	43256
18.	Nagaland	39301		39290	77870
19.	Orissa	341653		433079	1100793
20.	Punjab	169306		193541	220486
21.	Tamil Nadu	149520		Discontinued the scheme
22.	Tripura	145780		258402	258402
23.	Uttar Pradesh	4296865		4233626	4145925
24.	Uttarakhand	53940		335424	338879
25.	West Bengal	802974		3527137	4486192
	Total		13865338	23362463	27987800

Smashing Saina retains Swiss Open

Saina Nehwal won her first title of the season when she retained the Swiss Open Grand Prix Gold trophy with a straight-game victory over China's Shixian Wang in the summit clash at Basel, Switzerland.

The world number five Indian defeated Shixian, ranked third, 21-19 21-16 in a 48-minute thrilling women's singles competition to defend her title.

Saina made a whirlwind start to the final, zooming to a healthy 11-3 lead in the first game.

Shixian reeled off four straight points and slowly made her way to level the score at 17-all but the Indian made sure she had nose ahead in the end.

In the second game, Saina had an early 3-0 lead allowed the Chinese to claw her way back to 11-8 at the break.

After the breather, the Indian gathered herself and caught up with Shixian at 13-13 and then registered four straight points from 15-all to eventually seal it comfortably.

The girl from Hyderabad, who turned 22 yesterday, Saina had beaten Japan's Minatsu Mitani in the semifinals last night.

The Indian ace had registered a 21-16 21-18 triumph over Mitani in 35 minutes to set up a summit clash with second seed Shixian.

The Chinese beat eighth seed Inthanon Ratchanok of Thailand 21-17 21-15 in another women's singles match.

In the semifinal match, Saina didn't allow the Japanese to come close to her as she opened up a 3-0 lead and kept extending it to pocket the first game.

In the second game, Mitani showed some aggression and led 7-3, but Saina caught up with her and then moved ahead to seal the match.

Saina had reached the quarterfinal of the All England Championship earlier this month.

She reached the semifinals at the Malaysia Open and the quarterfinal in the Korea Open in January this year.

5th missile hub in Andhra Pradesh to fire up defence sector

India's missile power is set to get a boost with a surface-to-air missile unit set to come up at a cost of Rs 30,000 crore at Ibrahimpatnam in Andhra Pradesh's Rangareddy district. The foundation stone for the project by Bharat Dynamics Ltd (BDL) was laid by chief minister N Kiran Kumar Reddy

The infrastructure for the project, spread over 630 acres, will be ready in three years' time. Once ready, an estimated 6,000 missiles are expected to be produced at the unit. Moreover, missile production will go up as project capacity is expanded to keep up with the demand for missiles.

M Pallam Raju, the union minister of state for defence, said that the project cost would be allocated in the 12th and 13th Plans.

Project developer BDL's turnover would go from Rs 1,000 crore to Rs 5,000 crore once production begins at the surface-to-air missile defence project unit at Ibrahimpatnam.

The new unit will create 1,000 officer-level jobs. Pallam Raju said manpower from educational institutions should be churned out as per industry requirements to enable the local population to benefit from the project and find employment at the unit.

Training in the necessary skills should be offered at the technological institutions for the local populace to be able to compete at the national level for the jobs that are created, he said, adding the Centre would soon come out with a policy that facilitates better private sector participation in the defence sector.

Gauck elected new German president

A wide majority of German lawmakers has elected former East German pro-democracy activist Joachim Gauck as new president.

Parliament speaker Norbert Lammert said on March 18 that Gauck, who enjoyed the backing of most major parties, received 991 of the 1,232 ballots cast.

The new head of state, a largely ceremonial post in Germany, was elected by a special parliamentary assembly, consisting mostly of lawmakers from Parliament and the state legislatures.

The 72—year—old Gauck is a former pastor who opposed East Germany’s then—communist regime and became head of a federal agency overseeing the files of the Communists’ ubiquitous domestic intelligence service after Germany’s reunification.

Manohar Aich, former Mr. Universe turns 100

Former Mr. Universe who has just turned 100 said on March 18 that happiness and a life without tensions are the keys to his longevity.

Manohar Aich, who is 4 foot 11 inches tall, overcame many hurdles, including grinding poverty and a stint in prison, to achieve body building glory.

Rippling his muscles and flashing a toothless grin, Mr. Aich says his ability to take his troubles lightly and remain happy during difficult times are the secrets to his long life.

That, and a simple diet of milk, fruits and vegetables along with rice, lentils and fish have kept him healthy.

“I never allow any sort of tension to grip me. I had to struggle to earn money since my young days, but whatever the situation, I remained happy,” Mr. Aich said, sitting in a room decorated with posters and pictures of his many bodybuilding triumphs.

Mr. Aich, who was born in the small town of Comilla in Bengal, was a puny youngster. But he was attracted to exercising and building his muscles when as a schoolboy he saw a group of wrestlers in action.

After leaving school in 1942, he joined the Royal air force under India’s British colonial rulers and it was there that he began his relentless pursuit of body building.

Encouraged by a British officer named Reub Martin, who introduced him to weight training, Mr. Aich earned praise for his physique from his peers in the air force.

Some years later, however, he was thrown into prison when he protested against colonial oppression.

“It was in the jail that I began weight training seriously. This helped me prepare myself for the world championship,” said Mr. Aich.

“In jail I used to practice on my own, without any equipment, sometimes for 12 hours in a day,” he recalled.

But the jail authorities were impressed with his perseverance and he was given a special diet to help build his stamina.

India’s independence in 1947 led to Mr. Aich’s release from jail. Dogged by poverty, Mr. Aich and his wife struggled to put their four children through school. There was little cash to indulge his passion for body building, but Mr. Aich took up odd jobs to earn a little on the side.

In 1951, Mr. Aich came second in the contest, and stayed on in London to prepare for another shot at the title. He returned to India after winning the title in 1952.

What followed were a host of awards, including top positions in Asian Body building Championships. Over the years, he also earned the more popular title of “Pocket Hercules” due to his 4 foot 11 inch—frame.

Six decades later, Mr. Aich helps his sons run a gym and fitness centre and spends his days guiding juvenile hopefuls to reach the heights of body building that he did.

A minor stroke last year has robbed him of the ability to lift weights, but he keeps a watchful eye on young body builders training in his gym.

Although his two sons did not take up body building, Mr. Aich says his mentoring has earned him rewards. It has produced India’s eight-time national champion, Satya Paul. Another protege, Premchand Dogra, snagged the Mr. Universe title in 1988.

Sachin Tendulkar becomes first to score 100 international centuries

Iconic Indian batsman Sachin Tendulkar on March 16 scripted history by becoming the first cricketer in the world to score 100 international centuries, a phenomenal feat which may remain unconquered for years to come.

It was the end of a long wait for the 38—year—old veteran, who had gone 33 innings and a year without a century. The right—hander made his 99th international ton in a World Cup match against South Africa in Nagpur on March 12.

Since then it had been an agonising wait for the maestro, whose every inning was watched with anticipation. He came close on quite a few occassions, only to miss the milestone so much so that it became a huge monkey on his back and an unwanted distraction during every series that India played.

He did not click with a big scores during India’s Test and ODI whitewash at the hands of England last year, and though he recovered quite a bit in the later series, the hundred still did not come.

He carried the weight of expectation to what turned out to be a horror tour of Australia. Tendulkar seemed to be in good touch during the Tests, but his form waned after he missed the 100th hundred despite coming close a few times.

Following this, he made himself available for the ODI tri—series against Sri Lanka and Australia, but there too, the milestone proved elusive.

But the wait finally ended in familiar sub—continental environs.

With an over two decade long career, records are fairly routine for Tendulkar, but for the cricketing fraternity, every run he scores just adds to the legend that the diminutive right—hander has become.

Much before his debut on November 15, 1989, Tendulkar’s precocious talent was there to be seen when he shared an unbeaten 664—run stand with friend Vinod Kambli in the Lord Harris Shield Inter—School Game in 1988.

The 1989 international debut was far less spectacular, in fact forgettable. A Waqar Younis bouncer left him with a bleeding nose but Tendulkar did not wince and the next two decades saw him punishing bowlers all over the world on all kinds of surfaces.

His first Test century came in England next year at Old Trafford and the Mumbaikar rose in stature after the 1991—92 tour of Australia, hitting sublime centuries on a Sydney turner and a Perth minefield.

The rest is history. No existing batting record seemed safe. Other than Brian Lara’s Test match highest of 400 not out and first class highest score of 501 not out, every batting record became Tendulkar’s.

A staggering 15470 runs scored in 188 Tests at a robust average of 55.44 confirmed Tendulkar’s greatness in the longer version of the game.

And in the 462 ODIs he played, a whopping 18,260 (before the Asia Cup match against Bangladesh) were added to his mountain of runs at an average of 44.64.

Tendulkar is also the first batsman in the world who has scored a double ton in ODIs, a feat he achieved in Gwalior against South Africa in February. This feat was included in ’Time’ magazine’s top 10 sports moments of the year.

A perfect teamman, Tendulkar has limited his Twenty20 ambition to the Indian Premier League where he leads Mumbai Indians, ruling himself out of national reckoning lest it upsets the existing equilibrium of the side.

The biggest compliment to his batting came from Sir Donald Bradman himself in 1999 when he said that Tendulkar’s style of playing resembled his style. “That touch I used to feel when I batted,” he had said.

Tendulkar’s colossal batting exploits have completely overshadowed his utility as a part—time bowler who reveled in breakthroughs.

He was a complete enigma with the ball, sending down military medium pace, orthodox leg—break and off—spin with the guiles that often caught batsmen off their guard.

His 45 Test wickets and 154 scalps in ODIs underline the fact that Tendulkar could have also staked claim to be that elusive all—rounder that India has been desperately looking for since the legendary Kapil Dev. But shoulder problems have not allowed him to bowl as much as he and the team would have liked.

In the field, he is among the safest pair of hands in the slip and his flat throw releasing strong arm saw him manning the deep with equal aplomb. He has taken 113 catches in Test cricket and 140 in the ODIs.

Following is the sequence of Sachin Tendulkar’s 100 international hundreds since his debut against Pakistan back in December, 1989.

1) 119 no vs England at Old Trafford on Aug 14, ‘90

2) 148 no India vs Australia at SCG on Jan 6,’92

3) 114 vs Australia at WACA, Perth on Feb 3, ‘92

4) 111 vs SA at Wanderers, Johannesburg on Nov 28, ‘92

5) 165 vs England at Chepauk, Chennai on Feb 12, ‘93

6) 104 no vs Sri Lanka at SSC, Colombo on Jul 31,’93

7) 142 vs SL at KDSB Stadium, Lucknow on Jan 19,’94

8) 110 vs Australia, at RPS, Colombo, on Sep 9, ‘94

9) 115 vs New Zealand at IPCL, Vadodara on Oct 28, ‘94

10) 105 vs West Indies at SMS, Jaipur on Nov 11, ‘94

11) 179 vs West Indies at VCA Ground, Nagpur on Dec 2,’94

12) 112 no vs Sri Lanka at Sharjah on Apr 9, ‘95

13) 127 no vs Kenya at Barabati, Cuttack on Feb 18, ‘96

14) 137 vs Sri Lanka at Kotla, New Delhi on Mar 2, ‘96

15) 100 vs Pakistan at Padang, Singapore, on Apr 5, ‘96

16) 118 vs Pakistan at Sharjah on Apr 15, ‘96

17) 122 vs England at Edgbaston, Birmingham, on Jun 8, ‘96

18) 177 vs England at Nottingham on Jul 5, ‘96

19) 110 vs Sri Lanka at RPS Colombo, on August 28, ‘96

20) 114 vs SA at Wankhede Stadium, Mumbai on Dec 14, ‘96

21) 169 vs SA at Newlands, Cape Town on Jan 4, ‘97

22) 104 vs Zimbabwe at Benoni on Feb 9, ‘97

23) 117 vs NZ at Chinnaswamy, Bangalore, on May 14, ‘97

24) 143 vs Sri Lanka at RPS, Colombo, on Aug 3, ‘97

25) 139 vs Sri Lanka at SSC, Colombo, on Aug 11, ‘97

26) 148 vs SL at Wankhede Stadium, Mumbai on Dec 4, ‘97

27) 155 No vs Australia at Chepauk, Chennai, on Mar 9, ‘98

28) 177 vs Aus at Chinnaswamy, Bangalore on March 26, ‘98

29) 100 vs Australia at Green Park, Kanpur, on Apr 7, ‘98

30) 143 vs Australia at Sharjah on Apr 22, ‘98

31) 134 vs Australia, Sharjah, on April 24, ‘98

32) 100 no vs Kenya, Eden Gardens, May 31, ‘98

33) 128 vs Sri Lanka at RPS, Colombo, on Jul 7, ‘98

34) 127 vs Zimbabwe at Bulawayo on Sep 26, ‘98

35) 141 vs Australia in Bangladesh on Oct 28, ‘98

36) 118 no vs Zimbabwe at Sharjah, on Nov 8, ‘98

37) 124 vs Zimbabwe at Sharjah on Nov 13, ‘98

38) 113 vs New Zealand at Wellington, on Dec 29, ‘98

39) 136 vs Pakistan at Chepauk, Chennai on Jan 31, ‘99

40) 124 no vs Sri Lanka at SSC, Colombo, on Feb 28, ‘99

41) 140 vs Kenya at Bristol, on May 23, ‘99

42) 120 vs Sri Lanka in Colombo, on Aug 29, ‘99

43) 126 no vs New Zealand at PCA, Mohali, on Oct 13, ‘99

44) 217 vs NZ at Motera, Ahmedabad, on Oct 30, ‘99

45) 186 vs New Zealand at Hyderabad on Nov 8, ‘99

46) 116 vs Australia at MCG on Dec 28, ‘99

47) 122 vs South Africa at Vadodara on Mar 17, ‘00

48) 101 vs Sri Lanka, Sharjah, Oct 20,’00

49) 122 vs Zimbabwe at Kotla, New Delhi, on Nov 21, ‘00

50) 201 no vs Zimbabwe at VCA, Nagpur, on Nov 26, ‘00

51) 146 vs Zimbabwe at Jodhpur, on Dec 8, ‘00

52) 126 vs Australia at Chepauk, Chennai on Mar 20, ‘01

53) 139 vs Australia at Indore on Mar 31, ‘01

54) 122 vs West Indies at Harare on Jul 4, ‘01

55) 101 vs SA at Wanderers, Johannesburg on Oct 5, ‘01

56) 146 vs Kenya at Paarl, South Africa, on Oct 24, ‘01

57) 155 vs SA at Goodyear Park, Bloemfontein, Nov 3, ‘01

58) 103 vs England at Motera, Ahmedabad, on Dec 13, ‘01

59) 176 vs Zimbabwe at VCA, Nagpur, on Feb 24, ‘02

60) 117 vs WI at QP Oval, Port of Spain, on Apr 20, ‘02

61) 105 vs England at Chester—Le—Street on Jul 4, ‘02

62) 113 vs Sri Lanka, Bristol, England, on Jul 11, ‘02

63) 193 vs England at Headingley, Leeds, on Aug 23, ‘02

64) 176 vs WI at Eden Gardens, Kolkata on Nov 3, ‘02

65) 152 vs Namibia, Pietermaritzburg, SA, on Feb 23, ‘03

66) 100 vs Australia, Gwalior, on Oct 26,’03

67) 102 vs New Zealand in Hyderabad on Nov 15, ‘03

68) 241 no vs Australia at SCG on Jan 4, ‘04

69) 141 vs Pakistan in Rawalpindi, on Mar 16, ‘04

70) 194 no vs Pakistan at Multan, on Mar 29, ‘04

71) 248 no vs Bangladesh in Dhaka, on Dec 12, ‘04

72) 123 vs Pakistan at Ahmedabad on Apr 12, ‘05

73) 109 vs Sri Lanka at Kotla, New Delhi, on Dec 22, ‘05

74) 100 vs Pakistan at Peshawar, on February 6, ‘06

75) 141 no vs WI at Kuala Lumpur, on Sept 14, ‘06

76) 100 no vs WI at Vadodara, on Jan 31, ‘07

77) 101 vs Bangladesh in Chittagong on May 19, ‘07

78) 122 no vs Bangladesh in Mirpur on May 26, ‘07

79) 154 no vs Australia at SCG, on Jan 4, ‘08

80) 153 vs Australia at Adelaide Oval, on Jan 25, ‘08

81) 117 no vs Australia at SCG on Mar 2, ‘08

82) 109 vs Australia at Nagpur, on Nov 6, ‘08

83) 103 no vs England at Chepauk, Chennai, on Dec 15, ‘08

84) 163 vs New Zealand at Christchurch, on Mar 8, ‘09

85) 160 vs New Zealand at Seddon Park, on March 20, ‘09

86) 138 vs Sri Lanka at RPS, Colombo, on Sep 14, ‘09

87) 175 vs Australia at Hyderabad on Nov 5, ‘09

88) 100 no vs Sri Lanka at Ahmedabad, on Nov 20, ‘09

89) 105 no vs Bangladesh at Chittagong, on Jan 18, ‘10

90) 143 vs Bangladesh at Mirpur, on Jan 25, ‘10

91) 100 vs South Africa at Nagpur, on Feb 9, ‘10

92) 106 vs South Africa at Kolkata, on Feb 15, ‘10

93) 200 no vs South Africa at Gwalior, on Feb 24, ‘10

94) 203 vs Sri Lanka at Colombo, on Jul 28, ‘10

95) 214 vs Australia at Bangalore, on Oct 11, ‘10

96) 111 no vs South Africa at Cape Town, on Dec 19, ‘10

97) 146 vs South Africa at Cape Town, on Jan 4, ‘11

98) 120 vs England at Bangalore, on Feb 27, ‘11

99) 111 vs South Africa at Nagpur, on March 12, ‘11

100) 114 vs Bangaldesh at Mirpur, On March 16, ‘12

Union Budget 2012-13 Summary

The Union Budget 2012-13 presented by the Finance Minister ShriPranab Mukherjee in LokSabha identifies five objectives to be addressed effectively in the ensuing fiscal year.   They include focus on domestic demand driven growth recovery; create conditions for  rapid revival of high growth in private investment;  address  supply bottlenecks  in agriculture, energy and transport sectors  particularly in coal, power, national highways , railways and civil aviation; intervene decisively  to address the problem of malnutrition  especially in the 200 high-burden districts and  expedite coordinated implementation of decisions being taken to improve delivery systems , governance, and transparency;  and address the problem of black money and corruption in public life. 

ShriPranab Mukherjee said that India’s GDP growth in 2012-13 is expected to be 7.6 per cent +/-0.25 per cent.  He said that in 2011-12, India’s GDP is estimated to grow at 6.9 per cent after having grown at the rate of  8.4 per cent in each of the  two preceding years.  He said though the global crisis  had affected India, it still remains among  the front runners in economic growth.  Shri Mukherjee said the slowdown is primarily due to deceleration in industrial growth.  Stating that the headline inflation remained high for most part of the year, the Finance Minister expressed hope that it will moderate further in the next few months and remain stable thereafter.

            Shri Mukherjee laid emphasis on striking a balance between fiscal consolidation and strengthening macroeconomic fundamentals.  He announced introduction of amendments to the Fiscal Responsibility and Budget Management Act, 2003 (FRBM Act) as part of the Finance Bill 2012.  He said that concept of “Effective Revenue Deficit” and “Medium Term Expenditure Framework” statement are two important features of Amendment to FRBM Act in the direction of expenditure reforms.  This statement shall set forth a three year rolling targets for expenditure indicators.

            The Finance Minister called for a need to have a close look at the growth of revenue expenditure, particularly, on subsidies.  He announced that from 2012-13  while subsidies related to food and for administering the Food Security Act will be fully provided for,  all other subsidies would be funded to the extent that they can be borne by the economy without any adverse implications.  He said that the Government will endeavor to restrict the expenditure on central subsidies under 2 per cent of GDP in 2012-13and over the next three years, it would be further brought down to 1.75 per cent of GDP.Shri Mukherjee said that based on recommendations of the Task Force headed by ShriNandanNilekani, a mobile-based Fertilizer Management System has been designed to provide end-to-end information on movement of fertilizers and subsidies which will be rolled out nation-wide during 2012.  He said that transfer of subsidy to the retailer and eventually to the farmers will be implemented in subsequent phases which will benefit 12 crore farmer families. 

            On the tax reforms, the Finance Minister said that the  Direct Taxes Code (DTC) Bill will be enacted at the earliest after expeditious examination of the report of the Parliamentary  Standing Committee.  He said drafting of  model  legislation for Centre and State Goods and Services Tax (GST) in concert with States is under progress.  He added that the GST network will be set up as a  National Information Utility and will become operational by August 2012.

            On the disinvestment policy, Shri Mukherjee said that the Central Public Sector Enterprises (CPSEs) are being given a level playing field vis-à-vis private sector with regard to practices like buy-backs and  listing at stock exchange.  Stating that while in 2011-12, the Government will raise about Rs.14,000crore  from disinvestment as against a target of  Rs.40,000 crore,  the Finance Minister proposed to raise  Rs.30,000 crore through disinvestment in  2012-13.  He said at least 51 per cent ownership and management of CPSEs will remain with the Government.

            Calling for strengthening investment environment, Shri Mukherjee said that efforts are on to arrive at a broad-based consensus in respect of decision to allow FDI in multi-brand retail up to 51 per cent.  He proposed to introduce a new scheme  called Rajiv Gandhi Equity Savings Scheme  to allow for income tax deduction of 50 per cent to new retail investors who invest up to  Rs.50,000 directly in equities and whose annual income is below Rs.10 lakh.  The scheme will have a lock-in period of 3 years.  Regarding capital markets, the Finance Minister  proposed to allow Qualified Foreign  Investors (QFIs) to access Indian Corporate Bond market.  He also  proposed simplifying  the process of Initial Public Offer  (IPO).

            ShriPranab Mukherjee said that the Government is committed to protect the financial health of  Public Sector Banks and Financial Institutions.    He proposed to provide Rs. 15,888 crore for capitalization of Public Sector Banks, Regional Rural Banks and other financial institutions  including NABARD.  He added that a Central Know Your Customer (KYC) depositary will be developed in 2012-13 to avoid multiplicity  of registration and data upkeep.

            The Finance Minister informed that out of 73,000 identified habitations that were to be covered under “Swabhimaan” campaign for providing banking facilities by March 2012, about 70,000 habitations have been covered while the rest are likely to be covered by March 31, 2012.    He added that as a next step Ultra Small Branches are being set up at these habitations.  In 2012-13, Swabhimaan campaign will be extended to more habitations. 

            Emphasizing on infrastructure and industrial development, Shri Mukherjee said that during the 12^th Plan, infrastructure investment will go up to Rs.50 lakh crorewith  half of this expected from private sector.  Stating  that in 2011-12 tax free bonds for Rs.30,000 crore were announced for financing infrastructure projects, he proposed to double it to raise Rs.60,000 crore in 2012-13.  The Minister proposed to allow External Commercial Borrowings (ECB) to part finance Rupee debt of existing power projects. 

            The Finance Minister ShriPranab Mukherjee announced a  target of covering  8,800 km. under NHDP next year and increase in allocation of the Road Transport and Highways Ministry  by   14 per cent to Rs.25,360 crore in 2012-13.  He proposed to permit ECB for working capital requirements of the Airline Industry for a period of one year, subject to a total ceiling  of US dollar  1 billion to address the immediate financial concerns of the Civil Aviation Sector.   He added that a proposal  to allow foreign airlines to participate up to  49 per cent in the equity  of an air transport undertaking is under active consideration.

            Expressing concern over shortage in housing sector, the Finance Minister proposed  various measures to address the shortage of housing for low income groups in major cities and towns including ECB for low cost housing projects and setting up of a Credit Guarantee Trust Fund. 

            Regarding textile sector, the Finance Minister announced setting up of two more mega clusters, one to cover Prakasam and Guntur districts in Andhra Pradesh and other for Godda and neighboring districts in Jharkhand in addition to 4 mega handloom clusters already operationalized.  He also proposed setting up of three Weavers Service Centres, one each in Mizoram, Nagaland and Jharkhand.  The Minister proposed  aRs. 500 crore pilot scheme in twelfth plan for promotion and application of Geo-textiles in the North East.   A powerloom Mega Cluster  will be set up in  Ichalkaranji in Maharashtra.

            The Finance Minister proposed to set up a Rs.5000 croreIndia  Opportunities Venture Fund with SIDBI to enhance availability of equity to Micro, Small and Medium Enterprises. 

            Stating that agriculture will continue to be a priority for Government,  Shri Mukherjee proposed  an increase  by 18 per cent to Rs. 20,208 crore in the total Plan Outlay for the Department of Agriculture and Cooperation in 2012-13.  He said that the outlay for RashtriyaKrishiVikasYojana (RKVY) is being increased to  Rs. 9217 crore in 2012-13. 

            Underlining importance of timely access to affordable credit for farmers, the Finance Minister proposed to raise the target for  agricultural credit to Rs.5,75,000 crore, which represents an increase of Rs. 1,00,000 crore over the target for the current year..   He said that a short term RRB Credit  Refinance Fund is being set up to enhance the capacity of Regional Rural Banks to disburse short term crop loans to the small and marginal farmers.  He added that Kisan Credit Card Scheme will be modified to make it a smart card which can be used at ATMs.

            The Financed Minister said that in order to have a better out reach of the food processing sector, a new centrally sponsored scheme titled National Mission on Food Processing will be started in cooperation with the States in 2012-13. 

            The Finance Minister proposed an increase of 18 per cent to  Rs.37,113crore for Scheduled Castes Sub Plan and  an increase of 17.6 per cent to Rs.21,710 crore for Tribal Sub Plan during 2012-13. 

            Regarding food security, Shri Mukherjee said that National Food Security Bill 2011 is before Parliamentary Standing Committee.   He said a multi-sectoralprogramme to address maternal and child malnutrition in selected 200 high burdened districts is being rolled out during 2012-13.  He further  said that an allocation of Rs.15,850 crore has been made for ICDS scheme which is an increase of 58% and Rs.11,937 crore for  National Programme of Mid-Day Meals in schools for the year 2012-13.  He added that an allocation of Rs.750 crore is proposed for Rajiv Gandhi Scheme for Empowerment of Adolescent Girls, SABLA. 

            The allocation for rural drinking water and sanitation is proposed to be increased by over 27 per cent to Rs. 14,000 crore and for PradhanMantri Road SadakYojana by 20 per cent to Rs. 24,000 crore in 2012-13.  He proposed to enhance the allocation under Rural Infrastructure Development Fund to  Rs. 20,000 crore with  Rs.5,000 crore exclusively earmarked for .creating warehousing facilities.

            The Finance Minister proposed an  increase in  allocation by 21.7 per cent  for Right to Education – SarvaShikshaAbhiyan to Rs.25,555 crore and by 29 per cent  for RashtriyaMadhyamikShikshaAbhiyan to Rs. 3,124 crore,   He proposed to set up a Credit Guarantee Fund to ensure better flow of funds to students.

            Regarding health sector  he proposed an increase in allocation for NRHM to Rs.20,822 crore in 2012-13.  He also said that National Urban Health Mission is being launched.

            The Finance Minister said that Mahatma Gandhi National Rural Employment Guarantee Scheme has had a positive impact.  He proposed an allocation of Rs.3915 crore for National Rural Livelihood Mission (NRLM) which represents an increase  of 34 per cent. He proposed to provide Rs.200 crore to enlarge the corpus to Rs.300 crore of the Women’s SHG’s Development Fund.  He said the fund will also support the objectives of  Aajeevika i.e.  NRLM and will empower  women  SHGs to access bank credit. He also proposed to establish a Bharat Livelihoods Foundation of India through Aajeevika which will support and scale up civil society initiatives and interventions particularly in the tribal regions covering around 170 districts.

            Allocation under National Social Assistance Programme (NSAP) is proposed to be raised by 37 per cent to Rs. 8447 crore.  Under the Indira Gandhi National Widow Pension Scheme and Indira Gandhi National Disability Pension Scheme for BPL beneficiaries, the monthly pension amount per person is being raised from Rs. 200 to Rs.300.

            The Finance Minister announced a provision of Rs.1,93,407crore for Defence Services including Rs.79,579 crore for capital expenditure.  He said the allocation is based on present needs and any further requirement would be met.

           

Addressing Governance related issues, Shri Mukherjee said adequate funds are proposed to be allocated to complete enrolments of another 40 crore persons under UID Mission. Outlining the steps taken by the Government to address the issue of black money, the Minister proposed to lay a White Paper  on Black Money in the  current session of Parliament.

In the Budget Estimates for 2012-13, the Gross Tax Receipts are estimated at Rs.10, 77,612 crore which is an increase of 15.6 per cent over the Budget Estimates and 19.5 per cent over the revised estimates for 2011-12.  After devolution to States, the net tax to the Centre in 2012-13 is estimated at Rs. 7,71,071crore.  The Non Tax Revenue Receipts are estimated at Rs.1,64,614crore and Non-debt Capital Receipts  at Rs.41,650 crore.  The total expenditure for 2012-13 is budgeted  at Rs.14,90,925 crore.  Of this Rs.5,21,025crore is the Plan Expenditure while Rs.9,69,900 crore is budgeted as Non Plan Expenditure.

            The tax proposals are guided by the need to move towards the Direct Tax Code(DTC) in the case of direct taxes and Goods & Services Tax (GST) in the case of indirect taxes.

            Individual income upto Rs.2 lakh will be  free from income tax; income upto Rs.1.8 lakh was exempt in 2011-12.  Income above  Rs.5 lakh and upto Rs.10 lakh now carries tax at the rate of 20 per cent; the 20% tax slab was from Rs.5 lakh to Rs.8 lakh in 2011-12.  A deduction of upto Rs.10,000 is now available for interest from savings bank accounts. Within the existing limit for deduction allowed for health insurance, a deduction of upto  Rs.5000 is being allowed for preventive health check-up.  Senior citizens not having income from business will now not need to pay advance tax.

            While no changes have been made in corporate taxes, the budget proposes a number of measures  to promote investment in specific sectors.  In order to provide low cost funds  to some stressed infrastructure sectors, withholding tax on interest payments on external borrowings (ECBs) is being reduced from 20 percent to 5 per cent for 3 years.  These sectors are - power, airlines, roads and bridges, ports and shipyards, affordable housing, fertilizer, and dam.

            Investment linked deduction of capital expenditure in some businesses is proposed to be provided at 150 per cent as against the current rate of 100 per cent.  These sectors include cold chain facility, warehouses  forstoring food-grains, hospitals, fertilizers and affordable housing.   Bee keeping, container  freight and warehousing  for storage of sugar will now also be eligible for investment linked deduction.  

The budget also proposes weighted deduction for R&D expenditure, agri-extension services and expenditure on skill development in the manufacturing sector.

            For small and medium enterprises (SMEs) the turnover limit for compulsory tax audit of accounts as well as for presumptive taxation is proposed to be raised from Rs. 60 lakh to Rs. 1 crore. In order to augment funds for SMEs,  sale of residential property will be exempt from capital  gains tax, if the proceeds are used for purchase of plant and machinery, etc. 

            A General Anti-Avoidance Rule (GAAR) is being introduced in order to counter aggressive tax avoidance. Securities transaction tax (STT) is being reduced by 20 per cent on cash delivery transactions, from 0.125% to 0.1%.  Alternative Minimum Tax is proposed to be levied from all persons, other than companies, claiming profit linked deductions.

            The Finance Minister has  proposed a series of measures to deter the generation and use of unaccounted money. In the case of assets held abroad, compulsory reporting is being introduced and assessment upto 16 years will now be allowed to be re-opened.  Tax will be collected at source on trading in coal, lignite and iron ore; purchase of bullion or jewellery above Rs. 2 lakh in cash; and transfer of immovable property (other than agricultural land) above a specified threshold.  Unexplained money, credits, investments, expenditures etc. will be taxed at the highest rate of 30 per cent irrespective of the slab of income.

            The Finance Minister has made an effort to widen the service tax base, strengthen its enforcement and bring it as close as possible to the central excise. A common simplified registration form and a common return are being introduced for central excise and service tax.

            All services will now attract service tax, except those in the negative list.  The negative list  has 17 heads and includes  specified services provided by the government or local authorities, and services in the fields of education, renting of residential dwellings, entertainment and amusement,   public transportation, agriculture and animal husbandry.  A number of other services including health care, and services provided by charities, independent journalist, sport persons, performing artists in folk and classical arts, etc are exempt from service tax.  Film industry also gets tax exemption on copyrights relating to recording of cinematographic films.

Service tax rate is being increased from 10 per cent to 12 per cent, with consequential change in rates for services that have individual tax rates. The standard rate of excise duty for non-petroleum goods is also being raised from 10 per cent to 12 per cent. No change is proposed in peak rate of customs duty of 10 per cent on non-agricultural goods.

The Budget offers relief to different sectors of economy, especially those under stress.  Import of equipment for fertilizer projects are being fully exempted from basic customs duty of 5 per cent for 3 years.  Basic customs duty is also being lowered for a number of equipment used in agriculture and related areas.  

In the realm of infrastructure, customs relief is being given to power, coal and railways sectors.  While steam coal gets full customs duty exemption for 2 years (with the concessional counter-veiling duty of 1 per cent), natural gas, LNG and certain uranium fuel get full duty exemption this year.  Different levels of duty concessions are being provided to help mining, railways, roads, civil aviation, manufacturing, health and nutrition and environment.  So as to help modernization of the textile industry, a number of equipment are being fully exempted from basic customs duty, and lower customs duty is being proposed for some other items used by the textile industry. 

Customs duty is being raised for gold bars and coins of certain categories, platinum and gold ore.  Customs duty  is to be imposed on coloured gem stones.  Excise duty on certain categories of cigarettes and bidis, pan masala and chewing tobacco is being increased.  Customs duty is being increased  on completely built large cars/ SUVs/ MUVs of value exceeding $40,000. 

Silver jewellery will now be fully exempt from excise duty. Unbranded  precious metal jewellery will attract excise duty on the lines of branded jewellery. Operations are being simplified and measures taken to minimize impact of this provision on small artisans and goldsmiths.

While direct tax proposals in the Budget will result in a net revenue loss of Rs.4,500crore, indirect taxes will result in a net revenue gain of Rs.45,940 crore.  Thus, the tax proposals will lead to a net gain of Rs.41,440crore.