Prime Minister Narendra Modi termed the Union Budget 2020 as a one based on vision and action-oriented, adding that the Budget focuses on the MSME sector and exports.
Saying that MSME and Export sectors are a source of employment generation, he said, the budget focuses on increasing exports along with financing of small scale industries.
In his remarks after the Union Budget was tabled in the Lok Sabha, the Prime Minister said, “The new reforms announced in the Budget not only give a boost to the economy but also aim at the economic empowerment of every citizen in the country.”
“This budget also works towards further strengthening the economy in the new decade”, he said.
The Prime Minister said the Budget 2020 focuses on major employment generating sectors viz Agriculture, Infrastructure, Textiles and Technology.
“The 16 Action Points will help in doubling the farmers income along with increasing the employment generation in the Rural Sector”, he said.
“The Union Budget adopts an integrated approach for the Agriculture sector, where the focus apart from Traditional means of cultivation is also on increasing the value addition in horticulture, fisheries and animal husbandry and this in turn would increase employment”, he said.
“The efforts in blue economy would bring about more employment to the youth in fish processing and marketing”.
Modi said there was a decision on the new machines in the technical textiles.
He said Budget also announced the reforms in the raw material duty structure so as to increase the production of man-made fibre in India. Prime Minister said, there was a demand for this reform for the last 3 decades.
He added, “The Ayushman Bharat programme has expanded the health sector in the country. This has expanded the scope for more human resources, whether of doctors, nurses or attendants, along with the need for manufacturing of medical devices in the country. And the Government has taken several decisions in this direction.”
Modi said that the Government has taken several special measures to improve the employment generation in the Technology sector. “We have taken several policy initiatives with regard to Smart Cities, Electronic Manufacturing, Data Centre Parks, Bio-Technology and Quantum Technology. With this India would become an integral part of the global value chain”
“Budget focuses skill development of the youth through new and innovative initiatives like apprenticeship in Degree Courses, Internship in Local Bodies and online degree courses”, he said.
A modern India needs modern infrastructure and the sector is a great employment generator, he said.
“Over 100 Lakh Crore rupees is being invested in over 6500 projects and this would create a massive employment generation potential. The national logistics policy would also aid in trade, industry and employment”, he said.
“The announcement to develop 100 new airports would give a boost to tourism in the country and along with a huge potential for employment generation,” he said.
The Prime Minister said the budget has taken several historic steps to boost investment which is a major driver for employment.
“Several steps have been taken to strengthen the bond market and long term financing of Infrastructure projects. Similarly with the abolition of Dividend Distribution Tax, companies would be having over Rs 25000 Crores for further investment.”
“Also to attract FDI many tax concessions were announced”, he said.
“Similarly tax benefits were provided to start ups and the real estate sector too”, he said.
Prime Minister said that the Government is creating an atmosphere where there would be no disputes but trust in the Income Taxation.
“Even small mistakes were considered criminal in the Company Law, now we have taken a major decision to de-criminalise such acts.”
“We are launching the Taxpayer Charter, which would list out the rights of the tax payers”.
In the same direction to increase the trust, the Prime Minister said the Budget announced that now it is not mandatory to audit those MSME’s who turn over is up to Rs 5 Crores.
“Earlier this limit was up to Rs 1 Crore, but now it has been increased to Rs 5 Crores”, he said.
“As of now the youth in the country have to take different exams for different government jobs. Bringing about a systemic change in this, the National Recruitment Agency will now hold one online common exam for recruitment to various jobs either for banks, railways or any other government job”, he said.
Prime Minister said the steps such as Faceless Appeal, Simplified Direct Tax, Efforts to step up disinvestment of PSUs, Unified Procurement System, Auto Enrolment are all aimed at Minimum Government & Maximum Governance.
Further Prime Minister said the Budget announced the linking of Anganwadis, Schools, Wellness Centres and Police Stations in over One Lakh Gram Panchayats through Broadband Internet.
He said this would help in “Ease of Doing & Ease of Living”.
“This would connect several remote villages also through broadband”, he said.
The Prime Minister summed up the Union Budget 2020 as one that strengthens Income and Investment, Demand & Consumption; one that would bring in new inspiration into the Financial System & Credit Flow.