Categories: Business

Finance Minister announce fifth and final tranche of covid stimulus


Finance Minister

new Delhi. Finance Minister Nirmala Sitharaman has today released the fifth and final part of the Self-Reliant India Package. In the fifth part, new reform measures have been announced to increase private sector participation. At the same time, due to Corona, relief companies have also been given relief. Know what were the special features of today's package ..

Rural employment and health

The Finance Minister today announced that the government will make an additional allocation of 40 thousand crores under MGNREGS. This will provide additional employment equal to 300 crore persons day. On the one hand, necessary infrastructure like water conservation will be made better by providing employment to the workers, on the other hand the rural economy will also be supported. The government has also talked about increasing public spending on health. Which will prepare the country for future epidemics.

Technology based education

The program for digital online education has been announced to be launched soon. A channel will be launched for every class from 1 to 12. It has also been announced to launch the National Foundation for Literacy and Numeracy by December 2020.

Relief on default, criminal provision

The finance minister has today announced relief for companies facing difficulties in repaying loans or following rules due to the Corona crisis. According to the Finance Minister, these steps will make companies easier to work. According to the announcement, the minimum limit for starting insolvency proceedings has been increased from Rs 1 lakh to Rs 1 crore. A year of relief has been given on the new start in insolvency proceedings based on the state of the epidemic. At the same time, steps have been taken to exclude loans taken due to Kovid 19 from the definition of default. Along with this, a decision has been taken to keep many cases related to minor lapses or deficiencies in following the rules related to business due to Corona crisis.

Ease of Doing Business

According to the Finance Minister, Indian public companies will be able to make direct listings of securities in permitted foreign jurisdictions. At the same time, private companies listing NCDs on the stock exchange will not be considered listed companies. That means raising money for companies will now be easier than before.

Private sector and government companies

According to the Finance Minister, soon such a policy will be brought after which private companies will be able to work in every sector of the country, while government companies will work only in select sectors. Only a maximum of 4 government companies will work in the strategically important sector, although these sectors will also be open to private companies. At the same time, the government companies of non-essential sector will be privatized.

Help to state governments

In view of the Corona crisis, the central government has increased the lending limit of the states from 3 per cent to 5 per cent. This increase is for this financial year. The move will provide resources worth Rs 4.28 lakh crore to the states.

Total self-sufficient India package of around 21 lakh crores

According to the Finance Minister, to make the country self-sufficient after the Corona crisis, the government has released a total package of Rs 20.97 lakh crore. Out of this, steps worth more than Rs 11 lakh crore have been announced in the last 5 days. Apart from this, relief of about 1.93 lakh crores has been released under the Garib Kalyan Yojana and Rs 8 lakh crores through the Reserve Bank.

This post was published on May 17, 2020 3:32 pm

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