Union Budget Session 2015-16

On 28 February 2015, Acropolis Faculty of Management and Research, Indore organized the “LIVE TELECAST” of the Union Budget. As the citizen of India it’s our primary duty to know the Budget and various schemes proposed by Finance Minister.

The budget of 2015-16 was announced by Honorable Finance Minister Mr. Arun Jaitley in the Loksabha and Ms. Sumitra Mahajan was the Honorable Speaker. Following are the highlights of the Budget –

·         FISCAL DEFICIT

o   Fiscal deficit seen at 3.9 percent of GDP in 2015/16

o   The challenging fiscal target of 4.1 percent of GDP will be met

·        GROWTH

o   GDP growth seen at between 8 percent and 8.5 percent y/y

o   Aiming double digit growth rate, achievable soon

·        INFLATION

o   Expects consumer inflation to remain close to 5 percent by March, opening room for more monetary policy easing

o   Monetary policy framework agreement with the RBI clearly states objective of keeping inflation below 6 percent

·        REVENUES

o   Agricultural incomes are under stress

o    Net receipts under market stabilisation scheme estimated at 200 billion rupees

·        DISINVESTMENT

o   Government targets 410 billion rupees ($6.7 billion) from stake sales in companies in 2015/16

o    Total stake sale in 2015/16 seen at 695 billion rupees

·        MARKET REFORMS

o   Propose to merge commodities regulator with SEBI

o   To bring a new bankruptcy code

·        POLICY REFORMS

o   To enact a comprehensive new law on black money

o   Propose to create a universal social security system for all Indians

·        TAXATION

o   To abolish wealth tax

o   Replaces wealth tax with additional 2 pct surcharge on super rich

o   Proposes to cut to 25 percent corporate tax over next four years