Union Budget 2011: Highlights so far
Published on Mon, Feb 28, 2011 at 12:30   |  Updated at Mon, Feb 28, 2011 at 
13:11   |  Source : Moneycontrol.com

Finance minister Pranab Mukherjee outlined the theme of the budget by saying 
that food inflation is a key area of concern. He said that strong fiscal 
consolidation and enlarged resource base of private enterprise is necessary. 

"Simplifying administrative procedure for taxation important," he said in his 
opening remarks. 

Here are the latest updates:

  a.. Growth in 2010 has been broad based 
  b.. Fiscal consolidation has been impressive 
  c.. Food inflation still remains a concern 
  d.. Have to ensure more stable macro economic environment 
  e.. Need to improve supply response in agri sector 
  f.. Budget is a transition towards transparent economy 
  g.. Economy back to pre crisis growth trajectory 
  h.. FY12 budget to be a transition towards more transparent administration 
  i.. Do not forsee resources being a major constrain in medium-term 
  j.. Corruption is a problem; need to fight it collectively 
  k.. Govt is engaging in solving gaps in recent corporate governance 
  l.. This year's budget is a transition to a more transparent system 
  m.. Reaching the end of a remarkable fiscal year 
  n.. Have been deeply conscious about improving governance 
  o.. Indian economy expected to grow at 9% in FY12 
  p.. Economy regained pre-crisis growth momentum 
  q.. Expect inflation and CAD to be lower in 2011-2012 
  r.. Average inflation and current account deficit to be lower and better 
managed next year 
  s.. Economic growth seen at 8.75-9.25% in FY12 
  t.. GDP in FY11 estimated to have grown at 8.6% in real terms 
  u.. Current account deficit poses some concern 
  v.. See average inflation lower In FY12 
  w.. Current account concern due to composition of FX flows 
  x.. 'Corruption is a problem; must fight it collectively' 
  y.. Impression of drift in govt 'misplaced' 
  z.. Taking steps to simplify tax, tariff procedures 
  aa.. See FY11 farm growth at 5.4%, GDP growth at 8.6% 
  ab.. FY11 industrial growth seen at 8.1%, services growth at 9.6% 
  ac.. High gap between wholesale, retail prices 'unacceptable' 
  ad.. MF can accept subscription foreign investors who meet KYC norms 
  ae.. Discussions underway to relax FDI policy 
  af.. To introduce Public Debt AMC of India Bill in FY12 
  ag.. Divestment in FY12 seen at Rs 40000cr 
  ah.. Preparations for GST rollout in final stages 
  ai.. Will introduce GST Bill in current session 
  aj.. Govt will move to direct transfer of fertiliser subsidy to cos 
  ak.. Extension of NBS to cover urea under review 
  al.. Significant progress on the GST network 
  am.. Direct Tax Code will be effective April 1, 2012 
  an.. New Public debt mgmt bill to be introduced in Parliament soon 
  ao.. DTC will be finalised in 2011 
  ap.. Govt in the process of setting up independent debt managing committee 
within finance ministry 
  aq.. Average inflation and current account deficit to be lower and better 
managed next yr 
  ar.. Expect inflation and CAD to be lower in 2011-2012 
  as.. Current account deficit poses concerns due to its composition 
  at.. Exports grown by 29.4%; imports grown by 17.6% 
  au.. Current account deficit at 2009-10 levels 
  av.. Impact of monetary tightening to show up with a lag 
  aw.. Huge differences between wholesale and retail prices not acceptable 
  ax.. Expect RBI to moderate inflation in coming months 
  ay.. Shortfalls in distribution and marketing systems in food 
  az.. Economy has shown resilience to external and internal shocks 
  ba.. Consumers have been denied a seasonal fall in food prices

(Sweety Bhalla)
Assistant Manager (Compliance)
IFCI  LTD
New Delhi India
E-Mail: [email protected]



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