Ahead of the budget session of Parliament Prime Minister Narendra Modi has said that this decade is very important for the bright future of India.

"Today commences the first Session of this decade. This decade is very important for the bright future of India. A golden opportunity has come before the nation to fulfil the dreams seen by the freedom fighters," said Prime Minister Narendra Modi.

"Confident that MPs will not shy away from contributing to make full use of Parliament for fulfilling people's aspirations," said PM Modi.

"Keeping in mind this decade, there should be discussions, presentation of different views this session," PM Modi added.

The budget session of Parliament began today with an address by President Ram Nath Kovind and will be followed by the presentation of the Economic Survey.

The Union Budget will be presented by Finance minister Nirmala Sitharaman on February 1. Both the houses will also debate on the motion of thanks to the President's address after the budget presentation.

(With inputs from agencies)

Ahead of the budget session of Parliament Prime Minister Narendra Modi has said that this decade is very important for the bright future of India. "Today commences the first Session of this decade.

Ahead of the budget session of Parliament Prime Minister Narendra Modi has said that this decade is very important for the bright future of India. "Today commences the first Session of this decade. This decade is very important for the bright future of India. A golden opportunity has come before the nation to fulfil the dreams seen by the freedom fighters," said Prime Minister Narendra Modi. "Confident that MPs will not shy away from contributing to make full use of Parliament for fulfilling people's aspirations," said PM Modi. "Keeping in mind this decade, there should be discussions, presentation of different views this session," PM Modi added. The budget session of Parliament began today with an address by President Ram Nath Kovind and will be followed by the presentation of the Economic Survey. The Union Budget will be presented by Finance minister Nirmala Sitharaman on February 1. Both the houses will also debate on the motion of thanks to the President's address after the budget presentation. (With inputs from agencies)

Time to fulfill dreams of freedom fighters, says PM Modi ahead of the Budget session

India is likely to predict economic growth of 11% in the fiscal year beginning April 1 in its annual economic survey later on Friday, a source said, betting on a sharp recovery from the pandemic-induced slump this year.

The Indian economy, which the International Monetary Fund singled out as a global bright spot only a few years ago, is set to contract 7.7% in the current fiscal year to March 31, the deepest contraction in four decades, the economic survey is expected to say.

But the government predicts the rollout of vaccines against COVID-19, which has killed 153,847 Indians, will re-energise Asia's third-largest economy with 11% growth next year, said the source, who is familiar with the matter. That would mark the strongest growth since India liberalised its economy in 1991.

The survey is set to forecast nominal GDP, which includes inflation, will rise 15.4%, the highest since India's independence in 1947, said the source, who asked not to be identified. High nominal GDP points towards higher tax collections.

The survey's projections form the basis for key figures in the budget, due to be delivered on Monday by Finance Minister Nirmala Sitharaman. However, she may have to make some tough choices to keep in check the government's ballooning debt while presenting a spending plan able to lift the economy.

The source said the government expected a "V-shaped" economic rebound on the back of its vaccination push and a recovery in demand.

India has started inoculating millions of people with two vaccines -- Serum Institute of India's COVISHIELD, licensed from Oxford University and AstraZeneca, and COVAXIN, developed domestically by Bharat Biotech and the Indian Council of Medical Research.

India is likely to predict economic growth of 11% in the fiscal year beginning April 1 in its annual economic survey later on Friday, a source said, betting on a sharp recovery from the pandemic-induced slump this year.

India is likely to predict economic growth of 11% in the fiscal year beginning April 1 in its annual economic survey later on Friday, a source said, betting on a sharp recovery from the pandemic-induced slump this year. The Indian economy, which the International Monetary Fund singled out as a global bright spot only a few years ago, is set to contract 7.7% in the current fiscal year to March 31, the deepest contraction in four decades, the economic survey is expected to say. But the government predicts the rollout of vaccines against COVID-19, which has killed 153,847 Indians, will re-energise Asia's third-largest economy with 11% growth next year, said the source, who is familiar with the matter. That would mark the strongest growth since India liberalised its economy in 1991. The survey is set to forecast nominal GDP, which includes inflation, will rise 15.4%, the highest since India's independence in 1947, said the source, who asked not to be identified. High nominal GDP points towards higher tax collections. The survey's projections form the basis for key figures in the budget, due to be delivered on Monday by Finance Minister Nirmala Sitharaman. However, she may have to make some tough choices to keep in check the government's ballooning debt while presenting a spending plan able to lift the economy. The source said the government expected a "V-shaped" economic rebound on the back of its vaccination push and a recovery in demand. India has started inoculating millions of people with two vaccines -- Serum Institute of India's COVISHIELD, licensed from Oxford University and AstraZeneca, and COVAXIN, developed domestically by Bharat Biotech and the Indian Council of Medical Research.

India's annual economic survey likely to predict 11% economic growth for 2021-22

Finance Minister Nirmala Sitharaman has tabled the Economic Survey of India 2021&nbsp;in the parliament, ahead of the Union Budget on Monday.

Sitharaman tabled the Survey after President Ram Nath Kovind's customary address at the start of the Budget Session 2021.&nbsp;

The annual document acts as a platform to pitch larger economic ideas and concepts which the government may or may not act upon. 
 
The Economic Survey 2020-21, authored by a team led by Chief Economic Adviser Krishnamurthy Venkata Subramanian, details the state of different sectors of the economy as well as reforms that should be undertaken to accelerate growth.

The economy, which was battered by the coronavirus lockdown, is expected to see a strong recovery in the 2021-22 fiscal year.

The gross domestic product (GDP) contracted by a record 23.9 per cent in April-June and by 7.5 per cent in the second quarter.

For the full fiscal, the survey projected a contraction of 7.7 per cent and V-shaped recovery in the next.

GDP growth is seen expanding by 11 per cent in 2021-22 fiscal (April 2021 to March 2022).&nbsp;

The session had an acrimonious start with as many as 19 political parties, including the Congress Party, skipping the President's address, in solidarity with the farmers agitating against the three contentious farm laws.&nbsp;

Here are the key highlights so far:&nbsp;

<ul>
	<li>India sees FY22 GDP growth at 11%&nbsp;</li>
	<li>Combined fiscal deficit to exceed target in FY21&nbsp;</li>
	<li>Growth recovery to be driven by government consumption</li>
	<li>Agriculture has remained the silver lining.</li>
	<li>Contact based services, manufacturing, construction hit hardest by the pandemic.</li>
	<li>Government consumption and net exports have cushioned the growth from diving further down.</li>
	<li>A V-shaped economic recovery supported by mega vaccination drive.</li>
	<li>&nbsp;Current account surplus of 2% of GDP likely in FY21.</li>
	<li>&nbsp;In two years India could be the fastest growing economy as per IMF.</li>
	<li>&nbsp;CAD estimated at 2% in FY21; that is the first in the 17 years.</li>
</ul>

(With inputs from agencies)

Finance Minister Nirmala Sitharaman has tabled the Economic Survey of India 2021 in the parliament, ahead of the Union Budget on Monday. Sitharaman tabled the Survey after President Ram Nath Kovind's customary address at the start of the Budget Session 2021.

Finance Minister Nirmala Sitharaman has tabled the Economic Survey of India 2021 in the parliament, ahead of the Union Budget on Monday. Sitharaman tabled the Survey after President Ram Nath Kovind's customary address at the start of the Budget Session 2021. The annual document acts as a platform to pitch larger economic ideas and concepts which the government may or may not act upon. The Economic Survey 2020-21, authored by a team led by Chief Economic Adviser Krishnamurthy Venkata Subramanian, details the state of different sectors of the economy as well as reforms that should be undertaken to accelerate growth. The economy, which was battered by the coronavirus lockdown, is expected to see a strong recovery in the 2021-22 fiscal year. The gross domestic product (GDP) contracted by a record 23.9 per cent in April-June and by 7.5 per cent in the second quarter. For the full fiscal, the survey projected a contraction of 7.7 per cent and V-shaped recovery in the next. GDP growth is seen expanding by 11 per cent in 2021-22 fiscal (April 2021 to March 2022). The session had an acrimonious start with as many as 19 political parties, including the Congress Party, skipping the President's address, in solidarity with the farmers agitating against the three contentious farm laws. Here are the key highlights so far: India sees FY22 GDP growth at 11% Combined fiscal deficit to exceed target in FY21 Growth recovery to be driven by government consumption Agriculture has remained the silver lining. Contact based services, manufacturing, construction hit hardest by the pandemic. Government consumption and net exports have cushioned the growth from diving further down. A V-shaped economic recovery supported by mega vaccination drive. Current account surplus of 2% of GDP likely in FY21. In two years India could be the fastest growing economy as per IMF. CAD estimated at 2% in FY21; that is the first in the 17 years. (With inputs from agencies)

Economic Survey 2021: GDP growth seen rebounding at 11% in 2021-22

India has transformed the short-term trade-off between lives and livelihoods into a win-win in the medium to long-term that saves both lives and livelihoods, the annual economic survey authored by Chief Economic Advisor Krishnamurthy Subramanian said, in its first chapter.&nbsp;

“By estimating the natural number of cases and deaths expected across countries based on their population, population density, demographics, tests conducted, and the health infrastructure, we compare these estimates with actual numbers to show that India restricted the Covid-19 spread by 37 lakh cases and saved more than 1 lakh lives.”

The survey found a correlation between the stringency of the lockdown and it the number of Covid-19 cases and resultant deaths. It also found a correlation between the lockdown’s stringency and the country’s “V-shaped” recovery. “India thus benefited from successfully pushing the peak of the pandemic curve to September 2020 through the lockdown."

Here are the key highlights so far:&nbsp;

<ol>
	<li>India sees FY22 GDP growth at 11%&nbsp;</li>
	<li>Combined fiscal deficit to exceed target in FY21&nbsp;</li>
	<li>Growth recovery to be driven by government consumption</li>
	<li>Agriculture has remained the silver lining.</li>
	<li>Contact based services, manufacturing, construction hit hardest by the pandemic.</li>
	<li>Government consumption and net exports have cushioned the growth from diving further down.</li>
	<li>A V-shaped economic recovery supported by mega vaccination drive.</li>
	<li>Current account surplus of 2% of GDP likely in FY21.</li>
	<li>In two years India could be the fastest growing economy as per IMF.</li>
	<li>CAD estimated at 2% in FY21; that is the first in the 17 years.</li>
</ol>

(With inputs from agencies)

India has transformed the short-term trade-off between lives and livelihoods into a win-win in the medium to long-term that saves both lives and livelihoods, the annual economic survey authored by Chief Economic Advisor Krishnamurthy Subramanian said, in its first chapter.

India has transformed the short-term trade-off between lives and livelihoods into a win-win in the medium to long-term that saves both lives and livelihoods, the annual economic survey authored by Chief Economic Advisor Krishnamurthy Subramanian said, in its first chapter. “By estimating the natural number of cases and deaths expected across countries based on their population, population density, demographics, tests conducted, and the health infrastructure, we compare these estimates with actual numbers to show that India restricted the Covid-19 spread by 37 lakh cases and saved more than 1 lakh lives.” The survey found a correlation between the stringency of the lockdown and it the number of Covid-19 cases and resultant deaths. It also found a correlation between the lockdown’s stringency and the country’s “V-shaped” recovery. “India thus benefited from successfully pushing the peak of the pandemic curve to September 2020 through the lockdown." Here are the key highlights so far: India sees FY22 GDP growth at 11% Combined fiscal deficit to exceed target in FY21 Growth recovery to be driven by government consumption Agriculture has remained the silver lining. Contact based services, manufacturing, construction hit hardest by the pandemic. Government consumption and net exports have cushioned the growth from diving further down. A V-shaped economic recovery supported by mega vaccination drive. Current account surplus of 2% of GDP likely in FY21. In two years India could be the fastest growing economy as per IMF. CAD estimated at 2% in FY21; that is the first in the 17 years. (With inputs from agencies)

Economic Survey 2021: India's timely lockdown strategy saved more than 1 lakh lives

President Ram Nath Kovind on Friday condemned the violence on Republic Day during the farmers' tractor rally. Addressing the joint sitting of Parliament at the start of the Budget Session, the President said that the violence was unfortunate and he was saddened by the insult to National flag and the Republic Day.

"The national flag and a holy day like Republic Day were insulted in the past few days. The Constitution that provides us Freedom of Expression is the same Constitution that teaches us that law &amp; rules have to be followed seriously," the President stated.

He also added that the govt is working to clear misgivings about the new farm laws. The President also listed a number of govt welfare programmes for the farmers. 
 
Hailing the government for PM-Kisan Samman Nidhi, President Kovind said, "Small and marginal farmers are also a priority for my government. To support such farmers in their small expenses, around Rs 1,13,000 crores have been transferred directly to their accounts." 
 
"My Govt would like to clarify that the rights and facilities that were available before the formation of the three Farm Laws have not been cut short, in fact with these new agricultural reforms the Govt has provided new facilities &amp; rights to farmers," he said. 
 
The most important items on the agenda in the session are the passage of the Budget and related documents — the Economic Survey for 2021-22 on Friday, The Union Budget on Monday, and the report of the Finance Commission.

(With inputs from agencies)

President Ram Nath Kovind on Friday condemned the violence on Republic Day during the farmers' tractor rally. Addressing the joint sitting of Parliament at the start of the Budget Session, the President said that the violence was unfortunate and he was saddened by the insult to National flag and the Republic Day.

President Ram Nath Kovind on Friday condemned the violence on Republic Day during the farmers' tractor rally. Addressing the joint sitting of Parliament at the start of the Budget Session, the President said that the violence was unfortunate and he was saddened by the insult to National flag and the Republic Day. "The national flag and a holy day like Republic Day were insulted in the past few days. The Constitution that provides us Freedom of Expression is the same Constitution that teaches us that law & rules have to be followed seriously," the President stated. He also added that the govt is working to clear misgivings about the new farm laws. The President also listed a number of govt welfare programmes for the farmers. Hailing the government for PM-Kisan Samman Nidhi, President Kovind said, "Small and marginal farmers are also a priority for my government. To support such farmers in their small expenses, around Rs 1,13,000 crores have been transferred directly to their accounts." "My Govt would like to clarify that the rights and facilities that were available before the formation of the three Farm Laws have not been cut short, in fact with these new agricultural reforms the Govt has provided new facilities & rights to farmers," he said. The most important items on the agenda in the session are the passage of the Budget and related documents — the Economic Survey for 2021-22 on Friday, The Union Budget on Monday, and the report of the Finance Commission. (With inputs from agencies)

President condemns violence on Republic Day, says protests at Red Fort unfortunate

With just a few days to go for India's <a href="https://www.wionews.com/topics/budget">Union Budget 2021</a>,&nbsp;Finance Minister Nirmala Sitharaman is expected to unveil plans to boost economic growth.

In Union Budget 2021, corporates and industry lobby groups expect the government to announce greater spending on healthcare and infrastructure, as well as tax breaks for the automotive, manufacturing and tourism industries, reeling from the coronavirus crisis.

Also read|&nbsp;<a href="https://www.wionews.com/india-news/union-budget-2021-government-may-raise-duty-on-finished-goods-and-imports-358740" hreflang="en">Union Budget 2021: Government may raise duty on finished goods and imports</a>

Here's what&nbsp;corporates, economists and market experts expect from&nbsp;2021/2022 federal budget on February&nbsp;1:

Healthcare and pharmaceuticals

The drugs industry is hoping for incentives to spur more investment in research and development (R&amp;D), via bigger tax deductions on R&amp;D spending, said Sudarshan Jain, secretary-general of the Indian Pharmaceutical Alliance.

Kiran Mazumdar Shaw, chief of Biocon Ltd, hopes the government will raise healthcare spending to 2.5 per cent&nbsp;of gross domestic product by fiscal 2025 from about 1 per cent now.

Also read:&nbsp;<a href="https://www.wionews.com/business-economy/union-budget-2021-government-needs-credible-sources-for-additional-revenue-to-boost-economy-356849" hreflang="en">Union Budget 2021: Government needs credible sources for additional revenue to boost economy</a>

Real estate and infrastructure

The real estate and construction sector, a bellwether for the Indian economy, is hoping for tax reliefs for home buyers and regulations curbing a rise in construction costs.

Automobile industry

The automobile industry hopes for a roadmap for a recently announced production-linked incentive scheme and policy on scrapping of commercial vehicles.

Toyota Kirloskar, the Indian unit of Toyota Motor Corp, said it was looking forward to support measures for the manufacture of hybrid electric vehicles and parts.

Aviation

The aviation industry is looking for lower taxes on aviation turbine fuel and levies such as airport charges, parking and landing and navigation charges, said Moody's India unit, ICRA.

Tourism and hospitality

The National Restaurant Association of India is hoping for more liquidity support, with low collateral, and a minimum moratorium of six months.

Personal tax breaks for domestic travel would also help, said Deep Kalra, founder and top official of online booking website MakeMyTrip Ltd.

Retail

Brick-and-mortar retail firms seek a national retail policy, to help combat the growing popularity of online sellers.

"Formulation of national retail policy, removing the distinction between e-commerce and physical retail under one policy has been spoken about and we hope that this happens in FY 21," said Preet Dhupar, the chief financial officer of Ikea India.

Banking

The coronavirus brought a slump in lending by banks, and despite signs the economy is improving, the central bank has warned that the industry could see bad loans nearly double.

Some analysts expect the setting up of a so-called "bad bank", which the government will use to buy bad assets from state-owned banks. There are also expectations for moves to recapitalise state-owned banks.

Public sector banks may need a further 430 billion rupees ($5.9 billion) as capital requirement in the next financial year, ICRA said.

&nbsp;

With just a few days to go for India's Union Budget 2021, Finance Minister Nirmala Sitharaman is expected to unveil plans to boost economic growth. In Union Budget 2021, corporates and industry lobby groups expect the government to announce greater spending on healthcare and infrastructure, as well as tax breaks for the automotive, manufacturing and tourism industries, reeling from the coronavirus crisis.

With just a few days to go for India's Union Budget 2021, Finance Minister Nirmala Sitharaman is expected to unveil plans to boost economic growth. In Union Budget 2021, corporates and industry lobby groups expect the government to announce greater spending on healthcare and infrastructure, as well as tax breaks for the automotive, manufacturing and tourism industries, reeling from the coronavirus crisis. Also read| Union Budget 2021: Government may raise duty on finished goods and imports Here's what corporates, economists and market experts expect from 2021/2022 federal budget on February 1: Healthcare and pharmaceuticals The drugs industry is hoping for incentives to spur more investment in research and development (R&D), via bigger tax deductions on R&D spending, said Sudarshan Jain, secretary-general of the Indian Pharmaceutical Alliance. Kiran Mazumdar Shaw, chief of Biocon Ltd, hopes the government will raise healthcare spending to 2.5 per cent of gross domestic product by fiscal 2025 from about 1 per cent now. Also read: Union Budget 2021: Government needs credible sources for additional revenue to boost economy Real estate and infrastructure The real estate and construction sector, a bellwether for the Indian economy, is hoping for tax reliefs for home buyers and regulations curbing a rise in construction costs. Automobile industry The automobile industry hopes for a roadmap for a recently announced production-linked incentive scheme and policy on scrapping of commercial vehicles. Toyota Kirloskar, the Indian unit of Toyota Motor Corp, said it was looking forward to support measures for the manufacture of hybrid electric vehicles and parts. Aviation The aviation industry is looking for lower taxes on aviation turbine fuel and levies such as airport charges, parking and landing and navigation charges, said Moody's India unit, ICRA. Tourism and hospitality The National Restaurant Association of India is hoping for more liquidity support, with low collateral, and a minimum moratorium of six months. Personal tax breaks for domestic travel would also help, said Deep Kalra, founder and top official of online booking website MakeMyTrip Ltd. Retail Brick-and-mortar retail firms seek a national retail policy, to help combat the growing popularity of online sellers. "Formulation of national retail policy, removing the distinction between e-commerce and physical retail under one policy has been spoken about and we hope that this happens in FY 21," said Preet Dhupar, the chief financial officer of Ikea India. Banking The coronavirus brought a slump in lending by banks, and despite signs the economy is improving, the central bank has warned that the industry could see bad loans nearly double. Some analysts expect the setting up of a so-called "bad bank", which the government will use to buy bad assets from state-owned banks. There are also expectations for moves to recapitalise state-owned banks. Public sector banks may need a further 430 billion rupees ($5.9 billion) as capital requirement in the next financial year, ICRA said.

Union Budget 2021: What Indian corporates, economists and market experts expect

The coronavirus has cost the world approximately 16 trillion dollars and recession hit all five continents, leading to a loss of nearly 400 million jobs.

The financial year 2020 saw insolvencies and closures and the global FDI fell 42 per cent. However, FY 2021 is&nbsp;about building back and&nbsp;not letting history and China repeat itself.

<div class="videoWrapper trancodeVideo"><iframe allowfullscreen="" autoplay="1" class="includeVideo" frameborder="0" height="350" src="https://www.wionews.com/videos/gravitas-2021-and-economy-359316/embed" style="width:100%;max-width:560px;" width="560"></iframe></div>

Morgan Stanley projects global GDP growth of 6.4 per cent for 2021 and&nbsp;IMF projects it 5.4 per cent. The World Bank says the global economy will expand by 4 per cent.

For any of these numbers to convert, countries around the world will have to adapt to the changing economic order and they will have to keep a close watch on the emerging trends, while also working towards&nbsp;diversifying their supply chains from China.

The coronavirus crisis has come with opportunities for radical reform, building better healthcare. The world must also look at re-aligning priorities and&nbsp;Japan is already at it.

Over 40 per cent of Japanese tech companies are shifting their manufacturing base from China. West Asia is adjusting to the new oil order by diversifying its economy.

The start before the United States is to get a grip on the pandemic, before rebuilding its economy.

India is gearing up for its first budget since the pandemic which&nbsp;will be tabled on February 01. The country is already preparing for the future by encouraging investment in the electronic vehicles sector. It is working towards becoming the world's largest EV market.

India is also trying to leverage its online market. A recent report from the United Nations says&nbsp;India's foreign direct investment grew 13 per cent in FY 20 and much of it had to do with investment in the digital sector.

In the last one year, the coronavirus pandemic pushed many consumers and companies online. This shift in consumer behaviour was more evident in India which is the world's second-biggest online market.

India was among the only two major countries that saw an increase in the FDI despite the pandemic as&nbsp;$57 billion poured into India in 2020. The number is likely to increase in FY&nbsp;21 as more companies move out of China.

The UN report also points at an interesting trend that says inflows to the US and Europe dropped into negative territory. However, in South Asia, FDI rose 10 per cent to $65 billion.

This growth, again, was steered by India, and now&nbsp;New Delhi will be looking at all these trends closely as it prepares for February 01.

The coronavirus has cost the world approximately 16 trillion dollars and recession hit all five continents, leading to a loss of nearly 400 million jobs. The financial year 2020 saw insolvencies and closures and the global FDI fell 42 per cent.

The coronavirus has cost the world approximately 16 trillion dollars and recession hit all five continents, leading to a loss of nearly 400 million jobs. The financial year 2020 saw insolvencies and closures and the global FDI fell 42 per cent. However, FY 2021 is about building back and not letting history and China repeat itself. Morgan Stanley projects global GDP growth of 6.4 per cent for 2021 and IMF projects it 5.4 per cent. The World Bank says the global economy will expand by 4 per cent. For any of these numbers to convert, countries around the world will have to adapt to the changing economic order and they will have to keep a close watch on the emerging trends, while also working towards diversifying their supply chains from China. The coronavirus crisis has come with opportunities for radical reform, building better healthcare. The world must also look at re-aligning priorities and Japan is already at it. Over 40 per cent of Japanese tech companies are shifting their manufacturing base from China. West Asia is adjusting to the new oil order by diversifying its economy. The start before the United States is to get a grip on the pandemic, before rebuilding its economy. India is gearing up for its first budget since the pandemic which will be tabled on February 01. The country is already preparing for the future by encouraging investment in the electronic vehicles sector. It is working towards becoming the world's largest EV market. India is also trying to leverage its online market. A recent report from the United Nations says India's foreign direct investment grew 13 per cent in FY 20 and much of it had to do with investment in the digital sector. In the last one year, the coronavirus pandemic pushed many consumers and companies online. This shift in consumer behaviour was more evident in India which is the world's second-biggest online market. India was among the only two major countries that saw an increase in the FDI despite the pandemic as $57 billion poured into India in 2020. The number is likely to increase in FY 21 as more companies move out of China. The UN report also points at an interesting trend that says inflows to the US and Europe dropped into negative territory. However, in South Asia, FDI rose 10 per cent to $65 billion. This growth, again, was steered by India, and now New Delhi will be looking at all these trends closely as it prepares for February 01.

India battles coronavirus effects to excel in Budget 2021

Having fired up hopes for populist measures with talk of delivering a "budget like never before", Finance Minister Nirmala&nbsp;Sitharaman&nbsp;will need to find credible sources for additional revenue for boosting the economy.

The government has raised just over 138 billion rupees out of the 2.1 trillion rupees ($28.72 billion) divestment target for the current year. It expects to end FY21 with not more than 300 billion rupees, according to government officials.

<a href="https://www.wionews.com/business-economy/union-budget-2021-government-mulls-covid-cess-to-boost-revenue-356420">Also Read:&nbsp;Union Budget 2021: Government mulls COVID cess to boost revenue</a>

"It will be hard for the finance minister to find resources. But she will get some help from the economic revival that will likely increase some tax revenue," said N.R. Bhanumurthy, economist and vice-chancellor at Bengaluru-based B.R Ambedkar School of Economics.

Last month,&nbsp;Sitharaman&nbsp;held the 11th pre-budget consultations with experts in the field of infrastructure, energy and climate change, in view of the forthcoming Union Budget 2021-22.

It&nbsp;could raise over 1 trillion rupees from privatisation of Air India, Bharat Petroleum Corp Ltd, Container Corp. of India and Shipping Corp. of India in the first six months of the fiscal year beginning in April.

Though, finding investors for the national carrier, Air India could be challenging in these restricted travel, COVID-19 times.

"There might be overtures to compensate for this year's revenue shortfall by an increase in taxation for high net worth individuals as well as sin taxes," said Radhika Rao, an economist at DBS, referencing taxes on items such as tobacco and alcohol.

<a href="https://www.wionews.com/business-economy/union-budget-2021-goes-paperless-hard-copies-not-to-be-printed-for-first-time-in-history-356417">Also Read:&nbsp;Union Budget 2021 goes paperless</a>

Long-term budget

Sitharaman&nbsp;in an interview said she plans to lift spending, otherwise, it would completely undermine a government relief programme brought in last year to sustain poor families and small businesses.

Addressing a Confederation of Indian Industry conference last month,&nbsp;Sitharaman&nbsp;also excited expectations for a big-bang budget filled with sops by saying India was set to see a "budget like never before".

The government would like to use the budget as the path to launch three to four years of high growth, said the third official, stressing that the increase in spending would not be taken to unsustainable levels.

"So, all the funds announced would not be for this year. For this year we could have growth in expenditure for sure, but the funds announced in the budget would be for years ahead."

The government's fiscal deficit for the year ending March is expected to be over 7 per cent, and more than double the budgeted estimate.

India needs annual economic growth of over 8 per cent&nbsp;to create enough jobs for the millions of young people joining the labour force each month.

According to the Central Statistics Office, India's economy is expected to contract 7.7 per cent in the current financial year ending in March.

"Hope hinges on the government to increase its spending to revive the private sector sentiment, overall demand and largely private investment," said Arun Singh, global chief economist at Dun and Bradstreet.

&nbsp;

Having fired up hopes for populist measures with talk of delivering a "budget like never before", Finance Minister Nirmala Sitharaman will need to find credible sources for additional revenue for boosting the economy.

Having fired up hopes for populist measures with talk of delivering a "budget like never before", Finance Minister Nirmala Sitharaman will need to find credible sources for additional revenue for boosting the economy. The government has raised just over 138 billion rupees out of the 2.1 trillion rupees ($28.72 billion) divestment target for the current year. It expects to end FY21 with not more than 300 billion rupees, according to government officials. Also Read: Union Budget 2021: Government mulls COVID cess to boost revenue "It will be hard for the finance minister to find resources. But she will get some help from the economic revival that will likely increase some tax revenue," said N.R. Bhanumurthy, economist and vice-chancellor at Bengaluru-based B.R Ambedkar School of Economics. Last month, Sitharaman held the 11th pre-budget consultations with experts in the field of infrastructure, energy and climate change, in view of the forthcoming Union Budget 2021-22. It could raise over 1 trillion rupees from privatisation of Air India, Bharat Petroleum Corp Ltd, Container Corp. of India and Shipping Corp. of India in the first six months of the fiscal year beginning in April. Though, finding investors for the national carrier, Air India could be challenging in these restricted travel, COVID-19 times. "There might be overtures to compensate for this year's revenue shortfall by an increase in taxation for high net worth individuals as well as sin taxes," said Radhika Rao, an economist at DBS, referencing taxes on items such as tobacco and alcohol. Also Read: Union Budget 2021 goes paperless Long-term budget Sitharaman in an interview said she plans to lift spending, otherwise, it would completely undermine a government relief programme brought in last year to sustain poor families and small businesses. Addressing a Confederation of Indian Industry conference last month, Sitharaman also excited expectations for a big-bang budget filled with sops by saying India was set to see a "budget like never before". The government would like to use the budget as the path to launch three to four years of high growth, said the third official, stressing that the increase in spending would not be taken to unsustainable levels. "So, all the funds announced would not be for this year. For this year we could have growth in expenditure for sure, but the funds announced in the budget would be for years ahead." The government's fiscal deficit for the year ending March is expected to be over 7 per cent, and more than double the budgeted estimate. India needs annual economic growth of over 8 per cent to create enough jobs for the millions of young people joining the labour force each month. According to the Central Statistics Office, India's economy is expected to contract 7.7 per cent in the current financial year ending in March. "Hope hinges on the government to increase its spending to revive the private sector sentiment, overall demand and largely private investment," said Arun Singh, global chief economist at Dun and Bradstreet.

Union Budget 2021: Government needs credible sources for additional revenue to boost economy

According to Central Statistics Office, India's economy is expected to contract 7.7 per cent in the current financial year ending in March as finance minister Nirmala Sitharaman&nbsp;gets set to present the Union Budget 2020-21 on February amid the coronavirus pandemic.

<a href="https://www.wionews.com/business-economy/union-budget-2021-government-mulls-covid-cess-to-boost-revenue-356420">Also Read:&nbsp;Union Budget 2021: Government mulls COVID cess to boost revenue</a>

India's finance minister Nirmala Sitharaman&nbsp;is widely expected to increase spending on infrastructure and boost manufacturing.&nbsp;

The Indian economy had contracted 23.9 per cent in the April-June quarter last year as the country entered lockdown which reduced to 7.5 per cent in the September quarter as many sectors of the economy opened.

The Indian economy had grown 4.2 per cent in the fiscal year 2019-20. India is one of the worst-hit country due to the virus with over 10.4 million cases and over 151,525 fatalities with the economy hit hard due to the virus with millions losing jobs.

<a href="https://www.wionews.com/business-economy/union-budget-2021-goes-paperless-hard-copies-not-to-be-printed-for-first-time-in-history-356417">Also Read:&nbsp;Union Budget 2021 goes paperless</a>

India is among the worst-performing economies in the world with the country entering a "technical recession" for the first time since 1947 as the hospitality and construction sectors nosedived amid the virus lockdown.

India's farming sector continued to grow amid the virus crisis even as the manufacturing sector also increased during the July-September quarter after plunging nearly 40 per cent during the lockdown period last year.

The International Monetary Fund(IMF) had predicted India's economy would contract 10.3 per cent in 2020. A report by Oxford Economics had earlier projected India's annual output would be 12 per cent below pre-virus levels through 2025 as the country continues to grapple with the virus.

The government last year had announced new measures to support the manufacturing sector and create jobs as the country faced a "technical recession" as India's Reserve Bank had said that "contraction is ebbing with gradual normalisation in activities and expected to be short-lived".

The RBI had asserted that Indian households and corporations continued to face financial stress.

According to Central Statistics Office, India's economy is expected to contract 7.7 per cent in the current financial year ending in March as finance minister Nirmala Sitharaman gets set to present the Union Budget 2020-21 on February amid the coronavirus pandemic.

According to Central Statistics Office, India's economy is expected to contract 7.7 per cent in the current financial year ending in March as finance minister Nirmala Sitharaman gets set to present the Union Budget 2020-21 on February amid the coronavirus pandemic. Also Read: Union Budget 2021: Government mulls COVID cess to boost revenue India's finance minister Nirmala Sitharaman is widely expected to increase spending on infrastructure and boost manufacturing. The Indian economy had contracted 23.9 per cent in the April-June quarter last year as the country entered lockdown which reduced to 7.5 per cent in the September quarter as many sectors of the economy opened. The Indian economy had grown 4.2 per cent in the fiscal year 2019-20. India is one of the worst-hit country due to the virus with over 10.4 million cases and over 151,525 fatalities with the economy hit hard due to the virus with millions losing jobs. Also Read: Union Budget 2021 goes paperless India is among the worst-performing economies in the world with the country entering a "technical recession" for the first time since 1947 as the hospitality and construction sectors nosedived amid the virus lockdown. India's farming sector continued to grow amid the virus crisis even as the manufacturing sector also increased during the July-September quarter after plunging nearly 40 per cent during the lockdown period last year. The International Monetary Fund(IMF) had predicted India's economy would contract 10.3 per cent in 2020. A report by Oxford Economics had earlier projected India's annual output would be 12 per cent below pre-virus levels through 2025 as the country continues to grapple with the virus. The government last year had announced new measures to support the manufacturing sector and create jobs as the country faced a "technical recession" as India's Reserve Bank had said that "contraction is ebbing with gradual normalisation in activities and expected to be short-lived". The RBI had asserted that Indian households and corporations continued to face financial stress.

Union Budget 2021: India's finance minister Nirmala Sitharaman may increase spending on infrastructure and boost manufacturing

Finance Minister Nirmala Sitharaman, Minister of State for Finance Anurag Thakur and senior officials of the finance ministry on Saturday participated in the symbolic 'Halwa Ceremony' that marks the beginning of compilation of budget documents.

Unlike the past, the voluminous budget documents will not be printed this year following the COVID-19 protocol and will instead be distributed electronically to the Members of Parliament (MPs). Previously, the ceremony marked the launch of printing exercise for the budget.

This will be the first time since the presentation of independent India's first budget on November 26, 1947, that the documents containing income and expenditure statement of the Union government along with the finance bill, detailing new taxes and other measures for the new financial year, will not be physically printed.

"In an unprecedented initiative, Union Budget 2021-22 will be delivered in paperless form for the first time. The Union Budget 2021-22 is to be presented on February 1, 2021," the Finance Ministry said in a statement.

On the occasion, the Finance Minister also launched the 'Union Budget Mobile App' for hassle-free access of Budget documents by Members of Parliament (MPs) and the general public using the simplest form of digital convenience.

The mobile App facilitates complete access to 14 Union Budget documents, including the Annual Financial Statement (commonly known as Budget), Demand for Grants (DG), Finance Bill etc. As prescribed by the Constitution, it said.

Finance Secretary Ajay Bhushan Pandey, Economic Affairs Secretary Tarun Bajaj, Financial Services Secretary Debasish Panda, DIPAM Secretary Tuhin Kanta Pandey, Expenditure Secretary T V Somanathan and Chief Economic Adviser K V Subramanian and other senior involved in the Budget preparation and compilation process, were also present in the customary pre-Budget event.

"Later, the finance minister reviewed the status of the compilation of the Union Budget 2021-22 and extended her best wishes to the officials concerned," it said.

The statement further said that the App has a user-friendly interface with embedded features of downloading, printing, search, zoom in and out, bidirectional scrolling, table of contents and external links, etc.

The App can also be downloaded from the Union Budget Web Portal (www.Indiabudget.Gov.In), it said, adding, the App has been developed by the National Informatics Centre (NIC) under the guidance of the Department of Economic Affairs (DEA).

The Budget documents will be available on the Mobile App after the completion of the Budget Speech by the Finance Minister in Parliament on February 1.

As part of the ritual, ''halwa'' is prepared in a big ''kadhai'' (large frying pot) and served to the entire staff involved in the Budget making the exercise of the ministry.

Halwa was served while maintaining COVID protocol with all present in mask and those distributing sweets were wearing gloves.

The significance of the event is that after the sweet dish is served, a large number of officials and support staff, who are directly associated with the Budget making are required to stay in the ministry and remain cut off from their families till the presentation of the Budget in the Lok Sabha.

They are not even allowed to contact their near and dear ones through phone or any other form of communication, like e-mail.

This will be the first time since independence that physical copies of Budget documents will not be shared with MPs to avoid the risk of COVID-19 infection, the sources said, adding all MPs will get soft copies of the Budget and Economic Survey.

The familiar sight of trucks loaded with budget papers in Parliament on the budget day and scanning of these by the security guard will also be given a miss.

The Budget for FY22 will come against the backdrop of an economic contraction of 7.7 per cent, the first time in the history of independent India. So, all stakeholders have great expectations from the upcoming Budget, which could provide a healing touch to the pandemic-battered economy and push growth.

Even Finance Minister Nirmala Sitharaman last month promised a 'never before' like Union Budget to the people of India.&nbsp;

Finance Minister Nirmala Sitharaman, Minister of State for Finance Anurag Thakur and senior officials of the finance ministry on Saturday participated in the symbolic 'Halwa Ceremony' that marks the beginning of compilation of budget documents.

Finance Minister Nirmala Sitharaman, Minister of State for Finance Anurag Thakur and senior officials of the finance ministry on Saturday participated in the symbolic 'Halwa Ceremony' that marks the beginning of compilation of budget documents. Unlike the past, the voluminous budget documents will not be printed this year following the COVID-19 protocol and will instead be distributed electronically to the Members of Parliament (MPs). Previously, the ceremony marked the launch of printing exercise for the budget. This will be the first time since the presentation of independent India's first budget on November 26, 1947, that the documents containing income and expenditure statement of the Union government along with the finance bill, detailing new taxes and other measures for the new financial year, will not be physically printed. "In an unprecedented initiative, Union Budget 2021-22 will be delivered in paperless form for the first time. The Union Budget 2021-22 is to be presented on February 1, 2021," the Finance Ministry said in a statement. On the occasion, the Finance Minister also launched the 'Union Budget Mobile App' for hassle-free access of Budget documents by Members of Parliament (MPs) and the general public using the simplest form of digital convenience. The mobile App facilitates complete access to 14 Union Budget documents, including the Annual Financial Statement (commonly known as Budget), Demand for Grants (DG), Finance Bill etc. As prescribed by the Constitution, it said. Finance Secretary Ajay Bhushan Pandey, Economic Affairs Secretary Tarun Bajaj, Financial Services Secretary Debasish Panda, DIPAM Secretary Tuhin Kanta Pandey, Expenditure Secretary T V Somanathan and Chief Economic Adviser K V Subramanian and other senior involved in the Budget preparation and compilation process, were also present in the customary pre-Budget event. "Later, the finance minister reviewed the status of the compilation of the Union Budget 2021-22 and extended her best wishes to the officials concerned," it said. The statement further said that the App has a user-friendly interface with embedded features of downloading, printing, search, zoom in and out, bidirectional scrolling, table of contents and external links, etc. The App can also be downloaded from the Union Budget Web Portal (www.Indiabudget.Gov.In), it said, adding, the App has been developed by the National Informatics Centre (NIC) under the guidance of the Department of Economic Affairs (DEA). The Budget documents will be available on the Mobile App after the completion of the Budget Speech by the Finance Minister in Parliament on February 1. As part of the ritual, ''halwa'' is prepared in a big ''kadhai'' (large frying pot) and served to the entire staff involved in the Budget making the exercise of the ministry. Halwa was served while maintaining COVID protocol with all present in mask and those distributing sweets were wearing gloves. The significance of the event is that after the sweet dish is served, a large number of officials and support staff, who are directly associated with the Budget making are required to stay in the ministry and remain cut off from their families till the presentation of the Budget in the Lok Sabha. They are not even allowed to contact their near and dear ones through phone or any other form of communication, like e-mail. This will be the first time since independence that physical copies of Budget documents will not be shared with MPs to avoid the risk of COVID-19 infection, the sources said, adding all MPs will get soft copies of the Budget and Economic Survey. The familiar sight of trucks loaded with budget papers in Parliament on the budget day and scanning of these by the security guard will also be given a miss. The Budget for FY22 will come against the backdrop of an economic contraction of 7.7 per cent, the first time in the history of independent India. So, all stakeholders have great expectations from the upcoming Budget, which could provide a healing touch to the pandemic-battered economy and push growth. Even Finance Minister Nirmala Sitharaman last month promised a 'never before' like Union Budget to the people of India.

Union Budget 2021: Customary 'Halwa Ceremony' kickstarts process of compilation of documents

Amid the coronavirus pandemic, the <a href="https://www.wionews.com/business-economy/union-budget-2021-goes-paperless-hard-copies-not-to-be-printed-for-first-time-in-history-356417">Budget</a> session of Parliament will begin on January 29 with all COVID-related protocols including the shift system will be followed.

<a href="https://www.wionews.com/business-economy/union-budget-2021-government-needs-credible-sources-for-additional-revenue-to-boost-economy-356849">Also Read: Government needs credible sources for additional revenue to boost economy</a>

The Budget session will on January 29. President Ram Nath Kovind will address the joint sitting of both Houses of Parliament. The session will conclude on April 8. Both Houses will adjourn on February 15 and meet again on March 8.

The Budget will be presented by the government on February 1. The Economic Survey would be tabled in the Lok Sabha on January 29 after the President's address, according to reports.

India's lower House the Lok Sabha and upper House the Rajya Sabha will operate in shifts with the Rajya Sabha meeting in the forenoon and Lok Sabha in the evening between 4 pm and 9 pm, according to COVID-19 protocol. The Lok Sabha will sit for five hours during the Budget session.

<a href="https://www.wionews.com/business-economy/union-budget-2021-government-mulls-covid-cess-to-boost-revenue-356420">Also Read: Union Budget 2021- Government mulls COVID cess to boost revenue</a>

Question Hour will take place during the Budget session. &nbsp;

According to Lok Sabha secretariat, private members' business which usually takes place on Friday afternoons will also take place. The House members will be allowed to introduce their own bills which will be debated by the House.

Lok Sabha Speaker Om Birla had said earlier that the government will issue guidelines about the vaccination of parliamentarians before the start of the session.

Parliament members will need to compulsorily wear masks and maintain social distancing norms with everyone likely to undergo RT-PCR tests for coronavirus.

The Parliament officials will also undertake sanitisation of cars and other vehicles entering Parliament including various files.

Amid the coronavirus pandemic, the Budget session of Parliament will begin on January 29 with all COVID-related protocols including the shift system will be followed.

Amid the coronavirus pandemic, the Budget session of Parliament will begin on January 29 with all COVID-related protocols including the shift system will be followed. Also Read: Government needs credible sources for additional revenue to boost economy The Budget session will on January 29. President Ram Nath Kovind will address the joint sitting of both Houses of Parliament. The session will conclude on April 8. Both Houses will adjourn on February 15 and meet again on March 8. The Budget will be presented by the government on February 1. The Economic Survey would be tabled in the Lok Sabha on January 29 after the President's address, according to reports. India's lower House the Lok Sabha and upper House the Rajya Sabha will operate in shifts with the Rajya Sabha meeting in the forenoon and Lok Sabha in the evening between 4 pm and 9 pm, according to COVID-19 protocol. The Lok Sabha will sit for five hours during the Budget session. Also Read: Union Budget 2021- Government mulls COVID cess to boost revenue Question Hour will take place during the Budget session. According to Lok Sabha secretariat, private members' business which usually takes place on Friday afternoons will also take place. The House members will be allowed to introduce their own bills which will be debated by the House. Lok Sabha Speaker Om Birla had said earlier that the government will issue guidelines about the vaccination of parliamentarians before the start of the session. Parliament members will need to compulsorily wear masks and maintain social distancing norms with everyone likely to undergo RT-PCR tests for coronavirus. The Parliament officials will also undertake sanitisation of cars and other vehicles entering Parliament including various files.

Budget session of Parliament: Key dates, Covid-19 protocol & more

What do vaccines mean for economic recovery? Is the economic outlook as bright as the financial markets? What are the pitfalls in post-pandemic economic recovery? Catch WION's special broadcast on India Budget 2021 with Gautam Chikermane. January 25-30, At 7 PM IST

India Budget 2021: Vaccines are here, will economic recovery follow?

The Central Government can revamp the structure of India's import tariff structure in Union Budget 2021 to provide lower duty on large&nbsp;inputs, especially those used in products that are exported while keeping levies high on exported goods, in a bid to boost local manufacturing.

India&nbsp;is considering hiking import duties by 5-10&nbsp;per cent&nbsp;on more than 50 items including smartphones, electronic components and appliances in the upcoming budget, as per sources.

The move to increase import duties is part of Prime Minister Narendra Modi's self-reliant&nbsp;India&nbsp;campaign that aims to promote and support domestic manufacturing, said three government sources privy to the discussions.

One of the sources said the government was seeking to target additional revenue of about 200 billion to 210 billion rupees ($2.7 billion to $2.8 billion) from the moves, as it looks to shore up revenue amidst the pandemic-driven slowdown that has stung the economy.

Two of the government sources also said the duty hikes could impact furniture and electric vehicles, potentially hurting the likes of Swedish furniture maker Ikea and Tesla, which is planning to launch its cars in&nbsp;India&nbsp;this year.

The officials, however, did not specify how much of a hike was planned on furniture and electric vehicles.

Both Ikea and Tesla executives have previously expressed concerns about the steep duty structure their products already face in&nbsp;India.

The list of items likely to attract steeper duties is set to include appliances such as refrigerators and air conditioners too, three of the sources said.

The finance ministry could not be reached by telephone and did not reply to an email seeking comments.

India's finance minister will on February&nbsp;1 unveil the government's annual federal budget for the 2021-22 financial year, which begins April 1.

The sources said the proposals may still be tweaked further before they are finalised.

Finance Minister Nirmala Sitharaman will unveil the budget on February&nbsp;1 amid the shadow of a projected economic contraction of 7.7&nbsp;per cent&nbsp;for the current fiscal year.

India&nbsp;has in recent years taken a series of measures that industry executives say discriminate against foreign companies. Government officials say such taxes are essential to promote&nbsp;India&nbsp;as a destination for local manufacturing and to support domestic businesses.

"This is part of revenue-raising and Atmanirbhar Bharat (self-reliant&nbsp;India) plan," said one of the government sources.

Last year,&nbsp;India&nbsp;raised import taxes on a wide range of products such as footwear, furniture, toys, electrical and electronics items by up to 20%.

The Central Government can revamp the structure of India's import tariff structure in Union Budget 2021 to provide lower duty on large inputs, especially those used in products that are exported while keeping levies high on exported goods, in a bid to boost local manufacturing.

The Central Government can revamp the structure of India's import tariff structure in Union Budget 2021 to provide lower duty on large inputs, especially those used in products that are exported while keeping levies high on exported goods, in a bid to boost local manufacturing. India is considering hiking import duties by 5-10 per cent on more than 50 items including smartphones, electronic components and appliances in the upcoming budget, as per sources. The move to increase import duties is part of Prime Minister Narendra Modi's self-reliant India campaign that aims to promote and support domestic manufacturing, said three government sources privy to the discussions. One of the sources said the government was seeking to target additional revenue of about 200 billion to 210 billion rupees ($2.7 billion to $2.8 billion) from the moves, as it looks to shore up revenue amidst the pandemic-driven slowdown that has stung the economy. Two of the government sources also said the duty hikes could impact furniture and electric vehicles, potentially hurting the likes of Swedish furniture maker Ikea and Tesla, which is planning to launch its cars in India this year. The officials, however, did not specify how much of a hike was planned on furniture and electric vehicles. Both Ikea and Tesla executives have previously expressed concerns about the steep duty structure their products already face in India. The list of items likely to attract steeper duties is set to include appliances such as refrigerators and air conditioners too, three of the sources said. The finance ministry could not be reached by telephone and did not reply to an email seeking comments. India's finance minister will on February 1 unveil the government's annual federal budget for the 2021-22 financial year, which begins April 1. The sources said the proposals may still be tweaked further before they are finalised. Finance Minister Nirmala Sitharaman will unveil the budget on February 1 amid the shadow of a projected economic contraction of 7.7 per cent for the current fiscal year. India has in recent years taken a series of measures that industry executives say discriminate against foreign companies. Government officials say such taxes are essential to promote India as a destination for local manufacturing and to support domestic businesses. "This is part of revenue-raising and Atmanirbhar Bharat (self-reliant India) plan," said one of the government sources. Last year, India raised import taxes on a wide range of products such as footwear, furniture, toys, electrical and electronics items by up to 20%.

Union Budget 2021: Government may raise duty on finished goods and imports

American brokerage BofA Securities on Friday said the Indian economy continues to be "weak", pointing to activity indicators tracked by it. On the positive side, the brokerage said credit demand is bottoming out and the real lending rates adjusted for wholesale price inflation are falling.

It can be noted that there has been a slew of reports lately about a stronger recovery being underway after the jolt caused by the pandemic. The government expects the GDP to contract 7.7 per cent in financial year 2021 because of the reverses. "The bad news is that the continued drop in our BofA India Activity Indicator reinforces our view that the economy still remains weak," the brokerage said in a note.

The indicator fell by (-) 0.6 per cent in November on top of the (-) 0.8 per cent in October, and 4.6 per cent drop in the September quarter, it said, adding, "this supports our call of GVA (gross value added) contractions of (-)1 per cent in the December quarter and (-) 6.7 per cent in FY21".

On the credit growth front, it said the rise in banking system advances seems to have bottomed out and the system will close with a growth of 6.2 per cent in the financial year 2021. It said that the credit growth for financial year 2022 will come at 12 per cent.

It can be noted that credit growth had been declining for the last few years, in sync with a dip in the overall economic growth which has been on the downward spiral since demonetisation in late 2016 as borrowers went slow on expansion.

The brokerage said that the real lending rates adjusted for WPI will be one of the prime reasons for the faster credit growth estimate in financial year 2022.

Nominal MCLR (marginal cost of funding based lending rate) is down 1.45 per cent since March 2019 and the real MCLR (adjusted for WPI) is down 1.50 per cent on RBI easing and the core WPI inflation inching up further to 3.1 per cent from 2.3 per cent in November 2020.

The RBI has cut interest rates in two moves after the emergence of the pandemic but has kept rates on hold for the last three consecutive policy reviews because of high consumer price inflation.

American brokerage BofA Securities on Friday said the Indian economy continues to be "weak", pointing to activity indicators tracked by it. On the positive side, the brokerage said credit demand is bottoming out and the real lending rates adjusted for wholesale price inflation are falling.

American brokerage BofA Securities on Friday said the Indian economy continues to be "weak", pointing to activity indicators tracked by it. On the positive side, the brokerage said credit demand is bottoming out and the real lending rates adjusted for wholesale price inflation are falling. It can be noted that there has been a slew of reports lately about a stronger recovery being underway after the jolt caused by the pandemic. The government expects the GDP to contract 7.7 per cent in financial year 2021 because of the reverses. "The bad news is that the continued drop in our BofA India Activity Indicator reinforces our view that the economy still remains weak," the brokerage said in a note. The indicator fell by (-) 0.6 per cent in November on top of the (-) 0.8 per cent in October, and 4.6 per cent drop in the September quarter, it said, adding, "this supports our call of GVA (gross value added) contractions of (-)1 per cent in the December quarter and (-) 6.7 per cent in FY21". On the credit growth front, it said the rise in banking system advances seems to have bottomed out and the system will close with a growth of 6.2 per cent in the financial year 2021. It said that the credit growth for financial year 2022 will come at 12 per cent. It can be noted that credit growth had been declining for the last few years, in sync with a dip in the overall economic growth which has been on the downward spiral since demonetisation in late 2016 as borrowers went slow on expansion. The brokerage said that the real lending rates adjusted for WPI will be one of the prime reasons for the faster credit growth estimate in financial year 2022. Nominal MCLR (marginal cost of funding based lending rate) is down 1.45 per cent since March 2019 and the real MCLR (adjusted for WPI) is down 1.50 per cent on RBI easing and the core WPI inflation inching up further to 3.1 per cent from 2.3 per cent in November 2020. The RBI has cut interest rates in two moves after the emergence of the pandemic but has kept rates on hold for the last three consecutive policy reviews because of high consumer price inflation.

Indian economy 'weak', credit growth bottoming out: US brokerage firm report

For the first time in independent India, the Union Budget 2021 is going to be completely paperless due to the coronavirus pandemic.

Instead of hard copies, soft copies of the budget will be provided to all members of the parliament.

The Central government has received permission from the upper and lower houses of parliament for the measure.&nbsp;

The Union Budget is printed every year in the finance ministry's house press in the North Block by nearly 100 employees who stay together for nearly a fortnight till it is printed, sealed and delivered.

Although in a bid to go green,&nbsp;the Central Government had tried to cut down had first tried to cut down on printing hard copies of the Union Budget 2016-2017. But this could be the first time when printing is halted altogether.

Breaking conventions

The coronavirus pandemic has forced the government to look for alternatives because it will be challenging to maintain&nbsp;social distancing in a limited space.

The traditional ''halwa ceremony'' which takes place every year before the budget is presented in the parliament will also be 'low-key'' or subdued as it will be held with a limited gathering.&nbsp;

Usually, this ceremony is attended by all people involved in budget-making and marks the beginning of printing.

The Union Budget 2021 will be introduced in two parts by Finance Minister Nirmala Sitharaman on February 1.

President Ramnath Kovind will address the joint sitting of both the houses on January 29 after which the Economic Survey will be presented in&nbsp;the Lok Sabha.

Changing times

This will not be the change in the presentation of the Union Budget. Last year, Sitharaman&nbsp;broke away from long-standing traditions of colonial-era when she ditched the briefcase and opted for traditional&nbsp;'Bahi-Khata', which is a kind of a ledger wrapped in a red coloured cloth.

The word 'budget'&nbsp;has its origin in the French word 'Bougette', which means leather briefcase. Traditionally, budget documents -- which primarily include papers related to revenue receipt and expenditure as well as the speech of finance minister -- were carried in a brown briefcase, a legacy passed on by the British.

For the first time in independent India, the Union Budget 2021 is going to be completely paperless due to the coronavirus pandemic. Instead of hard copies, soft copies of the budget will be provided to all members of the parliament.

For the first time in independent India, the Union Budget 2021 is going to be completely paperless due to the coronavirus pandemic. Instead of hard copies, soft copies of the budget will be provided to all members of the parliament. The Central government has received permission from the upper and lower houses of parliament for the measure. The Union Budget is printed every year in the finance ministry's house press in the North Block by nearly 100 employees who stay together for nearly a fortnight till it is printed, sealed and delivered. Although in a bid to go green, the Central Government had tried to cut down had first tried to cut down on printing hard copies of the Union Budget 2016-2017. But this could be the first time when printing is halted altogether. Breaking conventions The coronavirus pandemic has forced the government to look for alternatives because it will be challenging to maintain social distancing in a limited space. The traditional ''halwa ceremony'' which takes place every year before the budget is presented in the parliament will also be 'low-key'' or subdued as it will be held with a limited gathering. Usually, this ceremony is attended by all people involved in budget-making and marks the beginning of printing. The Union Budget 2021 will be introduced in two parts by Finance Minister Nirmala Sitharaman on February 1. President Ramnath Kovind will address the joint sitting of both the houses on January 29 after which the Economic Survey will be presented in the Lok Sabha. Changing times This will not be the change in the presentation of the Union Budget. Last year, Sitharaman broke away from long-standing traditions of colonial-era when she ditched the briefcase and opted for traditional 'Bahi-Khata', which is a kind of a ledger wrapped in a red coloured cloth. The word 'budget' has its origin in the French word 'Bougette', which means leather briefcase. Traditionally, budget documents -- which primarily include papers related to revenue receipt and expenditure as well as the speech of finance minister -- were carried in a brown briefcase, a legacy passed on by the British.

Union Budget 2021 goes paperless; hard copies not to be printed for first time in history

The government should provide additional funds as well as incentives in the upcoming Budget to promote indigenous farm research, oilseeds production, food processing and organic farming for the overall growth of the agriculture sector, according to industry experts.

The direct benefit transfer (DBT) scheme should be utilised more to support farmers instead of giving subsidies, they added.

"Food processing industry has played an important role in better price realisation for the farmer and reducing the cost of intermediaries. The budget must provide special incentives to food processing through incentives such as interest subvention, lower taxes, access to technology and so on," DCM Shriram Chairman and Senior MD Ajay Shriram said.

Referring to the successful PM-KISAN scheme under which Rs 6,000 is paid annually directly into farmers bank accounts, he said the DBT mechanism should be fine-tuned and gradually should be utilized to support farmers in lieu of other subsidies.

"Let the farmer decide how to judicially use the money. With the benefit of DBT, farmers can then buy better seed, use new-age fertilizers, optimize water usage and so on," Shriram said.

Stating that many Indian startups have invested in the agri-technology space, he advocated for a policy that encourages growth of these companies and adoption of latest techniques.

He said there has not been any significant breakthrough in recent years from indigenous agricultural research and development (R&amp;D) and this could be partly on account of resource crunch.

"Two areas that need immediate attention are firstly linking agricultural research with industry requirements and secondly avoiding ideological resistance to new-age technologies such GM crops," Shriram said.

Consulting firm Deloitte India suggested that more funds should be allocated for research and development as well as for increasing the domestic production of oilseeds to reduce imports of cooking oils.

Stating that livestock farming is one of the key pillars for augmenting farmers' income, the consulting firm said one of the big impediments for development of this sector is the prevalence of various diseases that affect mortality, productivity, and overall production.

"Supply of vaccines is not adequate to address the increasing demand. Funding for developing vaccines and creating necessary infrastructure would be required in this budget," Deloitte said.

Chirag Arora, Founder, Organisch Overseas, said the government must encourage farmers to adopt organic farming.

"The need of the hour is to encourage the private sector into the space by offering tax incentives to startups venturing into this domain. It also needs to augment investment on creation of cold-chains and increase storage capabilities," Arora said.

Last month, in a virtual pre-budget consultation with the finance ministry, Bharat Krishak Samaj (BKS) had said that the government should incentivise balanced use of fertilisers by increasing urea price and lowering rates of phosphatic and potassic (P&amp;K) nutrients in the upcoming Budget.

BKS Chairman Ajay Vir Jakhar had also sought reduction in taxes on diesel and transport subsidy on fruits and vegetables, but demanded tax on unhealthy foods.

He had pitched for tripling investment for micro-irrigation and solar pumps for individual farmers as well as funding for distribution of soil moisture measuring sensors.

"Prioritize investment in human resources over infrastructure. There are about 50 per cent vacancies in agriculture research institutions across India. Target 2 per cent expenditure on agri R&amp;D of agriculture GDP over the next few years," BKS had said.

The government should provide additional funds as well as incentives in the upcoming Budget to promote indigenous farm research, oilseeds production, food processing and organic farming for the overall growth of the agriculture sector, according to industry experts.

The government should provide additional funds as well as incentives in the upcoming Budget to promote indigenous farm research, oilseeds production, food processing and organic farming for the overall growth of the agriculture sector, according to industry experts. The direct benefit transfer (DBT) scheme should be utilised more to support farmers instead of giving subsidies, they added. "Food processing industry has played an important role in better price realisation for the farmer and reducing the cost of intermediaries. The budget must provide special incentives to food processing through incentives such as interest subvention, lower taxes, access to technology and so on," DCM Shriram Chairman and Senior MD Ajay Shriram said. Referring to the successful PM-KISAN scheme under which Rs 6,000 is paid annually directly into farmers bank accounts, he said the DBT mechanism should be fine-tuned and gradually should be utilized to support farmers in lieu of other subsidies. "Let the farmer decide how to judicially use the money. With the benefit of DBT, farmers can then buy better seed, use new-age fertilizers, optimize water usage and so on," Shriram said. Stating that many Indian startups have invested in the agri-technology space, he advocated for a policy that encourages growth of these companies and adoption of latest techniques. He said there has not been any significant breakthrough in recent years from indigenous agricultural research and development (R&D) and this could be partly on account of resource crunch. "Two areas that need immediate attention are firstly linking agricultural research with industry requirements and secondly avoiding ideological resistance to new-age technologies such GM crops," Shriram said. Consulting firm Deloitte India suggested that more funds should be allocated for research and development as well as for increasing the domestic production of oilseeds to reduce imports of cooking oils. Stating that livestock farming is one of the key pillars for augmenting farmers' income, the consulting firm said one of the big impediments for development of this sector is the prevalence of various diseases that affect mortality, productivity, and overall production. "Supply of vaccines is not adequate to address the increasing demand. Funding for developing vaccines and creating necessary infrastructure would be required in this budget," Deloitte said. Chirag Arora, Founder, Organisch Overseas, said the government must encourage farmers to adopt organic farming. "The need of the hour is to encourage the private sector into the space by offering tax incentives to startups venturing into this domain. It also needs to augment investment on creation of cold-chains and increase storage capabilities," Arora said. Last month, in a virtual pre-budget consultation with the finance ministry, Bharat Krishak Samaj (BKS) had said that the government should incentivise balanced use of fertilisers by increasing urea price and lowering rates of phosphatic and potassic (P&K) nutrients in the upcoming Budget. BKS Chairman Ajay Vir Jakhar had also sought reduction in taxes on diesel and transport subsidy on fruits and vegetables, but demanded tax on unhealthy foods. He had pitched for tripling investment for micro-irrigation and solar pumps for individual farmers as well as funding for distribution of soil moisture measuring sensors. "Prioritize investment in human resources over infrastructure. There are about 50 per cent vacancies in agriculture research institutions across India. Target 2 per cent expenditure on agri R&D of agriculture GDP over the next few years," BKS had said.

Union Budget 2021: Government should provide additional funds, incentives for agri sector, say experts

The government should provide additional funds as well as incentives in the upcoming Budget to promote indigenous farm research, oilseeds production, food processing and organic farming for the overall growth of the agriculture sector, according to industry experts.

The direct benefit transfer (DBT) scheme should be utilised more to support farmers instead of giving subsidies, they added.

"Food processing industry has played an important role in better price realisation for the farmer and reducing the cost of intermediaries. The budget must provide special incentives to food processing through incentives such as interest subvention, lower taxes, access to technology and so on," DCM Shriram Chairman and Senior MD Ajay Shriram said.

Referring to the successful PM-KISAN scheme under which Rs 6,000 is paid annually directly into farmers bank accounts, he said the DBT mechanism should be fine-tuned and gradually should be utilized to support farmers in lieu of other subsidies.

"Let the farmer decide how to judicially use the money. With the benefit of DBT, farmers can then buy better seed, use new-age fertilizers, optimize water usage and so on," Shriram said.

Stating that many Indian startups have invested in the agri-technology space, he advocated for a policy that encourages growth of these companies and adoption of latest techniques.

He said there has not been any significant breakthrough in recent years from indigenous agricultural research and development (R&amp;D) and this could be partly on account of resource crunch.

"Two areas that need immediate attention are firstly linking agricultural research with industry requirements and secondly avoiding ideological resistance to new-age technologies such GM crops," Shriram said.

Consulting firm Deloitte India suggested that more funds should be allocated for research and development as well as for increasing the domestic production of oilseeds to reduce imports of cooking oils.

Stating that livestock farming is one of the key pillars for augmenting farmers' income, the consulting firm said one of the big impediments for development of this sector is the prevalence of various diseases that affect mortality, productivity, and overall production.

"Supply of vaccines is not adequate to address the increasing demand. Funding for developing vaccines and creating necessary infrastructure would be required in this budget," Deloitte said. 
Chirag Arora, Founder, Organisch Overseas, said the government must encourage farmers to adopt organic farming.

"The need of the hour is to encourage the private sector into the space by offering tax incentives to startups venturing into this domain. It also needs to augment investment on creation of cold-chains and increase storage capabilities," Arora said.

Last month, in a virtual pre-budget consultation with the finance ministry, Bharat Krishak Samaj (BKS) had said that the government should incentivise balanced use of fertilisers by increasing urea price and lowering rates of phosphatic and potassic (P&amp;K) nutrients in the upcoming Budget.

BKS Chairman Ajay Vir Jakhar had also sought reduction in taxes on diesel and transport subsidy on fruits and vegetables, but demanded tax on unhealthy foods. He had pitched for tripling investment for micro-irrigation and solar pumps for individual farmers as well as funding for distribution of soil moisture measuring sensors.

"Prioritize investment in human resources over infrastructure. There are about 50 per cent vacancies in agriculture research institutions across India. Target 2 per cent expenditure on agri R&amp;D of agriculture GDP over the next few years," BKS had said.

Union Budget 2021: Govt should provide additional funds, incentives for agriculture sector, say experts

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