The Gist of PIB in English for UPSC, UPPSC/UPPCS, MPSC, BPSC & All State PCS Exams - 06 July 2019

The Gist of PIB in English for UPSC, UPPSC/UPPCS, MPSC, BPSC & All State PCS Exams - 06 July 2019

The Union Finance and Corporate Affairs Minister Smt. Nirmala Sitaraman today read out his first budget speech and presented a budget of 2019-20 in Parliament. The main features of the budget are as follows:
Ten point hypothesis for decade:

  • Construction of Team India with public participation: Minimum Government maximum rule
  • Creating pollution free India with lush earth and blue sky.
  • Deploy digital India to every sector of the economy.
  • The introduction of Gaganayan, Chandrayaan, other space and satellite programs.
  • Build real and social infrastructure.
  • blue economy
  • Self-reliance and exports in food grains, pulses, oilseeds, fruits and vegetables.
  • Establishment of healthy society through Ayushman India, nurtured mother and child, protection of citizens.
  • Emphasis on start-ups, defense manufacturing, motor vehicles, electronics, textiles and batteries and medical equipment under MSME, Make in India.

Toward 5 trillion dollar economy:

  • The Finance Minister said that people have hope, confidence and aspiration in their hearts.
  • India's economy will be $ 3 trillion in the current year.
  • The government wants to make India an economy of $ 5 trillion.
  • The industry is India's job creator and the nation's wealth creator.
  • Investing in the following is required:
  • Infrastructure
  • Digital Economy
  • Generating jobs in small and mid-sized companies
  • Many initiatives proposed to start an excellent round of investment.
  • Changes in public life through currency loans for Is-of-Driving business

Remedies related to MSME:

Prime Minister Karmayogi Mann Dhan Yojana

  • Pension benefits to nearly 30 million retail traders and small shopkeepers who have a turnover of less than Rs 1.5 crore a year.
  • Nomination process is simple, only basis, bank account and self-declaration requirement.

Under the interest subsidy scheme of MSME, for all GST registered MSMEs, 2 per cent interest subsidy (fresh and incremental loan) allocated Rs 350 crore for the financial year 2019-20.

A payment platform for MSME will be created so that the bills can be paid so that the delay in government payments can be eliminated.

में Developed system of India's first country for transportation based on the National Common Mobility Card (NCAC) standards introduced in March 2019.

The Interoperable Transportation card that runs on the card card and allows the holder to travel in the bus, pay toll tax, parking fees, and retail shopping.

All types of actual connectivity have been extended as follows:

  • Pradhan Mantri Gram Sadak Yojana
  • Industrial corridors, dedicated freight corridor
  • Bharatmala and Sagarmala projects, waterways development and flight plans.
  • State road network will be developed in the second phase of Bharatmalan project.

Under the waterway development project, two terminal at Sahibganj and Haldia and one Navigational lock in Farakka will be completed in 2019-20 to increase the navigability of Ganga river.

  • The movement of cargo on the Ganges river is expected to increase by four times in the next four years, which will make the movement of goods and passengers cheaper and reduce the import bill.
  • During the year 2018-2030, investment of Rs 50 lakh crore for the railway infrastructure will be required.

Proposal of Public Private Partnership for the speedy development of the tracks and laying them, rolling stock manufacturing and delivery of passenger freight services.

  • The 657 km line of Metro Rail network running across the country.
  • Policy intervention to maintain maintenance, repair and overhaul for self-sufficiency in the aviation sector.
  • Implement the essential elements of the regulatory roadmap to make India a center for financing and leasing them from their land.
  • Expenditure of Rs. 10,000 crores for the approved for the second phase of FAMEEE plan for 3 years.
  • Proposal of increased incentives for purchase and charging infrastructure for the purpose of encouraging electric vehicles to adopt rapidly.
  • Promotion of only state-of-the-art Battery-powered and registered e-vehicles under FAME Scheme.
  • The National Highway Program will be restructured so that a national highway grid can be ensured.
  • Power to States at a nation under economical rates under a grid
  • Blue print should be made available for gas grid, water grid, inland waterways and regional airports.
  • The recommendations of the Empowered High Level Committee should be implemented.
  • Older and not working plants should be closed.
  • Reducing the problem of the use of gas plant capacity due to lack of natural gas.
  • Unrealized tariffs on cross subsidy surcharges, open access sales will be removed for consumers who use more industrial and energy under the bright distribution companies assurance scheme.
  • Power sector fees and structural reforms will be announced faster.
  • Corrective measures will be taken for betterment of rental houses.
  • Model Rental Law will be finalized and sent to states.
  • The joint development and concession mechanism will be used for public infrastructure and the houses maintained by the Central Government and the CPSE will create cheap houses.

Measures to increase capital source for funding infrastructure:

  • Credit Guardianship Corporation will be established in the year 2019-20.
  • Work plan for long term bonds including deepening the market while focusing on the sector of opportunity will be planned.
  • Investments made by FII / FPI (in the loan securities issued by IDF-NBFC) proposed transfer / sale of any domestic investment within the specified locking period.

Measures to deepen the bond market:

  • Enabling stock exchanges to allow A-grade bonds as lateral.
  • Accessibility of trading platforms for corporate bonds will be reviewed.

Social Stock Exchange:

  • Electronic fund raising platform in regulatory realm of SEBI
  • List the social enterprises and voluntary organizations.
  • Capital mobilization like units like equity, debt or mutual fund.
  • Sebi will consider raising the minimum government shareholding from 25 percent to 35 percent in listed companies.
  • Know your customer for foreign portfolio investors (KYC) norms to make investors more and more friendly.
  • To bring retail investors to invest in fiscal duties and government securities, the government will fully utilize the RBI's efforts including institutional development using stock exchanges.

Remedies to make India a more attractive destination for foreign direct investment

  • In consultation with all stakeholders, aviation, media (animation avgc) and insurance sector can be opened more for FDI.
  • 100 percent FDI to insurance mediators.
  • Facilitate local source parameters for FDI in retail sector of Single Bond.

The Government will organize the annual Global Investors' Conference of Global Competitors (Pension, Insurance, Sovereign Property Funds) of all three categories using the National Institution Investment Fund (NIIF).

There is a proposal to increase the statutory or statutory limit for FPI investment from 24 percent to the regional foreign investment limit. The respective corporations are given the option of limiting the minimum threshold amount.

FPI is allowed to subscribe to the listed debt securities issued by the Investment Investment Trust, Real Estate Investment Trust

Proposal for merging of foreign portfolio investment route of NRI portfolios investment scheme route.

New and innovative instruments such as infrastructure investment trusts, real estate investment trusts, as well as cumulative resources mobilized through toll operators transfer (TOOT) exceeding Rs 24,000 crore.

New Space India Limited (NSIL) is a public sector enterprise, which has been included as a commercial branch of the Department of Space.

Use of research and development benefits such as ISRO's commercialization of products such as production of launch vehicles, transfer of technologies and marketing of space products.

Direct tax:

  • The rate of tax decreased to 25 percent for annual turnover of up to Rs 400 crore.
  • Increased surcharge on persons with taxable income of Rs. 2 crores to 5 crores and 5 crores and above.
  • The ranking of facilitating India's business in the category of "tax payment" has grown from 172 to 2019 in 2017.
  • In the last five years, direct tax revenue increased from 78 percent to 11.37 lakh crore rupees.
  • Tax simplification and accessibility in life - facilitating compliance by taking advantage of technology.

Interchange between pan and base:

  • Those who do not have a PAN can file return based on the basis.
  • Base can be used where the PAN is required.

Filing income tax returns first:

  • Income tax deductions, including pre-filled tax returns, will be made available to the donors.
  • Banks will collect information from mutual funds on stock exchanges.

E-determination without personal appearance:

  • E-fixation will be implemented without personal appearance.
  • Initially, e-determination in cases where certain transactions or discrepancies need to be verified.

Affordable housing:

  • Additional deduction up to Rs. 1.5 lakhs for the interest paid on loans taken for the purchase of a house worth rupees 45 lakh up to the period of March 31, 2020.
  • Overall gain of about Rs. 7 lakhs on a loan term of 15 years.

Incentives to electric vehicles:

  • Additional income tax deduction up to Rs 1.5 lakh on interest paid on loans taken for the purchase of electric vehicle.
  • Customs duty on some parts of electric vehicles.

Other direct measures:

  • Simplification of tax laws to reduce the real problems of tax payers.
  • The maximum tax threshold for initiating action to not filing tax returns.
  • Exemption to persons of the right categories with the misuse provisions of section 50C and 56 of the Income Tax Act.

Relief of start ups:

  • The discount on capital gains arising out of the sale of residential houses for investment in start-ups was extended to 2021.
  • The case of the Angel tax was resolved - there will be no inquiry on the evaluation of start-ups and their investor share premium, who have made the necessary declaration and information available in their returns.
  • Money collected by start-ups will not require any kind of inquiry by the Income Tax Department.
  • e-Verification system for establishing the identity of the source of the investor and the money.

Special Administrative Management for pending assessments and grievance redressed.

  • Without the permission of the supervisory officer, the Assessing Officer will not be able to investigate in such cases.
  • Category 2 Alternative Investment Fund is not examined to evaluate the issue of shares.
  • Proposed to ease the conditions of carrying forward the losses and adjusting certain conditions.
  • NBFCs

Taking into account the interest on special bad or doubtful loans as well as tax in a year on the critical deposit, in which interest has actually been received.

  • International Financial Services Center (IFSC)

Direct tax incentives were proposed for IFSC:

  • 100 percent profit-based deduction in a 10-year block over a period of 15 years.
  • Exemption from existing and total income and dividend distribution tax from mutual funds
  • Discounts on capital receipts for Category-III Alternative Investment Fund
  • Interest payment rebates on borrowers from immigrants

Securities Transaction Tax (STT):

  • STT is limited to the difference between settlement and strike price only in the case of use of options.

Indirect tax:

Make in India

  • An increase in basic customs duty on cashew, PVC, tile, motor vehicle parts, marble, optical fiber cable, CCTV camera etc.
  • Customs tax rebates withdrawn on some electronic items that are now being manufactured in India.
  • Palm steering, final consumption-based rebate withdrawn on fatty oils
  • Discounts withdrawn on various types of papers.
  • 5 percent basic customs duty was imposed on imported books.
  • Customs duty has been reduced on some of the following raw materials:
  • Fuel for artificial kidney tools, disposable sterilized dialysers and nuclear power plants etc.
  • Capital goods needed for the construction of special electronic materials


  • Exemption from basic customs duty on such defense equipments which have not been constructed in India.
  • Other provisions of indirect taxes
  • Make the export tax on raw and semi-sophisticated leather.
  • Extra additional excise duty and increase in road and infrastructure surplus at petrol and diesel at the rate of one rupee per liter.
  • Increase in customs duty on gold and other precious metals.
  • Legacy Dispute Settlement Scheme for the expiry of pending cases before the GST system in Central Excise and Service Tax.

Rural India:

  • Ujjwala scheme and good fortune schemes have improved the living standard of each rural family and has improved their living standards.
  • Power and clean kitchen facilities by 2022 for all interested rural households.
  • Housing Scheme - The purpose of the village is to reach the goal of 'housing for all' by 2022.
  • In the second phase (2019-20 to 2021-22), eligible beneficiaries will be given 1.95 crore houses with facilities like toilets, electricity and LPG connections.

Prime Minister's Fisheries Asset Scheme:

  • A fishery management structure will be established by the Fisheries Department through the Prime Minister's Fisheries Scheme.
  • To solve the vast difference in value chain, including infrastructure, modernization, detection capability, production, productivity, post harvest management and quality control.
  • Pradhanmantri Gram Sadak Yojna"
  • In order to accelerate the pace of connecting eligible and viable housing sites with road connectivity, the target of completing them has been reduced from 2022 to 2019. Such 97 percent dwelling sites have been linked to favorable road links for all seasons.
  • 30,000 kilometer long roads of Pradhan Mantri Gram Sadak Yojana have been constructed using green technology, garbage plastic and cold-mixed technology.
  • Under the third phase of Pradhan Mantri Gram Sadak Yojna, upgradation of 1,25,000 kms long road will be upgraded in the next five years at an estimated cost of 80250 crores.
  • Traditional Industry Upgradation and Resuscitation Fund Scheme (SFURTI)
  • Common Facility Centers (CFCs) will be set up to facilitate cluster-based development in order to create traditional industries, more productive, profitable and capable for creating sustainable opportunities for employment.

During the 2019-20, 100 new cluster will be set up, with special emphasis on bamboo, honey and khadi, which will add 50,000 artisans to the economic value chain.

  • Innovation, Rural Industry and Entrepreneurship Promotion Scheme (ASPIRE) was finalized.
  • In 2019-20 80 livelihood trade incubators (LBI) and 20 industrial business incubators (TBIs) will be set up.
  • Agriculture - 75,000 entrepreneurs will be provided skills in the rural industry sector.
  • Farmers' products will be encouraged by promoting value addition to their farms and private entrepreneurs engaged in related activities.
  • Production of fodder for livestock, procurement of milk for procurement, processing and marketing will be promoted through cooperative societies by producing infrastructure.
  • To ensure better economic conditions of farmers, 10,000 new farmers will be formed.
  • The government will work with state governments in order to benefit farmers by e-name.
  • Zero budget farming, in which farmers of some states are being trained.
  • Water safety in India
  • Ministry of New Water will oversee the management of our water resources and water supply in an integrated and holistic manner.
  • Under the Water Life Mission, the 'Every House Water' (piped water supply) targets for all rural households by 2024
  • Emphasis will be placed on local level management based on demand and supply of water.
  • In order to reach its goal, plans of the central and state government will be mixed together.
  • 1592 blocks of 256 districts have been identified for the hydro-electric operation.
  • For this purpose, the compensation can be utilized for the implementation of the Wildlife Fund Management and Planning Authority Fund.

Clean India Movement:

  • 9.6 crore toilets have been constructed since October 2, 2014.
  • More than 5.6 lakh villages have open defecation (ODF) in the open.
  • Clean India Mission will be expanded to run continuous solid waste management in each village.

Prime Minister Rural Digital Literacy Campaign:

  • Over two crore villagers were digitally literate.
  • Internet connectivity is being given to local bodies in every panchayat under India Net to remove rural and urban distinction.
  • Under the PPP management, the global liability fund will be used to speed up the Net.

Urban India / Urban India:

Prime Minister's Accommodation Scheme - Urban (PMAY-Urban)

  • Approval of investment of 4.83 lakh crores for the construction of nearly 81 lakh houses has been approved. Construction work in 47 lakh houses has started.
  • Construction of more than 26 lakh houses was completed and about 24 lakh houses were handed over to the beneficiaries.
  • More than 13 lakh homes have been constructed using new technology.

More than 95 percent of the cities were declared open-defecation in the open.

  • Nearly one crore citizens have downloaded the sanitation app.
  • Target to achieve the resolution of Gandhiji's clean India to make India an ODF by October 2, 2019
  • Inauguration of National Hygiene Center at Gandhi Darshan, Rajghat on 2nd October 2019, in celebration of this occasion.

Gandhi Pandia has been developed by the National Council of Science Museums to make the youth and society vulnerable to positive Gandhian values.

  • Railways are being encouraged to invest more in suburban railways through STV constructions like proposed Regional Transport System (RRTS) proposed on Delhi-Meerut route.

There is a proposal to increase the efforts of Metro Railways by:

  • Encourage maximum PPP initiatives.
  • Completing the approved work.
  • Assistant Transit Generated Development (TOD) to ensure business activities around transit centers


New national education policy will be brought together with the following proposals.

  • Major changes in both school and higher education
  • Better governance systems
  • Pay more attention to research and innovation

Proposal has been proposed in the National Research Establishment (NRF)

  • Fund available, coordinated and promoted to research in the country.
  • Use of independent research grant given by various ministries.
  • Strengthen the overall research ecology in the country.
  • With adequate funds, it will be forwarded adequately.
  • For the financial year 2019-20, 400 crore rupees have been provided for 'world class institutions', which are more than three times more than the revised estimates of the previous year.

Bring foreign students to study in India's higher education institutions under 'Study in India'.

Widely improve the regulatory systems of higher education.

  • Promote more autonomy.
  • Focus on better educational results.

Demonstrate legislation to be set up to establish India Higher Education Commission (HECL).

Play Expansion Plan with all necessary financial assistance.

  • Playing to popularize sports at all levels; Establishment of National Sports Education Board for the development of sportspersons under India.
  • More attention will be given about preparing youth for employment overseas, about global value skill set including language training, AL, LO, Big Data, 3D printing, virtual realty and robotics.
  • The four labor code sets have been proposed to simplify the various labor laws to standardize and simplify registration and file returns.
  • For the start ups on Delhi Doordarshan channels and a specially a television program is proposed by them.
  • Startup India plan will continue for 2020-25 period. Banks will provide financial support for demand based business.

Make life simple:

  • Approximately 30 lakh workers have joined the Prime Minister's Labor Yogi Standards Plan. Under this scheme, there is a provision of giving pension of 3000 rupees per month as pension to the workers of the unorganized and informal areas at the age of 60 years.
  • Under the Ujjwala scheme, about 35 million LED bulbs were distributed, saving yearly cost of Rs 18,341 crore.

Promoting solar stove and battery chargers using the reach of LED bulb mission.

  • Comprehensive programs for modernization of railway stations have been started.
  • Woman thou narayani / woman
  • Change in approach to women-centric policy formulation for women's leadership initiatives and movements
  • A committee with government and private stakeholders has been proposed to remove gender discrimination.


  • There is a proposal to expand the women's SHG interest expansion program in all the districts.
  • An overdraft of 5000 rupees for each verified female SHG member who holds a Janshan bank account.
  • India's soft power
  • Proposal for issuing Aadhaar card for non-resident Indians holding Indian passports without waiting period of 180 days on arrival to India.
  • Proposal for providing necessary patents and geographical indicators to connect Indian businessmen with traditional business to global markets.
  • In March 2018, the government had approved the opening of 18 new High Commission in Africa, of which five have been opened and the other four embassies will be opened in 2019-20.
  • Proposal for a new look at the India Development Cooperation Scheme (IDEAS).
  • 17 major tourist destinations of the country are being developed as a model of world-class tourist destinations.
  • To strengthen the collection of existing digital data for the protection of the country's rich tribal cultural heritage.

Bank and financial sector:

  • In the last one year, the debt of commercial banks fell by more than Rs 1 lakh crore. Over four lakh crores of debt recovery was done in the last four years.
  • Provision coverage ratio in seven years at its highest level in seven years.
  • Domestic loan growth rate increased to 13.8 percent.

Measures made for public sector banks:

  • Proposal to provide 70,000 crore rupees to public sector banks to increase credit capacity.
  • To promote the use of technology by banks to get the benefits of banking services in all public sector banks by delivering online personal loans, banking facilities to the home and a public sector bank customer.
  • Take measures to empower account holders to control the amount deposited in their accounts.
  • Improvements to empower the management of public sector banks

Non-banking financial companies:

  • Proposal for empowering the Reserve Bank's regulatory authority on non-banking companies in the Finance Bill.
  • NBFCs will be eliminated from the need for creating DRRs to raise funds through public issue.
  • Steps will be taken to allow all non-banking companies to participate directly in the TREDS platform.
  • Right to Regulate all financial sector regulation, from NHB to transfer back to RBI.
  • The plan to invest 100 lakh crore in the infrastructure sector in the next five years.
  • Efforts will be made to keep the NPS Trust separate from the Pension Fund Regulatory and Development Authority (PFRDA).
  • Propose to reduce the need for Net Ound fund from Rs. 5,000 crores to Rs. 1,000 crores.
  • Proposal to facilitate international insurance business in the country.
  • Arrangement for opening of branches of foreign insurers in International Financial Services Centers.

Non-financial public sector establishment:

  • The government has set a target to get Rs 1,05,000 crore through disinvestment for the financial year 2019-20.
  • The government will resume the strategy of disinvestment in Air India and will also give CPSE a chance for private sector as well as for the strategic partnership of the private sector.
  • The government will also take the path of strategic sale of PSUs and continue to maintain and strengthen the PSUs in non-financial areas.
  • The government is contemplating amendment to the requirement in the PSU policy to maintain its share of 51 percent.
  • In the matter of reducing 51 percent stake by the government, the share of government-controlled institutions will also be included.
  • Additional arrangements for investment
  • In preparing to re-fix its stake in government CPSE.
  • The bank prepares to make its market penetration through more sales of its shares.
  • Government will provide an option of investing in ETFs on the lines of Equity Linked Savings Scheme (ELSS).
  • Government will ensure compliance with 25 percent share of public participation in all listed public sector undertakings. Foreign equity in all PSU companies will be extended to the maximum allowed limit according to the emerging market index.
  • The government will start increasing its share of its gross borrowing program in foreign exchange in overseas markets. This will have favorable impact on the demand of domestic market government securities.
  • New coins of Rupees one rupee, 2 rupees, 5 rupees, 10 rupees and 20 rupees will be available soon for the use of people.

Digital Payment:

  • Offer of 2 percent TDS on cash withdrawal in excess of one crore in one year from bank account.
  • Such business establishments, whose annual turnover is more than Rs. 50 crores, will provide low cost digital payment facility to their customers at no charge. No additional charges will be imposed on this for merchants or customers.

Large investment in the emerging and advanced technology sector:

Invite large global companies to set up plants in the field of emerging and advanced technology such as Semi Conductor, Solar Energy Batteries, Lithium Storage Batteries, Computer Servers and Laptops etc.

  • Providing benefits to income tax exemptions and other indirect taxes to such companies.

Achievements during 2014-2019:

  • In the last five years, the Indian economy has a trillion dollar amount attached.
  • India has become the sixth largest economy in the world. Five years ago it was 11th place.

India is the third largest economy in terms of power parity.

  • Reinforced fiscal discipline during 2014-19 and mobilization of center-state relations was provided.
  • Structural improvements in indirect taxes, bankruptcy cases and real estate sector.
  • On average, double spending per year on food security during 2014-19 compared to 2009-2014.
  • More than threefold patents were issued in 2017-18 compared to 2014.
  • The process of construction of new India is going on with the plans and support of the policy commission.

future goals :

  • Simplifying procedures.
  • Encourage execution.
  • Reduction of red liposuction.
  • Better use of technology
  • To speed up the programs and services launched.

Courtesy: PIB