1. Budget 2016: FM Arun Jaitley targets greater spend on rural development

Budget 2016: FM Arun Jaitley targets greater spend on rural development

Ahead of the Budget 2016 later this month, Finance Minister Arun Jaitley on Tuesday called for increased public spending on rural development to boost domestic economic growth amid a global slowdown...

By: | Updated: February 8, 2016 10:26 AM

Ahead of the Budget 2016 later this month, Finance Minister Arun Jaitley on Tuesday called for increased public spending on rural development to boost domestic economic growth amid a global slowdown.

“Bad monsoon in the last two years has resulted in rural spending going down. In such a situation, the government needs to come forward and increase its spending. The pace of public spending has increased,” Arun Jaitley said at an event organised here to mark 10 years of the implementation of the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) scheme.

“If you look at the global situation, there is slow growth. The economies which were earlier compared with India, like South Africa, Brazil and Russia, are all growing slow. In a way, there is a negative growth rate, though the economies are recovering,” he said.

“We cannot control global events that impact us, but increasing demand in rural areas is in our hands,” the finance minister said, adding that revitalising the rural economy through road construction, electrification, irrigation and crop insurance is a priority for his government.

In his address, Rural Development Minister Birender Singh told the gathering that the decade-old MGNREGA scheme has been infused with a major dynamism by the NDA government.

“The Rs 33,000 crore allocation for the scheme in 2015-16 increased to almost Rs 37,000 crore. 94 percent of the money for MGNREGA work has already been disbursed to the states,” the minister said.

“Over eight crore families have been given employment under MGNREGA scheme, and we plan to target 11 crore families next year,” he added.

  1. Hemen Parekh
    Feb 3, 2016 at 6:36 am
    TIME IS NOW ! Quoting from a news-report ( HT / 02 Feb 2016 ) : At a recent World Economic Forum summit in Davos, Shri Arun Jaitley had said , India needs some additional growth engines , indicating that the focus would shift to reviving PRIVATE investments Senior Govt officials said," The incentives could be in the nature of TAX CONCESSIONS " DIPP Secretary , Amitabh Kant added , " For the Indian economy to continue to grow, it has to be on the back of DOMESTIC PRIVATE SECTOR investments ..... for a continuous robust growth , investments from the PRIVATE SECTOR , have to be ramped up " Let us not keep fooling ourselves ! Prey ! From where do the so called PUBLIC SECTOR investments come from ? It is PRIVATE MONEY ! Just re-routed by governments , using yours and mine tax money ! That is, whatever gets left ( of that tax money ) after expenses of running the government Apart from that , * Re-routing tax money through PUBLIC SECTOR investments, is a very slow / bersome process * Persons who manage those investments are rarely made " accountable " for profits / dividends * Since tax-payers do not get immediate benefits from such re-routing , it gives rise to tax evasions * Tax evasions lead to generation of BLACK MONEY and CORRUPTION And no political party would advocate " raising of taxes " so that , on 29 Feb 2016 , Shri Jaitley could allocate * ONE TRILLION DOLLARS ( Rs 70 lakh*crore ) each to , Piyush Goyal / Suresh Prabhu / Nitin Gadkari / Ravi Shankar Prasad / Uma Bharati / Venkaiah Naidu / Rajiv Pratap Rudy etc and * TEN TRILLION DOLLARS each to , Manohar Parikar ( Defense ) and Nirmala Sitharaman ( Make in India ) WHERE CAN WE FIND THAT GROWTH-ENGINE ? In my email ( 08 April 2014 ) , I wrote to Shri Narendra Modi : * Create Infrastructure SPVs * Allow people to invest in these directly and make " returns ( interests / dividends ) " , tax free * Amnesty Scheme for funds invested in such SPVs ( no questions asked as to the source of funds invested ) * An " INVERSE TAX " regime for Personal Income Tax ( with decreasing tax-rates for each higher slab ) Later emails recommended : * Encourage CREATION of WEALTH by total abolition of Personal Income Tax * Decreasing Corporate Income Tax , linked to number of permanent employees I hope Shri Jaitleyji does not treat these as POPULIST measures and keep tinkering with 80ccg / 80dd / 80ddb / 80e / 80g /80gg /80ggc / 80tta / 80u / 24b ....etc ! Time now is for embracing TRANSFORMATIONALIST measures It is time for the Butterfly to emerge from its cocoon ! -------------------------------------------------------------------------------------------------------------------------------- hemenparekh / blogs 03 Feb 2016
    Reply

    Go to Top