New Delhi: Presenting her maiden budget for the new Modi government, Finance Minister Nirmala Sitharaman set out plans to make India a $5 trillion economy in the coming years by investing heavily in infrastructure, digital economy and job creation in micro, small and medium enterprises.
The Modi government has to now rekindle the animal spirits of the Indian economy and revive growth even as the global economic outlook is mixed, trade tensions spark worries about exacerbating the slowdown and a delayed monsoon threatens to hurt the farm sector and domestic consumption.
The Economic Survey 2019, released Thursday, projects India’s economy to grow marginally higher at 7 per cent in 2019-20 — an optimistic forecast amid a slowdown that shows no signs of abating.
Follow the live updates of the 2019 budget presentation here:
4:38 pm: Thank you for staying tuned. A final look at the key numbers of the Union Budget 2019.
2:55 pm: Finance Minister Nirmala Sitharaman on Union Budget 2019: The emphasis was very clearly on the overall development of economy. We looked at rural initiatives, all of which will give certain dynamic to the rural areas. Similarly, we looked at how urban living can be better.
2:52 pm: Startups have been given a whole set of tax benefits, which will enable them to do their business with much bigger ease, says Nirmala Sitharaman
2:51 pm: We have responded comprehensively to the NBFC issue, considering regulatory concerns too in mind: FM Nirmala Sitharaman
2:42 pm: This budget is an effort on the overall development of the economy: Nirmala Sitharaman
2:41 pm: This budget has been presented with a 10-year vision in mind, says Nirmala Sitharaman
2:40 pm: Finance Minister Nirmala Sitharaman addresses the media
2:34 pm: It is a citizen friendly, development friendly Budget, says Prime Minister Narendra Modi
PM Narendra Modi: The budget for a New India has a roadmap to transform the agriculture sector of the country, this budget is one of hope #Budget2019 pic.twitter.com/MeWoLXTC3g
— ANI (@ANI) July 5, 2019
2:24 pm: Here are the major takeaways from today’s budget:
2:21 pm: The Modi government Friday lowered the fiscal deficit target for 2019-20 to 3.3 per cent of gross domestic product in 2019-20, contrary to expectations of a fiscal stimulus to boost growth.
READ: Nirmala Sitharaman defies expectations, lowers fiscal deficit target to 3.3%
2:18 pm: “By bringing in socio-economic transformation, it is a futuristic budget. It will be successful in taking India to $5 trillion economy. It has taken care of all the sections of society, be it poor, backward or rich people,” says Defence Minister Rajnath Singh.
2:05 pm: Home Minister Amit Shah congratulates Nirmala Sitharaman on presenting her maiden budget today.
HM Amit Shah: Finance Minister Nirmala Sitharaman ji presents a #BudgetForNewIndia which lays foundation of inclusive&progressive nation, whose rise is powered by hard work of 130 cr Indians. Budget gives wings to India’s farmers,youth,women and poor to fulfil dreams (file pic) pic.twitter.com/4pmCqYkME1
— ANI (@ANI) July 5, 2019
1:52 pm: Here are the top takeaways from the budget speech by Nirmala Sitharaman
1:43 pm: Ministers congratulate Nirmala Sitharaman on presenting her maiden budget.
Congratulations to Finance Minister @nsitharaman ji for presenting Budget 2019-20 which outlines the Prime Minister Shri @narendramodi’s vision of building a new and confident India.
This is a futuristic budget focusing on India’s socio-economic transformation in coming years.
— Rajnath Singh (@rajnathsingh) July 5, 2019
1:15 pm: Lok Sabha passes the Union Budget 2019
1:12 pm: Finance Minister Nirmala Sitharaman ends budget speech
1:10 pm: Benefited from crowd sourcing comments on Budget proposals, thank the people, says Sitharaman
1:08 pm: Defence imports not manufactured in India exempt from basic custom duties
1:06 pm: Basic custom duty increased on cashew kernels, PVC, vinyl flooring, tiles, metal fittings, auto parts, marble slabs, optical fiber cable, CCTV cameras.
1:04 pm: Relief of about Rs 92,000 crore has been given via GST
12:57 pm: 3% increase in surcharge of individuals with income of Rs 2-5 crore
7% increase in surcharge of individuals with income above Rs 5 crore
12:55 pm: To discourage business payments in cash, govt proposes 2% TDS on cash withdrawals exceeding Rs 1 crore in a year from an account
12:53 pm: Nirmala Sitharaman proposes to make PAN and Aadhaar card interchangeable. People who don’t have PAN card can use Aadhaar while filing Income Tax returns, says Sitharaman
12:51 pm: 100 lakh crore rupees to be invested in infrastructure sector over next five years, Expert Committee to be set up to recommend structure and flow of funds through development finance institutions: FM Nirmala Sitharaman
12:50 pm: Govt considering to go below 51% to an appropriate level of ownership stake in non-financial public sector undertakings on case by case basis: FM Nirmala Sitharaman
12:42 pm: Finance Minister says annual turnover limit for 25% corp tax raised to Rs 400 cr from Rs 250 cr
12:41 pm: New ₹1, 5, 10 and 20 coins would be available for public use soon: FM Nirmala Sitharaman
12:40 pm: Govt has been following policy of disinvestment in non-financial public sector undertakings, maintaining govt’s stake not to go below 51%. Govt is considering, in case where undertaking is still to be retained in govt control, to go below 51% to an apt level on case to case basis: FM Nirmala Sitharaman
12: 38 pm: Public sector banks to be provided Rs 70,000 crore to boost capital and improve credit: FM Nirmala Sitharaman
12:37 pm: India’s sovereign external debt to GDP is among the lowest globally at less than 5%. Govt will start raising a part of its gross borrowing program in external markets in external currencies, says Finance Minister Nirmala Sitharaman
12:32 pm: Sitharaman announces developing of Gandhipedia to “sensitise youth about positive Gandhian values”
Finance Minister Nirmala Sitharaman: 'Gandhipedia' is being developed to sensitize the youth about positive Gandhian values #Budget2019 pic.twitter.com/1Fq6gBMglr
— ANI (@ANI) July 5, 2019
12:30 pm: To strengthen housing finance regulations, Sitharaman announces that regulation authority over housing finance firms is being shifted to Reserve Bank of India from National Housing Bank
12:29 pm: Government steps in to prevent a NBFC crisis — announces a partial credit guarantee to banks for losses from purchase of high rated assets of financially sound NBFCs.
12:26 pm: Boost to state run banks: Government announces Rs 70,000 crore to state run banks to increase credit flow to economy
12:25 pm: Railway station modernisation programme will be launched this year: FM Nirmala Sitharaman
12:22 pm: Sitharaman proposes opening up of Indian embassies and high commissions in countries where India doesn’t have a resident diplomatic mission
Finance Minister Nirmala Sitharaman: To give further impetus to India's growing influence and leadership in the international community, Govt decided to open Indian embassies and high commissions in countries where India doesn't have a resident diplomatic mission as yet. pic.twitter.com/V7lG0nZOez
— ANI (@ANI) July 5, 2019
12:20 pm: Nirmala Sitharaman proposes Aadhar cards for NRIs with Indian passports
12:18 pm: “This government believes we can progress with greater women participation,” says Nirmala Sitharaman
Finance Minister Nirmala Sitharaman: I draw attention to the women of India, 'Naari tu Narayaani'. This Government believes that we can progress, with greater women participation. #Budget2019 pic.twitter.com/eASF2om6Fs
— ANI (@ANI) July 5, 2019
12:17 pm: Govt will focus on new-age skills like artificial intelligence, IoT, 3D printing, virtual reality and robotics for skill empowerment of youth: FM Sitharaman
12:15 pm: Ensuring India’s water security & providing access to safe drinking water to all Indians is a priority. A major step in this direction has been the constitution of Jal Shakti Ministry, says Sitharaman
Finance Minister Nirmala Sitharaman: This new Ministry will look at the mgmt of our water resources & water supply in an integrated & holistic manner and will work with states to ensure 'Har Ghar Jal', to all rural households by 2024 under 'Jal Jeevan Mission'. https://t.co/ntfrKt4KP3
— ANI (@ANI) July 5, 2019
12:14 pm: Nirmala Sitharaman says India will be Open Defecation Free by 2 October, 2019
12:12 pm: The BSE Sensex surrendered early gains to fall over 150 points, dragged by losses in oil and gas, metal and power stocks.
Sensex currently at 39,788.65, down by 118.99 points. pic.twitter.com/TZMGRbSY3M
— ANI (@ANI) July 5, 2019
12:08 pm: Under Pradhan Mantri Grameen Digital Saksharata Abhiyan, #BharatNet is targeting internet connectivity in local bodies in every panchayat, says Nirmala Sitharaman
12:07 pm: Sitharaman proposes to streamline labour laws.
12:05 pm: Electronic Fundraising Platform, a social stock exchange, to be set up to list social enterprises and voluntary organisations working for social welfare objectives: FM Nirmala Sitharaman
11:57 am: Sitharaman announces expansion of Swachh Bharat mission to “undertake sustainable solid waste management in every village”. “9.6 crore toilets have been constructed since Oct 2, 2014. More than 5.6 lakh villages have become open defecation free.We have to build on this success,” said Sitharaman
11:56 am: 100 new clusters to be set up in 2019-20 under SFURTI, which will enable 50,000 artisans to join the economic value chain: FM Nirmala Sitharaman
11:52 am: Sitharaman announces setting up of New Space India Limited (NSIL) to harness India’s abilities as a space power.
Finance Minister Nirmala Sitharaman: India has emerged as a major space power. It is time to harness our ability commercially. To harness India's space ability commercially, a public sector enterprise, New Space India Limited (NSIL) has been incorporated to tap benefits of ISRO pic.twitter.com/S0XA8LjXjI
— ANI (@ANI) July 5, 2019
11:49 am: By 2022, every single rural family except those who are unwilling to take the connection, will have an electricity and a clean cooking facility, says Finance Minister Nirmala Sitharaman
11:48 am: NRI portfolio investment route to be merged with foreign portfolio investment route, says Nirmala Sitharaman
11:46 am: 1.25 lakh km of roads to be upgraded under PM Gram Sadak Yojana: Finance Minister Sitharaman
11:45 am: Rs 350 crore allocated for 2 per cent interest subvention for all GST-registered MSMEs on fresh or incremental loans, says FM Nirmala Sitharaman
11:43 am: Annual Global Investors’ Meet to be organized in India, using NIIF as the anchor to get key sets of global players to come and invest in India: FM Nirmala Sitharaman
Finance Minister Nirmala Sitharaman: Annual Global Investors' Meet to be organized in India, using National Investment and Infrastructure Fund(NIIF) as the anchor to get key sets of global players to come and invest in India #Budget2019 pic.twitter.com/jegvdQSlV9
— ANI (@ANI) July 5, 2019
11:41 am: Will take up measures to make RBI & SEBI depositories inter-operable: FM Nirmala Sitharaman
11:39 am: Existing Know Your Customer norms for Foreign Portfolio Investors to be rationalized and simplified, to make it more investor-friendly: FM Nirmala Sitharaman
11:36 am: BSE Sensex flat to 5 points up or down and NSE Nifty 50 around 10 points down at 11.35 am.
11:33 am: Sitharaman promises further opening up of key sectors for FDI — aviation, insurance, media and animation. Also promises easing of local sourcing norms in single brand retail.
11:31 am: Reforms would be undertaken to promote rental housing, current rental laws are archaic as they do not address lessor-lessee relationships fairly: FM Nirmala Sitharaman
11:30 am: Sitharaman announces creation of a social stock exchange for listing of social enterprises and voluntary organisations working for social welfare so that they can raise equity and debt.
11:27 am: Sitharaman keeps manifesto promise of BJP, announces pension scheme called Pradhan Mantri Karam Yogi Maan Dhan Yojana for 3 crore retail traders who have an annual turnover of less than Rs 1.5 crore.
11:26 am: Railway infrastructure would need an investment of 50 lakh crores between 2018 and 2030; Public Private Partnership to be used to unleash faster development and delivery of passenger freight services, says FM Nirmala Sitharaman
11:25 am: Restructuring of National Highways Programme to be done, to ensure creation of National Highways Grid of desirable capacity: Nirmala Sitharaman
Comprehensive restructuring of National Highways Programme to be done, to ensure creation of National Highways Grid of desirable capacity : @FinMinIndia #NirmalaSitharaman #Budget2019 #BudgetForNewIndia pic.twitter.com/NNQp0xaytQ
— PIB India (@PIB_India) July 5, 2019
11:24 am: Government envisions using rivers for cargo transportation, which will also decongest roads and railways: FM Nirmala Sitharaman
11:22 am: For providing an enabling ecosystem for Maintenance, Repair and Overhaul, suitable policy interventions will be adopted, says Finance Minister Nirmala Sitharaman
11:18 am: Sitharaman says Modi govt will work towards making India a hub for aircraft financing, leasing and MRO (maintenance, repair, overhaul) for aviation sector. Very commendable aims but how does this gel with a domestic aviation sector in turmoil with Jet Airways shut down, Air India in govt ICU and DGCA grappling with safety issues? asks ThePrint’s managing editor YP Rajesh.
11:17 am: Schemes such as BharatMala, Sagarmala and UDAN are bridging rural urban divide and improving our transport infrastructure: FM Nirmala Sitharaman
11:15 am: Sitharaman hints at steps to encourage domestic and foreign investment and pitches for the government working closely with industry. Says industry is nation’s “wealth creators and job creators”.
11:10 am: Average amount spent on food security per year approximately doubled during 2014-19 compared to preceding five years, says Nirmala Sitharaman
11:08 am: Between 2014 and 2019, we provided rejuvenated centre-state dynamic, cooperative federalism, GST Council and a strident commitment to fiscal discipline; set the ball rolling for New India: Finance Minister Nirmala Sitharaman
11:06 am: “It is well within our capacity to reach $5 trillion in the coming years,” says Nirmala Sitharaman
11:01 am: Nirmala Sitharaman begins her maiden budget speech in Parliament.
10:54 am: Union cabinet approves Budget 2019, it will be presented in the Parliament shortly.
10:40 am: Finance Minister Nirmala Sitharaman’s parents arrive in the Parliament ahead of her maiden budget speech.
#WATCH Delhi: Parents of Finance Minister Nirmala Sitharaman – Savitri and Narayanan Sitharaman – arrive at the Parliament. She will present her maiden Budget at 11 AM in Lok Sabha. #Budget2019 pic.twitter.com/Wp3INz7ifN
— ANI (@ANI) July 5, 2019
10:31 am: Copies of budget have arrived in the Parliament. Finance Minister Nirmala Sitharaman will present the budget at 11 am.
10:27 am: Cabinet meeting underway ahead of budget.
10:22 am: As Finance Minister Sitharaman prepares to deliver her maiden budget speech, ThePrint looks at the historical role of Indian women in economics and the recent trend of more number of women taking up leadership roles in the field of economy across the world.
READ: Nirmala Sitharaman symbolises rise of women in economic leadership roles across the world
10:16 am: Finance Minister Nirmala Sitharaman and MoS Anurag Thakur arrive at the Parliament.
10:00 am: Finance Minister Nirmala Sitharaman calls on President Ram Nath Kovind before presenting the Union Budget.
Rashtrapati Bhavan: As per tradition, Finance Minister Nirmala Sitharaman calls on President Ramnath Kovind before presenting the Union Budget pic.twitter.com/5vOMn9qj2H
— ANI (@ANI) July 5, 2019
09:55 am: CEA KV Subramanian said that Sitharaman choosing to keep the budget documents in a red cloth symbolises “our departure from slavery of Western thought”.
Chief Economic Advisor Krishnamurthy Subramanian on FM Nirmala Sitharaman keeping budget documents in four fold red cloth instead of a briefcase: It is in Indian tradition. It symbolizes our departure from slavery of Western thought. It is not a budget but a 'bahi khata'(ledger) pic.twitter.com/ZhXdmnfbvl
— ANI (@ANI) July 5, 2019
09:50 am: Diverging from the usual briefcase, which has been used by finance ministers up until now, Nirmala Sitharaman chose to keep the budget document in a four-fold red cloth folder.
09:35 am: Not sure you understand all the jargon in today’s budget speech? We break it down for you in this video. Watch below:
09:20 am: The biggest challenge facing Finance Minister Nirmala Sitharaman as she presents her first budget today is reviving investment and consumption to arrest economic slowdown while also maintaining fiscal deficit projections for FY20.
READ: Nirmala Sitharaman’s first budget is the most critical for Modi govt’s second term
09:10 am: The Budget speech comes a day after the government’s Chief Economic Adviser (CEA) released the Economic Survey. CEA K.V. Krishnamurthy projected a marginally higher growth rate of 7% for India’s economy this fiscal.
09:00 am: All eyes are on Nirmala Sitharam who will deliver the budget speech in Parliament this morning. She will begin around 11am.