Reaching out to a large electorate ahead of the Lok Sabha polls, the Modi government on Friday in the interim budget presented by the interim finance minister Piyush Goyal announced a cash dole for small farmers, a mega pension scheme for the unorganised sector and doubled the threshold income tax exemption limit to Rs 5 lakh.
The new government, elected after general elections due by May, is expected to present a full budget in July along with the Economic Survey.
Here are the updates on major announcements and reactions from top political and industry leaders :
"The interim Budget proposals should augur well for the Indian economy by providing a growth impetus through a boost in consumption as well as an inclusive framework designed to benefit agricultural and rural communities, unorganised sector workers as well the middle class," ITC Managing Director Sanjiv Puri said.
"India's middle class, small traders and farmers are the lifelines of its economic growth. By catering to these ambitions Budget 2019 infuses hopes for millions of dreams," Adani Group Chairman and Founder Gautam Adani tweeted on the Budget
* CII Director General Chandrajit Banerjee said the Budget for 2019-20 touched the right notes for stimulating demand and growth in the economy.
"By strongly addressing the major consuming sections of society such as farmers, the middle class and unorganised sector workers, it aims to stabilise incomes and reduce risks for vulnerable people," he said.
* I want to ask if this budget was prepared by officials of the Finance department or the RSS? In this budget, Prime Minister Narendra Modi has given cotton candy for farmers. When I announced the loan waiver scheme, PM mocked it as a lollipop. Friends of BJP have prepared this budget: Karnataka Chief Minister HD Kumaraswamy
* Govt expects Rs 28,000 crore from RBI as interim dividend: Economic Affairs Secretary S C Garg
* Giving farmers Rs 17 a day an insult to everything they stand and work for: Rahul Gandhi on interim budget.
* Prime Minister Narendra Modi described the interim budget as "just a trailer" of the complete budget. "From middle class to labourers, from farmers’ growth to the development of businessmen, from manufacturing to MSME sector, from growth of the economy to development of New India, everyone has been taken care of in this interim budget", he said.
Prime Minister Narendra Modi: This is an Interim Budget. This is just a trailer of the budget which, after elections, will take India on the path to development. #Budget2019 pic.twitter.com/aWzi76nzKw— ANI (@ANI) February 1, 2019
* Interim budget has no value as NDA government's term ends soon: TMC chief Mamata Banerjee
WB CM Mamata Banerjee: This govt has no moral authority or responsibility to place the budget for 5 years when they'll not be in power; the govt will go for expiry. After expiry, if you give medicine, is there any value? What will be the value? This is absolutely valueless. pic.twitter.com/rK4CBge5Sw— ANI (@ANI) February 1, 2019
* The country's premier investigation agency CBI has been allocated Rs 777.27 crore in the interim union budget for 2019-20, a marginal reduction from last year's allocation.
* Both the measures in regard to tax exemption and basic income for the poor farmers are significantly consumption positive, Yes Bank chief economist Shubhada Rao said.
* The continuous deviation from the FY19 fiscal deficit target and the 'pause' on FY20 fiscal consolidation is a negative surprise and the credibility of the target to get fiscal deficit down to 3 per cent by FY21 is "now in question", Japanese brokerage Nomura said in a note in reaction to the budget.
* Announcements towards farms, farmers and middle-income category are expected to create huge pressure on the fiscal deficit during FY20, Dun & Bradstreet's lead economist Arun Singh said reacting to the budget
* This is the second surgical strike. First surgical strike was when our soldiers fought with bullets at the border and it will be the ballot this year. The Budget will benefit farmers: Union Minister Paswan.
* Shares of companies related to defence sector rose up to 5 per cent Friday after an outlay of Rs 3.05 lakh crore was set aside for the sector for 2019-20.
* Heartiest congratulations to PM Narendra Modi, Arun Jaitley and Piyush Goyal. This budget is for the welfare of every section of the society as per our mission of 'Sabka Saath Sabka Vikas': Union Minister Nitin Gadkari
* Ongoing slippage from the budgeted fiscal deficit targets over the past two years, and our expectation that government will face challenges meeting its target again in the year to March 2020 does not bode well for medium-term fiscal consolidation: Moody's said reacting to the budget
* Those sitting in AC rooms cannot understand the plight of the small farmers. Keeping this in mind, we have introduced Pradhan Mantri Kisan Samman Nidhi scheme. This is a historic decision, says Piyush Goyal at press conference after Budget
* Interim Budgets are also an opportunity for the Government of the day to introspect their performance of the last five years and place its facts before the people. The Budget is unquestionably Pro-Growth, Fiscally prudent, Pro-Farmer, Pro-Poor and strengthens the purchasing power of the Indian Middle Class: Union Finance Minister Arun Jaitley said via tweets.
* BJP - pro-poor, pro-farmers with pathbreaking reforms benefiting entire society Opposition - anti-poor, populist, meant for the rich. Lacks imagination and sincerity. How will the jobs come? CII/ FICCI/ Businessmen- Will give a boost to economy. Full of 'josh': RPG Enterprises Chairman Harsh Goenka tweeted.
* Industrialist Anand Mahindra tweeted his reaction to budget saying that he is grateful that the reliefs to the key middle class and farmer segments were delivered in a "measured way"
I was bracing for a populist,profligate budget driven by ‘election panic.’ I’m just grateful that the reliefs to the key middle class & farmer segments were delivered in a measured way without risking bankruptcy of the economy. This was a controlled, pump-priming exercise...— anand mahindra (@anandmahindra) February 1, 2019
* The budget has met the expectations of farmers, labourers and middle class. By bearing a cost of Rs 75,000 crore, the government will implement Pradhan Mantri Kisan Samman Nidhi scheme. This scheme will also benefit those farmers who do not take loans: BJP president Amit Shah
* Uttar Pradesh Chief Minister Yogi Adityanath on Budget2019: All sections of the society including farmers, middle class, poor and women have been mentioned in this budget. This budget will help achieve the dream of a 'New India'.
* We all were expecting it, If we add up all the things then people with an annual income around Rs 7.5 lakh won’t have to pay tax. It wasn’t the full budget, it was interim budget, so I would give it a 8/8.5 out of 10, said Neeru Ahuja, Partner, Deloitte
* Former Prime Minister Manmohan Singh described the Budget as an "election budget"
"The whole exercise has turned out to be a damp squib. We've seen one good thing that is a tax exemption for the middle class. Rs 6000 in income support for farmers boils down to Rs 500 per month. Is that supposed to enable them to live with the honour and dignity?," says Congress leader Shashi Tharoor reacting to the budget.
* The 30-share Sensex was trading 506.21 points, or 1.40 per cent, higher at 36,762.90; and the 50-share Nifty inched near the 11,000 mark rallying 143.30 points, or 1.32 per cent, to 10,974.25
*All sections of the society including farmers, middle class, poor and women have been mentioned in this budget. This budget will help achieve the dream of a 'New India', says Uttar Pradesh Chief Minister Yogi Adityanath in reaction to the interim budget.
* It was not a vote on account. It was an account for votes: Former finance minister P Chidambaram on Budget.
* This is not just an Interim Budget, this is a vehicle for the developmental transformation of the nation. Development became a Jan Andolan (people's movement) under the present Government, says Goyal towards the end of the Budget speech.
* TDS threshold on rental income raised from 1.8 lakh to 2.4 lakh rupees: Goyal
* TDS threshold on interest on bank and post office deposits raised from 10,000 to 40,000 rupees, says Goyal
*Standard tax deduction for salaried persons raised from 40,000 rupees to 50,000 rupees: FM Goyal
* Individuals with gross income up to 6.5 lakh rupees will not need to pay any tax if they make investments in provident funds and prescribed equities. Around 3 crore middle-class taxpayers will get tax exemption due to this measure: Goyal
* Individual taxpayers having taxable annual income of up to Rs 5 lakh will get full tax rebate: Goyal
#Budget2019 LIVE: No Tax For Annual Income Upto Rs 5 Lakh, Says Piyush GoyalFebruary 1, 2019
* In last 5 years under all categories of workers, minimum wages increased by 42 per cent which is the highest ever: Goyal
* Rs 76,800 crore allocated for welfare of SCs/STs for 2019-20, up from Rs 62,474 crore in 2018-19: Goyal
* Today a job seeker has become a job creator. Under SkilI India more than 1 crore youth are being trained to earn a livelihood. Under Mudra Yojana 15.56 crore loans have been disbursed amounting to Rs 7 lakh 23 thousand rupees: Goyal
* Goyal announces fiscal deficit as a proportion of GDP - 3.4% for the coming year, considering need for income support for farmers
* GST registered MSME units to get 2% interest subvention on loan of 1 crore : FM Goyal
* After demonetisation, more than 1 crore citizens filed IT returns for the first time. 18% increase in direct tax collections in 2017-18, 1.06 crore people included in tax base: Goyal
* Industrialists watching the interim Budget presentation
* We are poised to become a 5 trillion dollar economy in the next five years, we aspire to become a 10 trillion dollar economy in the next eight years: Goyal
*Our government is committed to eliminating the ills of black money; anti-black money measures taken have brought undisclosed income of about 1.30 lakh crore rupees to the surface; 3.38 lakh shell companies deregistered: FM Goyal
#Budget2019 LIVE: GST has been continuously reduced, resulting in relief of 80,000 crore rupees to consumers; most items of daily use for poor and middle class are now in the 0%-5% tax bracket: Piyush Goyal
Follow full coverage here: https://t.co/eK7wSkXyA6— Outlook Magazine (@Outlookindia) February 1, 2019
* All Income-Tax returns will be processed in 24 hours and returns issued simultaneously: Goyal
* Benchmark equity indices held on to gains Friday morning even as the Budget overshot the fiscal deficit target for the current financial year. The 30-share BSE Sensex was trading 157.10 points or 0.43 per cent, higher at 36,413.79. Similarly, the 50-share NSE Nifty rose 43.25, or 0.40 per cent, to 10,874.20.
* Farmers hit by natural calamities to get 2 per cent interest subvention; 3 per cent more on timely repayment of loans; 2 per cent interest subvention to farmers involved in animal husbandry and fishery, says FM.
* Aadhaar has helped ensure poor and middle class receive benefits of govt schemes directly in their bank accounts: FM
* Our govt aims to build 1,00,000 digital villages in next 5 years, says Goyal
* India’s installed solar generation capacity has grown 10 times in the last 5 years: Goyal
* Pension scheme for unorganised sector workers to be implemented from this fiscal: FM
* All unmanned level crossings on broad gauge network have been completely eliminated: Goyal
*Govt plans a programme on Artificial Intelligence. 9 priority areas have been identified: Goyal
* 2.5 crore families were without electricity in 2014; we have provided power to almost all families, Says Goyal
* Construction of rural roads tripled under Pradhan Mantri Gram Sadak Yojana: FM
* Govt announces setting up of Rashtriya Kamdhenu Aayog to enhance productivity of cows, says Piyush Goyal
*Defence Budget has been hiked to beyond Rs 3,00,000 for the first time; the govt has announced substantial hike in military service pay, says Goyal
* A pension scheme is being launched called Pradhan Mantri Shram Yogi Mandhan, to provide assured monthly pension of 3000 rupees per month, with the contribution of 100 rupees per month, for workers in unorganized sector after 60 years of age: Piyush Goyal
* Gratuity limit increased from Rs 10 lakh to Rs 30 lakh: Piyush Goyal
* Our government proposes to launch a mega pension scheme for workers in the organised sector. This scheme will provide them with an assured monthly pension of Rs 3000 after they reach 60 years of age: Piyush Goyal
*Allocation to MNREGA hiked to Rs 60,000 crore for 2019-20: Piyush Goyal
*Piyush Goyal announces the Pradhan Mantri Samman Nidhi for small and marginal farmers; farmers to get Rs 6,000 per year. Says, this initiative will benefit 12 crore small and marginal farmers, at an estimated cost of Rs. 75,000 crore
* Our govt has decided that all farmers affected by severe natural calamities will be provided benefit of interest subvention of 2%: Piyush Goyal
* This income support will be transferred directly into the bank accounts of beneficiary farmers in 3 equal instalments of Rs 2000 each
*To provide an assured income support to small and marginal farmers, PM Kisan Yojana has been approved: Piyush Goyal
* Ayushman Bharat to provide medical treatment to nearly 50 crore people
* 21 AIIMs established or operating in country, of which 14 sanctioned since 2014, I am happy to announce that 22nd AIIMS will be set up in Haryana, says Piyush Goyal
*Current Account Deficit likely to be 2.5 pc of GDP this year: Piyush Goyal
*Pradhan Mantri Gram Sadak Yojana has been allocated Rs.19,000 crore
*India has achieved over 98% urban sanitation coverage: Piyush Goyal
Piyush Goyal: As a tribute to Mahatma Gandhi, world's largest behavioural change movement Swachh Bharat initiated; more than 98% rural sanitation coverage has been achieved; more than 5.45 lakh villages declared ODF #Budget2019 pic.twitter.com/WgcRDun9Tb— ANI (@ANI) February 1, 2019
*We have walked the talk on corruption: Piyush Goyal
* Now, defaulting managements are either paying or exiting their businesses: Piyush Goyal
* We have run a corruption-free government, RERA Act 2016 and Benami Transaction Prohibition Act are helping to bring transparency in real estate: Piyush Goyal
* If we had not controlled inflation our families would have been spending 35-40 per cent more on daily use items
* Besides generating high growth rate, we contained double-digit inflation: Piyush Goyal
* Piyush Goyal: We are the fastest growing economy in the world, GDP growth in last 5 yrs higher than under any previous govt: Piyush Goyal
* Finance Minister Piyush Goyal rises to present the interim Budget 2019, wishes Union Minister Arun Jaitley speedy recovery and good health.
* Inside the premises of the Parliament Telugu Desam Party (TDP) MPs have dressed in black to protest against the central government over special category status for Andhra Pradesh.
#Budget2019 LIVE: Budgets they have presented so far haven’t really benefitted general public. Only ‘Jumlas’ will come out today: Mallikarjun KhargeFebruary 1, 2019
* Union Ministers Sushma Swaraj, Rajnath Singh, and Ravi Shankar Prasad arrive at the Parliament ahead of the Budget
*"The last five budgets have been dedicated to the farmers, the government's sixth budget will also be for the farmers, it will empower them," says Union Minister of Agriculture and Farmers' Welfare Minister Radha Mohan Singh
*Ahead of the interim Budget, Minister of State for Finance Shiv Pratap Shukla asserted that the budget will take care of everything.
"Modi government is a popular government, it is natural that we will take care of everything. We will do whatever is possible for the people. We have always presented a good budget," says Shukla
* As the Budget is due to start, markets are poised with Sensex up by 151.44 points, currently at 36,408.13
* Manoj Sinha, MoS for Railways, believes that investment in railways will certainly be increased.
The way the government has increased the investment in railways, from installing CCTV cameras to WiFi, I believe further investment in railways will certainly be increased: Manoj Sinha.
* Finance Minister Piyush Goyal arrives at the Parliament with the Budget briefcase. Following the Cabinet meeting, he will present the interim Budget.
* Finance Minister Piyush Goyal arrives at the Parliament with the budget briefcase to present the interim budget.
* Finance Minister Piyush Goyal calls on President Ram Nath Kovind at Rashtrapati Bhavan before presenting the Union Budget 2019.
* Shiv Pratap Shukla, MoS (Finance) says 'Modi govt has always presented a good budget'.
Modi government is a popular govt, it's natural that we will take care of everything. We will do whatever is possible for the people. We have always presented a good budget: Shiv Pratap Shukla, MoS (Finance).
* Piyush Goyal arrives at the Ministry of Finance.
* Analysis | The Health Sector Debate: Affordability Versus Access
India’s private sector, mostly unorganized, remains the main provider of healthcare. The government’s approach has been mostly disease burden specific. Read here.
* While it is widely expected that the interim budget may contain tax sops and a certain package for the farm sector, there will be no Economic Survey detailing the state of the economy.
* When And Where To Watch The Interim Budget Live
You can watch the Budget session live to know what are the government's plans for income tax slabs, indirect taxes, agriculture, new trains and more. The Union budget 2019-20 will be live streamed at Press Information Bureau's YouTube channel here starting 11 am.
(With inputs from agencies)
Chief Minister Yogi Adityanath on #Budget2019: All sections of the society incl farmers, middle class, poor & women have been mentioned in this budget. This budget will help achieve the dream of a 'New India'.