India Union Budget 2011 Highlights
- MF can accept subscription foreign investors who meet KYC norms
Pranab Mukarjee
- Discussions underway to relax FDI policy
- To introduce Public Debt AMC of India Bill in FY12
- Divestment in FY12 seen at Rs 40000cr
- Preparations for GST rollout in final stages
- Will introduce GST Bill in current session
- Govt will move to direct transfer of fertiliser subsidy to cos
- Extension of NBS to cover urea under review
- Significant progress on the GST network
- Direct Tax Code will be effective April 1, 2012
- New Public debt mgmt bill to be introduced in Parliament soon
- DTC will be finalised in 2011
- Govt in the process of setting up independent debt managing committee within finance ministry
- Average inflation and current account deficit to be lower and better managed next yr
- Expect inflation and CAD to be lower in 2011-2012
- Current account deficit poses concerns due to its composition
- Exports grown by 29.4%; imports grown by 17.6%
- Current account deficit at 2009-10 levels
- Impact of monetary tightening to show up with a lag
- Huge differences between wholesale and retail prices not acceptable
- Expect RBI to moderate inflation in coming months
- Shortfalls in distribution and marketing systems in food
- Economy has shown resilience to external and internal shocks
- Consumers have been denied a seasonal fall in food prices