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Nirmala Sitharaman Announces Atmanirbhar Bharat 3.0 with the assurance of Good Recovery; Read Highlights

On Thursday, Finance Minister Nirmala Sitharaman announced stimulus steps to promote job creation and improve key sectors of real estate and infrastructure under the Atmanirbhar Bharat 3.0 government package aimed at rescuing the economy from a historic contraction. “Several indicators have shown that the economy is improving. The strong recovery is based on the unrelenting reforms systematically implemented by the government,” the Finance Minister said in a media briefing. The Finance Minister claimed that the new package of steps is equal to 15 percent of the country’s GDP, asserting that the total monetary and fiscal support for the economy is around 29.88 lakh crore.

Here are the key highlights of a media briefing by Finance Minister Nirmala Sitharaman:

- 900 crore to the Department of Biotechnology for the Covid Suraksha Mission for the research and development of the Indian Covid-19 vaccine.

-  EXIM Bank will be given 3,000 crores for the promotion of project exports through Lines of Credit under the IDEAS Scheme.

- In the current financial year, PM Garib Kalyan Rozgar Yojana will be provided with an additional outlay of approximately 10,000 crores to improve rural jobs.

- For subsidised fertilisers, ₹65,000 crores to be supplied. 140 million farmers will be helped by this.

-  For only primary sales of residential value units up to Rs 2 crore, the gap between circle rate and agreement value increased from 10 to 20 percent, until 30 June 2021.

-   Tax relief on profits for developers and home buyers.

-  Construction & Infrastructure Support-Contract output protection to be reduced to 3 percent instead of 5 percent. For tenders, the Earnest Money Deposit is not necessary and will be replaced by the Bid Protection Declaration. Relaxation will be given until December 31st, 2021.

-  Over and above the budget estimate listed in the 2020-21 Budget under Pradhan Mantri Awas Yojana, ₹18,000 crores will be given. It's particularly for urban areas.

-  This additional budgetary resource would enable the grounding of 12 Lakh houses and the completion of 18 Lakh houses as a result.

-  Guaranteed credit support by the Kamath Committee for the 26 stressed sectors listed. The initial ECLGS had a moratorium of one year and a repayment period of four years, and the current scheme would have a moratorium of one year and a repayment period of five years.

-  1.46 lakh crore raise for 10 champion sectors of Aatmanirbhar Manufacturing Production-linked reward.

-  If new employees with the appropriate number are hired from 1 October 2020 to 30 June 2021, they will be covered for the next two years.

-  If they take on new workers or those who have lost jobs b/1 March 1 & Sept 30 each EPFO registered organizations, these employees will receive benefits.

-  The new Emergency Credit Line Guarantee Program has been extended until March 31, 2021.

-  Establishments that register with EPFO to receive subsidies for all new workers after the beginning of the Program. The scheme will be in service until June 30, 2021.

-  Until 31.03.2019, Pradhan Mantri Rozgar Protsahan Yojana was implemented. All sectors were covered and it is anticipated to run for 3 years. And if someone entered the scheme on 31.03.2019, they will be covered for three years from then under the current scheme.

- Finance Minister announced new job scheme called Atma Nirbhar Rozgar Yojana to create jobs in the country. The new scheme will be effective from 1 October 2020.

-  ₹1, 32,800 crores have gone as income tax refunds to 39.7 lakh taxpayers.

-  SBI Utsav cards being distributed, under the festival advance scheme announced on 12th Oct11 states sanctioned ₹3,621 crores as an interest-free loan towards capital expenditure.

- Under the Emergency Credit Liquidity Guarantee Scheme, a total amount of ₹2.05 lakh crores has been sanctioned to 61 lakh borrowers, out of which ₹1.52 lakh crores has been disbursed.

- The Special Liquidity Scheme for NBFCs / HFCCs disbursed 7,227 crores.

-  Credit boost was provided by Kisan Credit Cards to 2.5 crore farmers, ₹1.4 lakh crores were distributed to farmers.

- Additional Emergency Working Capital Support through NABARD has disbursed ₹25,000 crores to farmers.

-  The work has commenced on establishing a portal for migrant workers.

- In 28 states covering 68.8 crore beneficiaries, the 'One Nation-One Ration Card' has made very good development.

- Kisan Credit Cards have been received by about 157.44 lakh eligible farmers and a limit of 1, 43,262 crores have been sanctioned in two phases.

- Under the PM SVANidhi scheme for street vendors, 26.2 lakh loan applications were received.

- A few stimulus-related initiatives will be announced by the government.

- The growth of bank loans is up 5.1 percent; markets are at a record high.

- RBI has forecast a high possibility that the Indian economy will return to positive growth in the third quarter alone.

- For the calendar year 2021, India's GDP projection has been updated upwards to 8.6 percent from 8.1 percent previously projected: Moody's

- Significant recovery is being seen, although cases of Covid-19 have dropped.

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