L5 P2 Speech-schemes v3

8/12/2019 L5 P2 Speech-schemes v3

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[Fund #1] Nirbhaya Fund Launched in Budget 2013 [Rs.1000 crore]

For financing projects such as

CCTV @Public places GPS and emergency buttons in public buses, trains

Toll free numbers

Interim Budget 2014:

Nirbhaya fund made non-lapsable (permanent)

FM announced additional Rs.1000 crore. [=1k+1k=2k]

Criticism:

According to an RTI filed in Jan 2014, so far no money has bfrom Nirbhaya fund- on any scheme/project.


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#2: Innovation

India Inclusive Innovation Fund under MSME ministry

To promote grass rootinnovations- related to MSMEsector.

FM gave 100 crores in Interimbudget 2014

Venture Capital fund fo Under IFCI [Industrial F

Corporation of India]

To promote entreprenamong SC

Finance @concessiona

FM gave 200 crores in budget 2014

Funds

#3: VC for SC


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Summary: funds

Fund Launch Crore.

1. Nirbhaya: women security 2013 1000

2. India inclusive innovation:

grassroot/MSME

2014 100

3. Venture capital fund for SC (IFCI) 2014 200


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Schemes1. Flexibility to States2. HRD related schemes


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National Skill DevelopmentCorporation

Ownership: 51% private ; 49%FM

Target: give skill training to 150million Indians by 2022.

Scheme: National SkillCertification and MonetaryReward Scheme

(1k) 2013 + (1k) 2014

(Related) UDAAN

By Home ministry To give employment to

J&K

NSDC trains the youth,with private company t

them recruited. Problem: 6-15k pm sal

Hardly any takers.

[HRD]#1: NSDC


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FM Pranab Mukherjee 2009

Under: HRD ministry

Eligibility: Student: professional study parents with less than 4.5 lakh per

annum

Education loan after 1 April

2009: government pays theinterest during study period andlittle beyond

Problem: students who tookloans before 1st Apr 2009

Interim budget fixes the

Applicable to: all educataken up to 31.3.2009 outstanding on 31.12.2Government will pay tinterest.

but the borrower after

Impact: 9 lakh student Subsidy Expenditure: R

Crore.

Implemented via Cana

[HRD]#2: Central Scheme for InterestSubsidy CSIS


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(restructured) Integrated childdevelopment scheme (ICDS): will

be implemented in all districtsby first April 2014

National Agro-forestry policy2014 : employment generation.

Helping tribals to Market minor

forest produce.

SC Sub-Plan 48

Tribal Sub-Plan 30

Child Budget 80

Gender Budget 97

Schemes: plan Expenditure 5.5 lakhCrores


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Upto 2012

140+ centrally sponsoredschemes

100%, 90:10%, 80:20%, 75:25%etc. [State plans financeproblem.]

money given to implementingagencies

GoM, these schemes strinto 66 schemes.

Now: money directly to consolidated fund.

Interim Budget 2014:

Funds under these progwill be released as Centrassistance to State plangiving States greater autresponsibility.

Schemes vs States

2013


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Banking/Finance related


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Banking: Public sector banks

2013 2014

opened ~5k branches, with almost

one ATM per branch

Their NPA will reduce as econom

starts to improve

Bharatiya Mahila bank started in

November 2013

Give 7lakh crore as agri loans. Target: 8 lakh crores in agri loan

Interest subvention scheme (2%) Continued.


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Finance sector reforms initiatives1. To create one record for all financial assets of every individ

2. ADR/GDR scheme

3. rupee-denominated corporate bond market4. Help international investors to invest in Indian bonds.

5. Commodity & Currency Derivatives Market


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Investment/ Infrastructure/

related


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Investment / infra.[Infra] File clearance

Government created Cabinet Committee on Investment and the Project Monitorin(under PMO)

by the end of January, 2014, clearance completing ~300 projects worth >6 lakh cror

[Infra] Communication related:

IT modernization of Postal department (~5k crore), will be operational by 2015 in al(155,000)

community radio stations: 100 crores

[Infra] Nuke Energy

Kudankulam Nuclear Power Plant Unit I started generating electricity (TN)

Kalpakkam powerplant: fast breeder reactor work near completion. (TN)

Seven nuclear power reactors are under construction

[Infra] Solar Energy

National Solar Mission entered the second phase on 1.4.2013.

In 2014m we'll initiate four ultra mega solar power projects (each ~500MW)

M f i


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ManufacturingNational Manufacturing Policy

Share of MFG sector in GDP=25%

Create 100 million jobs in decade (2022)

[Infra] MFG: National Investment and Manufacturing Zones (NIM ~5000 ht. uncultivated land.

Industrial township with all the necessary infrastructure.

8 NIMZ, around Delhi Mumbai Industrial Corridor (DMIC)

e.g. Ahmedabad-Dholera investment Region, Gujarat

5 more NIMZs outside DMIC Similar to DMIC, three more corridors (work under progress)

1. Chennai and Bengaluru

2. Bengaluru and Mumbai

3. Amritsar and Kolkata


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Launched in 2013

By Khadi and Village IndustriesCommission (KVIC) [statutory]

Under Ministry of MSME Micro,Small and Medium Enterprises

Mark assures mark will purehand-woven, hand spun khadi.

[MFG] Khadi Mark

[I f /MFG] Mi


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[Infra/MFG] Misc. [Infra]: Adopt PPP model for infra. Development

[MFG]:

Est. 2014: mfg. export will be ~325 billion $ focus on export.

All taxes, Central and State, that go into an exported product shouwaived or rebated.

[FDI]

FDI policy was liberalized to attract larger investments in telecomm

pharmaceuticals, civil aviation, power trading exchanges and multretail.

Proposal for FDI in railways


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Bills/Act relatedRefer Prsindia.org to salient features

o y s men one ur ng u g


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o y s men one ur ng u gspeechName Context in the speech

Financial Sector

Legislative ReformsCommission

We need to atleast implement some of its

recommendations that donot requirepassing/amending any laws.

Forest rights act >12 lakh land titles given to them

Land acquisition Act Notified in 2014, has replaced the colonial law

National Food securityact

Has been passed. Will give food security to 6juntaa.

Companies Act Replaced old act of 1956

PFRDA Act Passed. Established Statutory regulator.

o y s men one ur ng u g


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o y s men one ur ng u gspeechPFRDA Act Passed. Established Statutory regulator.

Insurance Laws

amendment

Not passed

Securities Law Not passed

Public Debt

Management Agency

Bill

Not passed. But until then, government will setup a non-sta

PDMA to start work in 2014-15.

Forward Contracts

(Regulation) Act

Need to amend it, so NSEL-like crisis doesn't happen again.

Direct tax code and

GST

Needs to be passed. FM will release discussion paper on his


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Health/Science tech relate

[Healthcare] (GS3) Indigenization of


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JE vaccine

Viral disease, spread viamosquitoes

New vaccine JENVAC by Indianscientists .

jointly developed by:

1. National Institute of Virology(Pune)

2. Indian Council of MedicalResearch (ICMR)

3. Bharat Biotech Ltd.

For Thalassamia (genedisease)

Till now imported kits

But now desi kits @Rs

Developed by Indian Council for Med

research (ICMR)

National Institute ofImmunohaematolgoy

[Healthcare] (GS3) Indigenization oftechnology

Reverse Dot Blot Hybri(RDB) Kit

[Healthcare] (GS3) Indigenization of


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AV Magnivisualizer

for detection of cervical cancerin women.

by Indian Council of MedicalResearch (ICMR)

Foreign device 8-10 lakh

This one costs just 10k

Runs on battery- good for ruralareas

used even by healthcare workerswith basic training.

Mars orbiter mission, ^available on Mrunal.or

[Healthcare] (GS3) Indigenization oftechnology

Space tech

Misc from Interim Budget speech


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Misc. from Interim Budget speech Global Risks 2014 report

Released by World economic forum

To show that global risk are interconnected

31 risks given. Top ten are

1. fiscal crisis

2. structurally high unemployment or underemployment

3. water crisis

4. income disparity

5. climate change

6. extreme weather events (Floods, storms, fires)

7. governance failure8. food crisis

9. failure of a major financial institution

10. political and social instability.

These are common to all Emerging market economies.


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GDP growth in (%) 2011 2013

World ~4 3

Eurozone -- 0.2%

China 9.3 7.7

India 7.5 4.9 (CSO)

Blackmoney/Offshore

Investigation started si

But so far ~70 cases re

Misc. from Interim Budget speech

Essay


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Essay[Statements from Interim budget speech]

1. India was the first non-Western countryand also the ficountry in the worldto commit itself to a resolutely demway of governance.

2. Democracy acknowledges diversity, respects dissent, encodebate, and decides through elected representatives.

3. Neither populism nor majoritarianism nor individualism isalternative way of governance.

4. Not the spear but sceptre swayed with equity Alone givesvictory.

L5 P2 Speech-schemes v3

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