Union Finance Minister Nirmala Sitharaman announced various measures to pick up Indian economy on Friday. Addressing a press meeting, she informed about the lucrative fiscal packages to ensure growth and ease out the bottlenecks of the economy.
Union Minister for Finance and Corporate Affairs Nirmala Sitharaman during a press conference in Delhi: Just to give you briefly a picture of what is happening globally. The current projected global GDP growth is of about 3.2 % and probably is going to be even revised downwards. pic.twitter.com/yG9Wi0ePII
— ANI (@ANI) August 23, 2019
The meeting and the announcement becomes a matter of prime concern after NITI Aayog Vice-Chairman Rajiv Kumar had called the current economic slowdown as an “unprecedented situation that India has not faced in the last 70 years”.
- Withdrawal of Angel Tax for startups that has been a contentious issue for the growth of innovators.
- Infusion of Rs 70,000 crore into public sector banks as promised by the government in Budget of 2019-2020.
- Aadhar-based KYC will be given permission for the opening of Demat accounts. They will be also allowed to invest in mutual funds.
- Corporate Social Responsibility violations will now not be treated as a criminal offense. It will now be treated as civil liability.
- Micro, small and medium enterprises (MSMEs) will be issued a one-time settlement by the Banks.
- Small businesses will be refunded of their pending GST refund amount within 30 days.
- Banks will be directed to link their loan rates to RBI’s repo rate.
- National Housing Bank will extend liquidity of Rs. 20,000 crores to various housing finance companies.
- All BS-IV vehicles will be permitted to run for their entire registration period. It will be a big advantage in the automobile sector. Also, the new registration vehicle fees have been deferred to 2020.
- Extra surcharge on capital gains tax has been eliminated. It will help in infusing trust in market investment.
She also announced that by next week, many more measures will be announced to look after the concerns of homebuyers. The Minister also promised to remove “tax-terrorism” form the country and assured everyone that the government is continuously looking after the needs of all stakeholders. Previously, She also had a meeting with the tax officials in Gujarat on the matter of creating “tax-friendly” environment.