Government to list Life Insurance Corporation of India (LIC) on the stock exchanges. Dividend Distribution Tax removed. A debt ETF consisting of government securities will be launched. Specified categories of government securities would be opened for non-resident investors FPI Limit for corporate bonds to be increased to 15 per cent.
The availability of agricultural credit target for the year 2020-21 has been set at Rs 15 lakh crore. All eligible beneficiaries of the PM-Kisan scheme - which provides marginal small farmers with minimum income support of up to Rs 6,000 crore - will also be eligible for the Kisan credit card scheme.
Personal income tax rates reduced significantly. Those earning up to Rs 5 lakhs- No tax. Rs 5-7.5 lakhs: Tax rate reduced to 10%. Rs 7.5- 10 lakhs: Tax rate reduced to 15%. Rs 10-12.5 lakhs: Tax rate cut to 20%. Rs 12.5-15 lakhs: Tax rate cut to 25%.
It was widely anticipated that the Infra sector would receive a big boost from the Union budget, which it did with the following announcements. Finance Minister Nirmala Sitharaman has proposed around Rs 1.70 lakh crore for transport infrastructure in 2020-2021.
Central government's debt has come down to 48.7 percent in March 2019 from 52.2 percent in March 2014. Fiscal deficit revised from 3.3% to 3.8% of GDP. FDI (Foreign Direct Investment) of $284 billion received in 2014-2019. Divestment target set at Rs 2.1 lakh crore for 2020-21.