24-July-2024-Daily-Current-Affairs

UNION BUDGET 2024-2025

Concept of Budget

A budget is an annual financial plan detailing expected income and expenditures over a specific period, typically one year. It serves as a strategic tool for managing financial resources, guiding economic decisions, and setting financial goals.

Objectives of a Budget

• Resource Allocation: Ensures efficient use of available resources to meet various financial needs and goals.
• Fiscal Management: Aids in controlling government spending and managing public funds responsibly.
• Economic Planning: Supports the implementation of economic and social policies by forecasting and planning expenditures and revenues.
• Risk Assessment: Identifies potential economic risks and opportunities, enabling informed decision-making.
• Accountability: Provides a framework for monitoring and evaluating financial performance and adherence to financial goals.

Constitutional Provisions Related to the Budget

Article 112: Annual Financial Statement

• The President is required to present an annual financial statement to both Houses of Parliament. This statement outlines the estimated receipts and expenditures of the Government of India for the fiscal year.

Article 113: Demand for Grants

• No request for government grants can be made without the President’s recommendation, ensuring that all expenditure proposals are officially endorsed before being considered.

Article 114: Consolidated Fund Authorization

• Withdrawal of funds from the Consolidated Fund of India (CFI) must have parliamentary authorization, ensuring that all financial outflows are legally sanctioned.

Article 266: Consolidated Fund and Public Account

• All government revenues are deposited into the Consolidated Fund of India. Other public funds, such as those from provident funds or postal insurance, are credited to the Public Account of India.

Article 267: Contingency Fund

• Parliament may establish a Contingency Fund of India to address unforeseen expenditures, providing a financial buffer for unexpected needs.

Difference Between Expenditure Charged Upon CFI and Expenditure Made from CFI

Expenditure Charged Upon CFI

• Parliamentary Approval: Does not require prior parliamentary approval. However, Parliament can discuss the estimates of this expenditure.
• Purpose: Aims to protect the independence and functioning of specific institutions and bodies.
• Examples: Salaries and allowances of the President, Vice-President, Speaker, Comptroller and Auditor General (CAG), Supreme Court judges, and pensions of High Court judges.

Expenditure Made from CFI

• Parliamentary Approval: Requires parliamentary approval. Expenditure is made only after being voted on by Parliament through demand for grants.
• Purpose: Regular government spending that requires legislative scrutiny and approval.
• Examples: General government spending on various programs and services, as outlined in

the budget and approved through parliamentary procedures.

COMPONENTS OF BUDGET:

      

Summary of the Union Budget 2024-25

Focus Areas:

• The Interim Budget highlights four key groups: the poor (Garib), women (Mahilayen), youth (Yuva), and farmers (Annadata).

Budget Theme:

• The Union Budget 2024-25 focuses on promoting employment, skill development, support for Micro, Small, and Medium Enterprises (MSMEs), and strengthening the middle class. A notable allocation of ₹1.48 lakh crore is dedicated to education, employment, and skill enhancement.

Budget Priorities:

       

• The budget emphasizes nine critical areas: agriculture, employment, human resource development, manufacturing, services, urban development, energy security, infrastructure, and innovation, including research and next-generation reforms.

PRIORITY 1: PRODUCTIVITY AND RESILIENCE IN AGRICULTURE

• Agricultural Research: Comprehensive review to enhance productivity. Release of 109 new high-yielding, climate-resilient varieties of 32 field and horticulture crops.
• Natural Farming: Initiate 1 crore farmers into natural farming with certification and branding over the next two years.
• Bio-Input Resource Centres: Establish 10,000 need-based centres.
• Self-Sufficiency in Pulses and Oilseeds: Strengthen production, storage, and marketing for pulses and oilseeds (mustard, groundnut, sesame, soybean, sunflower).
• Digital Public Infrastructure (DPI): Facilitate DPI implementation for farmers and their lands within 3 years.
• Budget Allocation: ₹1.52 lakh crore allocated for the agriculture and allied sector.

PRIORITY 2: EMPLOYMENT & SKILLING

Employment Linked Incentive Schemes:

• Three schemes based on enrolment in the EPFO.
• Focus on recognizing first-time employees and supporting both employees and employers.

Higher Participation of Women in Workforce:

• Setting up working women hostels in collaboration with industry.
• Establishing creches to support working women.

Skilling Programme:

• New centrally sponsored scheme for skilling in collaboration with state governments and industry.
• Aims to skill 20 lakh youth over a 5-year period.
• Upgrading 1,000 Industrial Training Institutes in a hub and spoke arrangement with an outcome-oriented approach.

Model Skill Loan Scheme:

• Revision of the scheme to facilitate loans up to ₹7.5 lakh with a government-promoted Fund guarantee.
• Expected to help 25,000 students every year.

Financial Support for Higher Education:

• Loans up to ₹10 lakh for higher education in domestic institutions.
• E-vouchers for annual interest subvention of 3% of the loan amount to be given directly to 1 lakh students every year.

                                              

PRIORITY 3: INCLUSIVE HUMAN RESOURCE DEVELOPMENT AND SOCIAL JUSTICE

Saturation Approach:

• Enhance implementation of schemes supporting economic activities for craftsmen, artisans, self-help groups, SC/ST communities, women entrepreneurs, and street vendors, including PM Vishwakarma, PM SVANidhi, National Livelihood Missions, and Stand-Up India.

Purvodaya:

• Develop a plan for the eastern region (Bihar, Jharkhand, West Bengal, Odisha, Andhra Pradesh) focusing on human resource development, infrastructure, and economic opportunities to drive regional growth.

                                                 

Pradhan Mantri Janjatiya Unnat Gram Abhiyan:

• Launch a scheme to improve socio-economic conditions of tribal communities with saturation coverage in 63,000 villages and benefit 5 crore tribal people.

Banking Expansion:

• Establish over 100 branches of India Post Payment Bank in the North East to enhance banking services.

Budget Allocation:

• ₹2.66 lakh crore allocated for rural development and infrastructure.

MANUFACTURING & SERVICES:

                                            

Support for MSMEs:

• A self-financing guarantee fund will offer up to ₹100 crore guarantee cover to each applicant.
• Public sector banks will develop in-house capabilities to assess MSMEs for credit, bypassing external assessments.
• A new mechanism will support the continuation of bank credit to MSMEs during financial stress.

Mudra Loans:

• Loan limits will be increased to ₹20 lakh from ₹10 lakh for entrepreneurs who have successfully repaid previous loans under the ‘Tarun’ category.

MSME Units for Food Irradiation and Testing:

• Financial support will be provided for 50 multi-product food irradiation units.
• 100 food quality and safety testing labs with NABL accreditation will be set up.
• E-Commerce Export Hubs will be established in PPP mode to help MSMEs and artisans access international markets.

Internship Opportunities:

• A scheme will be launched to provide internship opportunities in 500 top companies to 1 crore youth over 5 years.

URBAN DEVELOPMENT: KEY INITIATIVES

                                 

• Urban Housing: PM Awas Yojana Urban 2.0 will address the housing needs of 1 crore urban poor and middle-class families with an investment of ₹10 lakh crore, including central assistance of ₹2.2 lakh crore over 5 years.
• Water Supply and Sanitation: The government will collaborate with State Governments and Multilateral Development Banks to promote water supply, sewage treatment, and solid waste management projects for 100 large cities through bankable projects.
• PM SVANidhi: The government plans to develop 100 weekly ‘haats’ or street food hubs in select cities each year over the next five years, building on the success of the PM SVANidhi Scheme for street vendors.

ENERGY SECURITY:

• PM Surya Ghar Muft Bijli Yojana: Launched to install rooftop solar plants for 1 crore households, providing free electricity up to 300 units per month.The scheme has seen over 1.28 crore registrations and 14 lakh applications.
• Nuclear Energy: Expected to play a significant role in the energy mix for Viksit Bharat.

                

INFRASTRUCTURE

                                

Investment in Infrastructure:

• The Central Government will maintain strong fiscal support for infrastructure over the next 5 years, with an allocation of ₹11,11,111 crore for capital expenditure, representing 3.4% of GDP.

Pradhan Mantri Gram Sadak Yojana (PMGSY):

• Phase IV will be launched to provide all-weather connectivity to 25,000 rural habitations with increased population.

Irrigation and Flood Mitigation in Bihar:

• Financial support of ₹11,500 crore will be provided for projects including the Kosi-Mechi intra-state link and other schemes for barrages, river pollution abatement, and irrigation.

Assistance to Other States:

• Support will be extended to Assam, Himachal Pradesh, Uttarakhand, and Sikkim for flood management, landslides, and related projects.

INNOVATION, RESEARCH & DEVELOPMENT: KEY INITIATIVES

                                           

Anusandhan National Research Fund:

• Operationalization of the fund for basic research and prototype development.
• A ₹1 lakh crore financing pool will be established to support private sector-driven research and innovation.

Space Economy:

• A venture capital fund of ₹1,000 crore will be set up to expand the space economy fivefold over the next 10 years.

9. Next Generation Reforms:

Economic Policy Framework:

• An Economic Policy Framework will be developed to guide economic development and outline the next generation of reforms aimed at increasing employment opportunities and sustaining high growth.

Labour-Related Reforms:

• The government will enhance services for labour, including employment and skilling, through the integration of the e-shram portal with other platforms for a one-stop solution.
• Shram Suvidha and Samadhan portals will be revamped to improve ease of compliance for industry and trade.

PART-II 

TAXES:

Indirect Taxes: GST

• Expansion to remaining sectors to simplify and rationalize tax structure.

Sector Specific Customs Duty Proposals:

Medicines and Medical Equipment

• Full exemption on custom duty for three cancer drugs: TrastuzumabDeruxtecan, Osimertinib, and Durvalumab.
• Changes in Basic Customs Duty (BCD) for x-ray tubes & flat panel detectors used in medical x-ray machines.

Mobile Phones and Related Parts

• BCD on mobile phones, Printed Circuit Board Assembly (PCBA), and chargers reduced to 15%.

Precious Metals

• Customs duty on gold bars reduced from 15% to 6%.
• Gold dore reduced from 14.355% to 5.35%.
• Silver bars reduced from 14.35% to 6%.
• Silver dore reduced from 14.35% to 5.35%.
• Platinum: Customs duty reduced from 15.4% to 6.4%.
• Impact: Significant reduction in duty aims to reduce smuggling and support domestic value addition. Expected annual revenue loss of ₹28,000 crore based on FY24 import levels.

Other Metals

• BCD removed on ferro nickel, blister copper, ferrous scrap, and nickel cathode.
• Concessional BCD of 2.5% on copper scrap.

Electronics

• BCD removed on oxygen-free copper for resistor manufacturing.

Chemicals and Petrochemicals

• BCD on ammonium nitrate increased from 7.5% to 10%.

Plastics

• BCD on PVC flex banners increased from 10% to 25%.

Telecommunication Equipment

• BCD increased from 10% to 15% on PCBA of specified telecom equipment.

Trade Facilitation

• Time period for export of goods imported for repairs extended from six months to one year.
• Time-limit for re-import of goods for repairs under warranty extended from three to five years.

Critical Minerals

• 25 critical minerals fully exempted from customs duties.
• BCD on two critical minerals reduced.

Solar Energy

• Capital goods for solar cells and panels manufacturing exempted from customs duty.

Marine Products

• BCD on certain broodstock, polychaete worms, shrimp, and fish feed reduced to 5%.
• Various inputs for shrimp and fish feed manufacturing exempted from customs duty.

Leather and Textile

• BCD reduced on real down filling material from duck or goose.
• BCD reduced on methylene diphenyl diisocyanate (MDI) for spandex yarn manufacturing from 7.5% to 5%.

Direct Taxes

• Simplification and Revenue Enhancement
• Continued efforts to simplify taxes, improve taxpayer services, provide tax certainty, and reduce litigation.
• 58% of corporate tax revenue from simplified tax regime in FY23; over two-thirds of taxpayers used simplified personal income tax regime in FY24.

                                     

Simplification for Charities and TDS

• Merger of two tax exemption regimes for charities.
• Reduction of 5% TDS rate on many payments to 2%.
• Withdrawal of 20% TDS rate on repurchase of mutual fund or UTI units.
• Reduction of TDS rate on e-commerce operators from 1% to 0.1%.
• Decriminalization of delayed TDS payment up to the filing date.

Simplification of Reassessment

• Assessment reopening extended to five years if escaped income is ₹50 lakh or more.
• In search cases, time limit reduced from ten to six years.

Rationalisation of Capital Gains

• Short-Term Gains: Taxed at 20% for certain financial assets; other assets continue at 15%.
• Long-Term Gains: Taxed at 12.5% for all financial and non-financial assets. (Listed financial assets held over a year are classified as long-term)
• Unlisted financial assets and non-financial assets must be held for at least two years to qualify as long-term.
• Exemption Limit: Exemption limit for capital gains on certain financial assets increased to ₹1.25 lakh per year.
• Unlisted Assets: Unlisted bonds, debentures, debt mutual funds, and market-linked debentures will attract capital gains tax based on the holding period and applicable rates.
• Impact: Reduction in capital gains tax for Indian founders and promoters, while foreign investors face increased tax rates.
• Simplification expected to reduce volatility, raise tax revenue, and encourage long-term investment.

                                        

Angel Tax Abolished for Foreign Investments in Start-ups

• Central government scrapped the angel tax on foreign investments in start-ups.
• Purpose: To support the Indian start-up ecosystem, boost entrepreneurship, and foster innovation.

Reporting of Foreign Assets:

• No penalty for not reporting movable assets up to ₹20 lakh, addressing concerns for Indian professionals with foreign assets.

Tax Payer Services

• Digitalization of remaining Customs and Income Tax services over the next two years.

Litigation and Appeals

• Introduction of ‘Vivad Se Vishwas Scheme, 2024’ for income tax dispute resolution.
• Increased monetary limits for filing appeals in Tax Tribunals, High Courts, and Supreme Court.

Employment and Investment

• Simpler tax regime for foreign shipping companies to promote cruise tourism.
• Reduced corporate tax rate for foreign companies from 40% to 35%.
• Safe harbour rates for foreign mining companies selling raw diamonds.

Deepening Tax Base

• Increased Security Transactions Tax on futures and options to 0.02% and 0.1% respectively.
• Taxation of income received on buyback of shares.

Social Security Benefits

• Increased employer deduction for NPS contributions from 10% to 14% of employee’s salary.
• Decriminalization for non-reporting of small movable foreign assets up to ₹20 lakh.

Other Major Proposals

• Withdrawal of 2% equalization levy.

Revised Personal Income Tax Slabs

• The income slab of ₹3-6 lakh is revised to ₹3-7 lakh, with the tax rate remaining at 5%.
• No changes for income below ₹3 lakh, between ₹12-15 lakh, or above ₹15 lakh.

                                     

Savings and Deductions:

• Salaried individuals can save up to ₹17,500 in taxes.
• Standard deduction increased to ₹75,000 from ₹50,000.
• Deduction for family pension increased from ₹15,000 to ₹25,000.

New Tax Regime:

• Measures aim to benefit about 4 crore salaried individuals and pensioners and promote the new tax regime.

Diamond Industry:

• Safe-harbour rates proposed for foreign mining companies selling raw diamonds in India to support the diamond cutting and polishing sector.

    

CREDIT SUPPORT FOR MSMES AND MUDRA LOAN LIMIT INCREASE

Credit Guarantee Scheme:

• A new scheme will provide credit guarantees up to ₹100 crore for MSMEs, facilitating term loans for equipment purchases without collateral.
• A self-financing guarantee fund will back these loans, requiring an upfront and annual guarantee fee.

Public Sector Banks:

• Banks will develop in-house credit assessment capabilities based on MSME digital footprints to include those without formal accounting systems.

Mudra Loans:

• Loan limit increased to ₹20 lakh from ₹10 lakh for borrowers who have repaid previous loans under the ‘Tarun’ category.

E-Commerce Export Hubs:

• Public-private-partnerships will establish export hubs to help MSMEs and traditional artisans sell products internationally.

Energy Audit and Support:

• Investment-grade energy audits will be conducted in 60 clusters, with financial support for transitioning to cleaner energy.

Rental Housing for Industrial Workers:

• Rental housing with dormitory-style accommodation for industrial workers will be facilitated through public-private partnerships.

HEALTH SECTOR ALLOCATION

Cancer Drugs:

• Customs duty exempted for Trastuzumab Deruxtecan, Osimertinib, and Durvalumab.

Medical Equipment:

• Changes in Basic Customs Duty (BCD) on X-ray tubes and flat panel detectors for medical X-ray machines.

Health Sector Budget:

• Total health sector outlay increased to ₹89,287 crore, up from ₹79,221 crore in the previous budget, but remains below the 2% mark of total expenditure.
• Allocation for the Health Ministry increased to ₹90,958.63 crore.
• Allocation for the Ayush Ministry increased from ₹3,000 crore to ₹3,712.49 crore.

Anusandhan National Research Fund:

• Operationalization planned with a ₹1 lakh crore financing pool to support basic research and prototype development.

Healthcare Sector Reaction:

• Calls for increasing GDP spend on healthcare to 2.5%, prioritizing healthcare as a national issue, and rationalizing GST among other long-standing demands.

Farming Budget Allocation and Subsidy Cuts

Overall Allocation:

• ₹1.52 lakh crore allocated for farming and allied sectors.
• Allocation for the Department of Agriculture and Farmers Welfare increased to ₹1,22,528.77 crore from ₹1,16,788.96 crore in the previous budget.

Fertilizer Subsidies:

• Allocation reduced to ₹1,64,150.81 crore from ₹1,88,947.29 crore, representing a 34.7% cut from the previous fiscal year.
• Actual expenditure in 2022-23 was ₹2,51,369.18 crore.

Food Subsidies:

• Allocation decreased to ₹2,13,019.75 crore from ₹2,21,924.64 crore, with actual expenditure in 2022-23 being ₹2,83,744.53 crore.

Major Announcements:

• Digital Public Infrastructure for Agriculture and a digital crop survey of kharif crops in 400 districts.
• Introduction of 109 new high-yielding and climate-resilient crop varieties.
• Certification and branding support for natural farming for one crore farmers over the next two years.
• Financial support for setting up Nucleus Breeding Centres for shrimp broodstocks through NABARD.

CUSTOMS DUTY REDUCTIONS AND ADJUSTMENTS

Duties Reduced:

• Basic customs duty on mobile phones, chargers, and printed circuit board assemblies (PCBAs) reduced from 20% to 15%.
• Duties on rare earth metals, lithium, copper, and cobalt reduced or eliminated.
• Duties on “oxygen free copper for manufacture of resistors” completely eliminated.
• Duties Raised: Duties on PCBAs intended for telecom equipment increased from 15% to 20% to encourage domestic manufacturing.
• Exemptions: Inputs for connectors used in transistors exempted from duties.
• Industry Reaction: Positive response from the India Cellular and Electronics Association, anticipating further tariff adjustments in the next six months.

SOCIAL SECTOR

Women-Friendly Schemes and Allocations

• Total Allocation: Over ₹3 lakh crore allocated for schemes benefiting women and girls.

Specific Initiatives:

• New Pension Scheme: ‘Vatsalya’—contributory scheme with a seamless transition to a National Pension System (NPS) account upon reaching majority.
• Special Hostels and Creches: Set up to support working women.
• Skilling Programs and Support: Enhanced for women-specific skilling and self-help groups.

Budget Details:

• Ministry of Women and Child Development: Marginally increased allocation to ₹26,092 crore.
• Central Schemes: ₹25,848 crore allocated, covering flagship schemes like Saksham Anganwadi, POSHAN 2.0, Mission Vatsalya, and Mission Shakti.

Support for Women Entrepreneurs:

• Mudra loan limit doubled to ₹20 lakh.
• Credit guarantee scheme for MSMEs expected to aid women entrepreneurs.

Criticisms and Observations:

• Call for gender-aggregated data to assess the impact of gender-budgeting.

EDUCATION LOAN SCHEME

New Loan Scheme: E-vouchers for up to ₹10 lakh in education loans with a 3% annual interest subvention for one lakh students annually.

Impact:

Aims to reduce financial burden and promote enrollment in domestic higher education institutions.

Ministry of Education Allocation:

• Increased to ₹1.2 lakh crore, up by 7.14% from last year, but decreased by 6.97% compared to Revised Estimates for 2023-24.

Skill Loan Scheme:

• Revised to offer loans up to ₹7.5 lakh with government-backed guarantees, benefiting 25,000 students annually.

INFRASTRUCTURE

Housing Scheme Allocation

PM Awas Yojana-Urban 2.0:

• Investment: ₹10 lakh crore.
• Central Assistance: ₹2.2 lakh crore over five years.
• Interest Subsidy: Provision for affordable loan rates.

Rental Housing:

• Dormitory-style accommodations for industrial workers.
• Facilitated through public-private partnerships with viability gap funding.

Additional Houses:

• Three crore houses to be built under PMAY in rural and urban areas.

Reactions:

• Construction and housing finance companies welcomed the allocation.
• Credit-linked subsidy and lower stamp duty for women buyers expected to boost affordable housing.
• Digitisation of land records to improve transparency and credit flow.

PM Janjatiya Unnat Gram Abhiyaan

• Objective: Achieve full saturation of basic facilities for five crore Scheduled Tribe families across 63,000 villages in tribal-majority areas and aspirational districts.
• Design: Modeled after PM-JANMAN, targeting Scheduled Tribe populations nationwide.

Budget Allocations for Ministry of Tribal Affairs:

• Allocation: ₹13,000 crore for FY 2024-25.
• Increase: 4.31% from previous year.
• Major Allocation: ₹6,399 crore for Eklavya Model Residential Schools.

Ministry of Social Justice and Empowerment:

• Allocation: ₹14,225.47 crore for FY 2024-25, a 1.08% increase.
• National Fellowship for OBC Students: ₹55 crore, down from ₹57 crore.
• Interest Subsidy on Overseas Studies for OBC and EBC Students: Reduced from ₹29 crore to ₹25 crore.

BUDGET ALLOCATIONS FOR BORDER INFRASTRUCTURE AND HOME AFFAIRS

Border Infrastructure Maintenance and Capital Outlay:

• Allocation: ₹3,756 crore for FY 2024-25.
• Increase: ₹211 crore from ₹3,545 crore in FY 2023-24.

Rehabilitation and Relief for Migrants:

• Allocation: ₹539.72 crore for FY 2024-25.
• Increase: From ₹301 crore in FY 2023-24.

Language Platform:

• Allocation: ₹56 crore for the establishment of ‘Bhartiya Bhasha Anubhag’ (Indian Languages Department) for language translation.

Census and Statistics:

• Allocation: ₹1,309 crore for FY 2024-25.
• Decrease: From ₹1,564.65 crore in FY 2023-24.

Intelligence Bureau:

• Allocation: ₹3,823 crore for FY 2024-25.
• Increase: From ₹3,418 crore in FY 2023-24.

Special Protection Group (SPG):

• Allocation: ₹506.32 crore for FY 2024-25.
• Increase: From ₹433.59 crore in FY 2023-24.

Indian Cyber Crime Coordination Centre (I4C):

• No allocation due to scheme cessation from July 1, 2024.

Ministry of Home Affairs (MHA):

• Total Allocation: ₹2,19,643.31 crore for FY 2024-25.
• Increase: From ₹2,02,868.70 crore in the interim Budget.

RAILWAYS ALLOCATION AND PRIORITIES FOR FY 2024-25

Total Allocation:

• ₹2.55 lakh crore for FY 2024-25.
• Increase: 4.9% from ₹2.43 lakh crore in FY 2023-24.
• Breakdown: ₹2.52 lakh crore from general revenues, ₹200 crore from the Nirbhaya Fund, ₹3,000 crore from internal resources, and ₹10,000 crore from extra-budgetary resources.

Capital Expenditure Focus:

• Majority to be spent on safety works, assets, acquisitions, construction, and replacement.
• Record allocation compared to ₹35,000 crore spent in 2014.

Safety and Infrastructure:

• Priority on safety, comfort, and capacity.
• Rapid installation of the Kavach 4.0 automatic train protection system.
• Focus on connecting new projects, Kashmir, and northeastern states.

Employment:

• 38,000 to 40,000 new jobs to be created.
• Previous terms saw the creation of up to five lakh jobs.

New Initiatives:

• Development of Vande Bharat and Amrit Bharat trains, Vande Metro, and procuring new rolling stock.

FORENSIC INFRASTRUCTURE AND DEVELOPMENT ALLOCATIONS FOR FY 2024-25

Forensic Infrastructure:

• ₹700 crore allocated for ‘Modernisation of Forensic Capacity’.
• ₹150 crore allocated for ‘National Forensic Infrastructure Enhancement’.
• Total financial outlay for forensic scheme: ₹2,254.43 crore (2024-25 to 2028-29).

Crime and Criminal Tracking Network:

• Increased allocation from ₹264 crore to ₹520 crore for 2024-25.

Island Development:

• ₹88 crore allocated for the holistic development of islands in Union Territories.

Vibrant Villages Programme (VVP):

• ₹1,050 crore allocated for developing villages along the China border.
• Revised estimate for 2023-24: ₹300 crore.

PURVODAYA PLAN:

A plan named ‘Purvodaya’ will be developed for the overall growth of Bihar, Jharkhand, West Bengal, Odisha, and Andhra Pradesh.

ANDHRA PRADESH FINANCIAL SUPPORT

• Capital Amaravati: ₹15,000 crore will be allocated this financial year for developing Amaravati, with additional funds planned for future years.
• Polavaram Irrigation Project: Financial assistance will be provided for the Polavaram irrigation project.
• Grants for Backward Regions: Support will be given for the development of backward regions in the state.

Development Projects for Bihar

• Road Projects: ₹26,000 crore allocated.
• Power Plant: A 2,400-MW power plant will be established in Pirpainti with an investment of ₹21,400 crore.
• Flood Control: ₹11,500 crore allocated for flood control measure

SOURCE AND EXPENDITURE OF RUPEE FROM VARIOUS SOURCES: