Indian Union Budget 2011 Key Announcements : Union Budget Estimates 2011

Indian Union Budget 2011 Key Announcements : Union Budget Estimates 2011: Hi everyone Indian Union Budget 2011 latest info relating to Indian Union Budget 2011. Indian Union Budget 2011 has been announced. Pranabda(Pranab Mukherjee) Union Budget 2011 has kept the markets happy. He had a tough job in this budget and I must say he has done a real good job. Sensex up 122 points, Markets welcome Budget proposals. While Prime Minister Manmohan Singh today said the Union Budget was aimed at fiscal consolidation and moderation of taxes to match the challenges the economy faces and signalled that his government was reform-oriented.

Indian Union Budget 2011 Key Announcements

• Rs. 40,000 crore to be raised through disinvestment in 2011-12.
• Rs. 10,000 crore to be contributed to NABARD’s Short-term Rural Credit fund for 2011-12.
• Rs. 2,14,000 crore for infrastructure in 2011-12.
• Rs. 21,000 crore allocated for Sarva Siksha Abhiyan.
• Rs. 6,000 crore to be provided during 2011-12 to enable public sector banks to maintain a minimum of Tier.
• Rs. 8,000 crore provided in current year for development needs of Jammu and
• Kashmir
• Rs. 1,64,415 crore, including Rs. 69,199 crore for capital expenditure to be made for Defence Services in 2011-12.

Other Indian Union Budget 2011 Key Announcements like: 

1. Direct Taxes Code (DTC) to be finalised for enactment during 2011-12.
2. “India Microfinance Equity Fund” of Rs. 100 crore to be created with SIDBI.
3. Existing housing loan limit enhanced to Rs. 25 lakh for dwelling units under priority sector lending while Provision under Rural Housing Fund enhanced to Rs. 3,000 crore
4. Credit flow for farmers raised from Rs. 3,75,000 crore to Rs. 4,75,000 crore in
5. 2011-12.
6. Plan to provide Rural Broadband Connectivity to all 2,50,000 Panchayats in the country in three years.

Union Budget Estimates

• Increase of 18.3 per cent in total Plan allocation.
• Increase of 10.9 per cent in the Non-plan expenditure.
• Increase of 23 per cent in Plan and Non-plan transfer to States and UTs.
• Fiscal Deficit brought down from 5.5 per cent in BE 2010-11 to 5.1 per cent of
• GDP in RE 2010-11.
• Fiscal Deficit kept at 4.6 per cent of GDP for 2011-12.
• Fiscal Deficit to be progressively reduced to 3.5 per cent by 2013-14.
• Gross Tax receipts are estimated at Rs. 9,32,440 crore.
• Non-tax revenue receipts estimated at Rs. 1,25,435 crore.
• Total expenditure proposed at Rs. 12,57,729 crore.
• Effective Revenue Deficit” estimated at 2.3 per cent of GDP in the Revised
• Estimates for 2010-11 and 1.8 per cent for 2011-12.
• Central Government debt estimated at 44.2 per cent of GDP for 2011-12 as against 52.5 per cent recommended by the 13th Finance Commission.’