With the overarching mantra of Transform, Energise and Clean India, Finance Minister Arun Jaitley presented the Union Budget 2017 in parliament on February 1. “Our agenda for next year is to transform, energise and clean India,” said Mr Jaitley.Read More
In the Union Budget this year, Finance Minister Arun Jaitley seems to have tried his best to address the numerous issues being faced by the micro, small and medium enterprises …Read More
While a number of key reform bills are stuck in political chess games, the Indian government has appealed to the oppositions not to play ”obstructionist game” and underlined that the …Read More
Clothes truly make a man. Finance Minister Arun Jaitley’s budget, presented to Parliament today, turned out to be constructed the manner in which he was dressed — a Modi jacket over a shirt, trousers and chappals (flip flops) for shoes. Nothing objectionable of course and yet unexceptional.
West Bengal and Bihar, the states which go to the polls soon, will receive special central assistance in addition to the increased allocation they have already got per the recommendations of the Finance Commission. This explains the renewed bonhomie between the BJP and Nitish Kumar and Didi (Mamta Banerjee) respectively, Chief Ministers of Bihar and West Bengal.
Fiscal devolution kick starts Cooperative Federalism
The biggest plus from the budget is implementation of the spirit of “cooperative federalism” by transferring 42% of Union tax proceeds to states from around 32% earlier, per the recommendations of the Finance Commission.
Transfer of an additional 20% as central grants will further boost total transfers to states to 62% of Union tax revenues. This “big bang reform” in fiscal devolution sets the stage for State governments to take direct responsibility of the functions allocated to them under the constitution. They can no longer plead a lack of resources.Read More