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» » BUDGET HIGHLIGHTS

Union Budget 2020: Highlights

The key takeaways from the second budget of the second Narendra Modi government tabled by Finance Minister Nirmala Sitharaman in the Parliament on Feb 1, 2020. This interactive page is live updating and you can use the filters to have a clearer view of the different important announcements made in Budget 2020. You can also see which products and services would be cheaper after the Budget and what is expected to be costlier.

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  • Sensex
  • Schemes
  • Gold
  • Water
  • Agriculture
  • Auto Industry
  • Bahi Khata
 

Soya Protein (Food Items)

Soya Fibre Cheaper (Food Items)

Some Alcoholic Beverages Cheaper (Alcohol)

Skimmed Milk Cheaper (Food Items)

Tuna Bait Cheaper (Food Items)

Agro-animal Based Products Cheaper (Food Items)

Raw Sugar Cheaper (Food Items)

Fuse, Chemicals, Plastics Cheaper (Chemicals)

Purified Terepthalic Acid Cheaper (Chemicals)

Lightweight-coated Paper Cheaper (Paper)

Consumers Have to Shell More for Chemicals (Chemicals)

Auto Parts to be More Expensive (Auto Parts)

Fans, Tableware Prices to Increase (Fans/Tableware)

Kitchenware Prices to Rise (Kitchenware)

Medical Equipment Costlier (Medical equipment)

Furniture to be More Expensive (Furniture)

Footwear Prices to Go Up (Footwear)

Cigarettes, tobacco products to cost more (Cigarettes/Tobacco Products)

Income Tax

 
Finance Minister Nirmala Sitharaman on Saturday introduced new slabs and reduced the tax rate for different slabs for an individual income of up to Rs 15 lakh per annum, if a taxpayer opts for foregoing exemptions and deductions. The new tax regime will be optional and the taxpayers will be given the choice to either remain in the old regime with exemptions and deductions or opt for the new reduced tax rate without those exemptions, she said in the Lok Sabha while unveiling the Budget 2020-21.
 

Economy

 
Nominal GDP growth pegged at 10 per cent for FY21 and the fiscal deficit target is 3.5% of GDP. Revised expenditure estimate for FY20 at Rs 26.99 lakh crore. Revised receipts for FY21 at Rs 19.32 lakh crore.
 

Banking

 
Finance Minister Nirmala Sitharaman says the government has plans to raise money through LIC IPO. The government will thus sell part of its holding in the LIC.
 

Income Tax

 
Finance Minister Nirmala Sitharaman said that her government wishes to institute a charter for the tax payers charter in the statute and ensure tax payers are free against tax harassment.
 

Banking

 
The government raised the insurance cover to Rs 5 lakh per depositor, which is currently Rs 1 lakh. This comes after the PMC bank crisis.
 

Economy

 
India will host G20 Presidency in the year 2022 and the Finance Ministry is set to allocate Rs 100 crore for the preparations.
 

Education

 
Common eligibility test to be setup for non-gazetted posts. A centre will be put up in each district especially aspirational districts.
 

Environment

 
India's commitment under the Paris Agreement action will kick-in from January 1, 2021. Power plants with higher emissions will have to be closed and the land will be used for other purposes. The government will encourage plans to have clean air by the state governments with allocation of Rs 4,400 crore.
 

SC/ST

 
Finance Minister Nirmala Sitharaman proposes to allocate Rs 85,000 crore for support of schedules caste and Rs 53,700 crore for scheduled tribes.
 

Women and Child

 
The Minsitry of Finance is set to allocate Rs 28,600 crore for programs meant especially for women. "Beti bachao beti padhao" is a highly successful scheme, girls registration in school has surpassed that of boys, said Sitharaman.
 

Power

 
The Finance Ministry will allocate Rs 22,000 crore to power renewable energy sector in this financial year. The govt proposes to expand national gas grid to reach 27,000 kms from the current reach of 6,000 km.
 

Aviation

 
100 more airports will be developed to provide support to the PM Udaan scheme BY 2024.
 

Railways

 
A large solar power capacity will be set up alongside the rail tracks on the land owned by the Indian Railways. More station redevelopment programs. More Tejas like trains to connect major tourist attractions.Bengaluru suburban rail will be provided the required boost. More high speed tains like the one between Amedabad and Mumbai will be started.
 

Sensex

 
Sensex is up 55.67 points or 0.14 percent at 40779.16, while the Sensex is up 55.67 pointsgained 13.80 points at 11975.90.

 

Sensex

 
Most agri-sector stocks traded with healthy gains on BSE after the Finance Minister Nirmala Sitharaman in her Budget speech said that the government is committed to double farmers' income by 2022 and proposed 16 action points to aid farmers. Besides, the Finance Minister said Rs 2.83 lakh crore will be allocated for agri and irrigation schemes. Shares of Nagarjuna Agri Tech surged 5 percent while those of Shivalik Rasayan, Sharda Cropchem, Bhagiradha Chemicals & Industries and Sumitomo Chemical India climbed over 2 percent each.
 

Schemes

 
A new scheme NIRVIC will be launched with the aim of increasing India's export credit. It will look into setting up hubs in smaller rural areas and districts. The scheme will be launched this year itself.

 

Gold

 
As Finance Minister Nirmala Sitharaman presents the Union Budget 2020, Indian Gold February futures reclaimed the Rs 41,000-mark and could even retest the previous record high of 41,293 per 10 gram. MCX is holding a special trading session on the Budget day. On the MCX, February gold contracts were trading higher by Rs 60, or 0.15 percent, at Rs 41,060 per 10 gram at 0920 hours.
 

Water

 
Rs 3.6 lakh crore for Jal Jeevan Mission has been approved. The project will look at augmenting local water ressouces, desalination, water harvesting and renewing older sources in FY21.
 

Education

 
A new Education policy will be announced soon. Urban local bodies to provide internship to young engineers for a year so that they come to know how the government functions, says Finance Minister Nirmala Sitharaman. Degree level online education courses will be introduced which can be provided by colleges in the top 100 list by National Educational Institute List. A national Police university and a nation forensic science university is proposed to be setup.


 

Schemes

 
NBFCS and cooperatives are active in agriculture. NABARD refinance scheme will be expanded. There will be Rs 15 lakh crore agriculture credit availability, says Finance Minister Nirmala Sitharaman.
 

Schemes

 
Finance Minister Nirmala Sitharaman says Krishi UDAAN scheme will be launched by the Aviation Ministry.
 

Agriculture

 
Finance Minister Nirmala Sitharaman says farmer income will be doubled by 2022. A total of 6.11 crore farmers insured under Fasal Bima, says finance minister. She says hand-holding of farm-based activities needs to be done. This, she said, can be done in cooperation with states. Presents a 16-point action plan for this purpose.
 

Sensex

 
Ahead of the first budget of the new decade to be presented by Finance Minister Nirmala Sitharaman, rural demand seems to be denting Hindustan Unilever Ltd (HUL). The Indian unit of Anglo-Dutch consumer group Unilever Plc UNc.AS missed market expectations for quarterly profit on Friday. Consumer price inflation in India has ticked up to a five-year high, making Indian consumers, several of whom make less than Rs 100 a day, cut back on discretionary spending.
 

Sensex

 
Markets Opening Bell | Sensex falls 200 points on Budget 2020 day, Nifty below 11,950 in opening deals ahead of Budget. Tech Mahindra, NTPC down 3% each, while Hindustan Unilever (HUL) up by 2%.
 

Auto Industry

 
The automobile industry in particular is looking at this year’s budget with a keen eye given the bad phase it is going through. The ongoing sales slump, upcoming BS-VI emission norms, electric vehicle policy, GST are some of the points which the industry wants the government to address at this year’s budget.
 

Sensex

 
The National Stock Exchange and BSE will remain open for trading today. The last time the market was open for trading on a Saturday was when former Finance Minister Arun Jaitley presented the Budget on February 28, 2015.
 

Bahi Khata

 
Last year, Finance Minister Nirmala Sitharaman broke an age-old tradition of carrying a briefcase to Parliament to present the Union Budget. She carried a ‘bahi khata’ instead. A bahi khata is a traditional Indian ledger typically used by businesses in the country. It was symbolic for India’s first full-time female finance minister to carry a bahi khata as it represented Indian culture while a briefcase may be interpreted as a British colonial tradition.