Atmanirbhar Bharat Abhiyan (Tranche 5)
Thought leadershipThe tranche 5 covers infectious diseases wards in hospitals, additional allocation in MGNREGA, e-Vidya for school education etc
The fourth tranche of INR 20 lakh crore economic package announced by Finance Minister Nirmala Sitharaman today streamlines processes to fast-track investments in key sectors, builds a solid ground for executing Prime Minister Narendra Modi’s vision of ‘vocal for local’, enables employment generation, brings consumers at the centre stage and most importantly, creates ample room to unleash the benefits of privatisation.
FDI increase in defence from 49% to 74% and private sector participation in coal mining are both path-breaking reforms that have the potential to act as a multiplier for several sectors. Need to see more details on the tax simplification that will help make India an MRO hub; would have also liked to see more to keep our civil aviation sector alive post-COVID.
Vishesh C. Chandiok
CEO, Grant Thornton Bharat
Key highlights from the announcement
1.
Privatisation of coal mines with 50 new blocks to be auctioned
2.
500 mineral blocks to be privatised through open and joint auction with coal
3.
Domestic procurement for a notified list of weapons, equipments and spares for defence-related manufacturing
4.
Air space to be rationalised and optimally utilised to save fuel and time
5.
Six more airports to be auctioned on PPP basis, additional private investments in 12 existing airports
6.
Making India a Maintenance, Repair and Overhaul hub for both civil and defence aircrafts
7.
Privatisation of power distribution companies in Union Territories
8.
INR 8,100 crore provision made for 30% viability gap funding available for social infrastructure projects
9.
Private participation in space programmes and geo-spatial data to be made available for private sector
10.
PPP for promoting low cost cancer treatment and establishing research facilities for food sector
Our insights
Atmanirbhar Bharat Abhiyan (Tranche 3)
Thought leadershipUnveiling the third tranche of the INR 20 lakh crore economic package under the Atmanirbhar Bharat Abhiyan, Finance Minister Nirmala Sitharaman’s announcements today focused on strengthening India’s agriculture and allied activities sector; she also introduced governance reforms.