Budget Highlights

Govt focussed on farms, jobs, fiscal devolutionManmohan Singh Govt's agenda was changeEconomy grew at 9% for 3 straight yearsPer capital income growth at 7.4% per annum for 4 yrsInvestment as % of GDP rose to 39% in 2007-08 from 27.6%Gross domestic savings rate at 37.7% during 2007-08
Foreign trade at 35.5% of GDP during 2007-08FY'09 outlook encouraging if rainfall normalForecasts indicate 2009 may be worse than 2008India cannot remain immune to the global financial crisisMukherjee: Growth rate of exports down to 17.1% in 9 mthsIndia still the second fastest growing economyPackages in Dec-08, Jan-09 aimed at stoking demandGovt okayed 37 infra projects between August'08-January'09Refinance to banks for long term credit to infra projectsIIFCL to refinance 60% of commercial bank loans for PPPIIFCL can raise Rs.10,000cr by Mar'09; extra Rs.30,000crFRBM targets relaxed to boost consumption demandGovt may consider additional fiscal measures in budgetMukherjee: Need to accelerate pace of policy reformsGovt will need to return to deficit targets after revivalGovt to expand employment generation schemesMukherjee: Steps to bring back 9% growth needed at earliestPlan allocation for agriculture increased by 300% in 08-09India got record $32.4bn FDI in FY08