INSUBCONTINENT EXCLUSIVE:
While expressing confidence that the Indian economy is on its way to emerge strongly after a long and strict COVID-19-induced lockdown,
Finance Minister Nirmala Sitharaman on Thursday announced more stimulus measures to boost growth.A new job creation scheme, extension to
ECLGS scheme, monetary grant to COVID-19 vaccine research, additional funding for urban housing and increased subsidies for fertilisers were
The subsidy would be to cover for retirement fund contributions by employees as well as employers for two years, she said.Employees
contribution (12 per cent of wages) and employer's contribution (12 per cent of wages) totalling 24 per cent of wages would be given to
establishments for two years, she said.Under the Aatmanirbhar Bharat Rozgar Yojana, every Employees' Provident Fund Organisation
EPFO-registered establishment on monthly wages less than Rs 15,000.It would also cover EPF members drawing monthly wages of less than Rs
15,000, who made an exit from employment during COVID-19 pandemic from March 1, 2020 and is employed on or after October 1, 2020.The scheme
would cover establishments registered with EPFO if they add new employees compared to the reference base of employees as in September
2020.The condition would be adding a minimum of two new employees for establishments with up to 50 employees
Those establishments with more than 50 employees, would have to give a minimum of five new jobs
Emergency Credit Line Guarantee Scheme (ECLGS) till March 31, 2021
Under the scheme, fully guaranteed and collateral-free loans are provided to small and micro enterprises.Sitharaman also announced a
guaranteed credit scheme for supporting stressed sectors
The scheme would cover entities in 26 stressed sectors identified by the Kamath Committee plus healthcare sector with credit outstanding of
2020, would be given to entities in these sectors, she said.Tenor of additional credit would be five years, including one year of moratorium
Scheme would be available till March 31, 2021.Fight against COVID-19Sitharman announced a Rs 900 crore grant to the Department of
Biotechnology for COVID-19 vaccine research.She said the grant does not cover the actual cost of vaccine and distribution expenses, which
towards capital and industrial expenditure for domestic defence equipment, industrial incentives and infrastructure and green
energy.Fertilizer subsidySitharaman announced a Rs 65,000-crore fertilizer subsidy for farmers as part of her stimulus package to boost the
She said that the subsidy will ensure adequate availability of fertilisers to farmers and to enable timely accessibility of fertilisers in
the upcoming crop season.She said an additional outlay of Rs 10,000 crore will be provided for PM Garib Kalyan Rozgar Yojana in the current
projects that would create jobs and boost the economy, she said.She said the Rs 18,000 crore would be provided over and above the Budget
Estimates for 2020-21 for the Prime Minister Awas Yojana (Urban) through additional allocation and extra budgetary resources
This is over and above Rs 8,000 crore already provided this year.She said the move would help start work on 12 lakh houses as well as
of primary residential units of up to Rs 2 crore value below the circle rate.Till now, only 10 per cent difference between the circle rate
and the agreement value was allowed.To boost residential real estate sector, she said the differential has now been increased to 20 per cent
for period up to June 30, 2021 for only primary sale of residential units of value up to Rs 2 crore.
