Budget window opens up to long-term view
BRAINSTORMING Finance minister meets economists, says India’s fiscal management in good shape, outlook strong
NEW DELHI: Finance minister Arun Jaitley on Monday kickedoff preparations for next year’s union budget at a meeting with economists that covered a range of issues aimed at sustaining budding signs of recovery in Asia’s third-largest economy.
The pre-budget consultations this year have begun in October, a break from the tradition of starting such meetings in the first fortnight of January. Also, the formal pre-budget consultations began with a brainstorming session with economists — a sign that the next budget could lay down a broad long-to-medium-term macroeconomic policy framework.
Jaitley, who chaired the meeting at the National Institution for Transforming India (NITI) Aayog, said India’s fiscal situation was comfortable and it was unlikely that off-budget expenses such as those relating to the one-rank-one-pension (OROP) scheme for defence personnel, and the expected 7th Pay Commission payouts, would upset public finances.
“I think we are in a very good shape as far as fiscal management is concerned. That was appreciated by all economists,” the finance minister said.
The Pay Commission will recommend higher salaries for nearly 10 million central-government employees, including pensioners. It is expected to submit its report by December, and the new payouts will likely take effect on January 1, 2016. Its fiscal impact is not yet known.
OROP is likely to result in an outgo of `8,000-10,000 crore this fiscal.
“It was very good interaction and we look forward to incorporating much of this for this fiscal year as well as the next,” minister of state for finance Jayant Sinha said.
Economists, academicians and business editors including Subir Gokarn, Ajit Ranade, Sajjid Chinoy, Vallabh Bhansali, Neelkanth Mishra, TA Ninan, Bakul Dholakia, Rajiv Lall, Tushar Poddar, Urijit Patel, chief Economic Advisor Arvind Subramanian and senior finance ministry and NITI Aayog officials attended the meet.
Arvind Panagariya, vicechairman of NITI Aayog, outlined the steps already taken by the Centre and states to improve investment climate, and those underway, a statement said. 533 RIL the amount was spent or not Several companies gave more than half their CSR to the PM’s Relief Fund. Few gave details of their CSR implementation partners 495 240 243 285 219 ONGC Infosys TCS 214 213 ITC 283 205 (Figures in ` crore) Actual CSR spend Prescribed CSR spend as per the Companies Act 2013
189 210 NTPC NMDC 171 168 Tata Steel
TOP 1. Maharashtra 2. Rajasthan
3. Karnataka
156 172 ICICI Bank 133 128 Wipro
BOTTOM 1. Manipur
2. Meghalaya 3. Mizoram