Finance Minister on Sunday (May 17) announced the final leg of the ₹20 lakh crore economic package ‘Atmanirbhar Bharat Abhiyan’ aimed at reviving the economy post-COVID19. Starting with some of the measures taken so far to contain the virus, the Finance Minister said that ₹15,000 crores has already been announced of which ₹4113 crores have been released to the states. Some of the other measures include:
- Insurance cover of ₹50 lakhs per person for health professionals under Pradhan Mantri Garib Kalyan Yojana
- e-Sanjeevani Tele-Consultation Services
- Capacity building through virtual learning methods like iGOT platform (a platform with learning resources on COVID for different stakeholders)
- Aarogya Setu app for self-assessment and contact tracing
- Amending Epidemic Diseases Act to protect COVID warriors
- Manufacturing and supply of PPE kits – From 0 to 300 manufacturers
The fifth and final part of the series of announcements focuses on improving ease of doing business, education, MNREGA and health sector.
Recent Measures taken for Ease of Doing Business
- Government is working on mission mode on the next phase of reforms to bring about ease of doing business through easy registration of property, fast disposal of commercial disputes and simpler tax regime
- Simplified Proforma for Incorporating Company Electronically Plus (SPICE+) platform – Integrated Web based Incorporation Form, extends 10 services of different Ministries and one State Government through a single form
- Databank of Independent Directors launched
- In 2018, attempts were made to decriminalize company laws by shifting 16 compoundable offences to an in-house adjudication & penalty mechanism
- Withdrawal of more than 14,000 prosecutions under the Companies Act, 2013
Other Measures for Enhancing Ease of Doing Business
- Minimum threshold to initiate insolvency proceedings raised to ₹1 crore from the earlier ₹1 lakh
- Special insolvency resolution framework for MSMEs soon under Section 240A of IBC
- Suspension of fresh initiation of insolvency proceedings up to one year
- Empowering Central Government to exclude COVID 19 related debt from the definition of “default” under the Code
- Companies Act to be further decriminalized for minor technical and procedural defaults (shortcomings in CSR reporting, inadequacies in board report, filing defaults, delay in holding AGM)
- Most of the compoundable offences sections to be shifted to internal adjudication mechanism, will help relieving courts and NCLT
- Direct listing of securities by Indian public companies in permissible foreign jurisdictions
Public Sector Enterprises
- All sectors are now open to the private sector, PSE to remain in defined areas – at least one enterprise will remain in the public sector but private sector will also be allowed
- PSEs to be privatized in other sectors
- Number of PSEs in strategic sectors will be from 1 to 4, others will be privatized/merged/brought under holding companies
Education
- Swayam Prabha DTH to reach those who do not have access to internet – 12 channels apart from already existing 3 channels for school education to be added
- Telecast of interactive sessions on these channels with experts from home through Skype
- Tie-up with private providers like Tata Sky and AirTel to air educational content
- PM eVIDYA for multi-mode access to digital/online education to be launched immediately
- One Nation, One Digital Platform – e-content and QR coded Textbooks for all grades
- One Class, Once Channel – One earmarked TV channel per class from 1 to 12
- Radio, Community radio, podcasts to be extensively used to reach educational content to the last mile
- Special e-content for visually and hearing impaired
- Top 100 to be permitted to automatically start online courses by 30th May, 2020
- Manodarpan – for psychosocial support of students, teachers and families for mental health and emotional wellbeing to be launched immediately
- A new National Curriculum and Pedagogical framework for early childhood, school, and teachers to be launched
- National Foundational Literacy and Numeracy Mission for ensuring that every child attains learning levels and outcomes in grade 5 by 2025 to be launched by December 2020
- Coordination with States of India to share air time (4 hrs daily) on the SWAYAM PRABHA channels to telecast their education related contents
- 200 new textbooks added to e-Paathshaala
MNREGA
- Additional ₹40,000 crores to be allocated – will address need for more work including returning migrant workers, set to boost rural economy
- Focus on creation of f durable and livelihood assets including water conservation assets
Health
- Public expenditure on health to be increased , investments in grass root health institutions
- Preparing for future pandemics – blocks dedicated for infectious diseases in hospitals, strengthening lab network and surveillance through Integrated Public Health Labs in all districts and block level Labs and Public Health Unit
- Push for more research in the area – National Institutional Platform for One health by ICMR
- National Digital Health Mission to be launched
Measure taken to aid State governments
- ₹46,038 crores given fully considering Budget Estimates as valid despite actual revenues showing decline
- Advance release of SDRF (₹11,092 crores) funds in first week of April
- Revenue Deficit grants of ₹12,390 crores given on time to states for the month of April and May
- Centre has decided to accede to the request and increase borrowing limits of States from 3% to 5%, for 2020-21 only, set to give extra resources of ₹4.28 lakh crores
The value of all the measures announced since May 13 totals to ₹11,02,650 crores. Along with the earlier measures announced through the PM Garib Kalyan Package and RBI’s measures, the grand total of all the measures taken amounts to ₹20,97,053 crores.