Acting finance minister Pranab Mukherjee today presented the Interim Budget in the Parliament. Direct taxes was unchanged. He said in his budget speech that the economy has maintained a growth rate of more than 9 per cent and the per capita income has grown by 7.4%. He also mentioned that he was presenting the budget after a gap of 25 years.

Highlights of the Budget

Below are the highlights of the Interim Budget presented by acting finance minister Pranab Mukherjee in the Lok Sabha today:

* Fiscal deficit 5.5 pct of GDP in 2009/10.

* Revenue deficit 4 pct of GDP in 2009/10.

* Gross market borrowing 3.62 trillion rupees in 2009/10.

* Total plan spending is 9.53 trillion rupees in 2009/10.

* 2009/10 gross budgetary support 2.85 trillion rupees.

* GDP growth 7.1 pct in 08/09.

* The country has weathered inflation crisis. There is no room for complacency.

* It is the time for extraordinary measures to be taken.

“Now most of the economies are struggling to stay afloat, ours is a healthy 7.1 % of GDP growth. It is the second fastest growing economy in the world.

* Additional measures may be taken in the post-poll budget.

Tax:

* There is a substantial relief of about 400 bn rupees due to tax cuts in 2008/09.

“Distortions in tax structure reduced by expanding the tax base and moderating the tax rates.

* New technology has enhanced the tax compliance.

Defence:

*Defence expenditure increased to Rs 1,41,703 cr.
*2008-09 defence plan expenditure was only Rs 73,600 cr. Now it is an increase of Rs 13,279 crore this year.

Farm:

* 2008/09 farm outlook is encouraging.

* Government will be providing interest subsidy to farmers in this fiscal year.

* Farm loan waiver has so far cost 653 billion rupees.

Social sectors:

* It is the time to strengthen the social security nets.

* Rural job schemes will hence forth get 301 bn rupees in 2009/10.

* Rural health spending 120.7 billion rupees.

* The midday meals scheme for schools will cost 80 bn rupees.

* Urban renewal spending in 2009/10 will be at 118.4 bn rupees.

* Rural sanitation spending will be at 12 billion rupees for 2009/10.

2008/09 data:

* 2008/09 fiscal deficit seen at 6 percent of GDP.

* 2008/09 to end with revenue deficit of 4.4 percent of GDP.

* 2008/09 revised estimate of spending 9.9 trillion rupees.

* 2008/09 revised estimate of extra non-plan spending 1.1 trillion rupees.

* 2008/09 revised estimate of tax collection 6.28 trillion rupees.

* Apr-Nov FDI registered at $23.3 billion.