Budget 2017: Jaitley defends demonetisation, focuses on rural sector

In the first combined budget which included the Railway budget too,  Jaitley said Rs 1.31 crore has been earmarked for the sector.

Beginning his speech, Jaitley said India stands out as a bright spot in the global uncertainty and double digit inflation has been controlled.

He said demonetisation measure taken was a bold one and it seeks to create a new normal where GDP will be improved and curb terror funding.

He said it will reduce corruption in the long run and lead to greater formalisation of the economy. He said it will affect the tax evaders.

He said the budget aims to spend more in rural sectors and keep the economic reforms going.

The budget  assumes significance as it will be the first one since the Union government's demonetisation move banning  old Rs 1000 and Rs. 500 currency notes to curb black money menace.

The Economic Survey presented ahead of the budget said demonetisation has hit India’s growth by 0.25-0.5% of GDP, but will yield a fiscal “windfall”. 

Some Highlights:

Agriculture expected to grow at 4.1 pc

10 lakh crore credit to farmers targetted

Coverage under crop insurance scheme to be increased to 40%

Dairy processing infra fund to be set up for Rs. 2,000 crore

Reforms in UGC in education sector

National Testing Agency to be set up

Rs. 48,000 cr for MNREGA is highest allocation ever

1 crore rural households to be brought out of poverty

100 India international Skill Centres to be established

100% rural electrification

Elimination of tuberculosis by 2025

Two new AIIMS to be set up in Jharkhand and Gujarat

3500 km railway line extension

No unmanned label crossing by 2020

Bio-toilets in all trains by 2019

Focus on Railway cleanliness

1 lakh crore for Railway security

500 stations to be made disabled friendly

Allocation for highways raised to Rs. 64,000 crore