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FM sticks to fiscal roadmap, FY17 deficit at 3.5%

February 29, 2016

New Delhi, Feb 29: Amid debate over balancing growth and financial management, Finance Minister Arun Jaitley today adhered to the fiscal consolidation roadmap by proposing to keep the deficit at 3.5 per cent of GDP in 2016-17.

aj copyHe also assured that development agenda will not be compromised and a committee would be set up to review the working of Fiscal Resposibility and Budget Management (FRBM).

The fiscal deficit in current fiscal has been estimated at 3.9 per cent, which will be brought down to 3.5 per cent in next fiscal.

"While doing this I have ensured that development agenda has not been compromised," Jaitley said in the next fiscal's Budget speech.

Total government expenditure in next fiscal would be Rs 19.78 lakh crore. Of this, Rs 5.50 lakh crore would go towards Plan expenditure and another Rs 14.28 lakh crore towards non-Plan expenditure.

The revenue Deficit for current fiscal has been bettered to 2.5 per cent of GDP, from the budgeted 2.8 per cent.

Jaitley further said that in view of the uncertainty and volatility in global markets, time has come to review the FRBM Act.

A committee to review the implementation of FRBM would be set up, he said, adding that the government will also work with the state governments towards doing away with the distinction between plan and non-plan expenditure.

Last year Jaitley had delayed the fiscal consolidation roadmap in order to build infrastructure by boosting public investment.

As per the deficit roadmap announced by Jaitley in last budget, fiscal deficit was to be brought down to 3.9 per cent in current fiscal and further to 3.5 per cent by 2016-17. The deficit was to be lowered to 3 per cent by 2017-18.

As per the earlier roadmap for fiscal consolidation, the deficit was to come down to 3 per cent by 2016-17.

The Economic Survey tabled in Parliament on Friday had said that "credibility and optimality" argued in favour of sticking to deficit target of 3.5 per cent of GDP for 2016-17, indicating some room for an upward revision.

"There are very good arguments for a strategy of aggressive fiscal consolidation...and equally good arguments for a strategy of moderate consolidation that can place the debt on a sustainable path while avoiding imparting a major negative demand shock to a still-fragile recovery," it had said.

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News Network
July 27,2020

New Delhi, Jul 27: India's COVID tally on Monday crossed 14 lakh mark with the highest single-day spike of 49,931 cases reported in the last 24 hours, said the Union Ministry of Health and Family Welfare.

The total COVID-19 cases stand at 14,35,453, including 4,85,114 active cases, 9,17,568 cured/discharged/migrated, it added.

With 708 deaths in the last 24 hours, the cumulative toll reached 32,771.

India had crossed 13 lakhs COVID-19 cases on July 25.

Maharashtra has reported 3,75,799 coronavirus cases, the highest among states and Union Territories in the country.

A total of 2,13,723 cases have been reported from Tamil Nadu till now, while Delhi has recorded a total of 1,30,606 coronavirus cases.

According to the Indian Council of Medical Research (ICMR), 5,15,472 samples were tested for coronavirus on Sunday and overall 1,68,06,803 samples have been tested so far.

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News Network
June 20,2020

Jun 20: Congress leader Rahul Gandhi on Saturday attacked Prime Minister Narendra Modi over his remark that neither is anyone inside India's territory nor has any of its posts been captured, alleging that the PM has "surrendered" Indian territory to Chinese aggression.

In a statement on the all-party meeting called by Modi on Friday to discuss the situation at the India-China border, the government said, "At the outset, prime minister clarified that neither is anyone inside our territory nor is any of our post captured."

Tagging PM's remarks with his tweet, Gandhi said, "PM has surrendered Indian territory to Chinese aggression."

"If the land was Chinese: 1. Why were our soldiers killed? 2. Where were they killed?" Gandhi said.

The categorical statement by the prime minister came in the wake of reports that Chinese military has transgressed into the Indian side of the Line of Actual Control, the de-facto border, in several areas of eastern Ladakh including Pangong Tso and Galwan Valley.

Soon after Gandhi's tweet, Union Home Minister Amit Shah posted video of father of a soldier, who was injured in Galwan face-off, and hit out at the Congress leader, accusing him of indulging in "petty politics".

"A brave armyman’s father speaks and he has a very clear message for Mr. Rahul Gandhi. At a time when the entire nation is united, Mr. Rahul Gandhi should also rise above petty politics and stand in solidarity with national interest," Shah wrote.

The prime minister's assertion came even as Congress president Sonia Gandhi, at the all-party meet, questioned the government's handling of the situation, asking if there was any intelligence failure, and seeking assurance that China will "revert" to its original position.

Rahul Gandhi on Friday accused senior ministers in the government of "lying" to protect the prime minister and that the Centre was "fast asleep" while martyred jawans paid the price in Ladakh.

The former Congress chief also tagged a one-minute video of a jawan's father saying the Indian soldiers were unarmed when they were attacked by Chinese troops.

He has been questioning the government on the LAC standoff and asking how the Chinese occupied Indian territory and why Indian soldiers were sent "unarmed to martyrdom" in Ladakh.

Twenty Indian Army personnel, including a colonel, were killed in a clash with Chinese troops in the Galwan Valley in eastern Ladakh on Monday night, the biggest military confrontation in over five decades that has significantly escalated the already volatile border standoff in the region.

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News Network
January 9,2020

New Delhi, Jan 9: JNU students who tried to march towards the Rashtrapati Bhavan on Thursday protesting the violence on the university campus were stopped by police and later detained.

The police also resorted to baton charge to control the mob who tried to block the traffic at Janpath. Using loudspeakers, the police also appealed to the crowd to maintain peace.

Before the students tried to proceed towards the Rashtrapati Bhavan, a delegation of JNU Students' Union and JNU Teachers' Association also met Human Resource Development (HRD) Ministry officials and demanded the removal of Vice-Chancellor M Jagadesh Kumar from his post.

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