DOCSLIB.ORG

India Capital Growth

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text
India Capital Growth India Capital Growth Investment companies | Update | 17 June 2021 Lessons learnt Sector India Ticker IGC LN Though India’s second coronavirus wave – which started in March 2021 Base currency GBP and saw as many as 414,000 recorded daily cases as recently as 6 May Price 108.50p – has been described as one of the worst in the world, Gaurav Narain, NAV 122.98p India Capital Growth’s (IGC’s) investment adviser, believes the peak in infections has now passed. The number of new daily cases appears to Premium/(discount) (11.8%) be falling and the country’s vaccine rollout is ramping up after a Yield Nil temporary slowdown following production constraints. Gaurav also believes India’s government learnt its lesson from the first outbreak and its decision to allow businesses to continue to operate this time around has helped the economy to recover faster and emerge stronger. IGC’s shares are now trading at discount levels which are more akin to those prior to the onset of the pandemic. Mid- and small-cap listed investments in India IGC’s investment objective is to provide long-term capital appreciation by investing (directly or indirectly) in companies based in India. The investment policy permits the company to make investments in a range of Indian equity securities and Indian The fruits of the change in equity-linked securities. The company's investments are investment process are clearly predominantly in listed mid- and-small-cap Indian companies. visible in IGC’s performance over the last 12 months. India’s economy has remained open, allowing it to recover faster and emerge stronger. NB: Marten & Co was paid to produce this note on India Capital Growth Fund Limited and it is for information purposes only. It is not intended to encourage the reader to deal in the security or securities mentioned in this report. Please read the important information at the back of this note. QuotedData is a trading name of Marten & Co Limited which is authorised and regulated by the FCA. Marten & Co is not permitted to provide investment advice to individual investors categorised as Retail Clients under the rules of the Financial Conduct Authority. Contents Domicile Guernsey Add text Market outlook 4 Inception date 22 December 2005 Add text Valuations and recovery potential 5 Manager/Adviser David Cornell / Add text Gaurav Narain The big – COVID – picture in India 6 Market cap 122.1m Add text Rise of the SMID cap 7 Shares outstanding 112.5m Add text (exc treasury shares) Manager’s view – Not as bad as it looks 8 Daily vol. (1-yr. avg.) 308.4k shares Net cash 2.2% Add text Playing the economic recovery 8 Push for growth 9 Click here for our most Asset allocation 9 recent annual overview note Top 10 holdings 10 Click here for an updated Performance 12 IGC factsheet Attribution 13 Click here for IGC’s peer group analysis Other portfolio developments 14 Peer group – marked improvement in IGC’s near term relative Click here for links to share performance 14 trading platforms Premium/(discount) 17 Fund profile 18 Analysts Exit opportunity 18 Jayna Rana [email protected] Management arrangements 19 Matthew Read [email protected] Recent developments 19 James Carthew Alignment of interest 20 [email protected] Previous publications 20 India Capital Growth At a glance Share price and discount Time period 31 May 2016 to 15 June 2021 Like many other funds, IGC’s 125 0 discount was impacted by the onset of the pandemic. As discussed in our 105 -10 notes of May 2020 and December 2020, IGC published a series of 85 -20 proposals regarding its future on 26 May 2020, which led to a dramatic 65 -30 narrowing of its discount. At 15 June 2021, IGC’s shares were trading at a 45 -40 discount of 11.8%, which is more 25 -50 akin to its levels prior to the onset of May/16 May/17 May/18 May/19 May/20 May/21 the pandemic. Price (LHS) Discount (RHS) Source: Morningstar, Marten & Co Performance over five years Time period 31 May 2016 to 31 May 2021 As we said in our December 2020 200 note, IGC has until December 2021 to prove itself but, as discussed in 175 later the performance section, it is 150 clear that it has made an excellent start, with the fruits of the change in 125 investment process clearly visible. 100 Stock selection had previously weighed on IGC’s performance, 75 relative to the S&P BSE Mid Cap 50 Index. However, following the May/16 May/17 May/18 May/19 May/20 May/21 changes, the improvement in Price Rebased NAV S&P BSE Mid Cap MSCI India performance is particularly evident over the past year. Source: Morningstar, Marten & Co Year ended Share price NAV Portfolio S&P BSE Mid Cap MSCI India total return (%) total return (%) total return* (%) total return(%) total return (%) 31/05/2016 53.3 49.3 58.9 52.6 34.8 31/05/2017 2.2 3.8 3.8 2.5 3.5 31/05/2018 (4.5) (11.9) (11.9) (2.9) 12.9 31/05/2019 (45.4) (37.0) (37.0) (25.0) (20.6) 31/05/2020 107.0 82.5 82.5 67.8 46.5 Source: Bloomberg, Morningstar, Marten & Co. * Note rebased NAV returns (see explanation on page 12) Update | 17 June 2021 3 India Capital Growth Market outlook India was one of the better performing markets during 2020, with the MSCI India Index returning 12.0%, only slightly behind the total return for the MSCI World Index at 12.3%. By way of comparison, the UK market was down 13.2% over the year. Year-to-date, India is up 10.1%, versus 8.2% for MSCI World but still behind an 11.7% return for the UK, which has so far achieved a successful ongoing vaccination programme and easing of lockdown. Figure 1: Currency movements versus US$ (from January 2020 to 10 May 2021) 20 10.8 7.6 10 7.2 6.7 4.9 3.1 1.0 0.3 0 -0.4 -1.5 -3.0 -3.3 -10 -20 -19.8 -30 -31.1 -40 -39.2 -50 Source: Ocean Dial Asset Management, Bloomberg. As at 10 May 2021. Figure 2: Foreign exchange reserves (US$ bn) 4000 3500 3,349 3000 2500 2000 1,392 1500 1,084 1000 586 584 541 457 494 443 371 356 500 269 257 225 211 199 181 179 165 157 0 Source: Ocean Dial Asset Management, Bloomberg. As at 10 May 2021. Update | 17 June 2021 4 India Capital Growth As illustrated in Figure 1, the Indian Rupee appears to have held up relatively well over the pandemic, having fallen by just 3.3% against the US dollar since January 2020, which differentiates it from some other emerging markets. IGC’s managers think that this is a reflection of the macroeconomic stability that Prime Minister Narendra Modi and his government have brought about. As illustrated in Figure 2, India has strong foreign exchange reserves and IGC’s managers say that this, as well as increased foreign direct investment, is supporting low currency volatility. Though the Association of Investment Companies (AIC)’s India sector was the worst The AIC’s India sector was performing for April in share price terms (down by 3.7%), it appears to have bounced the worst performing in April back in May, as the second-best performer, with a median share price total return but bounced back to the of 6.7% and median NAV total return of 5.5%. The median discount, however, is still second-best performer by wide at 12.8% as at 31 May 2021. May 2021. Valuations and recovery potential IGC’s portfolio currently trades at 16x historic earnings, and 12.9x one-year forward earnings, with earnings per share growth of 35% and 24% respectively. In comparison, the Nifty 50 Index (a benchmark Indian stock market index that represents the weighted average of 50 of the largest Indian companies listed on the national stock exchange) is more expensive, trading at 20.3x historic earnings and 17.6x one-year forward earnings, with comparable historic earnings growth of 36% and 15.4% earnings growth over the next twelve months. As illustrated in Figure 3, the ratio of corporate profits to GDP is at a multi-year low (it is now at its lowest since 2003) suggesting strong recovery potential. The managers think there is the potential for a longer-term upward earnings revision cycle if this ratio returns to its mean level of 3.5 to 4%. Figure 3: BSE corporate profits to GDP ratio (%) 5 4.4 4.5 4.0 3.8 4 3.7 3.6 3.3 3.3 3.3 3.5 3.2 3.1 2.9 2.8 3 2.7 2.6 2.6 2.5 2.5 2.2 2.1 2 1.6 1.6 1.4 1.5 1 0.5 0 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Source: Ocean Dial Asset Management, Ace Equity Update | 17 June 2021 5 India Capital Growth The big – COVID – picture in India Figure 4: India total COVID cases Figure 5: India new COVID cases 35,000,000 450,000 Total case 400,000 30,000,000 numbers New cases decelerating 350,000 have reduced 25,000,000 dramatically 300,000 20,000,000 Marked 250,000 acceleration in Marked 15,000,000 total cases 200,000 acceleration in 150,000 10,000,000 new cases 100,000 5,000,000 50,000 0 0 Jan/20 Apr/20 Jul/20 Oct/20 Jan/21 Apr/21 Jan/20 Apr/20 Jul/20 Oct/20 Jan/21 Apr/21 Source: Our World in Data, Marten & Co Source: Our World in Data, Marten & Co Figure 6: India total COVID deaths Figure 7: India new COVID deaths 400,000 5,000 4,500 350,000 New deaths 4,000 have reduced 300,000 Marked 3,500 dramatically acceleration in 250,000 3,000 COVID-related Marked 2,500 acceleration in new 200,000 deaths 2,000 deaths from mid- 150,000 1,500 March 100,000 1,000 500 50,000 0 0 -500 Jan/20 Apr/20 Jul/20 Oct/20 Jan/21 Apr/21 Jan/20 Apr/20 Jul/20 Oct/20 Jan/21 Apr/21 Source: Our World in Data, Marten & Co Source: Our World in Data, Marten & Co Figure 8: India total vaccinations Figure 9: India new vaccinations 250,000,000 6000000 New vaccinations dropped due to supply issue but these appear 200,000,000 5000000 to have been addressed 4000000 150,000,000 Total vaccinations 3000000 have been on a 100,000,000 strong growth Clear ramp up trajectory 2000000 in vaccination 50,000,000 programme 1000000 0 0 Jan/20 Apr/20 Jul/20 Oct/20 Jan/21 Apr/21 Jan/20 Apr/20 Jul/20 Oct/20 Jan/21 Apr/21 Source: Our World in Data, Marten & Co Source: Our World in Data, Marten & Co Update | 17 June 2021 6 India Capital Growth Over the past week, national capital, Delhi and financial hub, Mumbai, are among the regions across the country that have started to reopen, albeit partially.
Load more

Recommended publications
  • Highlights of Union Budget 2019-20
    www.gradeup.co w 1 www.gradeup.co Highlights of Union Budget 2019-20 Dear readers, This PDF is a compilation of important highlights of Union Budget 2019-20 presented by Finance Minister Nirmala Sitharaman on July 05, 2019. This file is important and relevant for all competitive exams like Banking & Insurance, SSC, Railway, UPSC, State and other Govt. Exams. Union Budget 2019-20 Finance Minister Nirmala Sitharaman presented the Union Budget 2019-20 in the Parliament on July 05, 2019. This was the maiden Budget speech of the Finance Minister Nirmala Sitharaman. Finance Minister Nirmala Sitharaman became only the second woman in the history of independent India to present the Union Budget. About budget: • A government budget is an annual financial statement which outlines the estimated government expenditure and expected government receipts or revenues for the forthcoming fiscal year. • Union Budget is defined under the Article 112 of the Indian Constitution. It is also referred to as the annual financial statement (AFS). Note: • Former Prime Minister Indira Gandhi was the first and only woman till now to have presented the Union Budget. In 1970, she presented the Union Budget of India for 1970-71, after she took over the finance portfolio following the resignation of Morarji Desai as finance minister. Key highlights – Following are the highlights of 'Mrs Sitharaman' Budget speech: • The principles — reform, perform and transform — can work, says the Finance Minister. • The people of India have validated their two goals for our country's future: national security and economic growth. • It took us over 55 years to reach $1 trillion-dollar economy, but we added $1 trillion in just 5 years.
    [Show full text]
  • Lets Talk About Budget
    LET’S TALK ABOUT BUDGET By Subrat Das 2007 Centre for Budget and Governance Accountability (www.cbgaindia.org) 89 Copyright @ 2007 Centre for Budget and Governance Accountability Reproduction of this publication for educational or other non-commercial purposes is authorized, without prior written permission, provided the source is fully acknowledged. Prepared by: Subrat Das Editorial Inputs: Praveen Jha, Yamini Mishra Designing and Printing : Kriti Creative Studio, 9873249374 Centre for Budget and Governance Accountability A-11, Second Floor, Niti Bagh, Khel Gaon Marg, New Delhi - 110 049, INDIA Phone: +91-11-4174 1285 / 86 / 87 Email: [email protected] www.cbgaindia.org 90 1 ACKNOWLEDGEMENTS This booklet is meant to help the interested but uninitiated reader in comprehending some of the important aspects of Government Budgeting in India. This is a vast subject and its depth has increased over the years. At Centre for Budget and Governance Accountability (CBGA), we have been grappling with the details of Union Budgets since early 2003. Starting from 2006, we have also delved into State Budgets. I have benefited greatly from the collective experience of working on Budgets at CBGA. However, I would like to name, in particular, Mr. Siba Sankar Mohanty, Mr. Nandan Jha, Mr. Deepak Xavier and Mr. Nesar Ahmad for their valuable contribution towards CBGA Team’s comprehension of Budgets. Among the founders of CBGA, Mr. John Samuel has had a profound influence on the Team at CBGA, especially in our efforts to ‘demystify’ the Budget. Fr. Manu Alphonse and Dr. Vinod Vyasulu have played an important role in building the capacity of the Team at CBGA to comprehend and analyse Budgets.
    [Show full text]
  • A Complete Free Hub for All Government
    Monthly Bulletin Feb – March 2018 | Sankalp Education Ahmednagar 8975830101 | 8975930101 INDEX RBI CURRENT RATES UNION BUDGET 2018 – 19 9 NEW SCHEMES ANNOUNCED IN UNION BUDGET 2018 – 19 EXPECTED QUESTION ON UNION BUDGET 2018 – 19 45 ( 1 Feb to 15 March 2018) Days Highlights LIST OF APPOINTMENTS 2018 CURRENT CABINET MINISTERS & CHIEF MINISTERS OF STATE (INDEPENDENT CHARGE) TIME & WORK SHORT TRICKS & TIPS WITH PRACTICE SETS EXAMS UP2DATE MINIPRACTICE PROBLEMS ON TIME AND WORK “a Magazine to Enlighten Your Career” ALL ABOUT INDIAN RAILWAYS ( IMPORTANT FOR Volume : 1 Month : Feb – March 2018 RAILWAY EXAMS ) DIFFERENCE BETWEEN NATIONALISED, PUBLIC AND PRIVATE SECTOR BANK RBI CURRENT RATES CONCEPT OF NATIONAL INCOME GDP, NDP, GNP, NNP AWARDS AND HONOURS IN 2018 100 IMPORTANT RULES FOR GRAMMER 500+ CURRENT AFFAIRS AND GENERAL AWARENESS QUESTIONS ASKED IN EXAM QUESTIONS ASKED IN SYNDICATE BANK PO 2018 490 GENERAL AWARENESS QUESTIONS 2017 - 18 STE 1 Daily Visit : http://www.GovernmentAdda.com & http://www.CurrentAffairsOnly.com a complete hub for education Monthly Bulletin Feb – March 2018 | Sankalp Education Ahmednagar 8975830101 | 8975930101 • The book sold 10 million copies and was translated into 40 different languages. It even made it into the Guinness Book of Records after it stayed on the Sunday Times bestsellers list for an unprecedented 237 ALL ABOUT STEPHEN HAWKING weeks. • The book was also the subject of the Oscar-winning film ‘The Theory of Everything’ in 2014. • Besides this, Hawking wrote many books and won a string of awards throughout an illustrious career. • He was known as one of the most brilliant theoretical physicists since Albert Einstein. Medical Marvel Renowned physicist and modern cosmology patron, Stephen Hawking, passed away on March 14, 2018 at his home in Cambridge.
    [Show full text]
  • India's First Business Channel Is A) Zee Business B) CNBC C) CNBC TV18 D) Economic Times . in 1882, ___, Edward Jo
    . India’s first business channel is A) Zee Business B) CNBC C) CNBC TV18 D) Economic Times . In 1882, ____________, Edward Jones and Charles Berstresser began a wire service that delivered news to investment houses along Wall Street A) Charles Dew B) Charles Dough C) Charles Dow D) Charles Dou . The ______________ is one prominent example of business journalism, and is still among the United States of America’s top newspapers A) Wall Street Journal B) New York Times C) Wall Street Times D) Washington Post Famous Journalist ____________ did not consider to be a business reporter A) Ida Tarbell B) Ida Tardea C) Sofy Tarbell D) Eda Tarbell Fugger Family began its newsletter system of informing its customers of news that might impact the European markets in the year______ A) 1567 B) 1568 C) 1569 D) 1570 Ida Tarbell’s reporting and writing about the ___________ in 1902 provided the template for how thousands of business journalists have covered companies ever since A) Standard Business Co. B) Standard Oil Co. C) Standard Company of Oil D) Standard Oil Lubricants Who is the most important part of company’s business by consuming or rejecting product? A) Sellers B) Consumers C) Producers D) Customers Business Journalism deals with _________ part of the news stories A) social B) economic C) criminal D) political In NITI Ayog, NITI stands for A) Nation Institution for Transformation of India B) National Institution for Transforming India C) National Instrument for Transforming India D) National Indian Transforming Institute RBI has ____ regional
    [Show full text]
  • Volatility of Sensex with Respect of Union Budget of India: a Pragmatic Study
    International Journal of Accounting and Financial Management Research (IJAFMR) ISSN : 2249-6882 Vol.2, Issue 1 Mar 2012 19-31 © TJPRC Pvt. Ltd., VOLATILITY OF SENSEX WITH RESPECT OF UNION BUDGET OF INDIA: A PRAGMATIC STUDY PRANAV SARASWAT Assistant Professor –Finance, Asia-Pacific Institute of Management 3-4 Institutional Area, Jasola, Opp. Sarita Vihar, New Delhi – 11002 Phone: 011-42094846 (Extn: 870) Mobile: +91- 7838808646,9555542960 E-mail: [email protected] JATIN BANGA Research Scholar, Asia Pacific Institue of Management New Delhi-110025 E-mail- [email protected] ABSTRACT The Union Budget is perhaps the most–watched event in economic policy making in India. The core fiscal issues – taxation, expenditures, and the fiscal deficit – are obviously important for macro– economics. The stock market response to a Budget is often viewed as an important summary statistic of the’ quality’ of a Budget in terms of improving macro–economic prospects. This paper examines the impact of Union Budgets from 1995 to 2010 on the Stock Market as represented by Nifty in terms of returns and volatility. The impact on Nifty has been studied prior to and subsequent to budget day .The periods have been segregated into short-term, medium-term, and long-term periods. With regard to return the result proves that budgets have the maximum impact in the short term period, with some impact extending into the medium-term and no significant impact at all on long- term average returns. With regard to volatility the result indicates that the long term period after the budget tends to be more volatile than the medium-term and the short-term periods when compared to similar long-term before the budget.
    [Show full text]
  • ATMANIRBHAR BHARAT [By:- Jatinder Singh Pannu] L-2019-V-42-B
    ATMANIRBHAR BHARAT [By:- Jatinder Singh Pannu] L-2019-V-42-B Atmanirbhar Bharat which translates to 'self-reliant India', is a Hindi phrase used and popularized by the Prime Minister of India Narendra Modi and the Government of India in relation to economic development in the country during and after the COVID- 19 pandemic. In this context, the term is used as an umbrella concept in relation to making India "a bigger and more important part of the global economy", pursuing policies that are efficient, competitive and resilient, and being self-sustaining and self-generating. The phrase has been used by Modi since 2014 in relation to national security, poverty and digital India. The first popular mention of this came in the form of the 'Atmanirbhar Bharat Abhiyan' or 'Self-Reliant India Mission' during the announcement of India's COVID–19 pandemic related economic package on 12 May 2020, 12 October and 12 November 2020. Since May 2020, the phrase has been used across ministries such as the Ministry of Consumer Affairs, Food and Public Distribution, Ministry of Education and the Ministry of Defence in relation to press releases, statements and policies.The phrase has also been used by the government in relation to the 2021 Union Budget of India. The phrase has been used by the former Planning Commission in India's Five-Year Plans. Commentators have noted that India has been enacting policies and building institutions that promote self-reliance since the day it was created. Private companies and their products have also been considered as fine examples of self- reliance in India such as— the Maruti 800 car, Thums Up beverage, Amul, HDFC, the leading IT companies of India, and Bharat Biotech and Serum Institute of India.
    [Show full text]
  • EU4 #Humanrights Prof.(Dr.) Paramjit S
    THE HUMAN RIGHTS COMMUNIQUÉ YOUR QUARTERLY DOSE ON HUMAN RIGHTS (NEWSLETTER BY CENTRE FOR ADVANCED STUDIES IN HUMAN RIGHTS, RGNUL, PUNJAB) VOLUME III ISSUE III -EDITORIAL BOARD- #EU4 #HumanRights Prof.(Dr.) Paramjit S. Jaswal, QUICK LOOK… Patron-in-Chief Prof. (Dr.) G.I.S. Sandhu, KULBHUSHAN JADHAV: SAVE OR SLAY?................................................................2 Patron RECORDING OF COURT PROCEEDINGS: A STEP FURTHER TOWARDS FAIR Dr.Shilpa Jain, JUSTICE……………………………………………………………………..4 Editor-in-Chief DONALD TRUMP’S TRAVEL BAN……………………………………………..5 Naveed Mehmood Ahmad Priyanka Singla EXTRA JUDICIAL EXECUTION VICTIM FAMILIES ASSOCIATION & ANR. V. UNION Student Editor OF INDIA & ANR .........................................................................................................7 E-WASTE MANAGEMENT RULES 2016: AN ANALYSIS…………………………9 IN CONVERSATION WITH LAL DED ….………………………….....................11 AROUND THE GLOBE………………………………………………………13 NATIONAL NEWS NATIONAL NEWS…………………………………………………………..14 CREATIVE CORNER……….…………………………………….…………..15 -CASIHR COMMITTEE- Mr. Ashit Kumar Srivastava Ms. Hemavathi S Shekhar Mr. Naveed Mehmood Ms. Priyanka Singla Ms. Neha Chaturvedi Mr. Himanshu Rathore Ms. Madeeha Majid Ms. Rashika Raina Mr. Rohit Jacob Varghese Page | 1 Ms. Apoorva Agrawal Mr. Aditya Jain Mr. Vishwajeet Shekhawat Ms. Swantika Kumar Rajvanshi Ms. Harshita Singh KULBHUSHAN JADHAV: SAVE OR SLAY? The Field General Court Martial of Pakistan on 10 April 2017 sentenced a retired Indian naval officer Kulbhushan Jadhav to death. For many it is just an order of execution of an Indian defence officer claimed to be a spy, but for India and Pakistan the implementation of this order can lead to serious consequences, especially when the political relationship has gone sour over the last few years. It could act as yet another impediment in ensuring smooth bilateral ties between India and Pakistan.
    [Show full text]
  • PDF Download Economic Survey 2016-17 2Nd Edition
    ECONOMIC SURVEY 2016-17 2ND EDITION PDF, EPUB, EBOOK Government of India Ministry of Finance | 9780199477661 | | | | | Economic Survey 2016-17 2nd edition PDF Book It furthers the University's objective of excellence in research, scholarship, and education by publishing worldwide. With detailed analysis of recent developments--international, domestic, as well as sectoral--the Survey is the most authoritative and updated source of information on India's economy. The eight core infrastructure supportive industries, viz. Certified Buyer , Ernakulam. Analysis Budget - Will it be maximum government? Rate Product. Above all, however, incentivizing good performance by the States will require the Centre to be an exemplar of sound fiscal management itself. News Takeaways from President Pranab Mukherjee's opening speech during budget session. When requesting a correction, please mention this item's handle: RePEc:oxp:obooks Flipkart Customer Certified Buyer , Ernakulam. As per the Economic Survey, there has been an improvement in the financial position of the States over the last few years. So far, there has been limited success. See general information about how to correct material in RePEc. But far more problematic is finding a way to resolve the bad debts in the first place. Ashima Goyal, It increases the costs to the government since bad debts of the state banks keep rising, and increases the costs to the economy, by hindering credit, investment, and therefore growth. This document is presented to both houses of Parliament during the Budget Session. Certificate Physical and Human Geography. Inflation is repeatedly being driven by narrow group of food items, of these pulses continued to be the major contributor of food inflation.
    [Show full text]
  • Union Budget 2020-21
    Gist of YOJANA VOL.01 March 2020 UNION BUDGET 2020-21 Union Budget to Union Budget 2020-21: Tax Proposals: Transform Urban A Fine Balancing Act Benefits to Common Man Landscape Fiscal Sustainability Framework An Analysis of and Deficit Indicators Education Sector Budget TABLE OF CONTENTS: Sl. CHAPTER No. 1 Union Budget 2020-21: A Fine Balancing Act 2 Tax Proposals: Benefits to Common Man 3 Union Budget to Transform Urban Landscape 4 Transport Infrastructure in India 5 The Industry Perspective 6 Fiscal Sustainability Framework and Deficit Indicators 7 Safer Deposits, Stronger Cooperative Sector Banks & Major Boost to MSME 8 The Economics of Water and Sanitation 9 Indian’s Quest for Universal Coverage 10 An Analysis of Education Sector Budget 11 Skills, Employment and Human Resource Development 12 Action Plan for Prosperity of Farmers 13 Environment and Forest 14 Gender Budgeting and Senior Citizens 15 Key Highlights of Economic Survey 2019-2020 Chapter 1: Union Budget 2020-21: A Fine Balancing Act The Union Budget of India for 2020–2021 was presented by the Finance Minister, Nirmala Sitharaman on 1st February 2020, as her second budget. Union Budget 2020-21 is woven into three major themes: 1. Aspirational India 2. Economic Development 3. Caring Society It aims to provide better standards of living through improved access to health and education. It also aims to promote the private sector and ensure we develop a harmonious and caring society. Overview of Union Budget 2020-21: Agriculture and Allied Activities Sector: • The Government remains committed towards the target of doubling farmers’ income by 2022.
    [Show full text]
  • Highlights of Union Budget 20-21 A
    1 Highlights of Union Budget 20-21 a. Agriculture, Irrigation, and Rural Development Union Budget: b. Wellness, Water, and Sanitation Development and The Union Budget of India also referred to as the Annual Financial Statement in the c. Education and Skills Development Article 112 of the Constitution of India, is So that all sections of the society could the annual budget of the Republic of India. seek better standards of living, with access The Government presents it on the first to health, education and better jobs. day of February so that it could be materialized before the beginning of new 2. Economic development: financial year in April. Under this theme, economic development Union Finance Minister Nirmala for all i.e. – is ensuring SabkaSaath, Sitharaman presented her second and 90th SabkaVikas, SabkaVishwas”. Union Budget Union Budget of India for 2020-2021 in the 2020-21 allocated a sum of Rs 2,37,604 cr Lok Sabha. The Finance Minister unveiled for:- a series of far-reaching reforms, aimed at energizing the Indian economy through a a. Industry, Commerce and Investment combination of short-term, medium-term, b. Infrastructure and long term measures. The government has taken some measures towards reaching c. New economy — led by startups and the the target of a $5 trillion economy by the tech ecosystem. end of 2022. 3. Caring Society: The Budget introduced several new schemes besides allocating new funds for Under this theme, the main focus was on the already running Government schemes creating a caring society which is both such as PM-Kisan, Ayushman Bharat, humane and compassionate a sum of Rs Swachh Bharat Mission, and others.
    [Show full text]
  • Atmanirbhar Bharat
    ATMANIRBHAR BHARAT Atmanirbhar Bharat which translates to 'self-reliant India', is a Hindi phrase used and popularized by the Prime Minister of India Narendra Modi and the Government of India in relation to economic development in the country during and after the COVID-19 pandemic. In this context, the term is used as an umbrella concept in relation to making India "a bigger and more important part of the global economy", pursuing policies that are efficient, competitive and resilient, and being self-sustaining and self-generating. The phrase has been used by Modi since 2014 in relation to national security, poverty and digital India. The first popular mention of this came in the form of the 'Atmanirbhar Bharat Abhiyan' or 'Self-Reliant India Mission' during the announcement of India's COVID–19 pandemic related economic package on 12 May 2020, 12 October and 12 November 2020. Since May 2020, the phrase has been used across ministries such as the Ministry of Consumer Affairs, Food and Public Distribution, Ministry of Education and the Ministry of Defence in relation to press releases, statements and policies. The phrase has also been used by the government in relation to the 2021 Union Budget of India. The phrase has been used by the former Planning Commission in India's Five-Year Plans. Commentators have noted that India has been enacting policies and building institutions that promote self-reliance since the day it was created. Private companies and their products have also been considered as fine examples of self-reliance in India such as— the Maruti 800 car, Thums Up beverage, Amul, HDFC, the leading IT companies of India, and Bharat Biotech and Serum Institute of India.
    [Show full text]
  • Budget Presentation
    10 centrespread centrespread 11 JANUARY 31-FEBRUARY 06, 2021 JANUARY 31-FEBRUARY 06, 2021 RHYME & REASON Finance ministers have often turned to poetry during PRIME NUMBERS budget presentation. A few examples: 5 PM FM Nirmala Sitharaman, Arun Jaitley, Till 2000, the budget was in Budget 2020-21: in Budget 2015-16 presented at 5 pm, a British legacy. This was to accommodate the time “Saun watan gulzar Shalamaar hyur “Kuch to phool khilaye difference between India and Dal manz pholvun pamposh hyuv humne, aur kuch phool khilane hai Britain. These days, it’s Navjavan-an-hund, vushun khumaar presented at 11 am. hyuv Mushkil yeh hai bag me Myon watan, chyon watan ab tak, kaante kai purane hai” Saun watan, nundbony watan” BUDGET (We have grown some (“Our country is like a blooming flowers and have to grow 10 Shalimar Bagh, many more. our country is like the lotus But we are facing The number of budgets blooming in the Dal Lake; difficulty with thorns of Morarji Desai presented, the most it is like the boiling blood of the legacies) by a finance minister. He is also the youth, only FM to have presented the BITES my country, your budget on his birthday, February 29, twice. country, our country, the world’s most beloved P Chidambaram, 160 minutes country”) in Budget 2013-14 The duration of —Kashmiri poet Pandit Dinanath Kaul Nirmala Sitharaman’s budget speech in 2020, considered the “Kalangathu kanda longest in independent India. vinaikkan She still had a couple of pages Beyond the hard numbers, taxes and landmark proposals, Thulangkathu thookkang left when she began feeling kadinthu seyal” unwell and had to stop.
    [Show full text]