Key Indicators of Household Consumer Expenditure in India, 2011-12

The National Sample Survey Office (NSSO), Ministry of Statistics and Programme Implementation has released the key indicators of household consumer expenditure in India, generated from the data collected during July 2011–June 2012 in its 68^th round survey. NSS surveys on consumer expenditure are conducted quinquenniallystarting from 27^th round (October 1972 – September 1973) and the last quinquennial survey was conducted in NSS 66^th round (July 2009 – June 2010), for which the results have already been released.  The NSS 68^th round was the ninth quinquennial round on the subject.

           

The NSS consumer expenditure survey aims at generating estimates of household monthly per capita expenditure (MPCE) and its distribution, separately for the rural and urban sectors of the country, for States and Union Territories, and for different socio-economic groups.  These indicators are amongst the most important measures of the level of living of the respective domains of the population and are crucial inputs for estimation of prevalence of poverty by the Planning Commission.  The detailed results of a quinquennial survey on consumer expenditure are usually brought out by the NSSO through a number of reports.  In order to make available the salient results of the survey well in advance of the release of its reports, for use in planning, policy formulation,decision support and as input for further statistical exercises, the NSSO has released the key indicators.

           

The key indicators are based on the Central Sample consisting of 7,469 villages in rural areas and 5,268 urban blocks spread over all States and Union Territories except in (i) interior villages of Nagaland situated beyond five kilometres of a bus route and (ii) villages in Andaman and Nicobar Islands which remain inaccessible throughout the year.

           

In the 68^th round consumer expenditure survey, two types of schedules of enquiry – Schedule 1.0 Type 1 and Schedule 1.0 Type 2 – were used to collect data on household consumption, each in about half of the sample households.  The schedules differed only in reference periods (recall periods for reporting consumption). It is a known fact that using a different reference period alters the estimate of consumption obtained. The differences between the schedules are summarised as follows:

Reference periods used for collection of consumption data in Schedule 1.0
Cate-gory	Item groups	Reference period for
		Schedule Type 1	Schedule Type 2
I	Clothing, bedding, footwear, education, medical (institutional), durable goods	‘Last 30 days’ and ‘Last 365 days’	Last 365 days
II	Edible oil; egg, fish & meat; vegetables, fruits, spices, beverages and processed foods; pan, tobacco & intoxicants	Last 30 days	Last 7 days
III	All other food, fuel and light, miscellaneous goods and services including non-institutional medical; rents and taxes	Last 30 days	Last 30 days

            From each sample household where Schedule Type 1 was canvassed, there are two possible ways of measuring household MPCE: one using “last 30 days” for all items, and the other using “last 365 days” data for Category I items and “last 30 days” for the rest. The first measure of MPCE is called MPCE_URP (Uniform Reference Period MPCE) and the second, MPCE_MRP (Mixed Reference Period MPCE). From the data collected through Schedule Type 1, therefore, two alternative estimates of distribution of MPCE and average MPCE can be built up.

Using the data collected through Schedule Type 2, a third estimate of distribution of MPCE and average MPCE can be built up. Since the reference period system used for Schedule Type 2 was only a slight modification of the Mixed Reference Period (differing only in the reference period used for Category II items), this measure of MPCE was called the MPCE_MMRP (Modified Mixed Reference Period MPCE).

            The values of all-India average MPCE according to the three different measurement methods from NSS 66^th and 68^th rounds are given below:

Average MPCE (Rs.)
NSS Round	MPCEURP		MPCEMRP		MPCEMMRP
	Rural	Urban	Rural	Urban	Rural	Urban
66th (2009-10)	927.70	1785.81	953.05	1856.01	1053.04	1984.46
68th (2011-12)	1278.94	2399.24	1287.17	2477.02	1429.96	2629.65

The estimates of average MPCE and its break-up over groups of consumption items – 14 food groups and 16 non-food groups – are provided separately for rural and urban sectors at the State/UT level as well as across all-India fractile classes of MPCE. The fractile classes are mostly decile classes. Thus, the first decile class comprises the bottom 10 percent of population in terms of MPCE and the top (10^th) decile class comprises the top 10 percent of population. However, the first and 10^th decile classes have each been further split into two equal-sized fractileclasses. Estimates of distribution of rural and urban population of each State/UT over 12 MPCE classes as well as State/UT-level fractiles (limits of fractile classes formed at State/UT level) are also provided,

 

             Some salient  findings of the survey relating to monthly per capita expenditure (MPCE) based on modified mixed reference period (MMRP)  are as follows:

·         The all-India estimate of average MPCE was around Rs.1430 for rural India and about Rs.2630 for urban India. Thus average urban MPCE was about 84% higher than average rural MPCE for the country as a whole, though there were wide variations in this differential across States.

·         For rural India, the 5^th percentile of the MPCE distribution was estimated as Rs.616 and the 10^th percentile as Rs.710. The median MPCE was Rs.1198. Only about 10% of the rural population reported household MPCE above Rs.2296 and only 5% reported MPCE above Rs.2886.

·         For urban India, the 5^th percentile of the MPCE distribution was Rs.827 and the 10^th percentile, Rs.983. The median MPCE was Rs.2019. Only about 10% of the urban population reported household MPCE above Rs.4610 and only 5% reported MPCE above Rs.6383.

·         For the average rural Indian, food accounted for 52.9% of the value of consumption during 2011-12. This included 10.8% for cereals and cereal substitutes, 8% for milk and milk products, 7.9% on beverages, refreshments and processed food, and 6.6% on vegetables. Among non-food item categories, fuel and light for household purposes (excluding transportation) accounted for 8%, clothing and footwear for 7%, medical expenses for 6.7%, education for 3.5%, conveyance for 4.2%, other consumer services (excl. conveyance)for 4%, and consumer durables for 4.5%.

·         For the average urban Indian, 42.6% of the value of household consumption was accounted for by food, including 9% by beverages, refreshments and processed food, 7% by milk and milk products, and 6.7% by cereals and cereal substitutes. Education accounted for 6.9%, fuel and light for 6.7%, conveyance  for6.5%, and clothing &  footwear  for 6.4%.

Average MPCE_MMRP across fractile classes of MPCE_MMRP, at  all-India level for rural and urban areasduring 2011-12 is given in Annexure-I. Absolute and percentage break-up of MPCE_MMRP at  all-India level for rural and urban areas during 2011-12 is given at Annexure –II. Trends in percentage composition of MPCE_URPsince 1993-94 for rural and urban sectors of India are given in Annexure III.

Click here to see Annexure.

Union Government of India proposed plan to raise FDI Limit in Key Sectors

To promote India as an attractive destination for investment, the Union Finance Ministry on 18 June 2013 proposed sweeping changes in Foreign Direct Investment (FDI) regime. 

The committee that was headed by the Economic Affairs Secretary Arvind Mayaram recommended to raise the Foreign Direct Investment limit to 49 percent from 26 percent at present in almost all sectors like multi-brand retail, defence and telecom through automatic route.

The committee also recommended the government to increase the cap of FDI to 74 percent in multi-brand retail trading and 49 percent in single-brand retail. 

About Arvind Mayaram Committee:

The Union Government in March 2013 constituted a four-member committee to give clear definitions to Foreign Direct Investment (FDI) and Foreign Institutional Investment (FII) with an aim of removing the ambiguity from both types of foreign investments. The Committee was headed by the Economic Affairs Secretary Arvind Mayaram and the high power committee constituted a DIPP Secretary, an RBI Deputy Governor and a SEBI Whole-time Member. The report pf the committee was submitted to the Union Ministry of Finance on 18 June 2013.

Provisional Estimates of Annual National Income, 2012-13

The Central Statistics Office (CSO), Ministry of Statistics and Programme Implementation, has released the provisional estimates of national income for the financial year 2012-13 and the quarterly estimates of Gross Domestic Product (GDP) for the fourth quarter (January-March) of 2012-13, both at constant (2004-05) and current prices.

2. The CSO has also released the corresponding annual and quarterly estimates of Expenditure components of the GDP in current and constant (2004-05) prices, namely the private final consumption expenditure, government final consumption expenditure, gross fixed capital formation, change in stocks, valuables, and net exports.

I         PROVISIONAL ESTIMATES OF NATIONAL INCOME, 2012-13

3.     The advance estimates of national income for the year 2012-13 were released on 7^th February, 2013. These estimates have now been revised incorporating latest estimates of agricultural production, index of industrial production and performance of key sectors like, railways, transport other than railways, communication, banking and insurance and government expenditure.

4.      The salient features of these estimates are detailed below:

(a) Estimates at constant (2004-05) prices

Gross Domestic Product

5.                 GDP at factor cost at constant (2004-05)  prices in the year 2012-13 is now estimated at  Rs. 55,05, 437 crore (as against Rs. 55,03,476 crore estimated earlier on 7^th February, 2013), showing a growth rate of 5.0 percent over the First Revised Estimates of GDP for the year 2011-12 of Rs. 52, 43,582 crore, released on 31^th January 2013. 

6.                 In the agriculture sector, the third advance estimates of crop production released by the Ministry of Agriculture showed a slight  upward revision as compared to their second advance estimates in the production of rice (104.22 million Tonnes from 101.80 million Tonnes), wheat (93.62 million Tonnes from 92.30 million Tonnes) and sugarcane (336.15 million Tonnes from 334.5 million Tonnes) for the year 2012-13. Due to this revision in the production, ‘agriculture, forestry and fishing’ sector in 2012-13 has shown a growth rate of 1.9 percent, as against the growth rate of 1.8 percent in the Advance Estimates.

7.        In the case of ‘mining and quarrying’, the Index of Industrial Production of Mining (IIP-Mining) registered a decline of 2.5 percent during 2012-13, as against the decline of 1.5 percent during April-November, 2012, which was used in the Advance Estimates. Production of coal and crude oil registered growth rates of 3.3 percent and (-) 0.6 percent in 2012-13 whereas during April to December, 2012, the growth rates were 5.7 percent and (-) 0.4 percent.The growth of ‘mining &quarrying’ is now estimated at (-) 0.6 percent, as against the Advance Estimate growth of 0.4 percent.

8.        Similarly, the IIP of manufacturing registered a growth rate of 1.2 percent during 2012-13, as against the projected growth rate of 1.9 percent for April-March, 2012-13 for the Advance Estimates. Due to this, the growth of ‘manufacturing’ sector is now estimated at 1.0 percent, as against the Advance Estimate growth of 1.9 percent.

9.         The key indicators of construction sector, namely, cement and consumption of finished steel registered growth of 5.6 percent and 3.3 percent, respectively in 2012-13 as against 6.1 percent and 3.9 percent, respectively during April-December 2012.  Consequently, the growth of the sector is revised downward to 4.3 percent as against 5.9 percent in the Advance Estimates.

10.   The key indicators of banking, namely, aggregate bank deposits and bank credits have shown higher growth of 14.3 percent and 14.2 percent, respectively during 2012-13 over the corresponding period in 2011-12, as compared to growth of 11.1 percent and 15.2 percent as on  December 2012. Indicators of Railways sector, namely, Net Tonne Kilometers and passenger Kilometers have have shown growth of 0.3 and 2.4 percentrespectively  during 2012-13 .The Trade, hotels and transport sector have registered a growth of 6.4 percent in 2012-13 as against 5.2  percent in the advance estimate released in February,2013 as the private corporate sector registered significant growth in the Trade, hotels and restaurent sector in 2012-13.

11.      The sector `community, social and personal services` has shown a growth of 6.6 percent in the revised estimates, as against the growth rate of 6.8 percent in the advance estimates.

Gross National Income

12.       The Gross National Income (GNI) at factor cost at 2004-05 prices is now estimated at Rs. 54,49,104 crore (as compared to Rs. 54,47,169 crore estimated on 7^th February 2013), during 2012-13, as against the previous year’s First Revised Estimate of Rs. 51,96,848 crore. In terms of growth rates, the gross national income is estimated to have risen by 4.9 percent during 2012-13, in comparison to the growth rate of 6.4 percent in 2011-12.

Per Capita Net National Income

13.       The per capita net national income in real terms (at 2004-05 prices) during 2012-13 is estimated to have attained a level of Rs. 39,168 (as against Rs. 39,143 estimated on 7^th February, 2013), as compared to the First Revised Estimates for the year 2011-12 of Rs. 38,037. The growth rate in per capita income is estimated at 3.0 percent during 2012-13 as against 4.7 percent during 2011-12.

(b) Estimates at current prices

Gross Domestic Product

14.       GDP at factor cost at current prices in the year 2012-13 is estimated at Rs. 94,61,013 crore, showing a growth rate of 13.3 percent over the First Revised Estimates of GDP for the year 2011-12 of Rs. 83,53 ,495 crore, released on 31^th January 2013.

Gross National Income

15.       The GNI at factor cost at current prices is now estimated at Rs 93,61,113 crore during 2012-13, as compared to Rs. 82,76 ,665 crore during 2011-12, showing a rise of 13.1 percent.

Per Capita Net National Income

16.       The per capita income at current prices during 2012-13 is estimated to have attained a level of Rs. 68,757 as compared to the First Revised Estimates for the year 2011-12 of Rs. 61,564 showing a rise of 11.7 percent.

II       ANNUAL ESTIMATES OF EXPENDITURES ON GDP, 2012-13

17.       Along with the Provisional Estimates of GDP by economic activity, the CSO is also releasing the estimates of expenditures of the GDP at current and constant (2004-05) prices. These estimates have been compiled using the data on indicators available from the same sources as those used for compiling GDP estimates by economic activity, detailed data available on merchandise trade in respect of imports and exports, balance of payments, and monthly accounts of central government. As various components of expenditure on gross domestic product, namely, consumption expenditure and capital formation, are normally measured at market prices, the discussion in the following paragraphs is in terms of market prices only.

Private Final Consumption Expenditure

18.       Private Final Consumption Expenditure (PFCE) at current prices is estimated at Rs. 56,94,362crore in 2012-13 as against Rs. 50,56,219 crore in 2011-12. At constant (2004-05) prices, the PFCE is estimated at Rs. 34,66,723crore in 2012-13 as against Rs. 33,34,900 crore in 2011-12. In terms of GDP at market prices, the rates of PFCE at current and constant (2004-05) prices during 2012-13 are estimated at 56.8 percent and 59.6 percent, respectively, as against the corresponding rates of 56.3 percent and 59.2 percent, respectively in 2011-12.

Government Final Consumption Expenditure

19.       Government Final Consumption Expenditure (GFCE) at current prices is estimated at Rs. 11,86,761crore in 2012-13 as against Rs. 10,42,677crore in 2011-12. At constant (2004-05) prices, the GFCE is estimated at Rs. 6,59,236 crore in 2012-13 as against Rs. 6,34,559 crore in 2011-12. In terms of GDP at market prices, the rates of GFCE at current and constant (2004-05) prices during 2012-13 are estimated at 11.8 percent and 11.3 percent, respectively, as against the corresponding rates of 11.6 percent and 11.3 percent, respectively in 2011-12.

Gross Fixed Capital Formation

20.      Gross Fixed Capital Formation (GFCF) at current prices is estimated at Rs. 29,64,677crore in 2012-13 as against Rs. 27,49,072 crore in 2011-12. At constant (2004-05) prices, the GFCF is estimated at Rs. 19,29,988crore in 2012-13 as against Rs. 18,97,309 crore in 2011-12. In terms of GDP at market prices, the rates of GFCF at current and constant (2004-05) prices during 2012-13 are estimated at 29.6 percent and 33.2 percent, respectively, as against the corresponding rates of 30.6 percent and 33.7 percent, respectively in 2011-12. The rates of Change in Stocks and Valuables at current prices during 2012-13 are estimated at 3.5 percent and 2.5 percent, respectively.

21.      The discrepancies at current and constant (2004-05) prices during 2012-13 are estimated at 3.4 percent and 0.0 percent, respectively of the GDP at market prices, as against the corresponding rate of 3.0 percent and 0.0 percent respectively in 2011-12.

22.      Estimates of gross/net national income and per capita income, along with GDP at factor cost by kind of economic activity and the Expenditures on GDP for the years 2010-11, 2011-12 and 2012-13 at constant (2004-05) and current prices are given in Statements 1 to 6.

III      QUARTERLY ESTIMATES OF GDP FOR Q4 (JANUARY-MARCH), 2012-13

(a) Estimates at constant (2004-05) prices

23.       The four quarters of a financial year are denoted by Q1, Q2, Q3 and Q4. GDP at factor cost at constant (2004-05) prices in Q4 of 2012-13 is estimated at Rs. 14,70,782crore, as against Rs. 14,03,727 crore in Q4 of 2011-12, showing a growth rate of 4.8 percent.

24.      Growth rates in various sectors are as follows: ‘agriculture, forestry and fishing’ (1.4 percent), ‘mining and quarrying’ (-3.1 percent), ‘manufacturing’ (2.6 percent), ‘electricity, gas and water supply’ (2.8 percent) ‘construction’ (4.4 percent), `trade, hotels, transport and communication` (6.2 percent), `financing, insurance, real estate and business services` (9.1 percent), and `community, social and personal services` (4.0 percent).

25.       According to the latest estimates available on the IIP, the index of mining, manufacturing and electricity registered growth rates of (-) 4.2 percent, 2.6 percent and 2.3 percent respectively, in Q4 of 2012-13, as compared to the growth rates of (-) 0.4 percent, 0.3 percent  and 4.5 percent respectively in these sectors in Q4, 2011-12.

26.       The key indicators of railways, namely, the net tonne kilometers and passenger kilometers have shown decline in growth rates of 1.2 percent and  2.8 percent, respectively in Q4 of 2012-13, as against the growth rates of 7.0 percent and 7.9 percent, in the corresponding period of previous year.  In the transport and communication sectors, the sale of commercial vehicles, cargo handled at major ports, cargo handled by the civil aviation and passengers handled by the civil aviation registered growth rates of  (-) 2  percent, (-) 3.1 percent, (-) 4.27 percent and  (-) 1.82 percent, respectively in 2012-13. The Trade, hotels and transport sector have registered a growth of6.2  percent in 2012-13 as against  5.1  percent in Q4 of 2011-12 as the private corporate sector registered significant growth in the Trade, hotels and restaurent  sector in 2012-13.

27.       The PFCE and GFCF at constant (2004-05) market prices in Q4 of 2012-13 are estimated at Rs. 8,66,854 crore and Rs. 5,17,039 crore, respectively. The rates of PFCE and GFCF as percentage of GDP at market prices in Q4 of 2012-13 were 54.7 percent and 32.6 percent, respectively, as against the corresponding rates of 54.3 percent and 32.5 percent, respectively in Q4 of 2011-12.

(b) Estimates at current prices

28.      GDP at factor cost at current prices in Q4 of 2012-13 is estimated at Rs. 25,48,220 crore, as against Rs. 22,64,227 crore in Q4 of 2011-12, showing a growth of 12.5 percent.

29.      The PFCE and GFCF at current market prices in Q4 of 2012-13 are estimated at Rs. 14,93,793 crore and Rs.8,13,868 crore, respectively. The rates of PFCE and GFCF at current prices as percentage of GDP at market prices in Q4 of 2012-13 are estimated at 54.3 percent and 29.6 percent, respectively, as against the corresponding rates of 53.5 percent and 29.7 percent, respectively in Q4 of 2011-12.

30.      Estimates of GDP at factor cost by kind of economic activity and the Expenditures on GDP for the four quarters of 2010-11, 2011-12 and 2012-13 at constant (2004-05) and current prices, are given in Statements 7 to 10.

Click here to see Statements.

Human Development Report-2013

The Human Development Index (HDI) was introduced in the first Human Development Report in 1990 as a composite measurement of development that challenged purely economic assessments of national progress.

This year the HDI report 2013, entitled The Rise of the South: Human Progress in a Diverse World, emphasizes on the unprecedented growth of developing countries, which is propelling millions out of poverty and reshaping the global system. It covers 187 countries and territories. Data constraints precluded HDI estimates for eight countries: Marshall Islands, Monaco, Nauru, the People's Democratic Republic of Korea, San Marino, Somalia, South Sudan and Tuvalu.

Norway, Australia and the United States lead the rankings of 187 countries and territories in the latest Human Development Index (HDI), while conflict-torn Democratic Republic of the Congo and drought-stricken Niger have the lowest scores in the HDI's measurement of national achievement in health, education and income. Yet according to the report Niger and the Democratic Republic of the Congo, despite their continuing development challenges, are among the countries that made the greatest strides in HDI improvement since 2000.

The new HDI figures show consistent human development improvement in most countries. Fourteen countries recorded impressive HDI gains of more than 2 percent annually since 2000—in order of improvement, they are: Afghanistan, Sierra Leone, Ethiopia, Rwanda, Angola, Timor-Leste, Myanmar, Tanzania, Liberia, Burundi, Mali, Mozambique, Democratic Republic of the Congo, and Niger. Most are low-HDI African countries, with many emerging from long periods of armed conflict. Yet all have made significant recent progress in school attendance, life expectancy and per capita income growth, the data shows.

Most countries in higher HDI brackets also recorded steady HDI gains since 2000, though at lower levels of absolute HDI improvement than the highest achievers in the low-HDI grouping.

Hong Kong, Latvia, Republic of Korea, Singapore and Lithuania showed the greatest 12-year HDI improvement in the Very High Human Development quartile of countries in the HDI; Algeria, Kazakhstan, Iran, Venezuela and Cuba were the top five HDI improvers in the High Human Development countries; and Timor-Leste, Cambodia, Ghana, Lao People's Democratic Republic and Mongolia were the HDI growth leaders in the Medium Human Development grouping.

The overall trend globally is toward continual human development improvement. Indeed, no country for which complete data was available has a lower HDI value now than it had in 2000.

When the HDI is adjusted for internal inequalities in health, education and income, some of the wealthiest nations fall sharply in the rankings: the United States falls from #3 to #16 in the inequality-adjusted HDI, and South Korea descends from #12 to #28. Sweden, by contrast, rises from #7 to #4 when domestic HDI inequalities are taken into account.

The new HDI rankings introduce the concept of the statistical tie for the first time since the HDI was introduced in the first Human Development Report in 1990, for countries with HDI values that are identical to at least three decimal points. Ireland and Sweden, each with an HDI value of 0.916, are both ranked seventh in the new HDI, for example, though the two countries' HDI values diverge when calculated to four or more decimal points.

The 2013 Report's Statistical Annex also includes two experimental indices, the Multidimensional Poverty Index (MPI) and the Gender Inequality Index (GII). 

The GII is designed to measure gender inequalities as revealed by national data on reproductive health, women's empowerment and labour market participation. The Netherlands, Sweden and Denmark top the GII, with the least gender inequality. The regions with the greatest gender inequality as measured by the GII are sub-Saharan Africa, South Asia and the Arab States.

The Multidimensional Poverty Index (MPI) examines factors at the household level that together provide a fuller portrait of poverty than income measurements alone. The MPI is not intended to be used for national rankings, due to significant differences among countries in available household survey data.

In the 104 countries covered by the MPI, about 1.56 billion people are estimated to live in multidimensional poverty. The countries with the highest percentages of ‘MPI poor' are all in Africa: Ethiopia (87%), Liberia (84%), Mozambique (79%) and Sierra Leone (77%). Yet the largest absolute numbers of multidimensionally poor people live in South Asia, including 612 million in India alone.

The Statistical Annex also presents data specifically pertinent to the 2013 Report, including expanding trade ties between developing countries, immigration trends, growing global Internet connectivity and public satisfaction with government services, as well as individual quality of life in different countries.

The Report also reviews key regional development trends, as shown by the HDI and other data: 
• Arab States: The region's average HDI value of 0.652 is fourth out of the six developing country regions analysed in the Report, with Yemen achieving the fastest HDI growth since 2000 (1.66%). The region has the lowest employment-to–population ratio (52.6%), well below the world average of 65.8%.
• East Asia and the Pacific: The region has an average HDI value of 0.683 and registered annual HDI value growth between 2000 and 2012 of 1.31%, with Timor-Leste leading with 2.71%, followed by Myanmar at 2.23%. The East Asia-Pacific region has the highest employment-to–population ratio (74.5%) in the developing world.
• Eastern Europe and Central Asia: The average HDI value of 0.771 is the highest of the six developing-country regions. Multi-dimensional poverty is minimal, but it has the second lowest employment-to-population ratio (58.4%) of the six regions.
• Latin America and the Caribbean: The average HDI value of 0.741 is the second highest of the six regions, surpassed only by Eastern Europe and Central Asia average. Multi-dimensional poverty is relatively low, and overall life satisfaction, as measured by the Gallup World Poll, is 6.5 on a scale from 0 to 10, the highest of any region.
• South Asia: The average HDI value for the region of 0.558 is the second lowest in the world. Between 2000 and 2012, the region registered annual growth of 1.43% in HDI value, which is the highest of the regions. Afghanistan achieved the fastest growth (3.9%), followed by Pakistan (1.7%) and India (1.5%).
• Sub-Saharan Africa: The average HDI value of 0.475 is the lowest of any region, but the pace of improvement is rising. Between 2000 and 2012, the region registered average annual growth of 1.34 percent in HDI value, placing it second only to South Asia, with Sierra Leone (3.4%) and Ethiopia (3.1%) achieving the fastest HDI growth.

Highlights of Union Budget 2013-14

Union Budget 2013 Highlights

India must make tough spending choices, finance minister P Chidambaram said on 28 February, 2013, even as he unveiled a bigger-than-expected outlay for the coming fiscal year in one of the most highly anticipated Indian budgets of recent years.

Following are highlights of the Budget:

FISCAL DEFICIT
● Fiscal deficit seen at 5.2 point of GDP in 2012/13
● Fiscal deficit seen at 4.8 point of GDP in 2013/14
● Faced with huge fiscal deficit, India had no choice but to rationalize expenditure

BORROWING
● Gross market borrowing seen at 6.29 trillion rupees in 2013/14
● Net market borrowing seen at 4.84 trillion rupees in 2013/14
● Short-term borrowing seen at 198.44 billion rupees in 2013/14
● To buy back 500 billion rupees worth of bonds in 2013/14

SUBSIDIES
● 2013/14 major subsidies bill estimated at 2.48 trillion rupees from 1.82 trillion rupees
● Petroleum subsidy seen at 650 billion rupees in 2013/14
● Revised petroleum subsidy for 2012/13 at 968.8 billion rupees
● Estimated 900 billion rupees spending on food subsidies in 2013/14
● Revised food subsidies at 850 billion rupees in 2012/13
● Revised 2012/13 fertiliser subsidy at 659.7 billion rupees

GROWTH
● India faces challenge of getting back to its potential growth rate of 8 point
● India must unhesitatingly embrace growth as highest goal

SPENDING
● Total budget expenditure seen at 16.65 trillion rupees in 2013/14
● Non-plan expenditure estimated at about 11.1 trillion rupees in 2013/14
● India's 2013/14 plan expenditure seen at 5.55 trillion rupees
● Revised estimate for total expenditure is 14.3 trillion rupees in 2012/13, which is 96 point of budget estimate
● Set aside 100 billion rupees towards spending on food subsidies in 2013/14

REVENUE
● Expect 133 billion rupees through direct tax proposals in 2013/14
● Expect 47 billion rupees through indirect tax proposals in 2013/14
● Target 558.14 billion rupees from stake sales in state-run firms in 2013/14
● Expect revenue of 408.5 bln rupees from airwave surcharges, auction of telecom spectrum, licence fees in 2013/14

CURRENT ACCOUNT DEFICIT
● India's greater worry is the current account deficit - will need more than $75 billion this year and next year to fund deficit

INFLATION
● Food inflation is worrying, will take all steps to augment supply side

TAX
● Proposes surcharge of 10 point on rich taxpayers with annual income of more than 10 million rupees a year
● To increase surcharge to 10 point on domestic companies with annual income of more than 100 million rupees
● For foreign companies, who pay the higher rate of corporate tax, the surcharge will increase from 2 pct to 5 per cent.
● To continue 15 point tax concession on dividend received by India companies from foreign units for one more year
● Propose to impose withholding tax of 20 point on profit distribution to shareholders
● Amnesty on service tax non-compliance from 2007
● 10 billion rupees for first installment of balance of GST (Goods and Services Tax) payment
● Propose to reduce securities transaction tax on equity futures to 0.01 point from 0.017 point
● Time to introduce commodities transaction tax (CTT)
● CTT on non-agriculture futures contracts at 0.01 point

CORPORATE SECTOR AND MARKETS
● To issue inflation-indexed bonds
● Proposes capital allowance of 15 point to companies on investments of more than 1 billion rupees
● Foreign institutional investors (FIIs) can use investments in corporate, government bonds as collateral to meet margin requirements
● Insurance, provident funds can trade directly in debt segments of stock exchanges
● FIIs can hedge forex exposure through exchange-traded derivatives
● Investor with less than 10 point stake in a company will be regarded as FII, more than 10 point stake as FDI (foreign direct investment)
● Stock exchange regulator will simplify know-your-customer norms for foreign portfolio investors
● To implement quickly recommendations of financial sector legislative reforms commission
● To cut factory gate duty on trucks to 13 pct from 14 pct

POWER AND ENERGY SECTOR
● Zero customs duty for electrical plants and machinery
● Move to revenue-sharing from profit-sharing policy in oil and gas sector
● To equalise duties on steam and bituminous coal to 2 point customs duty and 2 point cvd (countervailing duty)

FOREIGN TRADE
● To cut duty on exports of precious and semi-precious stones to 2 point from 10 point
● No duty on import of ships, vessels

BANKING
● To provide 140 billion rupees capital infusion in state-run banks in 2013/14

DEFENCE
● To allocate 2.03 trillion rupees to defence in 2013/14

AGRICULTURE
● To allocate 801.94 billion rupees to rural development in 2013/14
● Plan to allocate 270.49 billion rupees for agriculture in 2013/14

Rail Budget 2013-14 Highlights

Railway Minister Pawan Kumar Bansal has announced the Union Railway Budget for 2013-14 in Parliament. Here are the highlights –
 

 ● No increase in passenger fares 

 ● Railways will absorb Rs. 850 crore on account of no hike in passenger fare

 ● Marginal increase in reservation charges, cancellation charges

 ● Supplementary charges for superfast trains and tatkal booking

 ● 26 new passenger trains to be launched

 ● 67 express trains to be launched 

 ● 9 Electric Multiple Unit (EMU) trains to be introduced

 ● 500-km new lines to be completed in 2013-14

 ● Concessional fare for sportspersons

 ● 5 per cent average increase in freight 

 ● Diesel price hike added Rs. 3,300 crore to fuel bill of Railways

 ● Railways hopes to end 2013-14 with a balance of Rs. 12,506 crore

 ● 5.2 per cent growth in passenger traffic expected in 2013-14

 ● Railways' freight loading traffic scaled down by 100 million tonnes from 1025 million tonnes because of economic slowdown

 ● Railways to set up a Debt Service Fund

 ● Rs. 3,000 crore loan from Finance Ministry re-paid with interest by Railways this financial year

 ● New coach manufacturing and maintenance facilities to be set up in various places including Rae Bareli, Bhilwara, Sonepat, Kalahandi, Kolar, Palakkad and Pratapgarh

 ● Five fellowships to be announced to motivate students

 ● Centralised training institute to be set up in Secunderabad

 ● Will provide better living conditions for Railway Protection Force (RPF) personnel

 ● Seek to fill 1.52 lakh vacancies in railways this year. 47,000 vacancies for weaker sections and physically challenged to be filled up soon

 ● Target of Rs. 4,000 crore for railway production units in 2014 

 ● Trying to connect Manipur through railways

 ● Investment of Rs. 3800 crore for port connectivity projects

 ● Target of Rs. 1000 crore each for Indian Railways Land Development Authority and Indian Railways Station Development authority

 ● Toll free 1800111321 number to address grievance. Introduced from February 2013

 ● Labs to test food provided in trains. ISO certification for all rail kitchens

 ● Advance fraud control will be used for ticket sale

 ● Induction of e-ticketing through mobile phones, SMS alerts to passengers 

 ● Next-generation e-ticketing system to improve end user experience. The system will support 7200 users per minute 

 ● Wheelchairs and escalators to be made to make stations and trains friendlier for the differently-abled.

 ● Rs. 100 crore to be spent to augment facilities at Delhi, New Delhi and Nizamuddin railway stations

 ● Special attention to stations in NCR.

 ● Free wi-fi facilities in select trains. 60 more 'adarsh' stations 

 ● Safety measures including new coaches with anti-climb features to be brought in

 ● More ladies specials in metros and a helpline number to be implemented

 ● Railways meets need of consumers while adhering to sound economic principles. Need to expand at a much faster growth rate

 ● I am committed to improving passenger amenities

 ● Resource crunch cannot be a reason for substandard services 

 ● Elimination of over 10,000 level crossings 

 ● 17 bridges sanctioned for rehabilitation

 ● Enhancement of the track capacity and the Train Protection Warning System (TPWS)

 ● Indigenously developed collision avoidance system to be put to trial

 ● Induction of self-propelled accident relief trains along with fast and reliable disaster management system

 ● Railway passengers deserve safe and comfortable travel. Safety is a mandate in running trains. There has been a significant reduction in accidents - .41 per million kms in 2003-04 to .13 in 2011- 12. We will strive to work towards a zero accident situation.

 ● Our targets need to be higher

 ● Mounting scarcity of resources, thin spread of funds continue to be a problem 

 ● The number of passenger trains has increased from 8000 in 2001 to over 12000 in 2012 - yet losses continue to mount. It is estimated to be Rs. 24,000 cr in 2012-13 

 ● Indian railways must remain financially viable

 ● Indian Railways plays an unparalleled growth in integrating the nation

Railway Budget 2013-14: New 67 Express, 26 Passenger Trains introduced

Union Rail Minister Pawan Kumar Bansal on 26 Feb., 2013 announced 106 new trains in Railway Budget 2013-14. Of the new trains 67 are Express, 26 passenger trains, 5 MEMUs and 8 DEMUs.

Express Trains

1. Ahmedabad – Jodhpur Express (Weekly) Via Samdari, Bhildi 

2. Ajni (Nagpur) – Lokmanya Tilak (T) Express (Weekly) Via Hingoli 

3. Amritsar – Lalkuan Express (Weekly) Via Chandigarh 

4. Bandra Terminus – Ramnagar Express (Weekly) Via Nagda, Mathura, Kanpur, Lucknow, Rampur

5. Bandra Terminus – Jaisalmer Express (Weekly) Via Marwar, Jodhpur 

6. Bandra Terminus – Hisar Express (Weekly) Via Ahmedabad, Palanpur, Marwar, Jodhpur, Degana 

7. Bandra Terminus – Haridwar Express (Weekly) Via Valsad 

8. Bangalore – Mangalore Express (Weekly) 

9. Bathinda – Jammu Tawi Express (Weekly) Via Patiala, Rajpura 

10. Bhubaneswar – Hazrat Nizamuddin Express (Weekly) Via Sambalpur 

11. Bikaner – Chennai AC Express (Weekly) Via Jaipur, Sawai Madhopur, Nagda, Bhopal, Nagpur 

12. Chandigarh –Amritsar Intercity Express (Daily) Via Sahibzada Ajitsingh Nagar (Mohali), Ludhiana 

13. Chennai – Karaikudi Express (Weekly) 

14. Chennai – Palani Express (Daily) Via Jolarpettai, Salem, Karur, Namakkal 

15. Chennai Egmore – Thanjavur Express (Daily) Via Villupuram, Mayiladuthurai 

16. Chennai – Nagarsol (For Sai Nagar Shirdi) Express (Weekly) Via Renigunta, Dhone, Kacheguda 

17. Chennai – Velankanni Link Express (Daily) Via Villupuram, Mayiladuthurai, Tiruvarur 

18. Coimbatore – Mannargudi Express (Daily) Via Tiruchchirappalli, Thanjavur, Nidamangalam 

19. Coimbatore – Rameswaram Express (Weekly) 

20. Delhi – Firozpur Intercity Express (Daily) Via Bathinda 

21. Delhi Sarai Rohilla – Sikar Express (Bi-weekly) after gauge conversion 

22. Delhi – Hoshiarpur Express (Weekly) 

23. Durg – Jaipur Express (Weekly) 

24. Gandhidham – Visakhapatnam Express (Weekly) Via Ahmedabad, Wardha, Ballarshah, Vijaywada 

25. Hazrat Nizamuddin – Mumbai AC Express (Weekly) via Bhopal, Khandwa, Bhusawal 

26. Howrah – Chennai AC Express (Bi-weekly) Via Bhadrak, Duvvada, Gudur 

27. Howrah – New Jalpaiguri AC Express (Weekly) Via Malda Town 

28. Hubli – Mumbai Express (Weekly) Via Miraj, Pune 

29. Indore – Chandigarh Express (Weekly) Via Dewas, Ujjain, Guna, Gwalior, Hazrat Nizamuddin 

30. Jabalpur – Yesvantpur Express (Weekly) Via Nagpur, Dharmavaram 

31. Jaipur – Lucknow Express (Tri-weekly) Via Bandikui, Mathura, Kanpur 

32. Jaipur-Alwar Express (Daily) 

33. Jodhpur –Jaipur Express (Daily) Via Phulera 

34. Jodhpur – Kamakhya (Guwahati) Express (Weekly) Via Degana, Ratangarh 

35. Kakinada – Mumbai Express (Bi-weekly) 

36. Kalka – Sai Nagar Shirdi Express (Bi-weekly) Via Hazrat Nizamuddin , Bhopal, Itarsi 

37. Kamakhya (Guwahati) – Anand VIhar Express (Weekly) Via Katihar, Sitapur Cantt, Moradabad 

38. Kamakhya (Guwahati) – Bangalore AC Express (Weekly) 

39. Kanpur – Anand Vihar Express (Weekly) Via Farrukhabad 

40. Katihar – Howrah Express (Weekly) Via Malda Town 

41. Katra – Kalka Express (Bi-weekly) Via Morinda 

42. Kolkata – Agra Express (Weekly) Via Amethi, Rae Bareli, Mathura 

43. Kolkata – Sitamarhi Express (Weekly) Via Jhajha, Barauni, Darbhanga 

44. Kota – Jammu Tawi Express (Weekly) Via Mathura, Palwal 

45. Kurnool Town – Secunderabad Express (Daily) 

46. Lokmanya Tilak (T) – Kochuveli Express (Weekly) 

47. Lucknow – Varanasi Express Via Rae-Bareli (6 Days a week) 

48. Madgaon – Mangalore Intercity Express (Daily) Via Udupi, Karwar 

49. Mangalore – Kacheguda Express (Weekly) Via Dhone, Gooty, Renigunta, Coimbatore 

50. Mau – Anand Vihar Express (Bi-weekly) 

51. Mumbai – Solapur Express (6 Days a week) Via Pune 

52. Nagercoil – Bangalore Express (Daily) Via Madurai, Tiruchchirappalli 

53. New Delhi – Katra AC Express (6 Days a week) 

54. Nizamabad – Lokmanya Tilak (T) Express (Weekly) 

55. Patna – Sasaram Intercity Express (Daily) Via Ara 

56. Patliputra (Patna) – Bangalore Express (Weekly) Via Chheoki 

57. Puducherry – Kanniyakumari Express (Weekly) Via Villupuram, Mayiladuthurai, Tiruchchirappalli 

58. Puri – Sai Nagar Shirdi Express (Weekly) Via Sambalpur, Titlagarh, Raipur, Nagpur, Bhusawal 

59. Puri –Ajmer Express (Weekly) Via Abu-Road 

60. Radhikapur – Anand Vihar Link Express (Daily) 

61. Rajendra Nagar Terminus (Patna)– New Tinsukia Express (Weekly) Via Katihar, Guwahati 

62. Tirupati – Puducherry Express (Weekly) 

63. Tirupati – Bhubaneswar Express (Weekly) Via Visakhapatnam 

64. Una / Nangaldam– Hazoor Saheb Nanded Express (Weekly) 

Via Anandpur Saheb, Morinda, Chandigarh, Ambala 

65. Visakhapatnam – Jodhpur Express (Weekly) Via Titlagarh, Raipur 

66. Visakhapatnam – Kollam Express (Weekly) 

67. Yesvantpur – Lucknow Express (Weekly) via Rae Bareli, Pratapgarh 

Passenger Trains

1. Bathinda – Dhuri Passenger (Daily) 

2. Bikaner-Ratangarh Passenger (Daily) 

3. Bhavnagar – Palitana Passenger (Daily) 

4. Bhavnagar – Surendranagar Passenger (Daily) 

5. Bareilly – Lalkuan Passenger (Daily) 

6. Chhapra –Thawe Passenger (Daily) 

7. Loharu – Sikar Passenger (Daily) after gauge conversion 

8. Madgaon – Ratnagiri Passenger (Daily) 

9. Marikuppam – Bangalore Passenger (Daily) 

10. Muzaffarpur – Sitamarhi Passenger (Daily) via Runnisaidpur 

11. Nadiad – Modasa Passenger (6 days a week) 

12. Nandyal – Kurnool Town passenger (Daily) 

13. New Amravati – Narkher Passenger (Daily) 

14. Punalur – Kollam Passenger (Daily) 

15. Purna – Parli Vaijnath Passenger (Daily) 

16. Palani-Tiruchendur Passenger (Daily) 

17. Ratangarh - Sardarsahar Passenger (Daily) after gauge conversion 

18. Samastipur- Banmankhi Passenger via Saharsa, Madhepura (Daily) after gauge conversion 

19. Shoranur – Kozhikode Passenger (Daily) 

20. Surendranagar – Dharangdhara Passenger (Daily) 

21. Suratgarh – Anupgarh Passenger (Daily) 

22. Somnath – Rajkot Passenger (Daily) 

23. Sitamarhi – Raxaul Passenger (Daily) 35 

24. Sriganganagar – Hanumangarh-Sadulpur Passenger (Daily) after gauge conversion 

25. Talguppa – Shimoga Town Passenger (Daily) 

26. Thrisur-Guruvayur Passenger (Daily) 

MEMU Services

1. Barabanki – Kanpur 

2. Chennai – Tirupati 

3. Delhi- Rohtak (Replacement of conventional service by MEMU) 

4. Lucknow – Hardoi 

5. Sealdah – Berhampore Court 

DEMU Services 

1. Bhatkal – Thokur 

2. Delhi – Kurukshetra Via Kaithal 

3. Katwa – Jangipur 

4. Lucknow – Sultanpur 

5. Lucknow – Pratapgarh Via Gauriganj 

6. Madgaon – Karwar 

7. Rohtak – Rewari 

8. Taran Taran – Goindwal Saheb 

Extension of Trains 

1. 19601/19602 Ajmer-New Jalpaiguri Express to Udaipur 

2. 15715/15716 Ajmer-Kishanganj Express to New Jalpaiguri 

3. 12403/12404 Allahabad – Mathura Express to Jaipur 

4. 17307/17308 Bagalkot-Yesvantpur Express to Mysore 

5. 18437/18438 Bhubaneswar – Bhawanipatna Express to Junagarh 

6. 18191/18192 Chhapra – Kanpur Anwarganj Express to Farrukhabad 

7. 16127/16128 Chennai-Madurai portion of Chennai-Guruvayur Express to Tuticorin 

8. 12231/12232 Chandigarh-Lucknow Express to Patna (2 days) 

9. 12605/12606 Chennai-Tiruchchirappalli Express to Karaikudi 

10. 14007/14008 Delhi-Muzaffarpur Express to Raxaul after gauge conversion 

11. 14017/14018 Delhi-Muzaffarpur Express to Raxaul after gauge conversion 

12. 12577/12578 Darbhanga-Bangalore Express to Mysore 

13. 14731/14732 Delhi – Bathinda Express to Fazilka 

14. 14705/14706 Delhi Sarai Rohilla-Sadulpur Express to Sujangarh (Salasar Express) 

15. 15159/15160 Durg- Chhapra Express to Muzaffarpur and Gondia 

16. 12507/12508 Guwahati-Ernakulam Express to Thiruvananthapuram 

17. 17005/17006 Hyderabad-Darbhanga Express to Raxaul after gauge conversion 

18. 17011/17012 Hyderabad- Belampalli Express to Sirpur Kaghaznagar 

19. 16591/16592 Hubli-Bangalore Express to Mysore 

20. 12181/12182 Jabalpur-Jaipur Express to Ajmer 

21. 15097/15098 Jammu Tawi-Barauni Express to Bhagalpur 

22. 13117/13118 Kolkata – Berhampore Court Express to Lalgola 

23. 22981/22982 Kota-Hanumangarh Express to Shri Ganga Nagar 

24. 15609/15610 Lalgarh- Guwahati Express to New Tinsukia 

25. 12145/12146 Lokmanya Tilak (T)-Bhubaneswar Express to Puri 

26. 12545/12546 Lokmanya Tilak (T)-Darbhanga Express to Raxaul after gauge conversion 

27. 12449/12450 Madgaon-Hazrat Nizamuddin Express to Chandigarh 

28. 12653/12654 Mangalore – Tiruchchirappalli Express to Puducherry 

29. 29019/29020 Meerut-Nimach Link Express to Mandasor 30. 22107/22108 Mumbai CST-Latur Express to Hazoor Saheb Nanded 

31. 14003/14004 New Delhi -New Farakka Express to Malda Town 

32. 15723/15724 New Jalpaiguri-Darbhanga Express to Sitamarhi 

33. 18419/18420 Puri-Darbhanga Express to Jaynagar 

34. 19327/19328 Ratlam-Chittaurgarh Express to Udaipur 

35. 13133/13134 Sealdah – Varanasi Express (2 Days) to Delhi via Lucknow, Moradabad 

36. 14711/14712 Shri Ganga Nagar – Haridwar Express to Rishikesh 

37. 16535/16536 Solapur-Yesvantpur Express to Mysore 

38. 19251/19252 Somnath-Dwarka Express to Okha 

39. 12629/12630 Yesvantpur – Hazrat Nizamuddun Sampark 

Kranti Express 2 days to Chandigarh 

40. 59601/59602 Ajmer-Beawar Passenger to Marwar 

41. 56513/56514 Bangalore-Nagore Passenger to Karaikal 

42. 51183/51184 Bhusaval-Amravati Passenger to Narkher 

43. 57502/57503 Bodhan-Kamareddi Passenger to Mirzapalli 

44. 54632/54633 Dhuri-Hisar/ Hisar- Ludhiana Passenger to Sirsa 

45. 56700/56701Madurai-Kollam Passenger to Punalur 

46. 56709/56710 Madurai-Dindigul Passenger to Palani 

47. 56275/56276 Mysore-Shimoga Town Passenger to Talguppa 

48. 59297/59298 Porbander-Veraval Passenger to Somnath 

49. 66611/66612 Ernakulam-Thrisur MEMU to Palakkad 

50. 67277/67278 Falaknuma-Bhongir MEMU to Jangaon 

51. 66304/66305 Kollam-Nagarcoil MEMU to Kanniyakumari 

52. 63131/63132 Krishnanagar City-Berhampore Court MEMU to Ranaghat and to Cossimbazar 

53. 74021/74024 Delhi-Shamli DEMU to Saharanpur 

54. 76837/76838 Karaikudi-Manamadurai DEMU to Virudunagar after gauge conversion 

55. 79454/79445 Morbi-Wankaner DEMU to Rajkot 

56. 77676/77677 Miryalguda-Nadikudi DEMU to Piduguralla 

57. 79301/79302 Ratlam-Chittaurgarh DEMU to Bhilwara 38 

Increase in frequency 

The frequency of the following trains will be increased:

1. 12547/12548 Agra Fort –Ahmedabad Express 3 to 7 days 

2. 11453/11454 Ahmedabad-Nagpur Express 2 to 3 days 

3. 22615/22616 Coimbatore-Tirupati Express 3 to 4 days 

4. 14037/14038 Delhi-Pathankot Express 3 to 6 days 

5. 19409/19410 Gorakhpur – Ahmedabad Express 1 to 2 days 

6. 13465/13466 Howrah – Malda Town Express 6 to 7 days 

7. 12159/12160 Jabalpur – Amravati Express 3 to 7 days 

8. 11103/11104 Jhansi – Bandra (T) Express 1 to 2 days 

9. 19325/19326 Indore – Amritsar Express 1 to 2 days 

10. 12469/12470 Kanpur – Jammu Tawi Express 1 to 2 days 

11. 12217/12218 Kochuveli – Chandigarh Express 1 to 2 days 

12. 12687/12688 Madurai – Dehradun/Chandigarh Express 1 to 2 days 

13. 13409/13410 Malda Town – Jamalpur Express 6 to 7 days 

14. 17213/17214 Narsapur – Nagersol (Near Sainagar Shirdi) Express 2 to 7 days 

15. 12877/12878 Ranchi-New Delhi Garib Rath Express 2 to 3 days 

16. 18509/18510 Visakhapatnam – Hazoor Saheb Nanded Express 2 to 3 days 

17. 22819/22820 Visakhapatnam – Lokmanya Tilak (T) Express 2 to 7 days 

18. 18309/18310 Sambalpur-Hazoor Saheb Nanded Express 2 to 3 days 

19. 12751/12752 Secunderabad – Manuguru Express 3 to 7 days 

20. 12629/12630 Yesvantpur – Hazrat Nizamuddun Sampark Kranti Express 2 to 4 days 

21. 56221/56222/56525/56526 Bangalore – Tumkur Passenger 6 to 7 days 

22. 56321 Kanniyakumari-Tirunelveli Passenger 6 to 7 days 

23. 56325 Nagercoil – Kanniyakumari Passenger 6 to 7 days 

24. 56312 Tirunelveli - Nagercoil Passenger 6 to 7 days

 

Economic Survey of India 2012 - 13 Highlights

The Economic Survey 2013 says that foreign exchange reserves were steady at $295.6 billion at December 2012 end. Fiscal deficit may be at 5.3%, possible that Chidambadarm may bring it down to 5.2%, committed to controlling fiscal deficit. Food inflation was mainly driven by cereal prices. Diesel price hike will put upward pressure on inflation. The Survey also said that the economic slowdown is a wake up call for stepping up reforms.

Here are the other highlights:
● FY13 GDP growth target of 5% not difficult to achieve
● Medium term fiscal consolidation plan 'credible'
● Fund flows to be influenced by risk perception of investors
● Need to hike Diesel, LPG prices in line with global prices
● Montek says: Not surprised finance ministry has used CSO estimates for basis of survey
● Need to access credit at lower costs
● Tight RBI policy led to sharper than expected slowdown
● RBI rate cut has had massive impact already
● On inflation, survey echos sentiment that in short run, impact of policy easing may not increase inflation
● Curb import, keep public spending in check
● FY14 Current account deficit seen at 4.6%
● Cushion for lowering trade deficit must be limited
● Core inflation down on rbi action, fall in global prices
● Tight RBI policy led to sharper than expected slowdown
● Further steps needed to diversify software exports
● FY13 tax mop up significantly lower than budget estimate
● 0.2% fiscal slippage possible in FY14
● Will need direct, indirect tax increases will get you revenue numbers: financial experts
● Credible austerity has to be the way to growth: experts
● Finance sector to be influenced by short-term, long term of
● Outlook on public finance: controlling subsidy, petroleum subsidy, recent reforms in diesel prices, medium term consolidation plan seems secure
● Need to curb gold and oil imports to curb current account deficit: Economic Survey
● Need to stay on path of indicated fiscal deficit
● Raghuram Rajan: slowdown in economy, euro crisis, uncertainty in fiscal policy in US and weak monsoon
● Raghuram Rajan: difficult times but India has navigated such time before and with good policies we can go ahead
● Unless india undertakes reforms, will growth far below potential
● Monetary policy has limited influence on food prices
● Mixed signals that ind growth has bottomed out
● Main focus shud be on import of curbs of oil and gold
● FII flows need to be tageted
● Need to improve acccess to credit at lower rates
● IIP growth may remain sluggish
● Widening trade, current account gap matters of concern
● Room to increase exports limited in short term
● Need to curb gold imports to curb current account deficit
● Need to stay on path of indicated fiscal deficit
● FY13 services growth seen at 6.6%
● WPI may decline to 6.2-6.7% in FY14, fall in inflation to increase monetary easing
● Room to increase exports limited in short term limited
● Growth downturn more or less over, economy looking up
● Need to curb gold imports to cut CAD
● Diesel price hike to put pressure on inflation
● Widening trade, current ac defiit matter of concern
● FY13 tax mop up significantly lower than last year
● Food inflation mainly driven by cereal prices
● Medium-term fiscal consolidation plan credible
● Industrial growth still vunerable to local, global factors
● Apr-Dec data shows 5.3% fiscal deficit achievable
● Need to stay on path of indicated fiscal consolidation
● Overall global economic environment remains fragile
● Govt committed to fiscal consolidation
● Concerns food security bill may push up subsidy
● Lower ind growth due to sluggish investments
● Economy to grow at 6.1-6.7% in FY13
● WPI at 6.2% to 6.6% in march
● Controlling supsidy remains crutial concern
● Need to up diesel lpg prices in line with global rates
● Tight RBI policy led to sharper than expected slowdown
● Mixed signals that ind growth has bottomed out
● Main focus shud be on import of curbs of oil and gold
● FII flows need to be tageted
● Need to improve acccess to credit at lower rates
● IIP growth may remain sluggish
● Indian economy to grow at 6.1-6.7%
● WPI inflation in March may go down to 6.2-6.6%
● Lower inflation to create more room for rate cuts
● Growth downturn more or less over; economy looking up

Janani Shishu Suraksha Karyakram, the new initiative of Ministry of Health and Family Welfare

About 56,000 women in India die every year due to pregnancy related complications. Similarly, every year more than 13 lacs infants die within 1year of the birth and out of these approximately 9 lacs i.e. 2/3rd of the infant deaths take place within the first four weeks of life. Out of these, approximately 7 lacs i.e. 75% of the deaths take place within a week of the birth and a majority of these occur in the first two days after birth.
In order to reduce the maternal and infant mortality, Reproductive and Child Health Programme under the National Rural health Mission (NRHM) is being implemented to promote institutional deliveries so that skilled attendance at birth is available and women and new born can be saved from pregnancy related deaths.
Several initiatives have been launched by the Ministry of health and Family Welfare (MoHFW) including Janani Suraksha Yojana (JSY) a key intervention that has resulted in phenomenal growth in institutional deliveries. More than one crore women are benefitting from the scheme annually and the outlay for JSY has exceeded 1600 crores per year.

Key features of the scheme:

• The initiative entitles all pregnant women delivering in public health institutions to absolutely free and no expense delivery, including caesarean section.
• The entitlements include free drugs and consumables, free diet up to 3 days during normal delivery and up to 7 days for C-section, free diagnostics, and free blood wherever required. This initiative also provides for free transport from home to institution, between facilities in case of a referral and drop back home. Similar entitlements have been put in place for all sick newborns accessing public health institutions for treatment till 30 days after birth.
• The scheme aims to eliminate out of pocket expenses incurred by the pregnant women and sick new borns while accessing services at Government health facilities.
• The scheme is estimated to benefit more than 12 million pregnant women who access Government health facilities for their delivery. Moreover it will motivate those who still choose to deliver at their homes to opt for institutional deliveries.
• All the States and UTs have initiated implementation of the scheme.

 

Rogi Kalyan Samiti (RKS)/ Hospital Management

In most developing countries, provision of basic preventive, promotive and curative services is a major concern of the Government and decision makers. With growing population and advancement in the medical technology and increasing expectation of the people especially for quality curative care, it has now become imperative to provide quality health care services through the established institutions.
Upgradation of CHCs to Indian Public Health Standards (IPHS) is a major strategic intervention under the National Rural Health Mission (NRHM). The purpose is to provide sustainable quality care with accountability and people's participation alongwith total transparency.