Indian Finance Minister Nirmala Sitharaman will unveil the Modi government’s 2019-20 budget today in parliament.
Following PM Modi’s re-election victory in May and slowed growth in the first quarter, pressure is building to invigorate the economy.
Through the Pradhan Mantri Kisan Samman Nidhi—a minimum income plan worth $11 billion to help small-scale farmers—the government hopes to stimulate the sluggish agricultural industry. The sector, which employs more than half of India’s workforce and accounts for almost a fifth of GDP, has suffered from a late and slow monsoon season that has delayed sowing and reduced crop yields.
Sitharaman will expand on how this scheme will further assist farmers and unveil plans to rebound from the monsoon season setbacks. He will also increase the fiscal deficit by announcing tax cuts for businesses—especially for small and medium sized enterprises—as well as personal incomes in a bid to boost falling private sector investment and domestic consumption.
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