Highlights of Union Budget 2010-11

Finance Minister Pranab Mukherjee presented the Union Budget on Friday, which was his fifth.

Finance Minister Pranab Mukherjee presented his annual budget on Friday.

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Following are the highlights of the budget:

* Need to review stimulus

* Challenge to return to 9 pct growth, then double-digit

* Economy now in far better position than a year ago

* Final FY10 GDP figure maybe higher than estimate of 7.2 pct

* Fiscal deficit seen at 6.9 pct of GDP in 2009/10

* Fiscal deficit seen at 5.5 pct of GDP in 2010/11 (Reuters poll 5.6 pct)

* Fiscal deficit seen at 4.8 pct of GDP in 2011/12; 4.1 pct in 2012/13

* Total expenditure in 2010/11 11.87 trillion rupees

* 2009/10 revised estimate for tax collection 7.47 trillion rupees

* Actual market borrowing for 2010/11 seen at 3.48 trillion rupees

* To provide government subsidy in cash instead of bonds for fertilisers, oil

* To invest 1.73 trillion rupees in infrastructure in 2010/11

* 15 pct increase in plan expenditure in 2010/11

* Social sector spending at 1.38 trillion rupees for FY11

* To provide 661 billion rupees for rural development

* IIFCL to lend 200 billion rupees by March 2011

* Need to move towards fiscal consolidation

* Need to review public spending

* Roadmap within six months to cut public debt

* Government will be in a position to implement direct tax code from April 2011

* Aims to introduce Goods and Services Tax in April 2011

* Since December have been signs food prices pressures transmitting to non-food items.

* External commercial borrowing will be available for food storage industries

* Government to simplify FDI policy

* 3.7 trillion rupees farm credit target for FY11

* To provide 2 pct loan subsidy to farmers

* To set up finance sector legislative reform commission

* Defence spending for 2010/11 at 1.47 trillion rupees