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'Budget failed to create stimulus for job generation'

Cong critises it saying that what was needed has not been done

Policy Pulse
Publish Date: Feb 29 2016 2:48PM | Updated Date: Feb 29 2016 5:04PM

'Budget failed to create stimulus for job generation'

 The Congress on Monday criticised the Union budget saying it has failed to create an “immediate stimulus” to address challenges of employment generation and agriculture sector.

 Former prime minister Manmohan Singh on Monday termed the general budget presented by  Finance Minister Arun Jaitley as a "mixed bag Budget" with no big idea.
 
Speaking to a news channel, Singh said he was glad the Centre had stood by the fiscal targets outlined by him in 2015, but the government has to settle with the outlay statements that he has made and it is far from clear whether they are steady with the path of consolidation outlined by him.
 
 “Unfortunately, what was needed to be done has not been done. Biggest challenge which we face today is in employment and agriculture sectors. There is not anything on that,” Congress leader Kamal Nath said.
 
Finance Minister Arun Jaitley today presented in Parliament the Union Budget 2016-17 in which no change in personal Income Tax slabs has been done while a 4-month Compliance Window for domestic black money holders has been given.
 
The budget has also given relief to tax payers who earn below Rs 5 lakh per annum and ceiling of rebate u/s 87A has been raised to Rs 5,000 from Rs 2,000. 
 
Jaitley also announced that a high-level committee headed by the Revenue Secretary will oversee creation of fresh liability using retro tax law while clean energy cess has been increased from Rs 200/ton to 400/ton on coal, lignite and peat.
 
Congress MP Shashi Tharoor said that the government has painted a very “broad and general” picture and it remains to be seen how everything works out in practice.
 
“The government has painted a very broad and general picture and it has to be seen how everything works out in practice,” he said.
 
Another Congress leader Manish Tewari slammed the budget, saying it high on rhetoric, flawed in comparisons and bereft of any ideas.
 
He said the budget which lacks imagination and services oligarchs also constrains the freedom of the central bank.
 
“In totality it is going to shrink the economy. Markets have given the budget a thumbsdown,” Tewari said.