Indian Budget 2013 Impact: Behind the numbers and the stories they tell

Much of the budget debate is around the big numbers such as fiscal deficit, disinvestment, spending and revenue growth. ET takes a look at some of the lesser numbers and stories they tell.


1. Higher Grants to Neighbours:

What Does it Mean:

India is looking to counter China's rising influence on some of these countries.

 

2. Big Companies Pay the Lowest Effective Tax

What Does it Mean:

Big companies are in the best position to benefit from incentives and exemptions.

 

3. Declining Foreign Grants

What Does it Mean:

As India's economic clout rises, developed countries finding it difficult to justify financial help to India

 

4. Reckless Borrowing Begins to Bite

What Does it Mean:

Rising debt servicing costs will push India into more borrowing and debt trap if subsidies and social spending is allowed to balloon


 

5. Tax on Services Will Cross Excise Revenues Soon
What Does it Mean:

Services have over 60 per cent share in GDP as opposed to around 15 per cent for manufacturing. Rise is in keeping with this structure

6. RBI Asked to Help Out the Government

What Does it Mean:

If these revenues are much less than budgeted then government will again be forced to cut spending like this year.

$1 trillion likely liabilities of the central government in the current year. Total liabilities are pegged at Rs 56.5 lakh crore

Rs 42,149 crore set aside for acquiring higher IMF quota whenever increase comes through. There is no cash outgo on the account.

Rs 2,021 crore budgeted from info and publicity against Rs 447 crore expected in FY13

Rs 238 crore set aside for general election in current year

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