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'Rs 10,000 crore for affordable housing': Highlights of Niramala Sitharaman's announcements

On Saturday, Finance Minister Nirmala Sitharaman said that inflation was under control and there was a clear sign of revival of industrial production.

She said she would be meeting the chiefs of Public Sector Banks on 19 September to take stock of liquidity and interest rate transmission.

Highlights

On 19th September I will meet chiefs of public sector banks.

Inflation is under control and there is a clear sign of revival of industrial production.

Mega shopping festival will be held across the country in four destinations, by March 2020. It is greater push for people to make contacts and connections.

Govt working to reduce 'Time to export' by leveraging technology further;action plan to reduce turn around time at airports and ports bench marked to international standards to be implemented by Dec 2019 & Inter-Ministerial group will monitor this.

Will offer higher insurance cover to banks lending working capital for exports in a move which will cost Rs 1700 crores per annum to the government.

The scheme of Remission of Duties or Taxes on Export Products (RoDTEP) is a new scheme, it shall completely replace all Merchandise Exports from India Scheme (MEIS) from January 1, 2020.

- A special window to provide last mile funding for housing projects which are non-NPA (Non-performing asset)&non-NCLT (National Company Law Tribunal) projects&are net worth positive in affordable and middle income category to be set up.  Fund of 10,000 crore to be contributed by Government of India (GoI) and roughly same amount from outside investors. The objective is to focus on construction of unfinished units.

- External Commercial Borrowing  (ECB) guidelines will be relaxed to facilitate financing home buyers who are eligible under the PMAY (Pradhan Mantri Awas Yojana). This is an addition to the existing norms for ECB for affordable housing.

- Foreign Direct Investment (FDI) inflows are robust as of now and there is a sign of revival. Forex reserves (Foreign exchange reserves) have gone up particularly in August end.

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