Finance Minister Nirmala Sitharaman. (Photo: PTI)

Live: What Finance Ministry Officials Are Saying About Budget 2019

Jul 05 2019, 11:18 AMJul 05 2019, 12:04 PMJuly 05 2019, 11:18 AMJuly 05 2019, 12:04 PM

CEA KV Subramanian And Financial Services Secretary Rajiv Kumar Speak About Budget 2019

12:04 PM

'Barking At The Wrong Tree' Says CEA On Concerns On Mudra Loans

Speaking about concerns about a possible NPA crisis in the Mudra scheme, CEA KV Subramanian said that we are “barking at the wrong tree”.

There is a saying "If you borrow Rs 2 lakh, it is your problem to repay. But if you borrow Rs 2,000 crore, it is the bank's problem to recover the money,”he said adding that it is illustrated in the NPA numbers.

“The real problem was on the corporate side where the survey has tapped into our culture as well to make sure willful default does not happen. NPAs are really only a bother on that side, not on the retail side, not on Mudra. We are barking at the wrong tree there,” he said.

11:26 AM

DIPAM Secretary Atanu Chakraborty On Budget 2019

The government doesn't intend to make public the break-up of minority stake sales and strategic sale targets, says DIPAM secretary Atanu Chakraborty after Finance Minister Nirmala Sitharaman announced a Rs 1.05 lakh crore government disinvestment plan in her budget speech.

"Whether profit-making or not is not a criteria for strategic sale consideration," added Chakraborty.

11:25 AM

Budget 2019 Not A Bailout Package For NBFCs, Says Rajiv Kumar

Union Budget 2019 is not a bailout package for the NBFC sector, said Rajiv Kumar financial services secretary.

Only the healthy and sound NBFCs will get the government guarantee, according to the finance minister, Kumar pointed out. "The government here is trying to handle it from both the points - strict regulation and responsible behaviour but no constraint on the capital and liquidity side," he said.

"We are trying to ensure strict regulation and responsible behaviour by NBFCs and housing finance companies, he says.
Budget 2019 a transformational shift towards clean and responsible credit in last four years.
The government has not indulged in any over-expenditure

Speaking about the Rs 70,000-crore bank recapitalisation plan, he said that the government will not throw good money after bad institutions. The burden on improving is on the bank, and those who perform are the only ones who will be able to come out of the distress, Kumar said.

Other highlights:

It's a time to use resources carefully and also become a global player.
Stress on Mudra assets at less than 3 percent of disbursed amount.
Benign global rates make it right time to issue foreign currency sovereign bond.

11:20 AM

$5 Trillion Is Key Objective Of Budget 2019, Says CEA KV Subramanian

The key objective of the budget clearly is to achieve this target of becoming a $5 trillion economy, said India’s Chief Economic Advisor KV Subramanain. “She focused a lot on the investment required for this growth”, he added.

While there have been many measures, the focus on foreign funding is key as current domestic savings may not be enough, he said.

11:01 AM

Budget 2019: Ministry Officials Set To Give Their Views

Finance Minister Nirmala Sitharaman presented the Union Budget 2019 earlier today, proposing a number of changes, ranging from an ambitious revenue target, higher income tax on India’s super rich, policies for the MSME sector, a structural change where the government can borrow foreign currency bonds to assistance for the non-banking finance companies’ sector.

As the country reads into the fineprint of the budget, finance ministry officials are now gathering in New Delhi where they are expected to speak about their views on the fiscal document.

Stay tuned here for live updates.