FM commits Rs 1.97 lakh crore to manufacturing sector over 5 years

01-02-2021

While presenting the Union Budget 2021-22, Nirmala Sitharaman today wished to give the manufacturing sector a fillip. The Finance Minister committed an infusion of Rs 1.97 lakh crore for the sector. Nirmala Sitharaman said that infra and financial capital strengthening was a must to achieve the dream of India becoming a 5 trillion economy. She emphasised that the manufacturing sector would have to grow in double digits on a sustained basis towards this end. In the same vein, the Finance Minister announced the setting up of a mega-investment textile park scheme. An estimated 7 textile parks will be established over the next 3 years. Besides, 217 Infrastructure projects have been completed but the sector is in need of long-term debt financing. A new Development Financial Institution to be set up with an allotment of Rs 20,000 crore. Last year, a production incentive scheme (PLI) scheme had been announced with an aim to give boost to domestic businesses, but the economy shrunk due to Covid-19 led global slowdown.