Finance Minister Pranab Mukherjee presents his annual budget on Friday.
Following are the highlights of the budget:
* Gross market borrowing for 2010/11 seen at 4.57 trillion rupees ($98.9 billion), Forecast in Reuters poll was 4.61 trillion.
* Net market borrowing for 2010/11 seen at 3.45 trillion rupees.
* Fiscal deficit seen at 6.9 pct of GDP in 2009/10
* Fiscal deficit seen at 5.5 pct of GDP in 2010/11 (Reuters poll 5.6 pct)
* Fiscal deficit seen at 4.8 pct of GDP in 2011/12; 4.1 pct in 2012/13.
* Fiscal deficit seen at 3.81 trillion rupees in 2010/11; seen at 4.14 trillion rupees in 2009/10.
* Total expenditure in 2010/11 11.87 trillion rupees.
* 15 pct increase in plan expenditure in 2010/11
* 2009/10 revised estimate for tax collection 7.47 trillion rupees.
* Defence spending for 2010/11 at 1.47 trillion rupees.
* To invest 1.73 trillion rupees in infrastructure in 2010/11.
* Social sector spending at 1.38 trillion rupees for FY11.
* To provide 661 billion rupees for rural development.
* Total revenue receipts for 2010/11 seen at 6.82 trillion rupees.
* Revenue deficit seen at 4 pct of GDP in 2010/11
*Indirect tax proposals to result in net revenue gain of 435 billion rupees.
* Direct tax proposals to result in revenue loss of 260 billion rupees.
* Federal excise duty on non petroleum products to go up to 10 pct from 8 pct
* Raises federal excise duty on petrol, diesel by 1 rupee per litre
* Government will be in a position to implement direct tax code from April 2011
* Aims to introduce Goods and Services Tax in April 2011
* Raises minimum alternate tax rate to 18 pct
* To impose clean energy levy of 50 rupees/tonne on coal, including imports
* Service tax rate kept unchanged at 10 pct
* Personal income tax slabs widened
* Subsidy bill seen at 1.16 trillion rupees.
* Petroleum subsidy for 2010/11 seen at 31.08 billion rupees
* Fertiliser subsidy for 2010/11 seen at 499.8 billion rupees
* To provide government subsidy in cash instead of bonds for fertilisers, oil
* To provide 2 pct loan subsidy to farmers
STAKE SALES AND RADIO AIRWAVES AUCTION
* Estimates disinvestment proceeds of 400 bln rupees in 2010/11.
* Estimates 350 billion rupees in 2010/11 from 3G wireless radio spectrum auction.
CREDIT TO SECTORS
* 3.7 trillion rupees farm credit target for FY11.
* External commercial borrowing will be available for food storage industries
* India Infrastructure Finance Company Limited to lend 200 billion rupees by March 2011.
MUKHERJEE ON THE STATE OF ECONOMY
* Final FY10 GDP figure maybe higher than estimate of 7.2 pct
* Need to review public spending
* Government to simplify FDI policy
* Roadmap within six months to cut public debt
* To set up finance sector legislative reform commission
* "The Indian economy now, is in a far better position than it was a year ago."
* "The first challenge before us is to quickly revert to the high GDP growth path of 9 percent."
* "After successfully managing the effects of the global slowdown, we need to strengthen the domestic macroeconomic environment to help consolidate the rebound in growth."
* "We need to reduce the stimulus, important to the economy, and move towards the preferred path of fiscal consolidation."
* "We need to make growth more broad based and ensure the supply demand imbalances are better managed."
(For full coverage of India Budget 2010, please click http://in.reuters.com/news/globalcoverage/india-budget-2010)
(Compiled by Krittivas Mukherjee and Matthias Williams)
(For more news on Reuters Money visit http://www.reutersmoney.in)