Finance Minister’s Final Speech on Economic Relief
Economic times
May 20, 2020

Finance Minister, Nirmala Sitharaman on Sunday 17th May announced the fifth and the final installment of the 20 lakh crore package. Watch our latest video to learn more about it.

Finance Minister, Nirmala Sitharaman on Sunday 17th May announced the fifth and the final installment of the 20 lakh crore package. In her speech, she announced more changes in rules that would make it easy to do business. 

Let me tell you about her announcement: 

  • Mahatma Gandhi National Rural Employment Guarantee Act - MGNREGA: Additional fund of Rs 40,000 crore above the Budgetary Estimate.

  • Health: Infectious disease hospitals in all districts and public health labs will be set up at the block-level. 

  • Education: PM eVidya programme to be launched immediately. Each Classroom from 1 to 12 will have one TV channel. Special e-content for visually & hearing impaired will be created. Top 100 universities will be permitted to start online courses by 30th May 2020.

  • IBC reforms: 

Insolvency and Bankruptcy Code, 2016 (IBC) is the bankruptcy law of India. The FM has announced a few changes to this law. For the next one year, no fresh insolvency case will be initiated. If a loan is taken due to the COVID-19 and the person is unable to pay back the loan, then it will not be considered as a default. 

  • Decriminalizing Companies Act: Violations under most of the Companies Act will be decriminalized. This will ease the burden on courts and tribunals. 

  • New Public Sector Policy:  All sectors will be open to the private sector. 

  • Additional resources to States: The Centre has decided to increase the borrowing limit of states. This will give extra resources of Rs 4.28 lakh crore to states.