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Subject: Agriculture

  • Agriculture Infrastructure Fund (AIF) Scheme

    Why in the News?

    Punjab has fully utilized ₹4,713 crore allocated under the Agriculture Infrastructure Fund (AIF), making it the top-ranked state in India for implementing this scheme.

    As a result, Punjab has been granted an additional ₹2,337 crore to further expand its agricultural infrastructure projects.

    What is the Agriculture Infrastructure Fund (AIF) Scheme?

    • The AIF is a ₹1 lakh crore financing facility launched by the Government of India in July 2020 to support post-harvest agricultural infrastructure and community farming assets.
    • AIF provides medium- to long-term debt financing at subsidized interest rates, along with credit guarantee support, to eligible beneficiaries.

    Key Features of the AIF Scheme:

    • Total Corpus & Disbursement: ₹1 lakh crore, disbursed over 10 years (2020-21 to 2029-30).
    • Interest Subvention & Loan Benefits:
      • 3% interest subvention on loans up to ₹2 crore.
      • Credit guarantee support through CGTMSE and NABSanrakshan.
      • Maximum interest rate capped at 9% for a 7-year tenure.
    • Eligible Projects:
      • Post-harvest infrastructure: Warehouses, cold storage, silos, drying yards, sorting, and packaging units.
      • Processing & Value Addition: Food processing plants, oil mills, flour mills, kinnow and cashew processing.
      • Technology-driven solutions: Drone projects, hi-tech farm equipment rental centers.
      • Renewable energy: Solar-powered irrigation and cold storage units.
    • Integration with Other Government Schemes: Can be combined with State & Central subsidies for maximum benefit.
    • Implementation & Monitoring:
      • Managed via online MIS platform for real-time tracking.
      • National, State & District-level monitoring committees ensure effective execution.

    Eligible Beneficiaries Under AIF:

    • Individual Farmers:  Seeking on-farm storage or processing units.
    • Farmer Producer Organizations (FPOs):  For community-based infrastructure.
    • Self-Help Groups (SHGs) & Joint Liability Groups (JLGs): Engaged in agricultural activities.
    • Cooperative Societies & Primary Agricultural Credit Societies (PACS): For collective farming and value addition.
    • Startups & Agri-Tech Companies: Developing post-harvest management solutions.
    • State Agencies & PPP Projects: Government-backed rural infrastructure projects.
    • Entrepreneurs & Agripreneurs: Working in food processing and value addition.

    PYQ:

    [2017] Which of the following is/are the advantage/advantages of implementing the ‘National Agriculture Market’ scheme?

    1. It is a pan-India electronic trading portal for agricultural commodities.

    2. It provides the farmers access to nationwide market, with prices commensurate with the quality of their produce.

    Select the correct answer using the codes given below:

    (a) 1 only

    (b) 2 only

    (c) Both 1 and 2

    (d) Neither 1 nor 2

     

  • [pib] Livestock Health and Disease Control Scheme (LHDCS)

    Why in the News?

    The Union Cabinet has approved the revision of the Livestock Health and Disease Control Programme (LHDCP).

    The revised scheme, with a total outlay of ₹3,880 crore for 2024-25 and 2025-26, includes a new component called “Pashu Aushadhi” to improve the availability of generic veterinary medicines.

    What is LHDC Scheme?

    About
    • Government of India initiative launched in 2022.
    • Aims to improve animal health, control livestock diseases, and enhance veterinary services.
    • Revised with ₹3,880 crore outlay for 2024-25 and 2025-26.
    • Includes “Pashu Aushadhi” for affordable veterinary medicines.
    Features of LHDC
    • Disease Control & Vaccination: Targets FMD, Brucellosis, PPR, CSF, Lumpy Skin Disease. Mass vaccination and eradication.
    • Veterinary Healthcare: Expansion of veterinary hospitals and Mobile Veterinary Units (MVUs).
    • Disease Surveillance: Strengthened disease reporting and monitoring systems.
    • “Pashu Aushadhi”: Affordable, high-quality veterinary medicines with ₹75 crore allocation.

    Sub-Components:

    1. Critical Animal Disease Control Programme (CADCP): Focuses on eradicating high-risk livestock diseases.
    2. Establishment & Strengthening of Veterinary Hospitals and Dispensaries (ESVHD-MVU): Expands mobile veterinary units (MVUs) for better access to veterinary care.
    3. Assistance to States for Control of Animal Diseases (ASCAD): Provides financial support to states for disease prevention and control.
    • Economic Benefits: Prevents livestock mortality and improves milk, meat, and wool production.
    Implementation & Funding Strategy: Coordinated efforts by Central and State Governments; monitoring and assessment mechanisms.

    Funding: ₹3,880 crore for 2024-25 and 2025-26:

    • 100% central funding for CADCP and non-recurring ESVHD components.
    • 60:40 share for other components and ASCAD.
    • 90:10 funding for North Eastern and Himalayan States.
    • 100% Central funding for Union Territories.

     

    PYQ:

    [2015] Livestock rearing has a big potential for providing non-farm employment and income in rural areas. Discuss suggesting suitable measures to promote this sector in India.

    [2012] Which of the following is the chief characteristic of ‘mixed farming’?
    (a) Cultivation of both cash crops and food crops
    (b) Cultivation of two or more crops in the same field
    (c) Rearing of animals and cultivation of crops together
    (d) None of the above

     

  • [pib] Animal Welfare Board of India (AWBI)

    Why in the News?

    The Animal Welfare Board of India (AWBI) recently organized Prani Mitra and Jeev Daya Award Ceremony in New Delhi.

    • Prani Mitra Awards were established in 1966 to honor individuals excelling in animal welfare and protection.
      • Since 1966, 54 individuals have received this award for their remarkable service.
    • Jeev Daya Awards, instituted in 2001, acknowledge efforts in animal rescue, rehabilitation, and welfare education.

    About the Animal Welfare Board of India (AWBI)

    • The AWBI is a statutory advisory body under the Ministry of Fisheries, Animal Husbandry, and Dairying.
    • It was established in 1962 under Section 4 of the Prevention of Cruelty to Animals (PCA) Act, 1960, with Rukmini Devi Arundale as its first chairperson.
    • Headquarters: Ballabhgarh, Haryana (previously in Chennai).
    • Composition: 28 members serving for a period of three years.
    • Jurisdiction: Initially under the Ministry of Food and Agriculture, later moved to the Ministry of Environment, Forests, and Climate Change, and is now managed by the Ministry of Fisheries, Animal Husbandry, and Dairying.
    • Functions of AWBI:
      • Recognition of Animal Welfare Organizations (AWOs): Grants recognition to organizations meeting the Board’s guidelines.
      • Financial Assistance: Provides funds for shelters, cattle rescue, ambulances, and birth control programs.
      • Policy and Legal Advocacy: Proposes changes in animal welfare laws and offers guidance to law enforcement agencies.
      • Awareness and Education: Conducts educational programs, workshops, and publications on animal welfare.
      • Monitoring Animals in Research & Entertainment: Instrumental in setting up CPCSEA (Committee for the Purpose of Control and Supervision of Experiments on Animals) and implementing Performing Animals Rules (2001, amended 2005).
      • Activism & Legal Rights for Animals: Successfully fought in 2014 (AWBI vs. Nagaraja case) for recognizing fundamental rights of animals under Article 21 of the Indian Constitution.

    PYQ:

    [2014] Consider the following statements:

    1. Animal Welfare Board of India is established under the Environment (Protection) Act, 1986.

    2. National Tiger Conservation Authority is a statutory body.

    3. National Ganga River Basin Authority is chaired by the Prime Minister.

    Which of the statements given above is/ are correct?

    (a) 1 only

    (b) 2 and 3 only

    (c) 2 only

    (d) 1, 2 and 3

     

  • [pib] 10 Years of Soil Health Cards Scheme

    Why in the News?

    It has been 10 years since the Soil Health Card Scheme was introduced by Prime Minister Shri Narendra Modi on 19th February 2015 at Suratgarh, Rajasthan.

    What is the Soil Health Card Scheme?

    • The SHC Scheme was launched to analyze soil quality and provide personalized recommendations to farmers for nutrient management and soil fertility improvement.
    • The scheme is implemented by the Department of Agriculture & Farmers’ Welfare.
    • It has been integrated into Rashtriya Krishi Vikas Yojana (RKVY) since 2022-23 under the Soil Health & Fertility component.

    Key Features of the Soil Health Card Scheme:

    • SHC evaluates 12 parameters, including:
      • Macronutrients: N, P, K, S.
      • Micronutrients: Zn, Fe, Cu, Mn, B.
      • Physical & Chemical Properties: pH, EC, OC.
    • Samples collected twice a year (post-Rabi and Kharif).
    • Grid-based sampling: 2.5 ha in irrigated areas, 10 ha in rain-fed areas.
    • SHC Portal & Mobile App enable online tracking, GPS-tagged samples, and QR-coded test results.
    • Village-Level Soil Testing Labs (VLSTLs): 665 VLSTLs established across 17 states for local soil testing.
    • School Soil Health Programme: Implemented in 1020 schools, with 1000 soil testing labs and 125,972 students enrolled.

    Successes and Limitations of SHC:

    Success:

    • Crop Yields & Productivity Increased (8-10%) through optimized fertilizer application.
    • Farmers saved up to ₹5,000 per hectare by using balanced fertilizers.
    • 665 Village-Level Soil Testing Labs (VLSTLs) established, improving soil testing accessibility.
    • Technological integration (SHC Portal & Mobile App) ensures real-time monitoring.
    • Encouraged sustainable farming practices, reducing soil degradation and nutrient depletion.

    Limitations and Challenges:

    • Many farmers are unaware of SHC benefits and continue traditional farming methods.
    • Reports often reach farmers too late for implementation.
    • Limited soil testing labs and trained staff in remote areas.
    • Farmers need training to interpret SHC reports and apply recommendations.

     

    PYQ:

    [2017] Consider the following statements:

    The nation-wide ‘Soil Health Card Scheme’ aims at-

    1. expanding the cultivable area under irrigation.

    2. enabling the banks to assess the quantum of loans to be granted to farmers on the basis of soil quality.

    3. checking the overuse of fertilizers in farmlands.

    Which of the statements given above is/are correct?

    (a) 1 and 2 only

    (b) 3 only

    (c) 2 arid 3 only

    (d) 1, 2 and 3

     

  • Prime Minister Dhan-Dhaanya Krishi Yojana (PMDKY)

    Why in the News?

    Finance Minister while presenting the Union Budget announced the launch of the Prime Minister Dhan-Dhaanya Krishi Yojana (PMDKY).

    About the Prime Minister Dhan-Dhaanya Krishi Yojana (PMDKY):

    • The PMDKY aims to enhance agricultural productivity, crop diversification, storage infrastructure, irrigation, and credit access.
    • Key Features
      • Identifies 100 districts with low productivity, moderate cropping intensity, and below-average credit access.
      • Develops panchayat/block-level storage and expands irrigation coverage.
      • Ensures affordable short-term & long-term loans for farmers.
      • Uses data-driven governance & district rankings.
    • Structural Mandate:
      • Implementation: Jointly executed by Central & State Governments.
      • Funding: Drawn from existing schemes under the Ministry of Agriculture & Farmers’ Welfare and the Ministry of Fisheries, Animal Husbandry & Dairying.
      • Evaluation: Assessed based on yield improvements, credit flow, and irrigation expansion.

    PYQ:

    [2015] ‘Pradhan Mantri Jan-Dhan Yojana’ has been launched for:

    (a) providing housing loan to poor people at cheaper interest rates

    (b) promoting women’s Self-Help Groups in backward areas

    (c) promoting financial inclusion in the country

    (d) providing financial help to the marginalized communities

     

  • India introduces new HS code for GI-recognised Rice Varieties

    Why in the News?

    India has introduced a Harmonised System (HS) code for geographical indication (GI) recognised rice exports under an amendment to the Customs Tariff Act, 1975 announced by Finance Minister Nirmala Sitharaman in the 2025-26 Union Budget on February 1, 2025.

    About Harmonised System (HS) Code

    • HS Code is an internationally recognized classification system for traded goods, developed by the World Customs Organization (WCO).
    • It is used to standardize the identification of products in global trade, ensuring uniformity in customs procedures, tariffs, and trade policies.
    • The HS Code is a six-digit numerical code, categorized as follows:
      • First two digits: Represent the chapter of goods (e.g., “10” for cereals).
      • Next two digits: Indicate the heading (e.g., “06” for rice).
      • Last two digits: Define the subheading (e.g., “30” for semi-milled or wholly milled rice).
    • Countries can extend the HS Code beyond six digits to accommodate specific national requirements (e.g., India uses an 8-digit system).

    Impact of HS Code on GI Rice Exports:

    Trade experts believe that the introduction of an HS code will:

    • Facilitate GI rice exports, even when general rice exports are restricted.
    • Ensure better market access for specialty rice varieties in global markets.
    • Differentiate GI-tagged rice from conventional rice exports to prevent mislabelling.

    About the World Customs Organization (WCO):

    • The WCO is an intergovernmental organization responsible for overseeing and standardizing global customs regulations.
    • It was established in 1952 as the Customs Co-operation Council (CCC) and later renamed the WCO in 1994.
    • Key Functions of the WCO:
      • Develops and maintains the HS Code, used by over 200 countries and territories.
      • Regulates customs procedures, trade facilitation, and enforcement of trade laws.
      • Supports the fight against illegal trade, smuggling, and counterfeit goods.
    • The organization works closely with the World Trade Organization (WTO) and United Nations (UN) to promote global trade efficiency.
    • India is a member of the WCO and follows its HS classification system for trade regulations.
    • The WCO’s Revised Kyoto Convention (RKC) serves as a blueprint for India’s customs modernization efforts.

    PYQ:

    [2017] Consider the following statements:

    1. India has ratified the Trade Facilitation Agreement (TFA) of WTO.
    2. TFA is a part of WTO’s Bali Ministerial Package of 2013.
    3. TFA came into force in January 2016.

    Which of the statements given above is/are correct?

    (a) 1 and 2 only

    (b) 1 and 3 only

    (c) 2 and 3 only

    (d) 1, 2 and 3

     

  • 10 New Agricultural Commodities added to the E-NAM platform

    Why in the News?

    The Agriculture Ministry has allowed trading of 10 additional commodities on the electronic-National Agriculture Market (E-NAM), taking the total number of tradable items on the platform to 231.

    About the 10 new commodities:

    The newly added commodities include dried Tulsi leaves, Besant (Chickpea flour), wheat flour, chana sattu (Roasted Chickpea Flour), water Chestnut flour, asafoetida, dried fenugreek leaves, baby corn, dragon fruit and water Chestnut, the ministry said in a statement.

    Current Status of E-NAM (As of December 2024):

    • 1,410 mandis connected across 22 states and Union Territories.
    • Inter-state trade worth ₹5,022 crore has been recorded.
    • ₹6,831 crore e-payments made across 948 mandis.
    • Trade in 1.44 lakh metric tonnes of grains and 3.4 crore units of perishable commodities such as bamboo, betel leaves, coconuts, and lemons.

    What is E-NAM?

    • E-NAM is a pan-India electronic trading platform launched by the Government of India on April 14, 2016.
    • It integrates existing Agriculture Produce Market Committees (APMCs) to create a unified national market for agricultural commodities.
    • The Small Farmers Agribusiness Consortium (SFAC), under the Ministry of Agriculture and Farmers’ Welfare, is the implementing agency for e-NAM.
    • The platform enables farmers, traders, and buyers to trade agricultural commodities online, across states, ensuring better price discovery and transparency.

    Objectives of e-NAM

    • Improve market efficiency by integrating APMC mandis into a unified online platform.
    • Enhance price discovery through a competitive bidding process, ensuring fair market prices for farmers.
    • Promote inter-state trade by removing barriers and unifying agricultural markets across India.
    • Reduce dependency on middlemen, ensuring direct benefits to farmers.
    • Facilitate e-payments to ensure quick and transparent financial transactions for farmers.

    What is E-NAM 2.0?

    • E-NAM 2.0 is an upgraded version of the Electronic National Agriculture Market (e-NAM), launched to improve inter-state agricultural trade, logistics, and digital accessibility for farmers.
    • It integrates logistics service providers, allowing farmers to sell produce directly from their farms using a farm-gate module.
    • Key features include real-time price discovery, Aadhaar-based e-KYC, warehouse-based trading, and direct online payments.
    • The platform enhances transparency, efficiency, and access to a nationwide market, reducing dependence on middlemen.
    • It aims to boost farmer incomes, minimize wastage, and create a unified digital agricultural ecosystem across India.

     

    PYQ:

    [2017] What is/are the advantage/advantages of implementing the ‘National Agriculture Market’ scheme?

    1. It is a pan-India electronic trading portal for agricultural commodities.
    2. It provides the farmers access to nationwide market, with prices commensurate with the quality of their produce.

    Select the correct answer using the code given below:

    (a) 1 only

    (b) 2 only

    (c) Both 1 and 2

    (d) Neither 1 nor 2

  • New Makhana Board and Food Institute to be opened in Bihar

    Why in the News?

    The Union Budget 2025 has announced the establishment of a Makhana Board in Bihar to improve production, processing, value addition, and marketing of makhana (fox nut).

    What is Makhana? 

    makhana

    • Makhana, also known as fox nut, is the edible seed of the prickly water lily (Euryale ferox), grown in freshwater ponds across India and South Asia.
    • Bihar produces 90% of India’s makhana, with major hubs in Darbhanga, Madhubani, Purnea, and Katihar.
    • It is nutrient-rich, low-fat, and considered a superfood, gaining popularity in domestic and international markets.
    • Traditionally used in religious rituals, makhana is now promoted for its health benefits and commercial potential.

    About the Makhana Board 

    • The Makhana Board will train farmers, ensure market access, regulate pricing, and promote exports.
    • The Food Processing Institute will focus on value addition, quality control, research, and global trade facilitation.
    • Aims & Objectives:
      • Increase production by promoting high-yield varieties like Swarna Vaidehi and Sabour Makhana-1.
      • Improve processing infrastructure to reduce wastage and enhance product quality.
      • Support exports through cargo infrastructure, trade partnerships, and branding initiatives.
    • Structural Mandate:
      • Governing body led by government officials, farmer representatives, and industry experts.
      • Regional centers in key makhana-producing districts to assist farmers.
      • Partnerships with ICAR, NABARD, and agricultural universities for research and financial support.
      • ₹100 crore initial funding for infrastructure, training, and market expansion.
    • Powers & Functions: Regulate production, enforce quality standards, provide subsidies, promote research, develop export infrastructure, and launch branding campaigns.

  • Agriculture is fiscally neglected in the Budget

    Why in the News?

    A budget reflects how a government addresses the challenges in the economy. The Economic Survey 2024-25 tried to present a positive view of Indian agriculture’s situation.

    What are the specific budget allocations for agriculture?

    • Total Allocation: The Union Budget for 2025-26 has allocated ₹1.71 lakh crore for agriculture and allied activities, an increase from ₹1.51 lakh crore in the previous fiscal year.
    • Prime Minister Dhan-Dhaanya Krishi Yojana: This new initiative aims to enhance agricultural productivity in 100 districts with low productivity, targeting 1.7 crore farmers through sustainable practices and improved irrigation facilities.
    • Kisan Credit Card (KCC) Expansion: The loan limit under the Modified Interest Subvention Scheme for KCCs will be raised from ₹3 lakh to ₹5 lakh, facilitating better access to credit for farmers.
    • PM-Kisan Scheme: The allocation for the PM-Kisan scheme remains at ₹63,500 crore, consistent with the revised estimates from the previous year, aimed at providing direct income support to farmers.
      • The PM-Kisan scheme provides annual income support of ₹6,000 to eligible farmers, distributed in three instalments, which is crucial for enhancing their financial stability.
    • Pradhan Mantri Fasal Bima Yojana: This crop insurance scheme has seen a significant reduction in funding, with allocations decreasing from ₹14,600 crore in previous estimates to ₹12,242.27 crore for 2025-26.
    • Makhana Board: A new Makhana Board in Bihar has been allocated ₹100 crore, while other missions include ₹100 crore for hybrid seeds and ₹500 crore for cotton technology.
    • National Mission on Natural Farming: The mission received a significant allocation of ₹516 crore, emphasizing sustainable agricultural practices and increasing the adoption of natural farming methods.
    • Support for Pulses and Oilseeds: The government is launching a six-year mission focused on self-sufficiency in pulses and edible oils, with procurement support from agencies like NAFED and NCCF, aiming to enhance domestic production.

    What measures are being proposed to support farmers and enhance agricultural productivity?

    • Prime Minister Dhan-Dhaanya Krishi Yojana: This new scheme aims to target 100 districts with low productivity, focusing on improving crop intensity and credit parameters. However, concerns exist regarding its centralized governance approach.
    • Investment in Sustainable Practices: The government emphasizes sustainable agriculture practices through initiatives like the Pradhan Mantri Krishi Sinchayi Yojana (PMKSY) aimed at enhancing irrigation efficiency.
    • Post-Harvest Infrastructure Investment: The Agriculture Infrastructure Fund (AIF) is highlighted as a mechanism to improve post-harvest infrastructure, although specific allocations remain unclear.

    Does the budget reflect the broader economic context and challenges?

    • Addressing Farmer Distress: The budget reflects the urgent need to address farmer distress by extending support measures such as lower loan interest rates and increased PM-KISAN assistance.
    • Investment in Sustainable Practices: The budget emphasizes the importance of sustainable agriculture, with recommendations for increased investment in climate-resilient seeds and agricultural research.
    • Post-Harvest Management Improvements: Recognizing significant post-harvest losses, the budget allocates funds to improve cold storage and processing facilities. This investment is crucial for reducing waste and enhancing the value chain, which is vital for improving farmers’ profitability and food security.
    • Focus on Technological Adoption: There is a push for greater adoption of agri-tech solutions to tackle issues like low mechanization and inadequate access to quality seeds. This reflects an understanding that modernizing agriculture is essential for boosting productivity and competitiveness in a challenging economic environment.
    • Long-Term Structural Reforms: The budget indicates a need for transformational changes rather than incremental adjustments, advocating for a shift from subsidy-heavy approaches to investment-driven growth.
      • This strategic direction aims to make Indian agriculture more resilient and globally competitive by 2047.

    Way forward: 

    • Increased Investment in Agricultural R&D and Infrastructure – The government should prioritize higher allocations for agricultural research, modern irrigation techniques, and post-harvest infrastructure to enhance productivity and climate resilience.
    • Targeted Financial Support and Market Reforms – Strengthening direct income support, improving crop insurance schemes, and ensuring better price realization through MSP reforms and enhanced market linkages will help stabilize farmers’ incomes and boost rural demand.

    Mains PYQ:

    Q Explain various types of revolutions, took place in Agriculture after Independence in India. How these revolutions have helped in poverty alleviation and food security in India? (UPSC IAS/2017)

  • A pragmatic picture: Economic Survey

    Why in the News?

    The Budget session of Parliament has started at a time when India’s economic situation is shifting. After four years of strong growth following the pandemic, the economy is slowing down.

    What are the key projections for India’s economic growth in FY 2024-25?

    • Projected GDP Growth: The National Statistical Office (NSO) has estimated that India’s GDP will grow by 6.4% in FY 2024-25. This figure marks a decline from the 8.2% growth recorded in FY 2023-24 and is lower than earlier forecasts which ranged from 6.5% to 7%.
    • Sectoral Performance: The slowdown is attributed to weaker performance in sectors such as manufacturing and services. The first half of FY 2024-25 is expected to see a growth rate of around 6%, necessitating a stronger performance of 6.8% in the second half to meet the annual target.
    • Comparative Estimates: While the NSO’s estimate stands at 6.4%, other organizations like the International Monetary Fund (IMF) have projected a slightly higher growth rate of 7%, reflecting differing outlooks on economic recovery and consumer demand.

    How does the Economic Survey address challenges such as inflation and global uncertainties?

    • Food Inflation Concerns: Despite the overall decline in inflation, food inflation remains a challenge, rising from 7.5% in FY24 to 8.4% in the same period due to supply chain disruptions and adverse weather conditions. 
      • The survey emphasizes the need for improved agricultural practices and climate-resilient crops to manage these risks effectively.
    • Inflation Trends: The survey reports a reduction in retail inflation from 5.4% in FY24 to 4.9% during April-December 2024, indicating a positive trend towards achieving the RBI’s target of around 4% by FY26, contingent on stable global commodity prices and favorable domestic agricultural output.
    • Global Economic Uncertainties: The survey highlights that ongoing geopolitical tensions and global trade risks pose significant challenges to inflation management, necessitating careful policy interventions to mitigate potential impacts on the domestic economy.
    • Policy Recommendations: To address these challenges, the Economic Survey advocates for strategic policy measures, including enhancing supply chain resilience, improving data collection for better price monitoring, and fostering an environment conducive to investment and growth.

    What structural reforms are recommended to enhance long-term economic stability?

    • Deregulation and Ease of Doing Business: The Economic Survey advocates for significant deregulation to foster a more conducive business environment. It stresses that the government should “get out of the way” of businesses by minimizing micro-management and enhancing accountability among regulators.
    • Empowering Small Firms: Recommendations include empowering small enterprises, enhancing economic freedom, and ensuring a level playing field across sectors to stimulate growth and investment.
    • Focus on Domestic Demand: The budget is expected to prioritize boosting domestic demand through increased government spending, particularly in infrastructure and capital projects, as a countermeasure against global uncertainties and inflationary pressures.

    Way forward: 

    • Strengthen Domestic Resilience – Focus on boosting domestic consumption and investment through targeted fiscal measures, infrastructure expansion, and support for MSMEs to counter global uncertainties.
    • Enhance Inflation Management – Implement climate-resilient agricultural policies, improve supply chain efficiency, and strengthen monetary-fiscal coordination to maintain stable inflation and ensure sustainable growth.

    Mains PYQ:

    Q Is inclusive growth possible under market economy? State the significance of financial inclusion in achieving economic growth in India.(UPSC IAS/2022)