Finance Minister Announces Rs 1.7 Lakh Crore Relief Package For COVID-19: Finance Minister Nirmala Sitharaman addressed the Press and made some major announcements to battle COVID-19 and resolve the economic stress on 26th March 2020, Thursday.
The announcements made by her during the press conference were especially dedicated to the urban-rural poor and the daily-waged labourers. In this article we are going to provide you complete Information about the Rs 1.7 Lakh Crore Relief Package For COVID-19. We have already shared the Information about Lockdown Due To COVID-19 Important Instructions & Essential Services.
Finance Minister Announces Rs 1.7 Lakh Crore Relief Package: Overview
|Article Name||Finance Minister Announces Rs 1.7 Lakh Crore Relief Package For COVID-19|
|Name Of The Scheme||Pradhan Mantri Garib Kalyan Yojana|
|Total Relief Package Amount||Rs 1.7 Lakh Crore|
|Announced By||Finance Minister Nirmala Sitharaman|
|COVID-19 Relief Package Date 2020||26th March 2020|
|People Covered||80 Crore|
|India Lockdown Date 2020||25th March 14th April 2020|
|Source||Press Information Bureau|
The Union Finance & Corporate Affairs Minister Smt. Niramla Sitharaman today announced Rs 1.70 Lakh Crore relief package under Pradhan Mantri Garib Kalyan Yojana for the poor to help them fight the battle against Corona Virus.
While addressing the press conference today, Smt. Sitharaman said “Today’s measures are intended at reaching out to the poorest of the poor, with food and money in hands, so that they do not face difficulties in buying essential supplies and meeting essential needs.”
Pradhan Mantri Garib Kalyan Yojana
I. Insurance scheme for health workers fighting COVID-19 in Government Hospitals and Health Care Centres
- Safai karamcharis, ward-boys, nurses, ASHA workers, paramedics, technicians, doctors and specialists and other health workers would be covered by a Special insurance Scheme.
- Any health professional, who while treating Covid-19 patients, meet with some accident, then he/she would be compensated with an amount of Rs 50 lakh under the scheme.
- All government health centres, wellness centres and hospitals of Centre as well as States would be covered under this scheme approximately 22 lakh health workers would be provided insurance cover to fight this pandemic.
II. PM Garib Kalyan Ann (अन्न) Yojana
- Government of India would not allow anybody, especially any poor family, to suffer on account of non-availability of foodgrains due to disruption in the next three months.
- 80 crore individuals, i.e, roughly two-thirds of India’s population would be covered under this scheme.
- Each one of them would be provided double of their current entitlement over next three months.
- This additionality would be free of cost.
- To ensure adequate availability of protein to all the above mentioned individuals, 1 kg per family, would be provided pulses according to regional preferences for next three months.
- These pulses would be provided free of cost by the Government of India.
III. Under Pradhan Mantri Garib Kalyan Yojana,
Benefit to farmers:
- The first instalment of Rs 2,000 due in 2020-21 will be front-loaded and paid in April 2020 itself under the PM KISAN Yojana.
- It would cover 8.7 crore farmers.
IV. Cash transfers Under PM Garib Kalyan Yojana:
Help to Poor:
- A total of 20.40 crores PMJDY women account-holders would be given an ex-gratia of Rs 500 per month for next three months.
- Under PM Garib Kalyan Yojana, gas cylinders, free of cost, would be provided to 8 crore poor families for the next three months.
Help to low wage earners in organised sectors:
- Wage-earners below Rs 15,000 per month in businesses having less than 100 workers are at risk of losing their employment.
- Under this package, government proposes to pay 24 percent of their monthly wages into their PF accounts for next three months.
- This would prevent disruption in their employment.
Support for senior citizens (above 60 years), widows and Divyang:
- There are around 3 crore aged widows and people in Divyang category who are vulnerable due to economic disruption caused by COVID-19.
- Government will give them Rs 1,000 to tide over difficulties during next three months.
- Under PM Garib Kalyan Yojana, MNREGA wages would be increased by Rs 20 with effect from 1 April, 2020. Wage increase under MNREGA will provide an additional Rs 2,000 benefit annually to a worker.
- This will benefit approximately 13.62 crore families.
V. Self-Help groups:
- Women organised through 63 lakhs Self Help Groups (SHGs) support 6.85 crore households.
a. Limit of collateral free lending would be increased from Rs 10 to Rs 20 lakhs.
VI. Other components of PM Garib Kalyan package
- Employees’ Provident Fund Regulations will be amended to include Pandemic as the reason to allow non-refundable advance of 75 percent of the amount or three months of the wages, whichever is lower, from their accounts.
- Families of four crore workers registered under EPF can take benefit of this window.
Building and Other Construction Workers Welfare Fund:
- Welfare Fund for Building and Other Constructions Workers has been created under a Central Government Act.
- There are around 3.5 Crore registered workers in the Fund.
- State Governments will be given directions to utilise this fund to provide assistance and support to these workers to protect them against economic disruptions.
District Mineral Fund
- The State Government will be asked to utilise the funds available under District Mineral Fund (DMF) for supplementing and augmenting facilities of medical testing, screening and other requirements in connection with preventing the spread of CVID-19 pandemic as well as treating the patients affected with this pandemic.
Conclusion: It is expected that another relief package for the industry will come up soon. The Confederation of Indian Industry (CII) lobby group, had sought a stimulus of about 1% of the GDP or Rs 2 lakh crore, has sought a three-month moratorium on all loans and said all repayment obligations should be suspended for this period.
The measures come at a time when the US Senate has passed the $2 trillion aid package for the US economy that has been hit hard by the coronavirus pandemic.