Budget for the next fiscal needs to provide Rs 1.10 lakh crore for implementing the OROP and 7th Pay Commission award, besides a higher allocation for the farm sector, Finance Minister Arun Jaitley said today.
Addressing the Consultative Committee attached to the Finance Ministry, he also said that India has potential to grow at a much faster pace even as he exuded confidence that fiscal deficit target for current financial year will be within target.
“During the financial year 2016-17, the Central Government has to make provision for about Rs 1.10 lakh crore in order to meet the liabilities on account of implementation of 7th Pay Commission recommendations and One Rank One Pension (OROP) Scheme,” Jaitley said.
He also said that the agriculture growth in the last two years has suffered mainly due to insufficient monsoons and highest ever amount was given to the states for drought relief during the current financial year, 2015-16.
“More incentives will be given to agriculture sector for increasing agriculture production and productivity,” he said.
India, he said, continues to be one of the fastest growing economies in the world, but there is still potential to grow at a much faster pace. (AGENCIES)