For the Indian economy, this was a year of recovery interrupted.

the challenges were many, but there was a sense that the world economy was on the mendThe global crisis has affected us. Indias Gross Domestic Product (GDP) is estimated to grow by 6.9 per cent in 2011-12, after having grown at the rate of 8.4 per cent in each of the two preceding years. Twelfth Five Year Plan which aims at faster, sustainable and more inclusive growth. Focus on domestic demand driven growth recovery; Create conditions for rapid revival of high growth in private investment; Address supply bottlenecks in agriculture, energy and transport sectors, particularly in coal, power, national highways, railways and civil aviation; Intervene decisively to address the problem of malnutrition especially in the 200 high-burden districts; and Expedite coordinated implementation of decisions being taken to improve delivery systems, governance, and transparency; and address the problem of black money and corruption in public life. The current account deficit as a proportion of GDP for 2011-12 is likely to be around 3.6 per cent. This, along with reduced net capital inflows in the second and third quarters, put pressure on the exchange rate. proposals on Direct Taxes are estimated to result in a net revenue loss of `4500 crore for the year. Proposals relating to Indirect Taxes are estimated to result in a net revenue gain of `45,940 crore, leaving a net gain of `41,440 crore in the Budget. proposals relating to Customs and Central excise are estimated to result in a net revenue gain of ` 27,280 crore for a full year. For SMEs, the turnover limit for compulsory tax audit of accounts as well as for presumptive taxation is proposed to be raised from `60 lakh to ` 1 crore. Investment linked deduction of capital expenditure incurred in the following businesses is proposed to be provided at the enhanced rate of 150 per cent, as against the current rate of 100 per cent. The Right to Education (RTE) Act is being implemented with effect from April 1, 2010 This is an increase of 21.7 per cent over 2011-12. In the Twelfth Plan, 6,000 schools have been proposed to be set up at block level as model schools to benchmark excellence. Of these, 2500 will be set up under Public Private Partnership 79. Farmers need timely access to affordable credit. I propose to raise the target for agricultural credit in 2012-13 to `5,75,000 crore. This represents an increase of ` 1,00,000 crore over the target for the current year.

71. In order to enhance availability of equity to MSME sector, I propose to set up a ` 5,000 crore India Opportunities Venture Fund with SIDBI.