Strengthening India - Financial Market,Monetising Gold and Investments - Budget 2015

[CS Swati Dodhi]

Financial Market

1. Public Debt Management Agency (PDMA) bringing both external and domestic borrowings under one roof to be set up this year.
2. Enabling legislation, amending the Government Securities Act and the RBI Act included in the Finance Bill, 2015.
3. Forward Markets commission to be merged with SEBI.
4. Section-6 of FEMA to be amended through Finance Bill to provide control on capital flows as equity will be exercised by Government in consultation with RBI.
5. Proposal to create a Task Force to establish sector-neutral financial redressal agency that will address grievance against all financial service providers.
6. India Financial Code to be introduced soon in Parliament for consideration.
7. Vision of putting in place a direct tax regime, which is internationally competitive on rates, without exemptions.
8. Government to bring enabling legislation to allow employee to opt for EPF or New Pension Scheme. For employee’s below a certain threshold of monthly income, contribution to EPF to be option, without affecting employees’ contribution.

Monetising Gold

1. Gold monetisation scheme to allow the depositors of gold to earn interest in their metal accounts and the jewellers to obtain loans in their metal account to be introduced.
2. Sovereign Gold Bond, as an alternative to purchasing metal gold scheme to be developed.
3. Commence work on developing an Indian gold coin, which will carry the Ashok Chakra on its face.

Investment

1. Foreign investments in Alternate Investment Funds to be allowed.
2. Distinction between different types of foreign investments, especially between foreign portfolio investments and foreign direct investments to be done away with. Replacement with composite caps.
3. A project development company to facilitate setting up manufacturing hubs in CMLV countries, namely, Cambodia, Myanmar, Laos and Vietnam.