The Union Finance & External Affairs Minister, Shri Pranab Mukherjee leaving North Block for Parliament House to present the Interim General Budget 2009-10, in New Delhi on Feb 16, 2009.

Mr. Pranab Mukherjee, Minister for External Affairs who is holding charge of Finance portfolio presented, on 16 February the interim budget for the year 2009-2010. Minister, in his speech, highlighted the major achievements of the government in the economic arena during the period 2004-2009, the main highlights of which are as follows:

• GDP increased by 7.5%, 9.5%, 9.7% and 9% during the years from 2004-05 to 2007-08 showing a growth of over 9% for three consecutive years for the first time
• Domestic investment rate as a proportion of GDP increased from 27.7% in 2003-04 to 39% in 2007-08.
• Annual growth rate of agriculture rose to 3.7% during 2003-04 to 2007-08. The food grain production touched an all time high of 230 million tones in 2007-08
• The interim budget did not have any major tax proposals and was in the form of a vote on account as the general elections .
• In his budget speech, Minister said  that the revenue deficit for 2008-2009 would be 4.4% of GDP as against the budgeted figure of 1 % of GDP and that the fiscal deficit would increase from the budgeted figure of 2.5% of GDP to 6% of GDP.

Mr. Laloo Prasad Yadav, Hon’ble Minister for Railways presented interim railway budget on 13.2.09. As the elections in LokSabhaare expected to be held before mid May 09, budget for the full financial year could not be presented. The highlights of the interim budget are as follows :

• Passenger fares of ordinary passenger trains reduced by one rupee for fares costing upto Rs. 50 per passenger for journey above 10 kms.
• Second class and sleeper class fares of all mail, express, passenger trains, reduced by 2% for tickets costing Rs. 50 and more per passenger.
• Fares of AC First Class, AC 2 Tier, AC 3 Tier and AC Chair Car also reduced by 2%.
• 43 new train services to be started in 2009 –2010. Extension of 14 train services envisaged and frequency of 40 trains to be increased.
• New railway divisions to be set up at Bhagalpurand Thane.
• Agartala, capital of Tripuraconnected by rail line.
• First rail service in Kashmir valley commenced from Anantnag to Rajwansher. This is to be extended to Baramullaand Qazigundin the coming months.
• Production of wagons to increase from 6000to 15,000 per annum.
• Railway investment in 11th plan to be Rs. 2300 billion, three times more than investment in 10th plan.