Aatm Nirbhar Bharat Yojana – Upgrading the Badly Hit Indian Economy

Aatm Nirbhar Bharat Yojana has played its part in the current scenario by guiding light at the tunnel’s end. Amidst the chaos of this Coronavirus Pandemic, the whole world sought a ray of hope to restore the conditions vandalized by this Pandemic. Millions of people were left jobless, many business organizations got shut down, and people’s pockets were left with no single penny to survive even with the necessities. Where people lost all hopes regarding their damaged lives and means of livelihood, the Government of India sneaked in with Aatmnirbhar Bharat Yojana to be the savior of millions of people and business sectors.

The Indian economy got severely hit, and the only way to revive it was through specific schemes and regulations. Before things could have gone from bad to worse, Aatm Nirbhar Bharat Yojana took control of the deteriorating situations in its hand to ensure a comfortable life, means of living, jingling penny in the pocket of all those who have been its victim. The central role of the scheme of Aatm Nirbhar Bharat is to convert the period of crisis into an opportunity to bring to track the falling GDP of India.

The world’s most significant shutdown of all activities in the form of lockdown imposed to put a full stop to the spread of COVID-19 has majorly impacted the domestic economic activities as it brought almost 70% of economic activity, investment, exports, and discretionary consumption to a standstill. To improve the prevailing turbulent economic scenario and boost the ailing economy, the current Government announced the Aatmnirbhar Bharat Yojana as a sigh of relief to weak business organizations, vendors, migrants, low-income families, etc.

About Aatmnirbhar Bharat Yojana

The COVID-19 Pandemic imposed a severe threat and blew to the Economy of India. To overcome the testing times, Hon’ble PM Shri Narendra Modi came up with a solution to mitigate the issue in Aatm Nirbhar Bharat Yojana that promotes the local economy. India’s Government announced an impressive and comprehensive economic package worth INR 20 lakh crore that accounts for 10% of India’s GDP, to bring the economy back to pavilion.

‘Aatm’ refers to the ‘Eternal-self’ whereas ‘Nirbhar’ means ‘to depend.’ With the ongoing mantra of ‘Aatmnirbhar Bharat Yojana,’ the Government of India conveys to free our intellect & thought process from the dependence on short-term material gain and majorly focus on the long-term advancement of our Nation by relying on its sufficiency. Self-reliance and sufficiency mean non-emotional dependency by not being dependent on our external achievements.

Our Hon’ble Finance Minister Smt Nirmala Sitharaman further announced several structural reforms across various sectors to pave the way for Aatm Nirbhar Bharat Yojana and the benefits associated in addition to that. In short, this Aatmnirbhar Bharat Yojana is no less than any surprise package to India’s citizens who were desperately waiting for some miracle to happen. 

Matching Pace with Modiji’s Vision

In his speech addressed to the whole Nation, Modi Ji presented the new favorable economic package of the Aatm Nirbhar Bharat Yojana as the resort to address most businesses and workers’ needs and enable India to become more self-reliant in all the terms. The Aatmnirbhar Bharat Yojana shall revolve around five pillars, namely: “economy, infrastructure, technology-driven system, vibrant demography and demand” and which shall further involve “land, labor, liquidity, and laws.” He also stated that India’s production of personal protective equipment (PPE) earlier in the Pandemic was quite limited and narrow. Whereas, now more than 2 Lakhs PPE kits and N-95 masks are manufactured in India daily under the supervision of Aatm Nirbhar Bharat Yojana.

Our prime minister clarified through his speech that Aatmnirbhar Bharat Yojana or self-reliant scheme does not mean living in solitude, cut off from the outside world, isolation, etc. all about autonomous and self-generation. In no way a self-reliant scheme aims to be protectionist.

The Aatm Nirbhar Bharat Yojana has clearly expressed that India shall always welcome foreign direct investment, technology, ideas with open arms and all manners as it seeks to be the significant and essential Indian component economy. Throughout the speech and his address, our Prime Minister focused on one particular statement, i.e., Going vocal for local’ for longterm gains and benefit to the Indian economy. The current situation calls us that being Aatm Nirbhar or Self-sufficient is the only way out of this shady prevailing situation. To promote the same, Government through the scheme of Aatmnirbhar Bharat, focuses on being self-reliant and has initiated the slogan of “going vocal for local.” Do not only buy the locally made goods and products but also promote the same.

Concept of Aatm Nirbhar Bharat Scheme

The focal point behind the concept of Aatmnirbhar Bharat Yojana is to make Bharat and its citizens self-reliant and focus on local manufacturers and service providers to strengthen India’s economy. The Aatm Nirbhar Bharat scheme aims to improve the standard of living of the people and, most importantly, help improve the trade deficit and the country’s exchequer balance. However, today, ‘Aatm Nirbhar Bharat Yojana’ is not only a word but has become a trending mantra for everyone. There have been significant achievements of the Aatmnirbhar Bharat Yojana as it has been successful enough to revive the lives of the distorted conditions of downtrodden, migrants, vendors, etc.

As per the government scheme of Aatm Nirbhar Bharat Yojana, the financial package will help revive every branch of the economy, beginning from demand, supply chain to manufacturing. The scheme of Aatmnirbhar Bharat shall help cottage industries, home industry, small-scale industries, and MSMEs, which provides a livelihood for crores of people and business organizations. The package is for farmers, who toil in different weather conditions, and the middle class who pay their taxes.

Objective and aim of the Aatm Nirbhar Bharat Yojana

The aims and objectives of the Aatm Nirbhar Bharat Yojana are as follows:

• To provide interim measures like liquidity infusion and direct cash transfers to the needy persons like migrants, vendors, poor people, etc.
• Aatm Nirbhar Bharat Yojana take measures for long-term reforms in the growth-oriented sectors for their development and survive cut-throat competition globally.
• The scheme of Aatm Nirbhar Bharat ensures food, shelter, and means of livelihood for the affected people amidst the Coronavirus pandemic’s chaos.

Why we need the umbrella of “Aatm Nirbhar Bharat Yojana?”

Rightly said, the Aatm Nirbhar Bharat Abhiyan has acted as a savior against the storm of Covid-19 by working as a protection shield for the people and organizations. The primary reason for intruding the scheme is to give people the doze of self-reliance by emphasizing the manufacturers, agriculture, service providers, MSMEs, etc. Our Nation and its people were in tremendous need of any mechanism that could strengthen India’s economy through its benefits and regulations, which will improve the status of GDP and the exchequer balance of our Nation. The scheme of Aatmnirbhar Bharat lays the foundation stone of depending less on the imported goods and increasing the export activities through appropriate strategies. The fall in the import rate will help reduce the trade deficit and lead to the trade surplus, ensuring that the country can sustain and tackle any downturn and unpredictable events that may emerge in future times.

As per Prime Minister Narendra Modi, the fiscal stimulus in the form of Aatmnirbhar Bharat Yojana will help revive every sphere of the economy- from demand, supply to manufacturing the need of the hour. The package shall lay its focus on land, labor, liquidity & related laws to achieve self-sufficiency. The relief measures were announced in 5 tranches by the Finance Minister Nirmala Sitharaman.

Key highlights of Aatm Nirbhar Bharat Yojana

The scheme of Aatm Nirbhar Bharat throws light on a few crucial factors like:

• The intent, inclusion, investment, infrastructure, and innovation are four factors of utmost importance to make a self-reliant and self-sufficient India.
• The package will primarily focus on land, labor, liquidity, and laws. It will cater to various sectors like the cottage, micro, small & medium enterprises (MSMEs), the working class, middle class, and industry.
• The Aatm Nirbhar Bharat Yojana focuses on empowering the poor, laborers, and migrant workers, both in the organized and unorganized sectors.
• The Aatm Nirbhar Bhaat scheme seeks to increase efficiency and ensure quality.
• The scheme is all about reforms that include supply chain reforms for agriculture, a rational tax system, simple and straightforward laws, talented human resources, and a strong web of the financial system.
• The Aatm Nirbhar Bharat Yojana is a reform to promote business, attract investments, and further strengthen the slogan of ‘Make in India.'”
• Under the Aatm Nirbhar Bharat Yojana, the Government is looking for a “quantum jump” and not “incremental change.”
• The Aatmnirbhar Bharat Yojana is divided into five tranches, where each tranche has its focus areas.
• The scheme of Aatm Nirbhar Bharat mainly focuses on MSMEs and agriculture and its allied activities.
• The Aatm Nirbhar Bharat Yojana brings optimism and confidence amongst the corporate as it focuses more on indirect and direct benefits.

The beneficiaries of Aatm Nirbhar Bharat Yojana

The beneficiaries for whom the Aatm Nirbhar Bharat Yojana  has proved to be a blessing in disguise includes:

• Micro, Small and Medium Enterprises
• Power Distribution companies
• Agricultural and allied sectors
• Civil Aviation
• Coal and Mineral sectors
• NBFCs and HFCS
• Real Estate
• Migrants, farmers, laborers, etc.

Role & benefits of Aatm Nirbhar Bharat Yojana

Aatm Nirbhar Bharat Yojana has played an iconic role in restoring the economy’s deteriorated condition through its specific reliefs and exemptions to millions of people and business organizations.

 Benefits of the scheme in enhancing the speed of the robust strategy include:

• The economic package announced under Aatm Nirbhar Bharat Yojana is significant and is sufficient to restore and revive the conditions of migrants, laborers, startups, small businesses, etc. from different sectors.
• The value of local products and brands shall increase because of the Indian Government’s financial and moral support to various sectors.
• There shall be a full-fledged financial system post the launching of The Aatmnirbhar Bharat Yojana, resulting in India’s economy’s progressive growth.
• Due to the reformation policies of the scheme of Aatm Nirbhar Bharat, new enterprises and startups shall take birth, maintaining economic stability.
• Aatm Nirbhar Bharat Yojana has successfully provided employment, livelihood, loans at lower rates, etc. to the needy sector and people. 

The Tranches of Aatmnirbhar Bharat Yojana

Our Finance Minister Smt Nirmala Sitharaman announced structural reforms across various sectors to pave the way for Aatma Nirbhar Bharat through five tranches which are as follows:

• Tranche 1: Business including MSMEs
• Tranche 2: Poor that includes Migrant workers and farmers.
• Tranche 3: Agriculture and allied sectors.
• Tranche 4 of Aatm Nirbhar Bharat Yojana: Government horizons and growths.
• Tranche 5: Government Reforms and enablers.

Aatm Nirbhar Bharat Yojana: Tranches in detail

The Five tranches under Aatm Nirbhar Bharat Yojana, as announced by our Finance Minister Nirmal Sitaraman, shall be discussed in detail:

• The first set of measures announced by Nirmala Sitharaman as the first tranche of Aatm Nirbhar Bharat Yojana focused mainly on enabling the Indian economy’s backbone, i.e., MSMEs that employ approx 11 crore people & have a GDP share of 29 percent. Out of the minister’s 16 announcements, six were solely dedicated to the MSME segment to infuse liquidity, including Rs 3 lakh crore collateral-free loans and Rs 50,000 crore equity infusion MSMEs through Fund of Funds. Input worth Rs 30,000 crore got announced as Liquidity relief measures in favor of NBFCs, HFCs, etc. and Rs 90,000 crore distributed in favor of power distribution companies. The ministry also advised states and regulatory authorities to extend the registration and completion date of the real estate projects under RERA to de-stress developers and ensure completion of homebuyers’ assignments to get their booked houses on time. Further, the investment limit needs to be revised where new Msme’s definition has taken a toll. An additional criterion of turnover is added, which will help the MSMEs increase their production capacity without losing the main advantages of being small or micro-unit.
• In the second tranche of Aatm Nirbhar Bharat Yojana, our Finance Minister Nirmala Sitharaman’s announcement measures catered to migrant workers and street vendors’ needs. The minister introduced the concept of ‘one nation one ration card’ to allow migrant workers to buy ration from any fair price shop. For three months, there will be a free supply of food and grains for the migrant workers, which will benefit at least 800 million people. Even non-ration cardholder migrant workers shall get the same amount of food and grains. An outstanding credit facility worth Rs 5,000 crore in aid of street vendors to support approximately 50 lakh street vendors who will have easy access to an initial Rs 10,000 working capital is announced. The Government also announced that Approximately Rs 2 lakh crore was given to farmers through Kisan credit cards (KCC).
• In contrast, 2.5 crore farmers, including fishers and animal husbandry farmers, would be able to receive the benefit of institutional credit at a concessional rate. Under PM Awas Yojana, a rental housing scheme was initiated for urban poor and migrant workers. Government housing gets changed into affordable rental houses for migrant laborers. The Government further allowed states to fund the food and shelter facilities to migrant workers from the disaster response fund that would cost Rs 11,000 crore to the center. CAMPA funds allotment of Rs 6000 crore secures the employment of tribals. The CAMPA fund will increase job opportunities for tribals in urban, semi-urban areas for afforestation and plantation works. 
• The third tranche of Aatm Nirbhar Bharat Yojana worth Rs 1.5 lakh crore measures focused on the agriculture & allied sectors, including dairy, animal husbandry, and fisheries. The Government announced several steps to strengthen the overall agriculture sector. Our Finance Minister announced Rs 1 lakh crore agriculture infrastructure fund for farm-gate infrastructure, including using it for setting up the cold chains and post-harvest management infrastructure. Other significant announcements included Rs 20,000 to fishers through Pradhan Mantri Matsya Sampada Yojana Rs 10,000 crore to re-formalize the micro food enterprises. “The approach here would be a cluster-based, with which local value-added products can reach out to the global markets. The ministry further announced Rs 4,000 crore for herbal cultivation. Rs 15,000 crore as Animal Husbandry Infrastructure Development Fund, Rs 500 crore for bee-keeping, and related infrastructure development were other benefits announced by the minister.
• The fourth tranche of Aatm Nirbhar Bharat Yojana worth the Rs 20 lakh crore package comprises eight growth-oriented sectors, including coal, minerals, atomic industry, and defense production airspace management, airports, MRO, various distribution companies & the space sector. Our FM Nirmala Sitharaman announced easing up the Indian airspace’s utilization to reduce air travel costs. The minister further announced the commercial mining in the coal sector and privatizing discoms in the metros to streamline their functions for best accountability. The tranch further details private participation in the space sector and policy for private players.
• Under the fifth tranche, the minister allocated an additional sum of Rs 40,000 crore in favor of the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA) for India’s job-related opportunities. The Government earlier allocated Rs 61,000 crore in the budget for the financial year. Our FM Sitharaman also announced a new Public Sector Enterprises Policy that would permit the PSU firms’ consolidation in strategic sectors. For the improved state of ease of doing business among MSMEs, the minister extended the initiation period of fresh insolvency proceedings against MSMEs by six months to up to one year. As per the insolvency code section 240 A, the Government shall draft an insolvency resolution for the MSME. The minimum threshold raised in this insolvency process is Rs 1crore from Rs1 lakh. The Government of India further announced a special package worth Rs 15,000 crore solely for the development of the Health and Education related sectors. The Central Ministry allocated Rs 46,038 crore for the State governments to overcome state government crisis. 

Conclusion

The covid-19 Pandemic and its after the effect have altered India’s economic and social infrastructure. The whole world is now standing on the verge of a massive economic and social breakdown. India is already going through a financial crisis or downturn, while announcing 10% of the GDP was a tough decision. Many sectors have already gained relief funds, and other measures are in the pipeline to the respective sectors. However, it depends on how these measures and schemes of Atma Nirbhar Bharat Yojana will draw a rising curve in India’s economic growth graph. Under the Aatm Nirbhar Bharat Yojana, it is the global opportunity for all the Indian existing companies to establish its world-class identity, promote the locally made products, and turn this dooms period into a golden chance to start afresh. Aatm Nirbhar Bharat scheme is nothing but a blessing in the time of crisis and a stepping stone to success to achieve the unfulfilled dreams of millions of people put to a halt because of this Pandemic. It is a crisis period, and for some, it is a crisis unfolded to opportunity.

Through Aatmnirbhar Bharat Yojana, several uprooted businesses and families find a ray of hope to reconstruct their shattered dreams with the help of reliefs and exemptions under Aatmnirbhar Bharat Yojana. Aatmnirbhar Bharat scheme played a vital role in improving the economic condition of India. It has lived up to our expectations in restoring the ruined conditions of various sectors and the people’s lives. Under the Aatmnirbhar Bharat Yojna, the financial assistance got distributed as per the needs of the industry. Aatmnirbhar Bharat Yojna is nothing but a relief package that shall act as a catalyst to enhance the economy’s functioning.

Aatm Nirbhar Bharat is more like a second birth to millions of sectors and suppressed people who lost all hopes to live. To ensure that the scheme of Aatm Nirbhar Bharat is re-directed and implemented in its best form, our NGO Hindrise Foundation, a social-welfare NGO, is adamant and is vigorously stressing upon the proper use of the schemes and its benefits. We have been assisting the business organizations, entrepreneurs, and other sectors who wish to re-start their professional life brought initially at a halt. We have been relentlessly trying to be a strong link between people who need us and the scheme of Aatmnirbhar Bharat.