Smart cities to tax incentives : Here are the key sops in Budget 2014

finance Minsiter Arun Jaitley's maiden budget offers no big bang reforms but does focus on boosting investor confidence in a bid to revive India's investment cycle and attract household savings into financial assets.

Here are the key proposals announced by Jaitley: 

Infrastructure and investment related

1.  Hike in foreign direct investment (FDI) limit from 26% to 49% in insurance and defence sectors

2.  Easing of FDI norms for building smart cities from $10 million to $5 million with the built-up area also reduced to 20,000 square metres from 50,000 square metres

3.   Sops for real estate investment trusts (REIT) and infrastructure investment trusts; regulatory forbearance (cash reserve ratio [CRR], statutory liquidity ratio [SLR]) for banks to raising long-term resources for infrastructure sector

4. Separate power feeder lines for rural regions under DDU Gram Jyoti Yojana; though the allocation of Rs500 crore appears meagre

5. Allocation of Rs37,850 crore to National Highways Authority of India (NHAI) for kick-starting investments in road projects; targets to build 15,000km of additional gas pipeline network through private participation  Investment allowance of 15% for investment in plant and machinery of more than Rs25 crore (down from Rs100 crore earlier

6.  To set up a Rs 10,000-crore fund for equity investment in the micro, small and medium enterprises sector (midand small-sized companies


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