- This time the government revenues take a hit as there is a cut in excise duties on diesel and petrol, and also upside risk to the budgeted level of gross fiscal deficit has emerged.
- Besides India's fertilizer subsidy bill for FY23 could rise to around Rs 2.5 trillion against the Budget Estimate of Rs 1.05 trillion because of a global supply shortage.
- In addition to that PM Garib Kalyan Anna Yojana until September shall increase the food subsidy outlay for FY23 to Rs 2.87 trillion, from the Budget Estimate of Rs 2.07 trillion.
- A Govt decision to provide a subsidy of Rs 200 per gas cylinder to over 90 million beneficiaries of the Pradhan Mantri Ujjwala Yojana will also cost additional Rs 6,100 crore a year to the exchequer.
- RBI increased policy rates by 90 basis points in a month to fight record inflation levels, leading to increased interest rates.
- As long as the Russia-Ukraine conflict continues, many other reasons include trade disruptions, export bans, and the resulting surge in global commodity prices.
Question:
Q.1 Under PM Garib Kalyan Anna Yojana govt has decided to increase the food subsidy outlay for FY23 to __________ trillion?a. 2.07 trillion
b. 1.05 trillion
c. 2.5 trillion
d. 2.87 trillion
