INTRODUCTION

In May 2020, Prime Minister, Mr. Narendra Modi launched the Self-reliant India
(Aatm Nirbhar Bharat Abhiyan) mission to promote Indian goods in the global
supply chain markets and help the country achieve self-reliance. The mission was
announced amid the pandemic when the government allocated funds worth Rs.
20 lakh crore (US$ 268.74 billion), which amounts to ~10% of India’s GDP, as a
stimulus package to help recover the economy by promoting incentives for
domestic production. It encompasses themes such as ‘local for global’, ‘made for
world’ and ’vocal for local’.

The key objectives of the ‘Self-reliant India’ (Atmanirbhar Bharat Abhiyan) mission
are as follows:

 Develop India into a global supply chain hub.

 Build the government's trust in the private sector capabilities and prospects.

1
 Establish 'good force multipliers' for Indian manufacturers.

 Enter the global markets to export goods including agriculture, textiles, clothing,
and jewellery.

 Determine adequacy of each sector (e.g., defence, agriculture, healthcare,

infrastructure, etc.), with the help of FY22 budget, to achieve self-reliance.

Atmanirbhar Bharat stands for self-sufficient India. Amid the economic vision
of strengthening the country to withstand the global challenges, the Government
of India has chosen self-sufficiency as one of the vital tools. Atmanirbhar Bharat
Abhiyan was introduced to make India self-dependent. The concept is to back up
the economy’s major sectors, making India more involved and an important part
of the global economy. The initiative took flight amid the outbreak of Covid-19 to
ensure the prompt availability of the necessary medical aid from within the
country. The concept expanded to granting enough support to various sectors to
bring the Indian economy back on track.

What is Atmanirbhar Bharat Abhiyan?

After India’s most remarkable Swadeshi Movement, Atmanirbhar Bharat Abhiyan

is currently in the limelight. During the pandemic, Prime Minister Narendra Modi
came up with the big announcement of Atmanirbhar Bharat Abhiyan. On May 13,
2020, he announced the idea of making India “Atmanirbhar” with an initial
package of Twenty Lakh Crores, which equals 10% of the country’s GDP. The
package was introduced as an investment toward curbing the challenges faced by
India’s citizens during the Covid-19 pandemic.

2
 The mission is based on resilient, efficient, and competitive policies to bring India
back on its feet through self-generation and sufficiency.

To make the Atmanirbhar Bharat Abhiyan more effective, India’s Finance Minister
announced the inauguration of several enablers and innovative government
reforms. These reforms aim to intensify the seven sectors that worked under the
self-sufficient mission. Some of the reforms under Atmanirbhar Bharat Abhiyan
are as Follows:

 Supply Chain Reforms to aid Agricultural Sector

 Reforms for Rational Tax Systems
 Reforms for Simple and Clear Laws
 Reforms for Strong Financial System
 Reforms for Human Resources

Need for Self-reliant India (Atmanirbhar Bharat

Abhiyan)
 The Gross Value Added (GVA) of the Industrial Sector increased by 9.3%, according
to data from the first half of FY24. This was fuelled by strong increases of 7.6%,
9.3%, and 10.5% in the sectors of mining and quarrying, manufacturing, and
construction, respectively.
 In 2020, a report by Acuite Ratings & Research identified 40 sub-sectors (such as
agro-based products, drug formulations, chemicals, automobile components,
handicrafts, cosmetics, and consumer electronics) that accounted for imports
worth ~US$ 33.6 billion from China. According to the report, India’s domestic
manufacturing possess capabilities to replace 25% of the total imports (indicating
savings of ~0.3% of the GDP) from China without additional investments. It added
that in FY22, the country could reduce US$ 8.4 billion worth trade deficit with
China, by substituting imports from sectors such as drug formulations, chemicals,
automobile components, handicrafts, cosmetics, and consumer electronics.

3
 Key Features of Atmanirbhar
Bharat Mission
1. The Atmanirbhar Bharat Abhiyan stands on FIVE PILLARS, as introduced by our
Hon’ble PM Narendra Modi and the Finance Minister. The following are the FIVE
targeted areas:

Economy
Quantum jumps, not incremental changes

Infrastructure
Represents modern India

Systems
Technology-driven systems

Demography
Vibrant Demography of the largest democracy

4
 Demand
Full utilisation of the power of demand & supply

2. The total package is 20 Lakh Crores, making up 10 per cent of India’s GDP.

3. The package includes relief measures and aids for various sectors like MSME,
salaried workers, NBFCs, HCFs, contractors, agriculture sectors, small farmers,
migrant workers, critical industries like coal, space, and power distribution
sectors, and a lot more.

4. However, the Package of Atmanirbhar Bharat Abhiyan is divided into four separate
tranches.

5
 Key Initiatives and Progress
The government announced an Aatm Nirbhar Bharat Abhiyan package (ANB 1.0)
in May 2020 and launched two additional Aatm Nirbhar Bharat Abhiyan packages
in end-2020 (ANB 2.0 and ANB 3.0) to maintain the progress. The overall Aatm
Nirbhar Bharat Abhiyan package, including the RBI initiatives, was estimated at
~Rs. 27.1 lakh crore (US$ 362.49 billion), or >13% of the GDP.

With the Aatm Nirbhar Bharat Abhiyan package, the government facilitated
structural reforms such as redefinition of MSMEs, commercialisation of the
mineral sector, agriculture & labour reforms, privatisation of public sector
undertakings, One Nation One Ration Card initiative and production-linked
incentive schemes.

Under the Self-reliant India (Aatm Nirbhar Bharat Abhiyan), the government
implemented the following schemes:

To establish India’s manufacturing global leadership and boost the Aatm Nirbhar
Bharat Abhiyan (self-reliant India) scheme, under the Union Budget 2021-22, the
government launched a production-linked incentive scheme (PLI) across 13
sectors, at ~Rs. 1.97 lakh crore (US$ 27.02 billion), for the next five years.
o The allocated budget is an additional fund to Rs. 40,951 crore (US$ 5.45
billion), which was for PLI electronics manufacturing schemes.

o In addition, these PLI schemes have attracted foreign players to invest in

India. For example, in February 2021, Amazon announced to establish a
manufacturing plant for its electronic devices in India; in March 2021, Apple
started assembling iPhone 12 in India.

6
In the Union Budget 2021-22, the government introduced a new central
healthcare scheme that will be implemented over the next six years to improve
the country's healthcare infrastructure.
o Under Pradhan Mantri Atmanirbhar Swasth Bharat Yojana (PMANSY), the
government allocated funds worth Rs. 64,180 crore (US$ 8.80 billion) over
six years to strengthen the existing ‘National Health Mission’ and
develop capacities of primary, secondary & tertiary care and healthcare
systems & institutions to detect and cure new and emerging diseases.

Under the Union Budget 2021-22, the government pushed for higher capital
expenditure to focus on infrastructure upgrades for roads, rail, and power
delivery. The government aims to improve 8,500 kms of highways by March 2022;
this will boost India’s competitiveness by lowering transportation costs and
improving the network between production and consumption markets, in both
domestic and international.

In 2015-16, the government, under the Department of Science & Technology’s

‘Science & Technology for Women’ scheme, launched women technology park
(WTP) programmes to empower women by training them in skills to set up their
own microenterprises and become self-reliant. In the last five years (until March
2021), ~10,000 rural women have benefited from this programme, 28 WTPs have
been successfully completed and 12 parks are under progress across the country.

7
Under the Aatm Nirbhar Bharat Abhiyan (self-reliant India) scheme, the
government launched policies to promote self-reliance in defence manufacturing.
For example, the government increased FDI limit to 74% in defence
manufacturing, placed ‘import embargo’ on 101 military items and introduced the
Defence Production and Export Promotion Policy 2020. The Innovations for
Defence Excellence (iDEX), the primary initiative of the Department of Defence
Production, has achieved a significant milestone by finalizing its 300th contract.
This contract pertains to the design and advancement of cutting-edge Gallium
Nitride Semiconductors crucial for the upcoming era of wireless transmitters in
defence applications, spanning from radars to Electronics Warfare (EW) jammers.
o The Defence Production and Export Promotion Policy 2020 (DPEPP 2020)
highlights a framework to achieve a turnover of Rs. 1.75 lakh crore (US$ 25
billion), including exports of Rs. 35 thousand crore (US$ 5 billion), in the
aerospace and defence goods and services by 2025.

As part of the Self-reliant India (Aatm Nirbhar Bharat Abhiyan) mission, the
Ministry of Food Processing Industries launched the 'PM Formalisation of Micro
Food Processing Enterprises (PMFME)’ scheme to provide financial, technical, and
business support to upgrade the existing micro food processing enterprises. The
government allocated funds worth Rs. 10,000 crore (US$ 1.34 billion) for this
scheme, which will be implemented between FY21 and FY25.

8
 Objectives of Atmanirbhar
Bharat Mission
The major objective of Atmanirbhar Bharat Abhiyan is to uplift migrated labourers
and society’s weaker sections that have been gravely affected by the harshness of
the pandemic. To uphold this primary goal, the mission carries the following vital
objectives:

1. To strengthen the NFCs, HCFs, MSME, salaried employees, workers, and

contractors through various relief measures
2. Raising funds to uplift the weaker sections, including underprivileged people,
small vendors, street vendors, migrant workers, and small farmers.
3. To ensure self-sufficiency in various agricultural sectors and other sectors like
animal husbandry, fishery, dairy, etc.
4. Strengthening the major critical industries such as defence, production,
minerals, space sector, atomic energy sector, infrastructure, power
production and distribution units, airspace management sector, and coal
through fundraising and relief measures.

The other significant objectives can be listed as follows:

1. Enhanced liquidity ensures a direct cash transfer to the migrant workers’ and
labourers’ accounts.
2. No scarcity of food supplies and medical aids.
3. Empowerment of the supply chain logistics.
4. Increase in the number of employment opportunities.
5. Expansion of E-Commerce sectors.
6. Making critical sectors better to compete globally.
7. Ensuring better survival of the society, especially the weaker sections, amid
the pandemic.

9
 The Five Tranches of the
Atmanirbhar Bharat Abhiyan

To execute the objectives of Atmanirbhar Bharat Abhiyan efficiently, the five specific
tranches of the packages have been ascertained:

Businesses including MSMEs

10
 Rs 3 lakh crores Collateral-free Automatic Loans
for Businesses, including MSMEs

• Businesses/MSMEs have been badly hit due to COVID-19 need additional funding
to meet operational liabilities built up, buy raw material and restart business

• Decision: Emergency Credit Line to Businesses/MSMEs from Banks

and NBFCs up to 20% of entire outstanding credit as on 29.2.2020

• Borrowers with up to Rs. 25 crores outstanding and Rs. 100 crores turnover
eligible.

• Loans to have 4 years tenor with moratorium of 12 months on Principal

repayment

• Interest to be capped

• 100% credit guarantee cover to Banks and NBFCs on principal andinterest

• Scheme can be availed till 31st Oct 2020

11
• No guarantee fee, no fresh collateral

• 45 lakh units can resume business activity and safeguard jobs.

Rs 20,000 crores Subordinate Debt for Stressed

MSMEs

• Stressed MSMEs need equity support

• GoI will facilitate provision of Rs. 20,000 cr as subordinate debt

• Two lakh MSMEs are likely to benefit

• Functioning MSMEs which are NPA or are stressed will be

eligible.

• Govt. will provide a support of Rs. 4,000 Cr. to CGTMSE

• CGTMSE will provide partial Credit Guarantee support toBanks

• Promoters of the MSME will be given debt by banks, which willthen be
infused by promoter as equity in the Unit.

12
 Rs 50,000 cr. Equity infusion for MSMEs through
Fund of Funds

• MSMEs face severe shortage of Equity.

• Fund of Funds with Corpus of Rs 10,000 crores will be set up.

• Will provide equity funding for MSMEs with growth

potential and viability.

• FoF will be operated through a Mother Fund and few

daughter funds

• Fund structure will help leverage Rs 50,000 cr of funds at

daughter funds level

• Will help to expand MSME size as well as capacity.

• Will encourage MSMEs to get listed on main board of Stock

Exchanges.

13
 New Definition of MSMEs

• Low threshold in MSME definition have created a fear among MSMEs

of graduating out of the benefits and hencekilling the urge to grow.

• There has been a long-pending demand for revisions.

ANNOUNCEMENT:

• Definition of MSMEs will be revised

• Investment limit will be revised upwards

• Additional criteria of turnover also being introduced.

• Distinction between manufacturing and service sector to beeliminated.

Necessary amendments to law will be brought about

14
 Existing MSME Classification
Criteria : Investment in Plant &
Machinery or Equipment
Classification Micro Small Medium

Mfg. Investment< Investment Investment

Enterprises Rs. 25 lacs <Rs. 5 cr. <Rs. 10 cr.
Services
Investment< Investment Investment<
Enterprise
Rs. 10 lacs < Rs. 2 cr. Rs. 5 cr.

Revised MSME Classification

Composite Criteria:
Investment and Annual
Turnover
Classification Micro Small Medium

Investment< Investment< Investment<

Manufacturin
Rs. 1 cr. Rs. 10 cr. Rs. 20 cr.
g
and and and
& Services
Turnover < Turnover < Turnover <
Rs.5 cr. Rs.50 cr. Rs.100 cr.

15
 Global tenders to be disallowed upto Rs 200 crores

• Indian MSMEs and other companies have often faced unfair

competition from foreign companies.

• Therefore, Global tenders will be disallowed in Government

procurement tenders upto Rs 200 crores

• Necessary amendments of General Financial Rules willbe affected.

• This will be a step towards Self-Reliant India and support Make in India

• This will also help MSMEs to increase their business.

• MSMEs currently face problems of marketing and liquidity due to

COVID.

• e-market linkage for MSMEs to be promoted to act as a replacement

for trade fairs and exhibitions.
• Fintech will be used to enhance transaction based lending using the
data generated by the e-marketplace.

16
• Government has been continuously monitoring settlement of dues to
MSME vendors from Government and Central Public Sector
Undertakings.

• MSME receivables from Gov and CPSEs to be released in 45 days

Poor, including migrants and farmers

Free Food grain Supply to Migrants for 2 months

• Migrants in various states require food-grain assistance

• Migrants who are neither NFSA or State Card beneficiaries in the state
they are stationed will be provided 5 kg of grains per person and 1 kg
Chana per family per month for two months.

17
• About 8 crores migrants are expected to benefit.

• Rs. 3500 Crore will be spent on this intervention for 2 months

• Cost will be fully borne by Government of India
State Governments responsible for implementation, identification of
migrants and full distribution and providing detailed guidelines

One Nation One Ration Card

• Migrant families are not able to access food in other states.

• This scheme will enable a migrant beneficiary to access Public

Distribution System from any Fair Price Shop in the country (Intra-State
portability introduced in 20 States)

• Part of the PM’s Technology Driven System Reforms

• 67 crore beneficiaries in 23 states covering 83% of PDS population will

be covered by national portability by August, 2020

• 100% National portability will be achieved by March, 2021

• All the States/UTs will complete full FPS automation by March, 2021

18
 Affordable Rental Housing Complexes (ARHC)
for Migrant Workers / Urban Poor

Migrant labour/urban poor face challenges in getting houses at

affordable rent.
Government will launch a scheme under PMAY for migrant
labour/urban poor to provide ease of living at affordable rent by,
i. Converting government funded housing in the cities into Affordable
Rental Housing Complexes (ARHC) under PPP mode through
concessionaire;
ii. Incentivizing manufacturing units, industries, institutions, associations
to develop Affordable Rental Housing Complexes (ARHC) on their
private land and operate; and
iii. Incentivizing State Government Agencies / Central Government
Organizations on the similar lines to develop Affordable Rental Housing
Complexes (ARHC) and operate.

19
 Rs. 1500 crores Interest Subvention for MUDRA-
Shishu Loans

• Small businesses under MUDRA have been disrupted the most & has
also impacted their capacity to pay EMIs.

• Loan moratorium has already been granted by RBI

• The current portfolio of MUDRA-Shishu loans is ~ Rs 1.62 Lakh crore

(Maximum loan amount of 50,000 Rs).

• Government of India will provide Interest subvention of 2% for prompt

payees for a period of 12 months.
Relief of Rs 1500 cr to MUDRA-Shishu loanees.

20
 Rs 30,000 crores Additional Emergency Working
Capital Funding for farmers through NABARD

• Inadequate financial resources with Small and Marginal Farmers

• RRBs and Rural Cooperative banks are main source for credit

• NABARD will extend additional refinance support of Rs. 30,000

crore for crop loan requirement of Rural Co-op Banks & RRBs.

• This is over and above Rs 90,000 crore to be provided by NABARD

through the normal refinance route during this year

• Front-loaded on-tap facility to 33 State Co-operative banks, 351 District

Co-operative banks and 43 RRBs available on tap based on their lending.

• To benefit around 3 crore farmers - mostly small and marginal

farmers.

• To meet post- harvest (Rabi) & current Kharif requirement in

May/June.

21
 Rs 6000 crore employment push using CAMPA
funds

• There is need to create job opportunities for our citizens

• Compensatory Afforestation Management & Planning Authority
(CAMPA) set up under Compensatory Afforestation Fund Act, 2016

• Plans worth Rs 6000 crores will be approved shortly.

• Funds to be used by State Governments for-

• Afforestation and plantation work, including in urban areas.

• Artificial regeneration, assisted natural regeneration.

• Forest management, soil & moisture conservation works

• Forest protection, forest and wildlife related infrastructure

development, wildlife protection and management etc.

• Will create job opportunities in urban, semi-urban and rural areas.

• Will create job opportunities for Tribals /Adivasis

22
 Rs 2 lakh crore Concessional credit boost to 2.5
crore farmers through Kisan Credit Cards

• Special drive to be undertaken to provide concessional credit to PM-

KISAN beneficiaries through Kisan Credit Cards

• Fishermen and Animal Husbandry farmers will also be included in this

drive.

• This will enable such farmers to gain access to institutional

credit at concessional interest rate

• 2.5 crore farmers will be covered and will benefit from credit flow of
about Rs 2 lakh crores

23
 Agriculture

• A number of measures supporting farmers wasexplained yesterday.

• Additional measures taken during last 2 months are below

• During lockdown period Minimum Support Price(MSP) purchases of

amount more than Rs 74,300crores

• PM KISAN fund Transfer of Rs 18,700 crores

• PM Fasal Bima Yojana claim payment of Rs 6,400 crores

24
 Rs 1 lakh crore Agri Infrastructure Fund for farm-
gate infrastructure for farmers

• Lack of adequate cold chain & Post Harvest Management infrastructure

in the vicinity of farm-gate causing gaps in valuechains.

• Focus has been on short term crop loans while investment in longterm
agriculture infrastructure has often not been enough.

• Financing facility of Rs. 1,00,000 crore will be provided for funding

Agriculture Infrastructure Projects at farm-gate & aggregation points
(Primary Agricultural Cooperative Societies, Farmers Producer
Organisations, Agriculture entrepreneurs, Start-ups, etc.)

• Impetus for development of farm-gate & aggregation point,affordable

and financially viable Post Harvest Managementinfrastructure

• Fund will be created immediately.

25
 Rs 10,000 crores scheme for Formalisation of Micro
Food Enterprises (MFE)

• Scheme promotes vision of Hon. PM: “Vocal for Local with Global
outreach”

• Unorganised MFEs units need technical upgradation to attain

FSSAI foodstandards, build brands and marketing

• A Scheme will be launched to help 2 lakh MFEs attain above goals

• Existing micro food enterprises, Farmer Producer
Organisations, Self Help Groups and Cooperatives to be supported

• Cluster based approach (e.g., Mango in UP, Kesar in J&K, Bamboo

shoots in North-East, Chilli in Andhra Pradesh, Tapioca in Tamil
Nadu etc.)
• Expected outcomes: Improved health and safety standards,
integration with retail markets, improved incomes will also help in
reaching untapped export markets in view of improved health
consciousness.

26
 Rs 20,000 crores for Fishermen through Pradhan
Mantri Matsya Sampada Yojana (PMMSY)

• Critical gaps in fisheries value chain

• Government will launch the PMMSY for integrated, sustainable,
inclusive development of marine and inland fisheries.

• Rs 11,000 Cr for activities in Marine, Inland fisheries and Aquaculture

• Rs. 9000 Cr for Infrastructure - Fishing Harbours, Cold chain, Markets
etc.
• Cage Culture, Seaweed farming, Ornamental Fisheries as well as New
Fishing Vessels, Traceability, Laboratory Network etc. will be key
activities.
• Provisions of Ban Period Support to fishermen (during the period
fishing isnot permitted), Personal & Boat Insurance
• Will lead to Additional Fish Production of 70 lakh tonnes over 5 years.

• Employment to over 55 lakh persons; double exports to Rs 1,00,000 Cr.

• Focus on Islands, Himalayan States, North-east and Aspirational
Districts.

27
 Amendments to Essential Commodities Act to
enable better price realisation for farmers

• EC Act, 1955 was enacted in days of scarcity.

• Need to enable better price realisation for farmers by attracting

investments and making agriculture sector competitive

• Agriculture food stuffs including cereals, edible oils, oilseeds, pulses,

onions and potato to be deregulated.

• Stock limit to be imposed under very exceptional circumstances like

national calamities, famine with surge in prices.

• No such stock limit shall apply to processors or value chain participant,

subject to their installed capacity or to any exporter subject to the
export demand.

• Government will amend Essential Commodities Act.

28
 Agriculture Marketing Reforms to provide
marketing choices to farmers

• Farmers bound to sell agriculture produce only to Licensees in APMCs

• Such restriction of sale is not there for any industrial produce

• Results in Hindrances in free flow of Agricultural Produce and

Fragmentation of Markets and Supply Chain;

• Less price realization for farmers.

A Central law will be formulated to provide -

• Adequate choices to farmer to sell produce at attractive price;

• Barrier free Inter-State Trade;

• Framework for e-trading of agriculture produce

29
 New Horizons of Growth

Policy Reforms – Introduction of Commercial

Mining in Coal Sector

30
 Need to reduce import of substitutable coal and increase Self-
reliance in coal production.

Government will introduce competition, transparency and private

sector participation in the Coal Sector through:

• Revenue sharing mechanism instead of regime of fixed Rupee/tonne-

• Earlier, only captive consumers with end-use ownership could bid.

• Now, any party can bid for a coal block and sell in the open market.

• Entry norms will be liberalized-

• Nearly 50 blocks to be offered immediately.

• No eligibility conditions, only upfront payment with a ceiling.

• Exploration-cum-production regime for partially explored blocks-

• Against earlier provision of auction of fully explored coal blocks,

now even partially explored blocks to be auctioned.

• Will allow private sector participation in exploration.

• Production earlier than scheduled will be incentivized through

rebate in revenue-share.

31
 Enhancing Self Reliance in Defence Production

• ‘Make in India’ for Self-Reliance in Defence Production:

 Notify a list of weapons/platforms for ban on import with year
wise timelines;
 Indigenisation of imported spares;
 Separate budget provisioning for domestic capital procurement.
 Will help reduce huge Defence import bill.

• Improve autonomy, accountability and efficiency in Ordnance Supplies

by Corporatisation of Ordnance Factory Board.

• FDI limit in the defence manufacturing under automatic route will be

raised from 49% to 74%.

32
• Time-bound defence procurement process and faster
decision making will be ushered in by:

 Setting up of a Project Management Unit (PMU) to support

contract management;
 Realistic setting of General Staff Qualitative Requirements (GSQRs)
of weapons/platforms;
 Overhauling Trial and Testing procedures

Government Reforms and Enablers

33
 Technology driven Systems - Online Education
during COVID

• SWAYAM PRABHA DTH channels to support and reach those who do not
have access to the internet. 3 channels were already earmarked for
school education; now another 12 channels to be added.

• Provision made for telecast of live interactive sessions on these

channels with experts from home through Skype.

• Also tied up with private DTH operators like Tata Sky & Airtel to air
educational video content to enhance the reach of these channels.
• Coordination with States of India to share air time (4 hrs daily) on the
SWAYAM PRABHA channels to telecast their education related
contents.

• DIKSHA platform has had 61 crore hits from 24th March till
Date.
• 200 new textbooks added to e-Paathshaala.

34
 Health Reforms & Initiatives

Increased investments in Public Health –

• Public Expenditure on Health will be increased.
• Investments in grass root health institutions-
• Ramp up Health and Wellness Centres in rural and urban areas

Preparing India for any future pandemics –

• Infectious Diseases Hospital Blocks – all districts
• Strengthening of lab network and surveillance –
o Integrated Public Health Labs in all districts & block level Labs &
Public Health Unit to manage pandemics.
• Encouraging Research: National Institutional Platform for One health by
ICMR
• National Digital Health Mission: Implementation of National Digital
Health Blueprint.

35
 Further enhancement of Ease of Doing business
through IBC related measures

• Minimum threshold to initiate insolvency proceedings raised to Rs. 1

crore (from Rs. 1 lakh, which largely insulates MSMEs).

• Special insolvency resolution framework for MSMEs under Section 240A

of the Code to be notified soon.

• Suspension of fresh initiation of insolvency proceedings up to one year

depending upon the pandemic situation.

• Empowering Central Government to exclude COVID 19 related debt

from the definition of “default” under the Code for the purpose of
triggering insolvency proceedings.

Decriminalisation of Companies Act defaults

• Decriminalization of Companies Act violations involving minor technical

and procedural defaults (shortcomings in CSR reporting, inadequacies
in board report, filing defaults, delay in holding AGM).

• Majority of the compoundable offences sections to be shifted to

internal adjudication mechanism (IAM) and powers of RD for
compounding enhanced (58 sections to be dealt with under IAM as
compared to 18 earlier).

36
• The Amendments will de-clog the criminal courts and NCLT

• 7 compoundable offences altogether dropped and 5 to be dealt with

under alternative framework.

Ease of Doing Business for Corporates

• Improvement in rankings in ‘starting a business’ and ‘insolvency

resolution’ have contributed to the overall improvement in India’s
ranking on EoDB.

• Further key reforms to include –

 Direct listing of securities by Indian public companies in

permissible foreign jurisdictions.

37
  Private companies which list NCDs on stock exchanges not to be
regarded as listed companies.

 Including the provisions of Part IXA (Producer Companies) of

Companies Act, 1956 in Companies Act, 2013.

 Power to create additional/ specialized benches for NCLAT

 Lower penalties for all defaults for Small Companies, One- person
Companies, Producer Companies & Start Ups

Public Sector Enterprise Policy for a New, Self-

reliant India
• India and the world have changed in the last few decades

• Need for a new coherent policy—where all sectors are open to the
private sector while public sector enterprises (PSEs) will play an
important role in defined areas

• Accordingly, government will announce a new policy whereby-

 List of strategic sectors requiring presence of PSEs in public interest

will be notified

 In strategic sectors, at least one enterprise will remain in the

public sector but private sector will also be allowed

 In other sectors, PSEs will be privatized (timing to be based on

feasibility etc.).

38
 Conclusion

The Atmanirbhar Bharat Abhiyan is a mission toward strengthening the

weaker sections of the society with the various Government Reforms and
Relief Measures. Besides combating the scarcity of food and medical
facilities during the pandemic, this mission by PM Modi is an initiative to
make the Indian economy self-sufficient in every possible aspect.

India ranked 63rd out of 190 countries in the World Bank's ‘Ease of Doing
Business 2023’ survey, indicating a favourable business environment in
the country. The recent government reforms, such as allowing private
companies to operate in key industries, introducing agriculture initiatives
& labour reforms and enabling commercial coal mining, serve as strong
pillars to aid development of India’s economy and present huge
opportunities for the country to become self-reliant.

In addition, strong budgetary push for the manufacturing sector, MSMEs,

along with supportive PLI reforms, will boost the domestic manufacturing
companies and attract foreign companies to invest in the country;
thereby, foster India’s path to achieve self-reliance.

39
 BIBLIOGRAPHY
 https://www.investindia.gov.in/atmanirbhar-bharat-abhiyaan

 https://unacademy.com/content/ssc/study-material/general-

awareness/atmanirbhar-bharat-abhiyaan/

 https://en.wikipedia.org/wiki/Atmanirbhar_Bharat

 https://dst.gov.in/sites/default/files/Final%20report-Web%20clinic-

25%20Feb.2021.pdf

 https://prsindia.org/policy/report-summaries/summary-announcements-aatma-

nirbhar-bharat-abhiyaan

40