Some takeaways from Union Budget 2021-22

Union Finance Minister Nirmala Sitharaman delivered her third Union Budget in Lok Sabha on Monday, February 1.

The government has allocated Rs 4071.23 crore for the Ministry of Information and Broadcasting (MIB) in 2021-22. This is lower than Rs 4375.21 crore that was allocated in the previous Budget for 2020-21. The ministry’s revised budget for 2020-21 stands at Rs 3650.25 crore.

Prasar Bharati will receive Rs 2640.11 crore in 2021-22 as compared to the budget estimate of Rs 2889.36 crore in 2020-21. The allocation for Central sector schemes/projects is Rs 632.05 crore compared to Rs 740 crore in 2020-21. As per the revised budget, the total spends on central sector schemes/projects is Rs 346.73 crore.

Prasar Bharati’s Broadcasting Infrastructure Network Development has received a lion’s share of allocation under the central sector schemes/projects. The total allocation for 2021-22 is Rs 316 crore compared to Rs 370 crore.

In the Central sector schemes/projects, development communication and dissemination of filmic content under the films division has received Rs 122.62 crore in 2021-22 compared to Rs 115.50 crore in 2020-21.

The establishment expenditure, which comprises secretariat, art and culture, and information and publicity, is Rs 563.77 crore as against Rs 554.80 crore. The 2020-21 revised budget for the same is Rs 441.82 crore. Within the establishment expenditure, the information and publicity sub-head has received an allocation of Rs 460.77 crore compared to Rs 453 crore in 2020-21.

Among other Central sector expenditures, Film and Television Institute of India, Pune has received Rs 58.48 crore compared to Rs 49.40 crore in 2020-21. Satyajit Ray Film and Television Institute (SRFTI) Kolkata has got an allocation of Rs 87.92 crore compared to Rs 67.55 crore. The grant for the Indian Institute of Mass Communication is Rs 65 crore in 2021-22 compared to Rs 61.3 crore.

The revised budget Film and Television Institute of India, Pune, Satyajit Ray Film and Television Institute (SRFTI) Kolkata, Indian Institute of Mass Communication is Rs 37.97 crore, Rs 45.35 crore, and Rs 41.41 crore respectively.

1. Madhavan, president, Indian Broadcasting Foundation says, “This is a growth-oriented budget that will provide a strong and much-needed impetus to the economic growth engines in the wake of the pandemic. The focus on privatization and providing support for start-ups and innovation is likely to benefit the overall corporate sector and in-turn help the media and entertainment industry, as it will lead to strong advertising growth. I believe this budget can pave the way for the resurgence of economic growth in a significant and impactful manner.”

“Considering that the film industry was at the receiving end during the pandemic for the longest duration of time, we hoped to see specific reform measures. However, we expect that the slew of measures introduced in Budget 2021 will lead to an enhancement of personal income leading to increased consumer spending in the cinema and entertainment space,” said Alok Tandon, CEO, INOX Leisure.

Prashant Panday, MD & CEO, Mirchi shared, “The FY22 budget aims to spend roughly the same as it did in FY21 – approx. Rs. 34.8 trillion. It plans to fund this by raising fresh net borrowings of Rs 14.4 trillion. This borrowing program will put pressure on inflation, which could prove harmful to the expected recovery. However, the government is undertaking the best measures in face of the current scenario, taking big risks by increasing borrowings and fiscal deficit. As far as the media industry is concerned, there is not much that directly affects it, although overall growth and job creation should lead to a recovery in fortunes. In all, we see the FY22 budget as a good beginning of the recovery effort by the government even though a lot will need to be done in the coming years.” –BCS Bureau