New Delhi: Finance Minister Pranab Mukherjee started presenting what was his seventh federal budget in the Lok Sabha on Friday, with a reference to the state of the global economy and its impact on India.

Ahead of the presentation, Prime Minister Manmohan Singh and senior cabinet colleagues had cleared the proposals in a short meeting inside Parliament House.

There were noisy protests in the house as he began reading the budget, prompting Speaker Meira Kumar to admonish the members and say that the minister was doing his constitutional duty. Mukherjee then began again, this time to attentive silence.

SNIPPETS OF BUDGET 2012-13

FISCAL DEFICIT    

    * Fiscal deficit seen at 5. 9 percent of GDP in 2011-12    

    * Fiscal deficit seen at 5. 1 percent of GDP in 2012-13    


SPENDING    

    * Total expenditure in 2012 / 13 seen at  14 . 9 trillion rupees    

        
REVENUE    

    * Gross tax receipts seen at  10 . 8 trillion rupees in 2012-13    

     * Non-tax revenue seen at  1 . 64 trillion rupees in 2012-13    



GROWTH AND INFLATION EXPECTATIONS   


     * Expect headline inflation to moderate in next few months and remain stable thereafter   

    * Economy expected to grow at 7.6 percent in 2012/13, plus or minus 0.25 percent       

     * Economy expected to grow at 6.9 percent in 2011/12   

     * Signs of economy turning around in March quarter   

        

POLICY REFORMS      

     * Allow external commercial borrowing of up to $1 bln to raise working capital for airlines industry for 1 year   

     * To allow qualified foreign investors in Indian corporate debt markets   

     * To allow external commercial borrowing to part finance rupee debt in power projects   

        
SECTOR SPENDING   

     * Allocates 1.94 trillion rupees for defence in 2012/13, up from 1.64 trillion rupees in previous year   

        

INFRASTRUCTURE DEVELOPMENT   


     * To award contracts to build 8,800 km of roads in 2012/13   

     * Govt doubles allocation for tax-free bonds to 600 billion rupees for financing infrastructure projects in 2012/13    

                     

 DISINVESTMENT   


     * Disinvestment target in 2012-13 of 300 billion rupees    

        

 AGRICULTURE   

     * Expects country to become self-sufficient in urea production in five years   

     * P roposes to raise agricultural credit target in 2012/13 to 5.75 tr il l io n rupees       

  SUBSIDIES   

     * To keep 2012/13 subsidies under 2 percent of GDP   

     * To inject 159 billion rupees to capitalize state-run banks in 2012/13    

        
CURRENT ACCOUNT   

     * Current account deficit seen at 3.6 percent of GDP in 2011/12   

     * Expect smaller current account deficit in 2012/13   

(Agencies)