09/09/2015 8:33 PM IST | Updated 15/07/2016 8:25 AM IST

Here Are The 6 Key Proposals Cleared By The Union Cabinet

World Economic Forum/Flickr
Arun Jaitley, Minister of Finance, Corporate Affairs and Defence of India at the World Economic Forum - India Economic Summit 2014 in New Delhi, Copyright by World Economic Forum / Benedikt von Loebell

Modi’s cabinet announced six key financial proposals on Wednesday ranging from allowing telecom companies to trade spectrum to a hike in central government pay.

The six proposals cleared by the government include:

  • A 6 per cent hike in Dearness Allowance (from 113 per cent to 119 per cent) that will benefit over 1 crore central government employees, effective from July 1
    • Spectrum trading in all bands in order to boost availability of frequencies to cellular companies that will then improve connectivity. This will also address the issue of call drops.
    • Gold Bond and gold Monetization schemes to reduce the demand for gold in physical form, and uncover dormant gold from households, and other areas. The Gold Bond scheme will have an annual cut-off of 500 grams per person and would be issued for 5-7 years.
    • An approval for offshore wind farms.
    • 100 per cent FDI under automatic route in white-labelled ATMs
    • To accelerate international trade, Rs 800 crore capital will be infused in Export Important Bank of India.

    Contact HuffPost India