Budget 2020: Govt allocates Rs 6000 crore to BharatNet programme to boost digital connectivity

Union Finance Minister Nirmala Sitharaman Saturday proposed to allocate Rs 6000 crore to BharatNet programme – a government-run programme which aims to provide on demand, affordable broadband connectivity for all households and institutions.

“All the public institutions at Gram Panchayat levels will be provided with digital connectivity. Fibre to the home (FTTH) connections through BharatNet will link 1,00,000 Gram Panchayats this year. It is proposed to provide Rs 6000 crore to BharatNet programme 2020-2021,” Sitharaman said while announcing the Budget 2020-21.

Sitharaman additionally proposed to bring out a policy to enable private sector to build data centre parks throughout the country. “..It will enable our firms to skilfully incorporate data every step of their value chain.”

Indian Express recently reported that the second phase of the government’s BharatNet project is also lagging behind the schedule post a delay in phase one of its implementation. The second phase had a target of providing connectivity to 1.5 lakh gram panchayats of which it has achieved just 7.45% so far.

The Indian government on Thursday also restored the 2 percent additional duty incentive under the Merchandise Export from India Scheme (MEIS) on mobile phone export.