Road Construction The road construction sector has reached a certain level of maturity. But it faces 57. The road construction sector has reached a certain level of maturity. But it faces 57. challenges not envisaged earlier, including financial stress, enhanced construction risk and contract management issues, that are best addressed by an independent authority. Hence, Government has decided to constitute a regulatory authority for the road sector. Bottlenecks stalling road projects have been addressed and 3,000 kms of road projects in Gujarat, Madhya Pradesh, Maharashtra, Rajasthan and Uttar Pradesh will be awarded in the first six months of 2013-14.

##### Cabinet Committee Investment

58. of investment in the industrial sector, especially manufacturing, is a key 58. of investment in the industrial sector, especially manufacturing, is a key challenge. Many projects are stalled because they are unable to clear regulatory hurdles. The Cabinet Committee on Investment (CCI) has been set up to monitor investment proposals as well as projects under implementation, including stalled projects, and guide decision-making in order to remove bottlenecks and quicken the pace of implementation. Two meetings of the CCI have been held already and decisions were taken in respect of a number of oil and gas, power, and coal projects. CCI will take up some more projects shortly.

##### New Investment

59. attract new investment and to quicken the implementation of projects, I propose to 59. attract new investment and to quicken the implementation of projects, I propose to introduce an investment allowance for new high value investments. A company investing 100 ` crore or more in plant and machinery during the period 1.4.2013 to 31.3.2015 will be entitled to deduct an investment allowance of 15 percent of the investment. This will be in addition to the current rates of depreciation. There will be enormous spill-over benefits to small and medium enterprises. The National Electronics Policy 2012 is intended to promote manufacture of electronic 60. goods in India. We recognise the pivotal role of semiconductor wafer fabs in the eco-system of manufacture of electronics. I propose to provide appropriate incentives to semiconductor wafer fab manufacturing facilities, including zero customs duty for plant and machinery.

Savings Increasing savings and their optimal allocation for productive uses lead to higher 61. Increasing savings and their optimal allocation for productive uses lead to higher 61. economic growth. After touching a high of 36.8 percent in 2007-08, gross domestic saving fell by 6 percentage points in 2011-12. The private sector, comprising households and corporates, remains the main contributor to saving. The household sector must be incentivised to save in financial instruments rather than buy gold. Hence, I propose the following measures:

• the Rajiv Gandhi Equity Savings Scheme will be liberalised to enable the • the Rajiv Gandhi Equity Savings Scheme will be liberalised to enable the first time investor to invest in mutual funds as well as listed shares and she can do so, not in one year alone, but in three successive years. The income limit will be raised from 10,00,000 to 12,00,000; ` ` Secondly, a person taking a loan for his first home from a bank or a housing • finance corporation upto 25,00,000 during the period 1.4.2013 to 31.3.2014 will ` be entitled to an additional deduction of interest of upto 100,000. This will `