Coronavirus: FM Nirmala Sitharama announces Rs 1.7 lakh cr package for poor affected by lockdown

New Delhi: Finance Minister Nirmala Sitharaman on Thursday announced a relief package for the poor and migrant workers amid a 21-day countrywide lockdown to mitigate the impact of coronavirus (COVID-19) pandemic.

Besides, she also announced an insurance cover worth Rs 50 lakh per person for sanitation workers, ASHA workers, doctors, nurses and paramedics who are on the frontlines of the corona battle. For 80 crore poor — or two-third of the population — over and above 5 kg of rice or wheat that is already given, another 5 kg per person will be given free through the Public Distribution System. Besides, one kg of preferred and region-specific choice of a pulse will also be given, said Sitharaman.

“The government will ensure that no person remains without food in this period of lockdown,” she said while unveiling features of the Pradhan Mantri Garib Kalyan Scheme.

The farmers will get the first installment of Rs 2,000 in the first week of April. About 8.69 crore farmers will get immediate benefit out of it.

Under the MNREGA scheme, the wage rate has been increased from Rs 182 to Rs 202, amounting to an increase of Rs 2000 per worker. This will benefit 5 crore people.

For old age pensioners and widows, an additional ex-gratia amount of Rs 1,000 for the next three months available in two installments. It will benefit 3 crore widows and senior citizens.

For women Jan Dhan account holders, a one-time ex-gratia of Rs 500 per month will be given for the next three months. This will benefit 20 crore women.

For the beneficiaries of Women Ujwala Scheme, free cylinders will be given to 8.3 crore BPL families for three months.

Under the Deen Dayal National Livelihood Mission, women self-help groups (SHGs) will be provided collateral-free loans up to Rs 20 lakh from Rs 10 lakh earlier. This will impact 7 crore holders through 63 lakh SHGs.

For the organised sector, the government will pay provident fund contribution of both the employer and the employee put together at 24 per cent for the next three months. This is for those establishments with up to 100 employees and 90 per cent of them earning less than Rs 15,000 per month.

The EPFO regulation will be amended so that workers can draw up to 75 per cent of the amount for their contingency expenditure. This will benefit 4.8 crore workers.

For 3.5 crore construction workers, state governments have been directed to use the welfare fund for building and construction labourers which has about Rs 31,000 crore to help those who are facing economic disruption because of the lockdown.

State governments have also been asked to utilise funds available under the district mineral fund for testing activities, medical screening, providing health attention needed to fight the coronavirus pandemic.

WATCH: Finance Minister Nirmala Sitharaman addresses the media in Delhi https://t.co/xpmuLmyaPW

— Newsroom Post (@NewsroomPostCom) March 26, 2020

She also said that workers – like nurses, paramedics and sanitation staff – who were in the frontline of the war against the disease, will be provided medical insurance cover of Rs 50 lakh per person.

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Prime Minister Narendra Modi had on Tuesday announced a 21-day lockdown in the entire country effective from midnight to deal with the spread of coronavirus, saying that “social distancing” is the only option to deal with the disease, which spreads rapidly.