Introduction to Union Budget 2024-2025

The Union Budget 2024-2025, presented by Finance Minister Nirmala Sitharaman, outlines India's strategic plan to sustain economic growth and stability amidst global uncertainties. With a focus on low and stable inflation, the budget aims to achieve a 4% inflation target while addressing key areas such as employment, skill development, agriculture, and rural development. Significant investments in education, infrastructure, and women's development are also highlighted, alongside comprehensive tax reforms designed to provide relief to individuals and boost corporate investment. The budget's overarching goal is to pave the way for a 'Viksit Bharat' (Developed India), ensuring ample opportunities and inclusive growth for all citizens.

India's Economic Growth and Inflation Targets

India's economy continues to show resilience despite global uncertainties. Presenting the Union Budget 2024-25, Finance Minister Nirmala Sitharaman emphasized India's low and stable inflation, moving towards the 4% target. Core inflation stands at 3.1%, with measures in place to ensure the steady supply of perishable goods.

Major Schemes and Investments

Prime Minister's package includes five major schemes with an outlay of Rs.2 lakh crore aimed at creating employment, enhancing skills, and providing opportunities for 4.1 crore youth over five years. Additionally, Rs.1.48 lakh crore has been allocated for education, employment, and skill development this year.

Budget Focus Areas

The budget highlights nine priorities to support the vision of 'Viksit Bharat' (Developed India), including:

• Boosting agricultural productivity and resilience
• Promoting employment and skill development
• Fostering inclusive human resource development and social justice
• Enhancing manufacturing and services
• Driving urban development
• Ensuring energy security
• Strengthening infrastructure
• Encouraging innovation, research, and development
• Implementing next-generation reforms
• Agricultural Initiatives

To enhance agricultural productivity, the government will introduce 109 high-yielding and climate-resilient crop varieties. Over the next two years, 1 crore farmers will adopt natural farming practices, supported by certification and branding efforts. Ten thousand bio-input resource centers will be established to aid this transition.

Financial Provisions for Agriculture

A significant provision of Rs.1.52 lakh crore has been allocated for the agriculture and allied sectors this year. Efforts will also focus on achieving self-sufficiency in pulses and oilseeds, with an emphasis on improving production, storage, and marketing.

Support for the Eastern Region

A comprehensive development plan named Purvodaya will be launched to support the all-round development of the eastern region, covering states like Bihar, Jharkhand, West Bengal, Odisha, and Andhra Pradesh.

Women's Development

The budget allocates over Rs.3 lakh crore for schemes benefiting women and girls, aiming to promote women-led development.

Rural Development and Infrastructure

With an allocation of Rs.2.66 lakh crore, the budget aims to improve rural infrastructure and overall development. Phase IV of the PMGSY will ensure all-weather connectivity to 25,000 rural habitations.

Tax Reforms and Reliefs

Significant tax relief measures include:

• Raising the standard deduction in the new tax regime from Rs.50,000 to Rs.75,000.
• Increasing the family pension deduction from Rs.15,000 to Rs.25,000.
• Abolishing angel tax to boost start-ups and investments.
• Reducing corporate tax for foreign companies from 40% to 35%.
• Merging 5% TDS on various payments to 2%.
• Miscellaneous Announcements
• The Mudra loan limit will be raised from Rs.10 lakh to Rs.20 lakh.
• A new scheme will offer internship opportunities in 500 top companies to 1 crore youth over five years.
• Under PM Awas Yojana Urban 2.0, Rs.10 lakh crore will be invested to address housing needs for 1 crore urban poor and middle-class families.
• Custom duties on various items, including X-ray panels, mobile phones, PCBA, and precious metals like gold and silver, will be reduced.

India's Union Budget 2024-2025 aims to build a robust, inclusive, and resilient economy with a strong focus on agriculture, employment, rural development, women's empowerment, and tax reforms. With significant investments and strategic initiatives, the budget seeks to create ample opportunities for all and drive the nation towards the vision of 'Viksit Bharat'.

Here are Timely updation of Budget Coverages: