Finance Minister Nirmala Sitharaman presented the interim #budget2024 today on February 1, 2024. It is the last budget by the current Modi government before the country heads for a general election this year. Keeping that in mind, FinMin presented a modest budget to sustain India’s burgeoning presence in the global economy. It chalks a roadmap for India’s growth for the next few years as the nation aims to become a USD30 trillion economy by 2050. Here is the Interim Budget 2024 for you at a glance.
Here are the key highlights from the budget presented today.
- The country’s economy has evolved significantly in the last ten years as India emerged as a global player. To continue on the growth path, FinMin announced a bunch of proposals that will support the country’s progress for the next five years.
- The budget focused on fiscal consolidation, infrastructure development, agriculture, green growth, and railways.
- It advocated inclusiveness by prioritizing growth for farmers, women, and all those facing economic challenges for wholesome growth for all.?
- India is finally in a position to benefit from the trinity of democracy, demography, and diversity, which will help fulfill the aspirations of all Indians.
- The government will undertake reform actions to make the eastern region the driver of India’s growth.?
- Importance will continue to strengthen domestic macro factors, including sustained investments in infrastructure, agriculture, and domestic tourism.
- On the financial front, the government announced a capex outlay of ?11.1 lakh crore for the next year or 3.4% of the GDP. It is 11% higher than the current fiscal. An increase in capital expenditure has a multiplier effect on the country’s growth and employment.
- The government has set a target to reduce the fiscal deficit to 5.1% in FY25 and 4.5% in FY26. As the government borrowing volume reduces, it will lower the inflation pressure in the economy.
Besides focusing on overall growth, the finance minister also announced specific plans for the various sectors of the economy, including industries, agriculture, and tourism.?
- The government reveals plans for expanding and strengthening the manufacturing and charging infrastructure for EVs.
- The government continues to focus on infrastructural development in all forms digital, social, and physical.
- There is a fresh allocation of ?2.55 lakh crore in the railway sector, which will include developing energy, mineral, and cement corridors.
- New manufacturing units receiving an extension of concessional tax rates will see a spur in innovation and production.?
- The sunrise tech sector will receive a corpus of ?1 lakh crore to drive private investment.
- Training will be provided to the MSMEs to compete globally. Under the Skill India initiatives 1.4 crore young individuals will receive upskilling and re-skilling trainings.
- The Finance Minister announced launching Blue Economy 2.0 to promote agriculture.
- The budget will focus on empowering dairy farmers to boost productivity.?
- 4 crore farmers will have access to crop insurance under PM Fasal Bima.?
- The healthcare sector will receive ?90,170 crore for the betterment of the healthcare segment, a 13% increase from revised estimates for 2022-23.
- The government plans to set up hospitals in all districts and bring all Aasha workers and Aanganwadi workers under the Ayushman Bharat scheme.?
- The government announces its plan to introduce cervical cancer vaccination for 9-14-year-old girls.
It is an interim budget. The full budget will be presented in July once the new government is formed. Overall, the budget presents a holistic growth plan. The market experts also believe that the budget satisfies their expectations.?
