Budget 2024 On July 23, Finance Minister Nirmala Sitharaman presented India’s Union Budget for the fiscal year 2024-25. This budget, her seventh consecutive presentation, focuses on stimulating economic growth, managing inflation, and addressing the needs of various sectors, particularly agriculture, infrastructure, and MSMEs (Micro, Small, and Medium Enterprises).
Budget 2024 Major Focus Areas
- Agriculture and Rural Development: The government continues to prioritize the agricultural sector, with significant allocations aimed at doubling farmers’ incomes. The budget for agriculture has increased fivefold over the past decade, reflecting a strong commitment to rural development. Initiatives such as the PM Kisan scheme and the Soil Health Card programme are key components of this strategy.
- Infrastructure and Railways: A notable aspect of the budget is the increased capital allocation for the railway sector, aimed at enhancing infrastructure and modernizing assets. The railway ministry received a record Rs 2.55 trillion, the highest allocation ever.
- Inflation and Fiscal Management: The budget emphasizes proactive inflation management and fiscal consolidation, with a target to reduce the fiscal deficit to 4.5% of GDP by FY26. This involves careful management of expenditures, including subsidies for food, fertilizers, and LPG.
- Taxation and Cost of Goods: Changes in taxation have led to some products becoming more expensive while others have become cheaper. For instance, the budget has reduced taxes on items like televisions and smartphones, making them more affordable. On the other hand, products such as cigarettes, bicycles, and air travel have seen price increases due to higher taxes.
- Welfare and Social Schemes: The budget reinforces the government’s commitment to inclusive development through schemes like Ujjwala (for clean cooking fuel), Jal Jivan Mission (for safe drinking water), and Swachh Bharat (for sanitation). These initiatives aim to improve the quality of life and promote sustainability.
Reactions and Implications
The budget has been met with mixed reactions. Supporters praise its focus on growth and development, while critics argue that it falls short on addressing key issues such as job creation and comprehensive welfare measures. The budget’s impact on daily life will be closely watched, particularly in terms of price changes for essential goods and services.
As India moves towards achieving its long-term vision of ‘Vikshit Bharat’ by 2047, this budget sets the stage for significant policy directions and economic planning.
Overall Impact and Reactions
The Union Budget 2024 is seen as a balanced approach towards stimulating economic growth while ensuring fiscal responsibility. It has received a mixed response, with praise for its developmental focus but some criticism for not fully addressing issues like job creation.
As India aims for long-term growth and development, this budget lays the groundwork for achieving a more prosperous and equitable society by 2047, aligning with the government’s vision of ‘Vikshit Bharat.’
