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23 Jul 2024 |
Budget 2024, Union Budget LIVE News Updates: Finance Minister Nirmala Sitharaman presented the first full-fledged Budget of Modi 3.0. From India Inc to the middle class and job seekers, everyone has been keeping high hopes for this budget. Besides, some policy interventions could go a long way in providing impetus to the country’s economic growth and also tackle the growing unemployment issue.
In this first full budget of the third term of the Narendra Modi government, expectations have already soared high. Ahead of the budget, the Prime Minister asserted that this budget will lay the foundation of ‘Viksit Bharat’. The Prime Minister also said that this is an important budget for ‘Amrit Kaal’, which means ‘great leap’, and could propel India forward on all fronts.
From the common man to salaried individuals and India’s thriving middle class, everyone is expecting income tax relief in this budget. It would be apt to say at this juncture that India’s middle class is not only grappling with rising inflation but also bearing the brunt of growing income inequality amidst global challenges, which have exacerbated their problems amid job uncertainties. Therefore, the middle class has every reason to expect a lot from the Finance Minister.
Well-thought-out fiscal interventions and strategies could go a long way in providing much-needed relief to India’s salaried individuals and middle class. It will be interesting to see whether Sitharaman takes this much-needed step, as small taxpayers have not been fortunate since the 2020 Budget, when the government introduced the Standard Deduction of Rs 50,000 and provided relief to taxpayers earning up to Rs 7.5 lakh per annum under exemptions with the introduction of the new tax regime. Even tax experts are expecting significant changes this time in tax slabs under the old regime, which could set the ball rolling.
India’s world-beating economy is on the right track amidst global challenges, as highlighted by the Economic Survey 2023-24. It also indicated that the country’s economy has made a strong recovery after suffering a massive jolt due to the pandemic. According to the survey, India’s GDP could grow approximately 6.6-7% in FY25, clearly indicating its resilience.
BJP’s much-touted poll slogan ‘Ab ki baar 400 paar’ fell flat as it failed to cross the majority mark by itself in the Lok Sabha polls a month ago. The outcome of the polls came as a big shock for the Modi government, which now depends on the support of Nitish Kumar of the Janata Dal (United) and Chandrababu Naidu of the Telugu Desam Party (TDP). It will be interesting to see whether this will have a bearing on the budget, as both these veteran kingmakers of Indian politics have been pushing for more funds for their respective states. Amidst this scenario, the BJP-led central government could come up with a budget that includes a mix of both reforms and populist measures.
Over the years, the Modi government has not deviated much and has tried to stick to fiscal consolidation. Thus, the same could be expected from Modi 3.0 with a major push for capex in infrastructure projects, which has remained the hallmark of this government. Meanwhile, India Inc could expect the introduction of more production-linked incentive schemes (PLIs) covering labour-intensive sectors. This would not only provide jobs to India’s burgeoning youth but also give impetus to the country’s economic growth. India aspires to become a manufacturing hub, with the USA and EU seeking to reduce their overdependence on China, which has exacerbated problems for the developed world since the beginning of the Ukraine-Russia war.
Another big area of concern is unemployment, and the government could unleash some noteworthy measures to tackle this problem, which could turn into a major issue in the near future. Policies related to skilling and reskilling India’s employable youth, along with providing easy credit to those looking to start their own businesses, could take center stage in this budget.
Budget FAQs
What happens in pre budget discussions?
Following the allocation of funds, the finance minister engages in pre-budget discussions with diverse stakeholders to gain insights into their proposals and requirements. These stakeholders include state representatives, bankers, agriculturists, economists, and trade unions. This year, pre-budget consultations with ministries and other stakeholders started on June 22.
After concluding pre-budget discussions, the finance minister, following extensive consultations with the Prime Minister, makes the final decision on the demands of these stakeholders.
What happens after the budget is presented?
After the presentation, the budget undergoes scrutiny and debate in both houses of Parliament. Once approved by both chambers, the budget is forwarded to the President for official endorsement.
What is included in Budget at a glance?
The document provides a comprehensive guide outlining the key budgeted objectives for the upcoming financial year. The essential document includes crucial aspects such as tax revenue, non-tax revenue, government capital and administrative expenditures. Additionally, it presents the targeted fiscal deficit (representing the disparity between the Centre’s expenditure and revenue) and the growth objective for the nominal gross domestic product in the forthcoming year.
Who holds the record for presenting most Budgets?
Former Prime Minister Morarji Desai holds the record for presenting the highest number of budgets in history. He delivered 10 budgets during his tenure as Finance Minister from 1962 to 1969, followed by P. Chidambaram with nine budgets and Pranab Mukherjee with eight.
However, Sitharaman who will present her seventh consecutive budget will suprass Desai’s record. With her upcoming budget, she will be India’s only Finance Minister to present seven budgets consecutively.
When was the railways budget integrated into the Union Budget?
Until 2017, the Railway Budget and Union Budget were presented separately. After being presented independently for 92 years, the Railway Budget was integrated into the Union Budget in 2017 and presented jointly.
How and where to watch Budget 2024 live stream and on TV?
The Finance Minister Nirmala Sitharaman’s Budget 2024 speech will be live-streamed on various platforms, including Sansad TV’s YouTube channel and Sansad TV at 11 am.
