Finance Minister Nirmala Sitharaman has begun presenting the seventh consecutive Union Budget for the year 2024-2025 in the parliament today on Tuesday, July 23 at around 11 AM. This Union Budget for the financial year 2024-2025 is said to be the action plan for the Modi 3.0 government on the development plans for the next five years.
Nine Pillars of ‘Viksit Bharat’
Nirmala Sitharaman mentioned that the Union Budget’s roadmap of development included the government’s nine pillars of a ‘Viksit Bharat’. These are productivity and resilience in agriculture, employment and skilling, improved human resources, social justice, manufacturing and services, urban development, energy security, infrastructure, innovation, research and development, and next-gen reforms.
Credits To MSMEs
The Finance Minister made major announcements concerning politically significant states like Andhra Pradesh and Bihar, ruled by NDA parties. As a highlight, a hike in Long Term Capital Gains Tax from 10% to 12.5% has been announced, referencing a jump in equity investments and private booking by investors. Moreover, schemes in favor of tribal communities have been introduced along with mechanisms to facilitate credits to MSMEs (Micro, small, and medium enterprises, in light of the challenges faced by the MSMEs as they contribute 30% of our GDP.
Provisions For Farmers, Youth, Women, And The Poor
Sitharaman suggested that the budget focuses on the youth, women, farmers, and the poor. She claimed that the government has made a provision of Rs. 1.48 Lakh Crore for the country’s education, employment, and skilling. The PM Garib Kalyan Anna Yojana has been extended for the next five years, benefiting 80 crore people in the country. One crore farmers would be initiated in natural farming with a large scale of vegetable production clusters being promoted to increase output. 109 new high-yielding seeds, climate-resilient seeds for 32 fields, and horticulture crops would also be released.
Reduction In Custom Duties
While speaking on GST, the government is set to simplify and rationalize the tax structure to facilitate easy business in the country. Custom duties on gold and silver will be reduced to 6%, along with platinum’s custom duty being reduced to 6.4%. Moreover, the government’s budget mentioned assistance to Assam’s flood management, and irrigation projects. A major capital fund of Rs. 1000 crore would be contributed to the space technology budget. Furthermore, the limit of Mudra loans has been reduced to Rs. 10 Lakh from the limit of Rs. 20 Lakh. The highlights presented so far point to a strong Union Budget.