THE HEADLINES:
- Finance Minister Nirmala Sitharaman presents the first full-fledged Budget of third term of NDA Government with focus on growth acceleration, inclusive development, promoting private sector and enhancing spending power of middle class.
- The Budget for 2025-26 proposes no income tax payable up to 12 lakh rupees in new tax regime.
- New Income-Tax slabs introduced.
- Tax deduction limit on interest for senior citizens doubled from 50,000 to 1 lakh rupees.
- Fiscal Deficit in next Fiscal Year estimated at 4.4 percent.
- ‘Prime Minister Dhan-Dhaanya Krishi Yojana’ to be introduced in select 100 districts to enhance agricultural productivity and crop diversification.
- A 6-year “Mission for Aatmanirbharta in Pulses” also to be launched.
- Kisan Credit Card Loan limit under Modified Interest Subvention Scheme to be raised from 3 to 5 lakh rupees.
- Credit guarantee cover for Micro and Small Enterprises proposed to be enhanced to 10 crore rupees.
- Term loans upto 2 crore rupees for 5 lakh first time women, SCs and STs entrepreneurs proposed.
- National Manufacturing Mission to be set up to boost “Make in India” initiative.
- FDI limit for insurance sector to be raised from 74 percent to 100 percent.
- 36 additional lifesaving drugs and medicines to be fully exempted from Basic Customs Duty.
- Broadband connectivity to be provided at all Government secondary schools and primary health centres in rural areas.
- New scheme announced for socio-economic upliftment of urban workers; PM SVANidhi scheme for street vendors to be revamped.
- 6,500 more seats in IITs, and ten thousand in medical colleges and hospitals.
- New Greenfield airports announced for Bihar.
- Top 50 tourist destinations to be developed in partnership with states.
- UDAN Scheme to be launched for connectivity to 120 new destinations.
- Federation of Indian Chambers of Commerce and Industry (FICCI) welcomes the Budget.
- BJP and the coalition partners hail the Budget saying it has many pro-poor proposals.
- Several opposition leaders criticize the government, saying the budget has nothing for the middle class and the youth of the country.
- President Droupadi Murmu inaugurates World Book Fair 2025 at Bharat Mandapam in New Delhi.
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Finance Minister Nirmala Sitharaman today presented the first full-fledged Budget of third term of NDA Government. Presenting the budget in Lok Sabha the finance minister announced that the Nil Tax Slab is now extended upto 12 lakh rupees income. The Finance Minister also said that adding the standard deduction of 75 thousand rupees for salaried class, the income of 12 lakh 75 thousand per annum will not be taxed. Ms. Sitharaman also introduced new Income-Tax slabs in new regime of taxation.
She asserted that the new structure will substantially reduce the taxes of the middle class and leave more money in their hands, boosting household consumption, savings and investment.
The limit for tax deduction on interest for senior citizens has been being doubled from 50 thousand to one lakh.
The Finance Minister announced a programme for agriculture sector, Prime Minister Dhan-Dhaanya Krishi Yojana, in partnership with states. She said with convergence of existing schemes, it will cover 100 districts with low productivity, moderate crop intensity and below-average credit parameters.
The finance minister also announced ‘Rural Prosperity and Resilience’ programme to address under-employment in agriculture through skilling, investment, technology, and invigorating the rural economy.
She said the Government will launch a 6-year “Mission for Aatmanirbharta in Pulses” with a special focus on Tur, Urad and Masoor. The budget also announced establishment of a Makhana Board in Bihar to improve production, processing, value addition, and marketing of makhana.
Ms. Sitharaman said that in line with government’s commitment towards ‘Purvodaya’, Centre will establish a National Institute of Food Technology, Entrepreneurship and Management in Bihar.
Ms Sitharaman said a National Mission on High Yielding Seeds will be launched, aimed at strengthening the research ecosystem and propagation of seeds with high yield, pest resistance and climate resilience.
For the benefit of lakhs of cotton growing farmers, the budget also announced a ‘Mission for Cotton Productivity’.
The loan limit under the Modified Interest Subvention Scheme will be enhanced from 3 lakh to 5 lakh rupees for loans taken through the Kisan Credit Card.
She said, the services of India Post Payment Bank will be deepened and expanded in rural areas. She also said India Post will be transformed as a large public logistics organization.
The budget announced enhancement of investment limit for classification of MSMEs by 2.5 times and doubling of turnout limit also.
Ms. Sitharaman also announced that a new scheme will be launched for 5 lakh women, Scheduled Castes and Scheduled Tribes first-time entrepreneurs. This will provide term loans up to 2 crore rupees during the next 5 years.
Ms. Sitharaman said that to enhance the productivity, quality and competitiveness of India’s footwear and leather sector, a focus product scheme will be implemented. The scheme is expected to facilitate employment for 22 lakh persons, generate turnover of 4 lakh crore rupees and exports of over 1.1 lakh crore rupees.
The Union Budget also proposed the setting up of Fifty thousand Atal Tinkering Labs in Government schools in next 5 years to cultivate the spirit of curiosity and innovation, and foster a scientific temper among young minds.
Mrs Nirmala Sitharaman declared that gig workers of online platforms will be provided healthcare under PM Jan Arogya Yojana, they will also be registered on the e-Shram portal and provided identity cards.
Mrs Sitharaman said ten thousand additional seats will be added in medical colleges and hospitals, besides Day Care Cancer Centres will be set up in all district hospitals in the next 3 years, of which 200 such centres will come up in the next financial year.
Among the states, Bihar found mention in the Finance Minister’s speech as she announced new Greenfield airports for Bihar. These will be in addition to capacity expansion of Patna airport and a brownfield airport at Bihta, she said. Farmers in Mithilanchal region of Bihar will also benefit with the government extending financial support to Western Koshi Canal ERM Project.
Targeting Exports as the 4th engine of growth, the Finance Minister proposed to set up Export Promotion Mission. It will facilitate easy access to export credit and support to MSMEs to tackle non-tariff measures in overseas markets. A digital public infrastructure, ‘BharatTradeNet’ (BTN) for international trade will also be set up to complement the Unified Logistics Interface Platform.
The General Budget also proposed rationalization of Tax Deduction at Source (TDS) by reducing the number of rates and thresholds above which TDS is deducted. It also introduces increase in threshold amounts for tax deduction for better clarity and uniformity. The threshold to collect tax at source (TCS) on remittances under RBI’s Liberalized Remittance Scheme (LRS) has been increased to 10 lakh from 7 lakh rupees.
In a boost to Indian start-up ecosystem, the government has extended the period of incorporation by 5 years to allow the benefit available to start-ups which are incorporated before 1st April, 2030. Finance Minister further announced that the FDI limit for the insurance sector will be raised from 74 to 100 per cent.
The Union Budget also proposed that Public Sector Banks will develop ‘Grameen Credit Score’ framework to serve the credit needs of SHG members and people in rural areas.
To enhance ‘ease of doing business’ a High-Level Committee for Regulatory Reforms will be set up for a review of all non-financial sector regulations, certifications, licenses, and permissions.
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Home Minister Amit Shah welcomed the Union Budget 2025 saying that it is a blueprint of the government’s vision towards building a developed India. In a social media post, Mr.Shah said the budget covers every sector from farmers, poor, middle class to Start Up, innovation and investment, which is the roadmap for a self-reliant India. He added that the proposed tax exemption will go a long way in enhancing the financial well-being of the middle class.
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Several BJP MPs and the coalition members have hailed the General Union Budget saying it has many pro-poor proposals and benefits for the middle class. Agriculture Minister, Shivraj Singh Chauhan, said this budget is to make India a self-sufficient country and has prioritized the agriculture since it forms the backbone of the economy of the country.
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The Federation of Indian Chambers of Commerce and Industry (FICCI) has welcomed the Union Budget 2025 stating that focus on tourism and marine sector is a big push. Addressing the media, President of FICCI Harsha Vardhan Agarwal said the major highlight of this year’s budget has been the reduction in the tax rate.
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President Droupadi Murmu inaugurated the New Delhi World Book Fair 2025 at Bharat Mandapam in New Delhi this afternoon. This year, the book fair’s theme is ‘We the People of India’, commemorating 75 years of the Republic of India.
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Several opposition leaders have criticized the government, saying the budget has nothing for the middle class and the youth of the country. Talking to media outside the Parliament, Congress MP Shashi Tharoor said that the budget does not discuss the problem of unemployment and other issues concerning the youth.
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THE HEADLINES ONCE AGAIN:
- Finance Minister Nirmala Sitharaman presents the first full-fledged Budget of third term of NDA Government with focus on growth acceleration, inclusive development, promoting private sector and enhancing spending power of middle class.
- The Budget for 2025-26 proposes no income tax payable up to 12 lakh rupees in new tax regime.
- New Income-Tax slabs introduced.
- Tax deduction limit on interest for senior citizens doubled from 50,000 to 1 lakh rupees.
- Fiscal Deficit in next Fiscal Year estimated at 4.4 percent.
- ‘Prime Minister Dhan-Dhaanya Krishi Yojana’ to be introduced in select 100 districts to enhance agricultural productivity and crop diversification.
- A 6-year “Mission for Aatmanirbharta in Pulses” also to be launched.
- Kisan Credit Card Loan limit under Modified Interest Subvention Scheme to be raised from 3 to 5 lakh rupees.
- Credit guarantee cover for Micro and Small Enterprises proposed to be enhanced to 10 crore rupees.
- Term loans upto 2 crore rupees for 5 lakh first time women, SCs and STs entrepreneurs proposed.
- National Manufacturing Mission to be set up to boost “Make in India” initiative.
- FDI limit for insurance sector to be raised from 74 percent to 100 percent.
- 36 additional lifesaving drugs and medicines to be fully exempted from Basic Customs Duty.
- Broadband connectivity to be provided at all Government secondary schools and primary health centres in rural areas.
- New scheme announced for socio-economic upliftment of urban workers; PM SVANidhi scheme for street vendors to be revamped.
- 6,500 more seats in IITs, and ten thousand in medical colleges and hospitals.
- New Greenfield airports announced for Bihar.
- Top 50 tourist destinations to be developed in partnership with states.
- UDAN Scheme to be launched for connectivity to 120 new destinations.
- Federation of Indian Chambers of Commerce and Industry (FICCI) welcomes the Budget.
- BJP and the coalition partners hail the Budget saying it has many pro-poor proposals.
- Several opposition leaders criticize the government, saying the budget has nothing for the middle class and the youth of the country.
- President Droupadi Murmu inaugurates World Book Fair 2025 at Bharat Mandapam in New Delhi.
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