Finance Minister Nirmala Sitharaman presented the Union Budget for the fiscal year 2025-26 today, focusing on agriculture, manufacturing, and inclusive growth. Key announcements include:
Agriculture: A six-year mission to boost pulses production and a five-year mission for cotton cultivation were introduced. The government also plans to launch a comprehensive program for fruits and vegetables to enhance agricultural productivity.
Manufacturing and MSMEs: A National Manufacturing Mission was established to support the "Make in India" initiative, along with the setup of five national skilling centers to enhance skilled manpower for manufacturing. The credit guarantee cover for small and medium enterprises has been enhanced to ₹100 million.
Start-ups: A fund of funds with a government contribution of ₹100 billion will be set up to support start-ups.
Infrastructure: The budget allocates ₹1.5 trillion in 50-year interest-free loans to states for infrastructure development. Additionally, a Maritime Development Fund with a corpus of ₹250 billion and an Urban Challenge Fund worth ₹1 trillion have been announced.
Taxation: The Finance Minister proposed transformative reforms in taxation, aiming to simplify the income tax bill and reduce TDS thresholds. A new income tax bill is expected to be introduced next week.
Fiscal Deficit: The fiscal deficit for FY26 is estimated at 4.4% of GDP, aligning with the government's commitment to fiscal consolidation.
These measures reflect the government's focus on strengthening the economy through support for key sectors and fiscal prudence.
Post a comment