India’s Finance Minister Nirmala Sitharaman unveiled the Union Budget 2025 today, outlining a roadmap for economic growth, infrastructure development, and taxpayer relief. Focused on boosting jobs, innovation, and inclusive progress, here are the major announcements you need to know:
Economic Growth & Infrastructure Push
The government projects India’s GDP to grow by 7.2% in FY 2024–25, building on strong domestic demand and global opportunities. A record ₹12 lakh crore has been allocated for infrastructure upgrades, including:
- Expanding highways, railways, and metro networks in 15 cities.
- Developing 50 new economic corridors to improve logistics.
- Launching 5,000 green energy projects under the National Hydrogen Mission.
Income Tax Relief for Middle Class
To ease household budgets, the Budget introduced:
- Increased tax exemption limits: From ₹3 lakh to ₹3.5 lakh under the new tax regime.
- Revised slabs: 10% tax for income up to ₹7 lakh (up from ₹6 lakh).
- Seniors above 75 exempt from filing returns if pension/interest income is sole source.
Healthcare & Education Reforms
- ₹1.2 lakh crore allocated to healthcare, including 15,000 new rural clinics.
- PM Jan Arogya Yojana coverage expanded to include free check-ups for children under 12.
- Digital Education Fund: ₹8,500 crore for upgrading e-learning tools in government schools.
Support for Farmers & MSMEs
- Agriculture: ₹2.5 lakh crore for crop insurance, solar pumps, and cold storage chains.
- MSMEs: Interest-free loans up to ₹25 lakh for small businesses expanding to Tier-3 cities.
- Skill India Mission: Training programs for 10 lakh youth in AI, robotics, and green tech.
Green Energy & Sustainability
- Solar Power: ₹18,000 crore subsidy for households installing rooftop panels.
- EV Adoption: Tax rebates for manufacturers and buyers of electric vehicles.
- Plastic Waste Reduction: New recycling hubs in 200 districts.
Fiscal Deficit & Digital Economy
The fiscal deficit target is set at 5.8% of GDP, down from 6.2% last year. To boost transparency:
- Digital Rupee: Pilot programs for CBDC (Central Bank Digital Currency) expanded.
- E-commerce: Simplified GST rules for online sellers.
Final Takeaways
FM Sitharaman termed Budget 2025 a “bridge to a resilient, tech-driven future,” prioritizing job creation, sustainability, and equitable growth. While analysts applaud the infrastructure and tax reforms, challenges like global inflation and implementation gaps remain.
Stay tuned for more updates on how these policies impact your finances and business!