Union Finance Minister Nirmala Sitharaman stated on Saturday that India’s economy is the fastest-growing in the world and that the government will guarantee massive growth in the upcoming years across the board on the path to achieving “Viksit Bharat.”
Wearing an off-white handloom silk saree embellished with Madhubani artwork, which was gifted to her by Padma Shri recipient Dulari Devi, she presented her ninth straight Union Budget. This saree draws attention to the Mithila region of Bihar’s artisans and showcases India’s rich cultural legacy.
The Finance Minister, who is presenting her 8th straight budget and the second complete Union Budget of the NDA government’s third term, stated that the budget’s main objectives are to help MSMEs, empower farmers, ensure innovation, and boost exports while fostering agricultural growth.
“Some of our growth engines are MSMEs, agriculture, and exports, and we will continue to strengthen these sectors,” she stated.
The government’s efforts to ensure inclusive development and boost growth are maintained in this budget. In her opening remarks, FM Sitharaman stated, “It seeks to stimulate private sector investments, improve household sentiments, and strengthen the power of India’s growing middle class.”
Beginning on Friday, the Budget Session of Parliament will be held in two stages: the first will begin on January 31 and run through February 13; the second will start on March 10 and go through April 4.
Highlights of Budget 2025
- The Finance Minister declared, “The PM Dhan Dhanya Krishi Yojana will help 1.7 crore farmers and seeks to create plenty of opportunities in rural areas so that migration becomes an option, not a necessity.” The nation’s consumption of fruits and vegetables is rising in tandem with rising income levels.
- Launch of the National Manufacturing Mission would promote manufacturing in India. As the nation emerges as a bright spot on the global manufacturing map, Finance Minister Nirmala Sitharaman announced a National Manufacturing Mission on Saturday to further advance the ‘Make In India’ campaign across industries.
- 10,000 more seats in medical schools and childcare cancer centers are part of the Union Budget 2025–2026. According to her, “an additional 10,000 seats will be added to medical colleges next year, and 75,000 seats will be added over the next five years.”
- Finance Minister Nirmala Sitharaman made a significant announcement on Saturday, stating that a new income tax bill will be introduced by the government the following week. The Finance Minister stated during the presentation of the Budget 2025–2026 that the IT Department will “trust first, scrutinize later” when the new Income Tax Code is released the following week.
- The ‘Make in India‘ campaign gained momentum when the Finance Minister announced plans to scale up and facilitate toy production. In order to develop a competent workforce, she also disclosed intentions to create clusters and an ecosystem for toy manufacture.
- Finance Minister Nirmala Sitharaman declared on Saturday that salaries up to Rs 12 lakh and Rs 12.75 lakh for salaried taxpayers (including standard deduction) would not be subject to income tax, which is a huge benefit for the middle class in India.
- FM Sitharaman’s announcements regarding gig workers’ social security and internet in government schools. A social security strategy for gig workers and a significant focus on closing the educational gaps in government-run schools are two of her “Viksit Bharat” blueprints. “50,000 Atal tinkering laboratories will be installed in schools to encourage scientific temper and curiosity. “All government secondary schools will have access to broadband connectivity,” she stated. “To help students understand subjects in their language, we propose to implement the Bharatiya Bhasha Pustak scheme,” she continued.
- She has maintained a downward trajectory for the budget deficit objective, which will drop from 4.8% of GDP in 2024–2025 to 4.4% in 2025–2026. According to the Finance Minister, net market borrowing for the budget has been set at Rs 11.54 crore, with small savings plans providing the remaining cash.
- She provided medical tourism a significant boost and announced waivers from basic customs tax on 36 life-saving medications. According to the FM, “36 life-saving medications are exempt from basic customs duty, while six life-saving medications will be subject to 5% customs duty.”
- On Saturday, the Union cabinet enhanced the defense pension by 14% and gave the Ministry of Defence (MoD) more than Rs 6.81 lakh crore. The Border Roads Organisation (BRO) has been given Rs 7,146.50 crore under the capital item to improve the border infrastructure and make it easier for military personnel to move across difficult terrain. This amount is 9.74% more than the BE for 2024–2025.
- The PM Dhan Dhanya Krishi Yojana, which will help 1.7 crore farmers, was unveiled by the Union Finance Minister. Increased agricultural output, crop diversification, post-harvest storage at the panchayat and block levels, irrigation support, and improved short- and long-term finance availability are all goals of the PM Dhan Dhanya Krishi Yojana.