House View – Union Budget 2024-25

Finance Minister Nirmala Sitharaman unveiled the Union Budget 2024-25 Tuesday, poised to establish a strong foundation for realising the Viksit Bharat dream by 2047.

The first budget after the government came to power for the third consecutive term was presented in the backdrop of a robust domestic economy, which exhibited a real GDP growth rate of 8.2% in FY 2023-24. 

The budget outlined nine key priorities aiming at fostering economic growth and creating job opportunities across sectors, agriculture, human resource development and social justice, innovation, research and development, skill development, urban development, infrastructure, manufacturing and services, energy security, and next-generation reforms.

The Union Budget 2024-25 strategically aligns with the government's overarching priorities of capital expenditure, fiscal consolidation, and social welfare, judiciously allocating the windfall from increased dividends remitted by the RBI.

In order to allocate funds for its areas of focus, the government aims to make the investment climate attractive through tax incentives for foreign investments and streamlined regulations for Foreign Direct Investment and Overseas Investments.

Additionally, the revision of tax brackets and a raised standard deduction of INR 75,000 could alleviate the tax burden and boost disposable income for middle-income earners, thereby fostering savings and investment.

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