Income Tax reforms
Increased Tax Exemption Threshold: The income tax exemption limit has been raised from Rs 8 lakh to Rs 12 lakh per annum, aiming to boost disposable income and consumer spending among the middle class
Revised Tax Slabs: Tax rates have been adjusted across various income brackets to reduce the tax burden on individuals and encourage savings and investment
Agriculture and farmer support
High-Yield Crop Programme: A six-year initiative has been launched to enhance the production of pulses and cotton, focusing on reducing reliance on imports and supporting farmers through guaranteed price purchases
Subsidised Credit Increase: The budget proposes an increase in subsidised farm loans to provide better financial support to farmers, aiming to boost agricultural productivity and income
Infrastructure and investment
Capital Expenditure: The government plans to modestly increase capital spending to stimulate private investment and support economic growth
National Manufacturing Mission: A new mission has been proposed to boost manufacturing and exports, aiming to strengthen India’s position in the global market
Support for gig economy workers
Formalisation and Welfare Access: The budget includes measures to formalise gig economy workers, improving their access to healthcare and welfare initiatives, thereby providing them with better social security
Energy sector initiatives
Nuclear Energy Mission: A significant investment has been announced to achieve 100 GW of nuclear power by 2047, aiming to diversify energy sources and enhance energy security
Fiscal outlook
Fiscal Deficit Target: The government aims to reduce the fiscal deficit to 4.4% of GDP, balancing the need for fiscal prudence with growth-oriented spending. These measures reflect the government’s strategy to revitalize the economy by enhancing consumer spending, supporting key sectors like agriculture and manufacturing, and investing in infrastructure and energy (With inputs from agencies)
