Budget 2024: What are NDA government's key priorities
Union Finance Minister Nirmala Sitharaman presented the Union Budget for 2024-25 on Tuesday, highlighting nine key areas of focus for the third term of the Modi-led National Democratic Alliance (NDA) government. The priorities include agriculture, employment, human development, energy security, manufacturing, innovation, infrastructure, and next-generation reforms. This budget is an extension of plans announced in the interim budget earlier in February.
Sitharaman highlights budget's inclusive approach
Sitharaman emphasized the budget's commitment to cater to all citizens, irrespective of religion, caste, gender, and age. "People have given a unique opportunity to our government to take the country toward prosperity. This Budget envisages sustained efforts on the following nine priorities for generating ample opportunities for all," she stated. She added that this budget is designed with an inclusive approach in mind.
India's economic growth amid global uncertainty
Sitharaman talked about "India's economic resilience" amidst global policy uncertainty. "India's economic growth continues to shine while the global economy is still in the grip of policy uncertainty," she said. She noted that India's inflation remains stable and is moving toward a 4% target with core inflation at 3.1%. The Economic Survey 2024-25 estimates a 7% plus growth in medium term.
Emphasis on employment and skilling
The 2024 budget places significant emphasis on employment, skilling, and the agriculture sectors. Five schemes aimed at skilling and employment will target 4.1 crore youth over the next five years with a budgetary allocation of ₹2 lakh crore. A new scheme will offer one month wage up to ₹15,000 to those joining the formal sector, benefiting an estimated 2.1 crore youths.
Agriculture and allied sectors receive significant allocation
The government has allocated ₹1.52 lakh crore to agriculture and allied sectors. The aim is for 1 crore farmers to adopt natural farming in two years and plans are in place to release 109 crop varieties. This allocation is part of the government's commitment to bolstering the agricultural sector, a key priority outlined by Sitharaman in her budget speech.
Plans for FDI rules simplification and regional development
The budget includes plans to simplify Foreign Direct Investment (FDI) rules to facilitate more inflows and promote rupee usage. Additionally, the government will formulate Purvodaya for all-round development of Bihar, Jharkhand, West Bengal, Odisha and Andhra Pradesh. These initiatives are part of the government's broader strategy to stimulate economic growth and regional development.
Provisions for student loans and housing
E-vouchers of loans worth ₹10 lakh will be given to 1 lakh students for interest subvention of 3% of the amount. The Finance Minister has also promised to facilitate ₹15,000 crore for Andhra Pradesh with additional amounts in future years. Furthermore, the budget has made provisions for three crore additional houses in rural and urban areas.
