Editor, Goemkarponn
AERIAL VIEW
It is with bated breath that the Union Budget is awaited every year, for it dictates if the middle class in the country will enjoy more savings or not. With high inflation and interest rates in the last few years, most people have been struggling to maintain their standard of living.
Now, it is a ‘vote-on-account’ which has only one purpose to keep the government solvent for the first quarter of the current fiscal year.
What’s worrying is that there is a budget deficit of Rs 18 lakh crores. This means that the government is borrowing for its expenditure. This number is only going to increase next year.
Similar is the situation in Goa where the debts have risen to around Rs 35000 cr and the situation will only get worse next year.
Worrying factor is there are no mitigating measures to curb teh rise of debts except for deinvestment.
SURAJ NANDREKAR
Editor, Goemkarponn
Union Finance Minister Nirmala Sitharaman on Thursday presented the vote-on-account Budget of the Prime Minister Narendra Modi-led central government as the country is set to go to polls for Lok Sabha later this year. This was her sixth Budget as the Finance Minister. Notably, this was the Interim Budget which means that it will take care of the financial needs of the country until a new government is formed.
It is with bated breath that the Union Budget is awaited every year, for it dictates if the middle class in the country will enjoy more savings or not. With high inflation and interest rates in the last few years, most people have been struggling to maintain their standard of living.
Now, it is a ‘vote-on-account’ which has only one purpose to keep the government solvent for the first quarter of the current fiscal year.
What’s worrying is that there is a budget deficit of Rs 18 lakh crores. This means that the government is borrowing for its expenditure. This number is only going to increase next year.
Similar is the situation in Goa where the debts have risen to around Rs 35000 cr and the situation will only get worse next year.
Worrying factor is there are no mitigating measures to curb teh rise of debts except for deinvestment.
Also, Sitharaman said that she “does not propose any changes to taxation, both direct and indirect”, adding that she proposes for it to remain the same as “last financial year”.
She said India’s economy is going through a profound transformation while presenting the Narendra Modi government’s last budget before the Lok Sabha polls due by May.
The government is focused on improving conditions for the poor, women, youth and farmers, Ms Sitharaman said in her Budget 2024 speech, setting the tone for welfare schemes to be announced in these areas.
Highlights of Nirmala Sitharaman’s Budget 2024:
“The government is focused on more comprehensive GDP – governance, development, performance.” Ms Sitharaman said.
The government has brought 250 million people out of poverty in 10 years
Crop insurance scheme benefits will reach 40 million farmers.
Inflation has moderated and economic growth has picked up.
Tax reforms have widened the tax base and increased tax collections, Ms Sitharaman said.
The Finance Minister said that the next five years will see unprecedented economic growth in India.
India’s economy, the fastest growing among major nations, is going through profound change, Ms Sitharaman said to the thumping of desks in parliament.
She said that the government aims to make the country ‘Viksit’ (developed) by 2047.
“The next five years will be years of unprecedented development and golden moments to realize the dream of developed India by 2047,” Ms Sitharaman said.
Government will launch a new scheme to strengthen deep tech for defence purposes.
Sitharaman said that the government will help deserving sections of middle class to build their own houses.
FM said the government will build 20 million affordable houses in the next five years, to add to the 30 million houses built already.
Success of self-help groups empowered 1 crore women to become “Lakhpati didis”, government says while presenting Budget 2024.
FY24 fiscal deficit seen lower than target at 5.8% of GDP; pegged at 5.1% in FY25 with aim to reduce it to 4.5% by FY26.
No changes in taxation – both direct and indirect.
Tax benefits for startups, investments made by sovereign wealth, pension funds to be extended to March 2025.
The government will invest significantly in the tourism sector in the country, Finance Minister Nirmala Sitharaman said in her interim Budget 2024 speech.
She said the island Union Territory of Lakshadweep will get undivided attention from the government to improve its tourist infrastructure.
