Interim Budget 2024 Highlights

Interim Budget 2024 Highlights 

1. The budget started on a positive note, highlighting the measures taken by the govt. over the last 10 years to develop various sectors of the economy;
2. FM emphasised govt’s priority to support the rural economy & empower 4 segments of India’s population: the poor, women, youth & farmers; 
3. Policy priority is to provide training for MSMEs to compete globally;
4. Govt. will encourage cervical cancer vaccination for girls in the age group of 9-14 years;
5. Govt to bring maternal, child care health schemes under one comprehensive scheme;
6. Govt. will help housing for the middles class, living in rented or slums or unauthorised colonies to build or buy their own houses;
7. 2 Cr more houses will be built under PM AAWAS YOJNA in next 5 years;
8. Govt. to double the exports to ₹1L Cr leading to generation of 5 lakh new jobs;
9. The capex target of FY25 has been set at ₹11.1L Cr, up by 11.1%. Though as per CRISIL, this higher capex is lower than what has been the run rate in the previous years which implies that private sector will have to step in if the growth momentum has to be maintained;
10. A corpus of ₹1L Cr will be made available with 50 year interest free loans to provide long term financing at low/NIL interest rates for the private sector to scale up R&D;
11. Govt. will expand & strengthen the EV eco system by supporting manufacturing & charging infrastructure;
12. To promote green growth a new scheme of bio manufacturing will be launched;
13. Key rail infrastructure incl. Metro Rail & Namo Bharat will be expanded to more cities. Around 40,000 normal rail bogies will be converted to coaches of Vande Bharat standards;
14. Tourism projects will be taken up at islands like Lakshadweep;
15. FY24 fiscal deficit has been revised down to 5.8% of GDP with FY25 fiscal deficit target set at 5.1% of GDP. Aim to reduce fiscal deficit below 4.5% by FY 26;
16. FY25 Gross market borrowing pegged at ₹14.13L Cr , net borrowing at ₹11.75L Cr & this is lower than that of FY24;
17. For FY 24-25, the tax receipts are estimated at ₹ 26.02L Cr;
18. Tax base of GST has doubled. Average GST monthly collection has almost doubled to ₹1.66L Cr;
19. No changes in taxation, direct/indirect taxes or custom duties;
20. Govt proposes to withdraw outstanding tax demands of upto ₹25,000 pertaining to period upto FY 09-10 & upto ₹10,000 for FY10-11 & FY14-15. This will benefit around 1 Cr tax payers;