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4 Areas of focus

To empower and promote well-being of the economy government will focus on 4 major sections

* Underprivileged – Uplifting them from poverty

* Women – To enhance their dignity

* Youth - Focus on up-skilling & re-skilling

* Farmer – To provide welfare for Annadata

Infrastructure

* Capital expenditure outlay increased by 11.1% to 11.1 lakh cr for FY24-25 (3.4% of GDP) as compared to Rs 10 lakh cr in FY23-24

* Under PM Gati Shakti, 3 major corridor programs will be implemented, a) energy, mineral and cement corridors, b) port connectivity corridors and c) high traffic density corridors.

* Expanding infrastructure is on cards with development of existing & new airports as well as Metro Rail and NaMo Bharat.

* In Railways, they plan to enhance safety, convenience and comfort of passengers, so ~40,000 normal rail bogies will be converted to Vande Bharat standards.

Housing for all

* Under Pradhan Mantri Awas Yojana, the government has increased allocation from Rs 79,590cr in FY23-24BE to Rs 80,671cr in FY24-25BE

* The government sets the target of additional 2cr houses in the next 5 years (as they are close to achieving the target of 3cr houses)

Focus on promoting green energy

* Aim is to set up solar rooftop in 1cr households along with the provision to obtain 300 units free electricity every month.

* This will provide benefits to a) each household as they can save up to Rs 15,000-18,000p.a. and surplus electricity can be sold to the distribution companies. b) employment opportunities for youth with technical skills in manufacturing, installation and maintenance.

* Plan is to launch a new scheme of bio-manufacturing and bio-foundry to provide environmental friendly alternatives.

* Committed to meet ‘net zero’ by 2070 so various measures such as:

* Capacity of 100 MT will be set up by 2030 of coal gasification and liquefaction.

* Funding will be provided for harnessing offshore wind energy potential for initial capacity of 1 giga-watt.

* Phased mandatory blending of compressed biogas (CBG) in compressed natural gas (CNG) for transport and piped natural gas (PNG) for domestic purposes will be mandated.

* Financial assistance will be provided for procurement of biomass aggregation machinery.

* Target for renewable energy by 2030 is 500 giga-watt by 2030.

Emphasis on strengthening e-vehicle

* To support the manufacturing & charging infrastructure ? Adoption of e-buses for public transportation

Tourism

* To encourage tourism, plan is to provide long term interest free loans to the state, projects for port connectivity, tourism infrastructure, and amenities will be taken up.

* Under ‘Viksit Bharat’ scheme, provision of ~Rs 75,000cr as 50 years interest free loan is proposed for state government has an outlay of Rs 1.3 lakh cr.

Agriculture and fisheries

* Application of Nano DAP will be expanded to all agro-climatic zones to enhance crop productivity and reduction in output costs.

* Conducting extensive research for oil seeds such as mustard, groundnut, sesame, soybean, and sunflower. This research will be related to widespread adoption of modern farming techniques, market linkages, procurement, value addition, and crop insurance.

* Implementation of Pradhan Mantri Matsaya Sampada Yojana to enhance aquaculture productivity, double exports and generate more employment opportunities. Also, the government plans to set up 5 integrated Aquaparks

Economic growth while keeping a check on fiscal deficit

* The total receipts other than borrowings and the total expenditure are estimated at Rs 30.80 lakh cr and 47.66 lakh cr respectively. ? The tax receipts are estimated at Rs 26.02 lakh cr. ? Fiscal deficit for FY24 is expected to be around 5.8% of GDP however ahead they expect it to moderate to ~5.1% of GDP for FY24-25E. Moreover, with the aim to continue on the path of fiscal consolidation the target is to reduce fiscal deficit to 4.5% by FY25-26E.

Missed the target of disinvestment

* Currently, the government has managed to disinvest Rs 12,504cr which means this time as well they have missed their target of Rs 51,000cr.

* So, for FY24, they have cut its target to Rs 30,000cr and for FY25E the target it set as Rs 50,000cr.

No tinkering in the tax regime

* No changes proposed on tax rates for direct and indirect taxes including import duties.

* To benefit ~1cr of tax payers, they have proposed to withdraw outstanding direct tax demands up-to Rs 25,000 for the period up-to FY2009-10 and up-to Rs 10,000 for FY2010-11 & FY2014-15.

Other major Schemes

* Under Ayushman Bharat scheme they would provide health cover as well as extend insurance benefits to the lower class such as ASHA workers, Anganwadi Workers and Helpers

* Under Lakhpati Didi scheme the government has decided to enhance the target for Lakhpati didi from 2cr to 3cr as in the past this scheme has already aided 1cr women to transform socio-economic stature.

* In order to promote research, development and innovation, the government will set up corpus of Rs 1 Lakhs cr with 50 year interest free loan. The funds will provide low to nil interest rates to encourage private sector to scale up research and innovation.

* The government expects to earn ~Rs 48,000cr as dividends from state run companies for FY25.

* New scheme to be launch for deep technology in the Defense sector

* India-Middle East-Europe Economic Corridor is a strategic and economic game changer for India and others.

Allocation towards various schemes (Rs cr)

Allocation towards ministries (as a % of total budget)

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