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Digital India Now a People’s Movement, Says FM Sitharaman

July 1, 2025, 12:56 pm

Finance Minister Nirmala Sitharaman said on Tuesday that Digital India has grown beyond a government project and become a people’s movement. She posted on X that the initiative plays a key role in building an ‘Aatmanirbhar Bharat’ and making India a trusted innovation partner for the world.

She added, “From bringing internet access to remote corners of the country to making government services available online, the ‘Digital India’ initiative of Prime Minister Narendra Modi led-government has truly bridged the digital divide across the nation.”

Moreover, she highlighted India’s digital payments success. “Scan. Pay. Done. India’s UPI revolution powers nearly half of the world’s real-time digital transactions,” she wrote.

Scan. Pay. Done.

India’s UPI revolution powers nearly half of the world’s real-time digital transactions.#10YearsOfDigitalIndia pic.twitter.com/eVCJWHXEOd

— Nirmala Sitharaman Office (@nsitharamanoffc) July 1, 2025

India Shifts Toward Global Digital Leadership

Meanwhile, Commerce Minister Piyush Goyal praised major programs like UPI, DBT, GeM, ONDC, and SVAMITVA. He said these initiatives show how India is moving from digital governance to global digital leadership.

In addition, he quoted Prime Minister Modi on X, stating, “When the intent is right, innovation empowers the less empowered.”

UPI, DBT, GeM, ONDC, SVAMITVA, and many more!

With #10YearsOfDigitalIndia, the nation is moving from digital governance to global digital leadership.

PM @NarendraModi ji writes, when the intent is right, innovation empowers the less empowered. A must read:…

— Piyush Goyal (@PiyushGoyal) July 1, 2025

PM Modi Reflects on India’s Digital Journey

On LinkedIn, Prime Minister Modi called Digital India central to self-reliance and essential to India’s global tech image. He said, “Digital India is central to building an ‘Aatmanirbhar Bharat’, and to making India a trusted innovation partner to the world.”

Furthermore, he addressed innovators directly. “To all innovators, entrepreneurs, and dreamers: the world is looking at India for the next digital breakthrough,” he said.

Reflecting on the past decade, Modi added, “While decades were spent doubting the ability of Indians to use technology, we changed this approach and trusted the ability of Indians to use technology.”

Digital India Boosts Farmers

Additionally, Union Minister Pralhad Joshi said Digital India has revolutionised agriculture. He praised eNAM for helping farmers connect directly with buyers across the country.

He shared, “With Rs 4 lakh crore in trade and 1.7 crore farmers empowered across 1,400+ mandis, the impact is real. A bold leap under the visionary leadership of PM Modi.”

Janata ka Budget: A paradigm shift for neo middle class

February 6, 2025, 3:55 am

The Union Budget for 2025 in India, presented by Finance Minister Nirmala Sitharaman, is a pivotal financial statement outlining the government’s fiscal strategy for the upcoming financial year.
The Union Budget 2025 has balanced short-term economic boosts with long-term structural reforms, aiming to make India a more competitive and inclusive economy. It reflects a nuanced approach to navigating global economic uncertainties while pushing for domestic growth and innovation.

Tax benefits for middle class
Individuals with an income of Rs 5.6 lakh or below will benefit from a tax rebate of Rs 1, 10,000, reducing their effective tax rate to 21.6%.
This proposal aims to forgo revenue of about Rs 1 lakh crore in direct taxes.

Tax slabs and rates illustration:
The table illustrates the changes in tax slabs and rates for different income levels, comparing the present system with the proposed one for FY 2025-26.
For incomes up to Rs 8 lakh, the tax liability reduces from Rs 30,000 to Rs 20,000 with the proposed changes.
There›s a full rebate up to Rs 12 lakh income, significantly reducing the tax burden for those earning up to this amount.
Higher income brackets see a reduction in tax rates as well, with the tax after benefits shown in the last column.

major Announcements
Prime Minister Dhan-Dhaanya Krishi Yojana: This initiative will cover 100 districts with low productivity, aiming to help 1.7 crore farmers through enhanced credit parameters.
Mission for Aatmanirbharta in Pulses: A 6-year mission focusing on increasing domestic pulse production, particularly Tur, Urad, and Masoor, to improve productivity and farmer income while promoting climate-resilient seeds.

Analysis
Taxation Reform: The proposed tax changes are clearly aimed at providing relief to the middle class by lowering the effective tax rate for lower income brackets and offering substantial rebates. This could increase disposable income, potentially boosting consumption and economic activity.
Agricultural Focus: The announcements regarding agriculture reflect a strategy to enhance productivity and self-reliance in key crops, which could have long-term benefits in terms of food security, reducing import dependency, and supporting rural economies.
Economic Impact: Forgoing Rs 1 lakh crore in direct taxes might be a significant fiscal decision, potentially offset by increased economic activity due to higher disposable incomes. It›s a gamble on economic growth leading to higher indirect tax collections or other revenue sources.
Sustainability: The mission for pulses and the focus on climate-resilient seeds show an understanding of sustainable agricultural practices, which is crucial for long-term environmental health and agricultural productivity.

SUMMARY OF BUDGET
l No Income Tax on average monthly income of up to Rs 1 lakh; to boost middle-class household savings & Consumption
l Salaried class to pay Nil Income Tax up to Rs 12.75 lakh per annum in the New Tax Regime
l Union Budget recognises 4 engines of development – Agriculture, MSME, Investment and Exports
l Benefitting 1.7 crore farmers, ‘Prime Minister Dhan-Dhaanya Krishi Yojana’ to cover 100 low agricultural productivity districts
l “Mission for Aatmanirbharta in Pulses” with a special focuses on Tur, Urad and Masoor to be launched.
I will give you all A Simple Analysis of How Union Budget Estimates have been Progressive over the years
No income tax up to Rs 12 lakhs.
Here is how income tax exemption limits have moved over the few last years.
l 2005: Rs 1 lakh
l 2012: Rs 2 lakhs
l 2014: Rs 2.5 lakhs
l 2019: Rs 5 lakhs
l 2023: Rs 7 lakhs
l 2025: Rs 12 lakhs

Economic Implications
Increased disposable
income:
The removal of tax liability for incomes up to Rs 12 lakh is expected to increase disposable income, which could lead to higher consumption, thereby stimulating economic growth. This is particularly important in sectors like FMCG and retail, which have been facing demand challenges.
Fiscal Impact:
The government anticipates a revenue loss of ₹1 lakh crore due to these tax cuts. However, this is balanced against the potential for increased economic activity and indirect tax collections from higher consumer spending.
Investment and Savings:
By reducing the tax burden, the budget encourages savings and investments. The new tax regime allows individuals more flexibility in how they use their income, potentially leading to investment in personal development, real estate, or financial markets, which could have long-term benefits for economic growth.
Social and Sectorial Focus:
Education and Healthcare:
The budget includes significant investments in education with plans to expand medical seats and establish new AI research centres, aiming at long-term human capital development. Healthcare investments are also emphasized, likely to improve public health infrastructure and services.
Agriculture and Rural Development:
Initiatives like the PM Dhan-Dhaanya Krishi Yojana target 100 districts with low agricultural productivity, aiming to improve yield and credit access for farmers. This sectorial focus is intended to bolster rural economies, which are crucial for overall economic stability.

Urban Development and Housing:
Although not detailed in the provided sources, typically, budgets with a middle-class focus might also include measures for affordable housing or urban infrastructure development to support middle-class living standards.
Political and Public Perception:

Government›s Stance: The government, through this budget, is positioning itself as pro-middle class, emphasizing economic empowerment and growth through tax relief. Prime Minister Narendra Modi has referred to it as a «people›s budget,» highlighting its focus on the common citizen›s welfare.
Here are some quotes from various industry experts on the Union Budget 2025:

On Electric Vehicles and Sustainability:
“The exemption of basic customs duty on lithium-ion battery scrap is another commendable move. It promotes a circular economy by making battery recycling more viable, reducing reliance on fresh raw material imports, and decreasing production costs and environmental impact.” – Industry Experts (Source: Hello Entrepreneurs)

On Real Estate:
“The recent budget introduces significant measures poised to invigorate the real estate sector. Allowing taxpayers to claim two self-occupied properties and increasing the TDS threshold on rent to ₹6 lakhs from ₹2.4 lakh per annum are commendable steps in the real estate sector.” – Mr. Amit Jain, Chairman and Managing Director of Arkade Developers Limited (Source: Hello Entrepreneurs)

On Healthcare:
“The 2025 budget presents a series of promising initiatives that will significantly impact cancer care in India. The full exemption of customs duty on 36 life-saving drugs, including cancer medications, is a key highlight.” – Mr. Raj Gore, CEO, Healthcare Global Enterprises Limited & Lead FICCI Cancer task force (Source: Hello Entrepreneurs)

On Manufacturing and Digital Infrastructure:
“The Union Budget 2025-26 is forward-looking and growth-centric, reinforcing the government’s commitment to strengthening India’s manufacturing sector and driving the transition to cleaner mobility solutions.” – Ms. Shradha Suri Marwah, President, ACMA (Source: electronicsera.in)

On Taxation and Economic Growth:
“The Budget 2025 delivers a comprehensive vision for India’s future. It focuses not only on driving economic growth but also on ensuring that this growth is inclusive and sustainable.” – Analysts (Source: groww.in)

On Affordable Housing and Startups:
“The budgetary announcement on affordable housing will lead to improved demand supply equilibrium, clearing the path for India’s affordable housing demand to reach 31.2 million units by 2030 and a market valuation of Rs 67 trillion.” – Lalit Beriwala, Director, Shyam Steel Industries Ltd. (Source: businessnewsthisweek.com)
These quotes reflect a broad spectrum of reactions from sector-specific impacts to overarching economic strategies outlined in the Union Budget 2025.

The budget is tailored to benefit the middle class by significantly reducing their tax burden, which aligns with the government’s narrative of promoting growth through increased consumer spending and savings. While there are criticisms regarding the depth of economic reform, the immediate financial relief to a significant portion of the population could have positive economic ripple effects. The focus on education, healthcare, and agriculture also suggests a long-term vision for sustainable growth and development. This is Budget for Pro Middle class, Consumption and Start-ups.

Budget 2025: Kisan Credit Card Loan Limit Raised to Rs 5 Lakh, Bihar Receives Major Bonanza

February 1, 2025, 1:55 pm

Finance Minister Nirmala Sitharaman has announced many transformative measures to boost the agricultural and marine sectors while hugely providing relief to the middle class in the Union Budget 2025. The key announcements include increasing loan limits for Kisan Credit Card (KCC) holders, new cotton farming focus areas, and a framework to make fisheries more sustainable.

The finance minister also introduced tax exemptions for the middle class and continued to highlight regional development with a great thrust on Bihar this time.

Kisan Credit Card Loan Limit Raised to Rs 5 Lakh

Sitharaman has announced the raising of the loan limit under the Modified Interest Subvention (MIS) scheme for Kisan Credit Cards (KCC). The loan limit, which was earlier at Rs 3 lakh, has now been increased to Rs 5 lakh. The move is also aimed at enhancing access to finance for 7.7 crore farmers, especially those in the fisheries and dairy sectors.

It would increase the loanable amount available to farmers by allowing them to grow their businesses through necessary tools to scale operations and raise productivity, thereby contributing directly to agricultural growth.

Increase Cotton Sector with a Productivity Mission

The Union Budget 2025 came up with a comprehensive five-year ambitious Mission on Cotton Productivity with scientific support to cotton. That centers more on improvements to extra-long staple cotton strains as a precursor in boosting India’s cotton productions along the visions of the India 5Fs. Indeed, the intent here is to augment increased productivity in Indian cotton production from merely being supplied both in its home market, to being readily made available within this country due to export for increased textile contribution.

Fertiliser Sector development cuts across one critical area through import dependency alleviation. The fertilizer sector was given a much-needed boost by Sitharaman’s announcement of recommissioning three urea plants in eastern India. Furthermore, the government will establish a new 12.7 lakh metric tonne urea plant in Assam, which would decrease India’s reliance on imported fertilizers.

This would ensure better self-sufficiency in fertilizer production and enable farmers to use affordable, quality inputs for the cultivation of crops.

Sustainable Fisheries Framework and Seafood Export Expansion

In the marine sector, the budget provided a structure to sustainable fisheries and utilized the resources of the Exclusive Economic Zone of India and high seas. Specifically, this budget would focus on the enhancement of seafood exports from the Andaman and Nicobar Islands and Lakshadweep.

This new sustainable and responsible fishing structure will be expected to take India’s seafood exports from the current value of Rs 60,000 crore to new heights.

Income Tax Relief for Middle-Class Hailed by Goa CM

The Union Budget 2025 brought much relief to the middle class with the announcement that individuals earning up to Rs 12 lakh would be exempt from income tax. This decision has been termed by Goa Chief Minister Pramod Sawant as “a transformative move for empowering the middle class.”

According to him, it would enhance savings and investments as this middle class has played an important role in building up this nation. “A stronger middle class means a stronger India,” he added, focusing on the long-term economic advantages.

Congress Lashes Out at Budget That Focuses More on Bihar

While the budget has seen appreciation from most quarters, it has also been criticized politically by the Congress party. The Congress party criticized the Modi government for giving more importance to Bihar since several initiatives for the state were announced, including the setting up of a Makhana Board, financial assistance for the Western Kosi canal, and planning to develop greenfield airports.

Congress General Secretary Jairam Ramesh questioned why Andhra Pradesh, another key NDA ally, was “cruelly ignored” in the budget, pointing out the political motivations behind the Bihar-focused announcements.

Bihar appears to have got a bonanza of announcements. It is natural since elections are due there later in the year. But why is the other pillar of the NDA, namely Andhra Pradesh, been so cruelly ignored?

— Jairam Ramesh (@Jairam_Ramesh) February 1, 2025

The Union Budget 2025 therefore as a strategic focus for the government on agriculture, regional development, and middle-class relief. The budget has tremendous initiatives for farmers, the cotton sector, and fisheries, besides tax exemptions for the middle class. Of course, the budget aims at boosting economic growth and improving the lives of millions of Indians.

‘Tax Wali Tai’ Rap On Finance Minister Nirmala Sitharaman: GST Under Fire | WATCH

January 1, 2025, 10:38 am

Union finance minister Nirmala Sitharaman has faced flak from politicalrivals and social media users alike on the GST regime and India‘s existing tax structure. Criticism from political opponents is not new, but a social media influencer took an unconventional path in venting his frustrations-a viral rap song.

The influencer, khotaa.sikkaaa on Instagram, has recently released a track titled “A Rap on Tax wali Tai” which directly targets India‘s tax policies. The song has gained a lot of popularity and has attracted many citizens frustrated by the financial system.

A Rap Goes Viral

Shared on khotaa.sikkaaa‘s Instagram, the rap critiques the tax regime.It has gained many shares and is being disseminated across social media platforms. Users are using the song to express their discontentin the current taxation policies.

A user posted the video and captioned it as follows:
“India’s taxation system today is worse than what the British imposed. It’s draining the common man. This rap says it all.”

Another observed:
“Amazing work, my brother. But they won‘t care because they don‘t intend to step back. All of this persists under blind allegiance.”

With a following of only 613 Instagram users, khotaa.sikkaaa‘s rap has gained over 10,000 likes in just two days since its upload, which clearly shows the potential of content that is relatable and impactful.

WATCH THE VIRAL VIDEO:

अंग्रेजों टैक्स सिस्टम के ज़्यदा ख़तरनाक भारत का आज का Taxation है जो आम जानता को चूस कर छोड़ेगा .

इंडिया के टैक्स सिस्टम के ऊपर ये रैप सुनो . #TaxTerrorism #nirmlasitaraman pic.twitter.com/U1WCXkzTW0

— Deepak Kumar (@deepakdialogues) December 30, 2024

Not His First Protest Song

This isn’t the influencer’s first foray into music as social commentary. He has previously addressed other pressing issues, such as the Bihar Public Service Commission (BPSC) protests. His rap on the student-led demonstrations highlighted systemic issues, including bureaucracy and societal challenges in Bihar.

Speaking about the BPSC protests, he said,
“The current protest reflects Bihar’s harsh reality—a society struggling with intellectual growth and civility, ruled by unchecked power.”

With his ability to turn complex issues into relatable musical narratives, khotaa.sikkaaa is rapidly becoming a voice for societal grievances, even as his platform grows.

Public Resonance and Growing Impact

The viral rap song has furthered a bigger conversation about the tax policies in India and how the common man is burdened with financial hardships. Though the Finance Minister is yet to react, the traction such creative protests are gaining signifies the frustration people feel and how they are ready to amplify voices speaking against injustice.

Whether it brings about policy changes or not, khotaa.sikkaaa‘s raps have certainly connected to people’s lives and proved that art can be a powerful tool for social critique.

‘Absurd’, or ‘Brainless Bureaucracy’? Twitter Demands Clarification on GST for All Popcorn Flavours

December 23, 2024, 5:22 pm

Popcorn has popped its way from movie theaters to the living rooms of everyday people as TV screens flashed Finance Minister Nirmala Sitharaman announcing an 18% tax on caramel popcorn, compared to just 5% on its unpacked and unlabelled salted counterpart. The revelation left many stunned, with jaws dropping at the sight of three different tax slabs for what is, essentially, the same snack. Experts slammed the decision, social media users started a meme frenzy, and the Opposition highlighted the absurdity. In the chaos, one thing became clear—popcorn, leaving all other snacks behind, had become the latest GST sensation.

The controversy erupted after Finance Minister Nirmala Sitharaman explained varying GST rates for popcorn during a briefing on the GST Council’s 55th meeting. She clarified that pre-packed, labeled ready-to-eat snacks attract a 12% GST, while caramel popcorn, being classified under sugar confectionery, is taxed at 18%. “When you talk outside, it looks silly,” Sitharaman acknowledged, while justifying the distinctions. “Items with added sugar, such as caramel popcorn, are treated differently from salted variants as they fall under a separate classification for sugar confectionery. Salted, caramelised, plain popcorn is being sold as namkeen in certain states. Caramelised popcorn comes with added sugar, so the treatment of rate is different from namkeen,” she said.

So, unpacked and unlabelled salted popcorn: 5% GST. Pre-packed and labelled ready-to-eat popcorn: 12% GST. Caramelised popcorn: 18% GST. The explanation has sparked a wave of memes and criticism on social media, with users mocking the intricate tax slabs.

Congress Slams Govt

The Congress has criticised the Modi government for the growing complexities of the Goods and Services Tax (GST) system, spotlighted by the recent social media uproar over multiple tax slabs for popcorn. Party leader Jairam Ramesh termed the situation “absurd” and questioned whether the government would have the “courage” to overhaul GST and introduce a simplified “GST 2.0.”

Congress leader’s X post:

The absurdity of three different tax slabs for popcorn under GST, which has unleashed a tsunami of memes on social media, only brings to light a deeper issue: the growing complexity of a system that was supposed to be a Good and Simple Tax.

GST evasion is significant, input tax…

— Jairam Ramesh (@Jairam_Ramesh) December 22, 2024

Responding to the controversy, Congress leader Jairam Ramesh highlighted systemic flaws in the GST framework, claiming significant evasion, widespread input tax fraud, and the proliferation of bogus companies exploiting loopholes. “The absurdity of three different tax slabs for popcorn under GST, which has unleashed a tsunami of memes, only underscores the deeper issue: a growingly complex system that was supposed to be a ‘Good and Simple Tax,’” Ramesh said.

He cited data from the Directorate General of GST Intelligence (DGGI), revealing ₹2.01 lakh crore worth of GST evasion in FY24 alone. “Tracking of supply chains is weak, the registration process flawed, and compliance requirements remain cumbersome,” he added, while calling for a thorough GST overhaul. Ramesh asked, “With the Union Budget now just 40 days away, will the PM and FM summon the courage to launch a complete overhaul and institute GST 2.0?”

Meanwhile, the Kerala unit of the Congress mocked Sitharaman’s “futile attempt to explain her way out of the GST rate mess using Popcorn example.” The party posted, “She was trying to say that caramel popcorn is sweet; therefore, it is charged 18%.” “By that logic, will she increase the tax on Sweet Pongal to 18% next?” the Congress Kerala said.

Critics Weigh In

Security analyst Sushant Sareen said that India will always be a third-world country if we have a “brainless bureaucracy” and “clueless politicians” who penalise anything that remotely resembles upgrading products. “Apparently for these socialist geniuses, unpackaged popcorn is a necessity, packaged ones are comfort food, and caramelised are luxury,” he said on the new taxation. “Next they will say flavoured popcorn with cheese are sin goods and taxed at whatever ridiculous rate they decide.”

Sareen said that the Good and Simple Tax is neither good nor simple, “it is tax till you kill the golden goose model.” “Even basic common sense on economics escapes these people because socialistic pretensions outweigh everything else,” he added.

Meme Fest And Online Backlash

Social media erupted with witty remarks after the GST Council, chaired by Finance Minister Nirmala Sitharaman, announced differentiated tax rates for popcorn. The decision sparked a wave of humorous responses online, with users questioning the logic of having separate tax slabs for the same product.

Some users speculated jokingly about potential tax distinctions for drinking water. “What next? GST on drinking water—5% if you sip, 12% if you gulp, and 18% if you spill,” one person quipped. Others criticised the lack of uniformity in taxation. “Those advocating ‘One Nation, One Election’ cannot implement a single tax rate for popcorn,” a user commented. “GST on popcorn seems more critical to the government than removing or reducing GST on insurance,” a user remarked.

One user referenced a popular tagline, humorously asking, “Kya aapke popcorn mein namak hai?” Meanwhile, others advised buying DIY popcorn to dodge the higher tax, suggesting, “The only way to legally avoid tax on popcorn is to buy ACT II and enjoy it tax-free.” “Contrast our Finance Minister spending time discussing popcorn GST with foreign FMs debating cryptocurrency reserves,” one critic noted.

18% GST on popcorn ?

18% GST on selling old car ? pic.twitter.com/B3sAsjTS4l

— Ex Bhakt (@exbhakt_) December 21, 2024

If arrogance is Taxed, Nirmala Sitharaman will go Bankrupt!

She gave clarification on Popcorn GST in her own style, but why the promised GST reduction on Health insurance is postponed?

Is Healthcare not in Priority list for FM!? #NirmalaSitharaman

pic.twitter.com/p9DaVPzFVE

— Veena Jain (@DrJain21) December 21, 2024

Guy in Inox/PVR : 1 caramel popcorn tub pls…!!

Nirmala Sitharaman : pic.twitter.com/i8VmI6mdYp

— UmdarTamker (@UmdarTamker) December 23, 2024

What GST Council Said

On Saturday, the GST Council agreed to issue a clarification on taxation of popcorn, saying that pre-packed and labelled ready-to-eat snacks will attract a 12% tax while an 18% GST will be levied if it is caramelised.

There is no change in the tax rate of popcorn, and the GST Council has only agreed that the Central Board of Indirect Taxes and Customs (CBIC) will issue a circular clarifying the current taxation regime of popcorn. ‘Ready-to-eat popcorn,’ which is mixed with salt and spices and has the essential character of namkeens, currently attracts a 5% GST if it is not pre-packaged and labelled. If it is supplied as pre-packaged and labelled, a 12% GST is levied. However, when popcorn is mixed with sugar (caramel popcorn), its essential character changes to that of a sugar confectionery and would therefore be classifiable under HS 1704 90 90 and attract an 18% GST, as per the clarification.

Finance Minister Nirmala Sitharaman Reviews Performance of Eastern RRBs in Patna Meeting

November 29, 2024, 1:55 pm

Union Finance and Corporate Affairs Minister Nirmala Sitharaman convened a review meeting on Friday to assess the performance of Regional Rural Banks (RRBs) from the Eastern Belt. The meeting aimed to strengthen the role of RRBs in promoting rural development and was attended by Bihar Deputy Chief Minister Samrat Chaudhary, Department of Financial Services (DFS) Secretary M. Nagaraju, RRB Chairmen, and senior DFS officials.

The Ministry of Finance announced the meeting on social media platform X, stating, “Union Minister for Finance and Corporate Affairs @nsitharaman chairs the review meeting of the Regional Rural Banks #RRBs of the Eastern Belt, in Patna, today. Also in attendance are @samrat4bjp, Deputy Chief Minister of Bihar; M. Nagaraju, Secretary @DFS_India, along with Chairmen of RRBs and senior officials of @DFS_India.”

This review is part of a broader series of nationwide meetings conducted by the Finance Minister to enhance the operational effectiveness of RRBs. Earlier this month, on November 9, Sitharaman reviewed the operations of 10 RRBs from the Southern Region in Bengaluru, where she outlined strategies to optimize their contributions to rural economic growth.

Sitharaman emphasized the critical role of RRBs in fostering financial inclusion in rural area

During the meeting, Sitharaman emphasized the critical role of RRBs in fostering financial inclusion in rural areas. She highlighted the significance of targeted lending under various government schemes, including PM Vishwakarma and PM Surya Ghar Muft Bijli Yojana, and called for an increased focus on agricultural credit.

The Finance Minister urged RRBs to improve their technological infrastructure to facilitate seamless digital banking services, particularly in areas with connectivity challenges. She also stressed the need for RRBs to develop financial products tailored to the needs of MSME clusters in sectors such as textiles, handicrafts, jute, food processing, and dairy farming. These initiatives are expected to enhance the credit portfolios of rural banks while supporting small and micro enterprises.

Additionally, the meeting highlighted the importance of sponsor banks in assisting RRBs by adopting best practices, providing technical support, and ensuring resource availability. Sitharaman commended the progress made by RRBs in financial performance and technological advancements since regular reviews began in 2022. She urged banks to maintain asset quality, enhance governance, and explore innovative models such as co-lending and risk-sharing in collaboration with SIDBI.

‘Swipe Right For GST’: Fake Nirmala Sitharaman Bumble Profile Goes Viral

October 18, 2024, 12:26 pm

In a surprising turn of events, a parody Bumble profile featuring India’s Finance Minister, Nirmala Sitharaman, has surfaced on social media, sparking a blend of humour and debate among netizens. The fake profile, which humorously exaggerates Sitharaman’s role as Finance Minister, has gone viral, with many amused by its witty descriptions, while others express discomfort and concern.

The satirical profile lists Sitharaman as a 24-year-old with the amusing title “Chief Tax Slayer at Ministry.” Accompanied by a photo of Sitharaman, the bio humorously reads, “I don’t believe in love at first sight, but I do believe in GST on everything you own. I’ve raised more taxes than your ex raised red flags. Swipe right if you’re into women who can deduct happiness, itemize suffering, and maximize your stress.” The profile continues with its humorous take, stating, “I’m not your girlfriend; I’m your liability.”

HAVE A LOOK AT THE VIRAL PICTURE:

One of the most viral lines from the profile reads, “I can drain your bank account without breaking a sweat.” When asked about her “dream,” the profile cleverly responds: “To create a tax system so strict that it makes everyone regret crossing me.”

ALSO READ: Donkey Defends Farm, Fiercely Attacks Hyena: WATCH The Intense Fight

Netizens Divided Over Parody

While the profile drew laughs from many, it also sparked mixed reactions on platforms like X (formerly Twitter). Some users expressed discomfort, pointing out that the parody trivialises the Finance Minister’s important work.

ALSO READ: Women Shot Over A Slice Of Pizza By Sister In Law’s Brother: VIRAL VIDEO

One user commented, “Isn’t this a crime?” while another expressed outrage, calling the act “disrespectful and sexist.” The backlash further extended to claims that the parody constituted cybercrime, with comments calling for the creator to be arrested. A concerned user stated, “This is a cybercrime, and whoever created such a profile can be arrested.”

Despite the mixed reactions, the profile has raised questions about the boundaries of satire when involving public figures, especially those holding significant political positions.

India’s Income Tax Overhaul: Government Launches Revamp Process

October 7, 2024, 11:01 pm

The government aims to make the Income-tax Act, 1961, concise and easy to understand. The goal is to ensure taxpayers can easily navigate tax laws without confusion.

Reducing Litigations: By making tax laws clearer, the government hopes to minimize disputes and reduce the number of cases that end up in court. This will provide greater certainty for taxpayers regarding their obligations.
Easing Compliance: The revamp process includes creating a more straightforward compliance system, allowing taxpayers to fulfill their obligations with less hassle. This aligns with the government’s commitment to improving taxpayer experience.
Scrapping Obsolete Provisions: Outdated and unnecessary provisions will be eliminated, streamlining the tax process and making it more relevant to current economic conditions.

Government’s Commitment to Reform

During the Union Budget 2024-25, Finance Minister Nirmala Sitharaman highlighted the government’s ongoing efforts to simplify tax laws. A comprehensive review of the Income-tax Act has been announced, with a target completion timeline of six months.

Public Participation Encouraged

The Central Board of Direct Taxes (CBDT) has formed an internal committee to oversee the review and has invited public suggestions through a newly launched webpage on the e-filing portal. This move aims to foster transparency and community engagement in shaping tax policy.

Conclusion

The government’s push for a revamped income tax regime is expected to lead to increased revenue collections and enhanced taxpayer satisfaction. With robust growth in tax revenue already observed, these reforms will likely further strengthen the Indian economy.

All You Need to Know About NPS Vatsalya Scheme to Be Unveiled by Sitharaman Tomorrow

September 17, 2024, 3:06 pm

Finance Minister Nirmala Sitharaman is set to unveil the much-anticipated NPS Vatsalya scheme tomorrow, an initiative introduced in the Union Budget 2024-25. The scheme aims to help parents invest in pension accounts for their children, fostering long-term wealth growth through compounding.

What Is the NPS Vatsalya Scheme?

The NPS Vatsalya scheme allows parents and guardians to open pension accounts for minors, promoting early financial planning. With flexible contribution options, families can begin with a minimum annual investment of Rs 1,000, making it accessible across different economic strata. Once the child turns 18, the account seamlessly converts into a regular National Pension System (NPS) account.

Finance Minister Sitharaman will also launch an online platform for subscribing to the scheme, distribute Permanent Retirement Account Number (PRAN) cards to minors, and release an official brochure during the event.

Who Can Operate the Scheme?

Parents, guardians, NRIs, and OCIs can open NPS Vatsalya accounts on behalf of minors. The scheme mandates a minimum contribution of Rs 500 per month or Rs 6,000 annually, providing significant long-term returns through the power of compounding.

Simultaneous launch events will take place across 75 locations nationwide, with PRAN cards distributed to new minor subscribers. Many of these events will be connected via video conference.

Administered by the Pension Fund Regulatory and Development Authority (PFRDA), NPS Vatsalya is designed to secure the financial future of India’s younger generation, promoting early retirement savings and long-term financial independence.

The Finance Ministry emphasized that this initiative is part of the government’s broader commitment to ensuring financial security for future generations.

Sitharaman to Address Lok Sabha on Finance Bill Today

August 7, 2024, 1:09 pm

Union Finance Minister Nirmala Sitharaman is scheduled to respond to the discussion on the Finance Bill in Lok Sabha later today, likely around 4 PM. The Lok Sabha has started the discussion on the Finance Bill following the passage of the Appropriation Bill for the central government’s expenditure for 2024-25 on Monday. The completion of the budget process will occur with the passage of the Finance Bill by Parliament.

Presenting the Union Budget for 2024-25, Sitharaman set the fiscal deficit target at 4.9% of GDP, with plans to reduce it below 4.5% by 2025-26. The government has allocated a capital expenditure outlay of Rs 11.11 lakh crore for 2024-25, marking an 11.11% increase. Capital expenditure is used to establish long-term physical or fixed assets.

A key focus of the Budget is the adjustment of basic customs duty (BCD) on various products to lower the cost of commonly used items. Duties on imported gold, silver, leather goods, and seafood were reduced. The customs duties on 25 critical minerals were fully exempted, and BCD on two of them was reduced. These changes aim to support domestic manufacturing, enhance local value addition, promote export competitiveness, and simplify taxation while considering public interest.

However, there were increases in both long-term and short-term capital gains taxes, with short-term gains on “specified” financial assets now attracting a 20% tax rate and long-term gains a 12.5% rate. Exemptions on capital gains for lower and middle-income classes have been raised from Rs 1 lakh to Rs 1.25 lakh per year.

An amendment in the Finance Bill offers relief on capital gains tax in property transactions. Taxpayers can choose between a lower 12.5% tax without indexation or a higher 20% tax with indexation for properties acquired before July 23, 2024.

To support the startup ecosystem, Sitharaman proposed abolishing the angel tax for all classes of investors, a long-standing industry demand. This move is expected to drive more investments into startups.

Sitharaman presented the Union Budget 2024 on July 23, her seventh consecutive budget, surpassing the late Morarji Desai’s record of six consecutive budgets. The interim budget on February 1 addressed financial needs until the formation of a new government after the Lok Sabha elections. The budget session of Parliament, which began on July 22, will conclude on August 12.

Chief Economic Adviser V Anantha Nageswaran projected India to remain the fastest-growing major economy in 2024-25, with growth estimated at 6.5-7.0% .

Real estate leaders commend capital gains tax change for strengthening industry

August 7, 2024, 11:35 am

Real estate industry leaders hailed the proposed amendment by Finance Minister Nirmala Sitharaman in the Finance Bill to give big relief on capital gains tax in property transactions.

The industry leaders called it a step in the right direction and stated that the proposed amendment will drive investment in the real estate sector and will also boost sales across all housing segments.

“The government’s initiative to allow taxpayers the option to compute taxes either at 12.5 per cent without indexation or at 20 per cent with indexation on real estate transactions is a significant step forward. This relief applies to the transfer of long-term capital assets, such as land or buildings, acquired before July 23, 2024” said Niranjan Hiranandani, Chairman, Hiranandani Group and NAREDCO.

Finance Minister Nirmala Sitharaman on Tuesday proposed an amendment in the Finance Bill to give big relief on capital gains tax in property transactions. The proposed amendment implies that taxpayers on property transactions can avail of either a lower tax of 12.5 per cent without indexation or a higher rate of 20 per cent with indexation, if the property is acquired before July 23, 2024, the day the union budget was presented in the Lok Sabha.

Hiranandani further added “By enabling taxpayers to choose the lower tax burden between the new and old schemes, the amendment is poised to drive investment and enhance sales across housing segments. We are grateful for the Finance Minister’s forward-thinking approach in implementing these beneficial measures”.

Ritesh Mehta, Senior Director/Head, North, East & West, Residential Services, India, JLL also stated “It is a welcoming move by the government, which will not hinder the current optimistic sentiment. This amendment will especially give relief to middle-class people who are quite sensitive about any tax policy changes and the changes in financial structure. This will keep the cycle of selling and buying intact, and we will see more liquidity and optimism in the Real Estate sector”.

After the amendment, the taxpayers can compute taxes under both schemes and will have a choice to pay tax under the scheme in which it is lower. July 23, 2024, is now set as the cut-off date for the calculation of the capital gains versus the earlier cut-off of 2001 that had caused a lot of concern over its impact on long-time owners of property assets.

The proposed amendment will apply not only to real estate transactions but also to unlisted equity transactions, which are done before July 23, 2024. All such transactions will be taxed at 10 per cent long-term capital gains instead of the budget proposal of 12.5 per cent tax.

Input From ANI

Budget 2024: How Does It Shape The Road Map For Viksit Bharat?

July 24, 2024, 2:15 pm

The recently unveiled Budget 2024-2025, presented by Finance Minister Nirmala Sitharaman, offers a detailed and comprehensive blueprint for achieving Viksit Bharat, or a developed India. Embracing a broad vision, the budget outlines nine priority areas, echoing the focus of FICCI’s own priorities, which include manufacturing, farm-led growth, women-led development, and sustainability. These areas are crucial as the nation aims for further progress and growth.

This year’s budget introduces a forward-looking economic policy framework aimed at next-generation reforms. These reforms are designed to enhance the productivity of essential factors such as land, labor, capital, entrepreneurship, and technology, thereby making markets and sectors more efficient. As global productivity growth shows signs of slowing, these reforms are critical for sustaining India’s economic expansion over the next 25 years.

Infrastructure investment has been a major focus in recent years, with spending nearly doubling over the last six to seven years. Significant progress has been made in developing roads, highways, ports, electricity, and more. This infrastructure push has had a considerable positive impact on the economy, and the government’s commitment to maintaining robust fiscal support for infrastructure is expected to continue. This year’s budget includes a record-high allocation of ₹11.11 trillion for capital expenditure, representing 3.4% of GDP.

The budget also emphasizes manufacturing, MSMEs (Micro, Small, and Medium Enterprises), and employment. Key incentives include support for employment, strengthened backing for MSMEs, and measures to reduce the cost of doing business. These initiatives are essential as India strives to become a Viksit Bharat.

Manufacturing is highlighted as a critical sector for India’s development. The sector, now valued at $467 billion and ranking fifth globally, has significant room for growth compared to leading economies like Japan, Germany, and China. With only 11.4% of the workforce currently in manufacturing, there is a pressing need to expand this sector to provide stable, high-quality jobs and absorb the growing labor force.

The Economic Survey 2024 noted that while manufacturing job creation has been subdued, recent budget measures are expected to boost employment. The Prime Minister’s Package for Employment and Skilling, which includes incentives for first-time job seekers and support for employers, aims to address this need. Additionally, the budget includes provisions for MSMEs such as a credit guarantee scheme, support during stress periods, and the development of “plug and play” industrial parks in up to 100 cities.

Investors will find reassurance in the government’s commitment to reducing the fiscal deficit to below 4.5% by next year, down from the current 4.9%. This demonstrates a strong commitment to ongoing reforms and a resilient economic growth trajectory.

Anant Goenka, vice-president of FICCI and vice-chairman of RPG Enterprises, commends the budget for its strategic focus and comprehensive measures aimed at fostering sustainable development and economic stability.

Outrageous Allegation, Nirmala Sitharaman Responds as Opposition Protests ‘Discriminatory’ Budget

July 24, 2024, 1:02 pm

Finance Minister Nirmala Sitharaman strongly rejected the opposition’s allegations on Wednesday that the Union Budget is ‘discriminatory,’ calling the claims an ‘outrageous allegation.’ She accused the opposition, led by the Congress party, of deliberately misleading the public into thinking that certain states were neglected in the budget allocations.

Sitharaman responded after Leader of Opposition Mallikarjun Kharge criticized the budget for allegedly favoring certain states. Addressing the Rajya Sabha, the Finance Minister said, “It is unfortunate that the opposition, particularly a senior leader like Mallikarjun Kharge, is making claims about the budget based on what they heard yesterday. Since Kharge raised issues regarding the budget presented and tabled in the house yesterday, I feel the need to address these concerns.”

She elaborated, “In my budget speech, I mentioned only a few states, not all. The Congress party, which has held power for a long time and presented numerous budgets, should know that not every state is named in each budget.” Sitharaman provided an example to illustrate her point: “For instance, Maharashtra’s name was not mentioned in the budget presentation yesterday, despite a decision by the Cabinet under Prime Minister Narendra Modi to set up a port at Vadhvan. Does this imply Maharashtra is being ignored? The state has been allocated ₹76,000 crores for this project.”

#WATCH | On Opposition’s protest against ‘discriminatory’ Budget, FM Nirmala Sitharaman in Rajya Sabha says,”…In every Budget, you don’t get an opportunity to name every state of this country…The Cabinet had taken a decision to set up a port on Vadavan. But Maharashtra’s name… pic.twitter.com/KSEATuMNpf

— ANI (@ANI) July 24, 2024

Sitharaman further argued, “Just because a particular state’s name isn’t mentioned in the budget speech does not mean that state’s schemes or programs are overlooked. Funding and assistance from international bodies like the World Bank and ADB are allocated routinely and are included in the government’s expenditure statements.”

She emphasized, “I assert with responsibility that this is a deliberate attempt by the opposition, led by Congress, to create a false impression that certain states have not received funds or schemes.” Sitharaman challenged the Congress party, stating, “I challenge the Congress to show if they have named every state in each of their budget speeches. This is an outrageous allegation.”

The controversy follows Kharge’s criticism of the budget, where he claimed that only Andhra Pradesh and Bihar received any significant allocations. “The budget is like serving pakoras and jalebis to just two states, leaving others empty-handed,” Kharge said. He further criticized the budget as being designed to please certain individuals and preserve their positions, referring to it as a ‘Kursi Bachao Budget.’

In response to the budget, MPs from the opposition INDIA bloc staged a protest in the Parliament complex. They chanted slogans like “Opposition virodhi kursi bachao Budget murda baad,” holding placards and condemning the budget as discriminatory. The protest saw participation from leaders such as Rahul Gandhi, Sonia Gandhi, Mallikarjun Kharge, KC Venugopal, Akhilesh Yadav, and Dola Sen.

Budget 2024: Memes Go Viral As FM Sitharaman Presents Budget

July 23, 2024, 2:40 pm

Finance Minister Nirmala Sitharaman delivered her seventh consecutive Budget for the fiscal year 2024-25, marking the Modi-led government’s first Budget since their re-election in June.

As expected, social media has been abuzz with reactions, including a flurry of amusing memes. Many have humorously turned to their Chartered Accountant (CA) friends for help in deciphering the Budget.

Take a look at the viral memes:

Among the memes making the rounds, one notably references a scene from Sanjay Dutt’s film ‘Munnabhai MBBS’, adding to the comedic commentary.

Nirmala Tai delivering #Budget2024

Me to my CA friends :#BudgetSession #Budget #BudgetDay pic.twitter.com/FDChSWzbOX

— Ashish Kumar (@Ashish___Kumar_) July 23, 2024

This person chose to use a scene from the film ‘Dhamaal’ to convey their opinions.

me to my CA friend pic.twitter.com/VrAVMzAsgi

— diveshchaudh@ry (@diveshchaudhry8) July 23, 2024

Another X user shared this meme…

Me asking my CA friends to explain the new budget#Budget2024 pic.twitter.com/wAIMN7IqVh

— ????? ?????? ?? (@qasim_says_) July 23, 2024

With this Budget, Nirmala Sitharaman has surpassed Moraji Desai’s record of presenting six consecutive budgets. To date, she has delivered six annual budgets and one interim budget in succession.

On February 1, ahead of the 2024 general elections, Sitharaman introduced the Interim Budget, which detailed the extensive financial strategy.

Did any of these memes made you laugh?

Budget 2024: Nirmala Sitharaman Proposes ‘One Month’s Salary For First-Time- Employees’

July 23, 2024, 2:06 pm

Finance Minister Nirmala Sitharaman announced in the Budget today that the government plans to provide new entrants to the workforce with an amount equivalent to one month’s salary. This sum will be contributed to their Provident Fund accounts.

“The scheme is meant for all persons entering the workforce in all sectors. It will benefit 210 lakh youths,” Ms Sitharaman stated while presenting the Budget.

The BJP’s inability to secure a majority in the general elections was widely attributed to dissatisfaction with job opportunities, leading Prime Minister Narendra Modi’s party to return to power with coalition support instead of on its own.

The Finance Minister proposed three employment-linked schemes during her presentation of the Union Budget for 2024-25.

She announced plans to establish working women’s hostels across the country, aimed at fostering greater female participation in the workforce.

Union Budget 2024: What’s Cheaper And Why? Here’s The List

July 23, 2024, 1:27 pm

Finance Minister Nirmala Sitharaman has revealed a series of significant reductions in customs duties in her Union Budget 2024 speech, aimed at making various essential items more affordable for Indian consumers.

Among the key changes:

Mobile Phones & Accessories: Customs duties reduced to 15%, which is expected to lower retail prices and boost the electronics sector.
Gold & Silver: Duties cut to 6%, with platinum reduced to 6.4%. This move is likely to increase retail demand and help in controlling smuggling, although it might also impact India’s trade deficit and the rupee.
Cancer Medicines: Three additional drugs now exempt from basic customs duties, providing relief to patients.
Ferro Nickel & Blister Copper: Basic customs duties on these materials have been removed, aiding the manufacturing sector.
Solar Panel Equipment: Expansion of the list of exempted capital goods used in solar panel production to support clean energy initiatives.

The Finance Minister’s announcement marks the first Union Budget 2024 of the Modi 3.0 government and is expected to influence various sectors, from infrastructure to social welfare. This comprehensive approach aims to address both economic growth and consumer relief.

Prime Minister Narendra Modi had previously assured that the Finance Minister would present a strong budget, with a focus on fulfilling the government’s commitments. The Economic Survey, tabled on the first day of the Monsoon Session, set the stage for these impactful announcements.

Budget 2024: Skill 20 Lakh Youth In 5 Years, Wage Aid For 2.1 Crore New Workers To Boost Employment

July 23, 2024, 12:17 pm

In the Budget 2024 presentation, Finance Minister Nirmala Sitharaman unveiled an extensive Rs 2-lakh-crore package aimed at boosting employment and skill development for India’s youth. This comprehensive plan includes a range of new schemes designed to support job seekers and enhance workforce skills over the next five years.

One of the key measures includes providing a one-month wage subsidy for new entrants to the formal job market. This initiative will offer a direct benefit transfer of up to Rs 15,000 in three instalments to individuals entering the workforce for the first time, benefiting approximately 2.1 crore young people. The eligibility for this wage support extends to those earning up to Rs 1 lakh per month.

In addition to this wage subsidy, Sitharaman outlined a Rs 1.48 lakh crore provision dedicated to education, employment, and skill enhancement. The government is also set to focus on job creation within the manufacturing sector, with incentives for both employees and employers related to EPFO contributions.

To promote greater female participation in the workforce, the Budget includes provisions for women-specific hostels and skilling programs, aiming to create a more inclusive job market.

Continuing the trend of digital modernization, this Budget 2024 presentation was paperless, following the format of the past three years. As the first Budget of Modi’s third term, it aligns with the government’s Vision 2047 for a developed India while adhering to fiscal discipline.

Sitharaman highlighted the stability of India’s economic growth amid global uncertainties, noting that inflation is stabilizing around 4%, with core inflation at 3.1%. The continued support from the Indian electorate reinforces confidence in the Modi administration as it embarks on its latest policy initiatives.

Union Budget 2024 Presentation: Rahul Gandhi Arrives At Parliament

July 23, 2024, 11:07 am

Rahul Gandhi, Congress MP and Leader of Opposition in Lok Sabha, arrived at Parliament ahead of Finance Minister Nirmala Sitharaman’s highly anticipated Union Budget 2024 presentation. Gandhi, along with other opposition leaders, is expected to closely follow the budget proceedings and raise key issues concerning the nation’s economy and the common man.

The Budget session commenced with heightened anticipation, as it marks the first budget of the newly-formed NDA government following the recent elections. The session is expected to address significant economic policies and legislative proposals, with Sitharaman set to unveil the Economic Survey and the Union Budget for 2024-2025, which aims to outline a roadmap for India’s development goals by 2047.

#WATCH | Congress MP and LoP in Lok Sabha, Rahul Gandhi reaches Parliament ahead of Union Budget presentation by Finance Minister Nirmala Sitharaman in Lok Sabha. pic.twitter.com/zNcijSYS4e

— ANI (@ANI) July 23, 2024

The atmosphere in Parliament is expected to be contentious, with the opposition planning to actively engage the government on multiple fronts. Gandhi’s arrival signals a commitment to confront the administration over pressing issues, particularly the integrity of the examination process in India. His statements reflect a growing concern among opposition leaders about the credibility of educational assessments, which they argue undermines public trust and fairness in the system.

Budget 2024: Nirmala Sitharaman Sets Personal Milestone, Becomes First FM to Present 7 Consecutive Budgets

July 23, 2024, 10:20 am

Nirmala Sitharaman has a busy schedule today as all eyes are on her presentation of the Union Budget 2024 in Parliament at 11 am. Earlier this morning, she was spotted at the Finance Ministry wearing a white saree with a violet border, carrying the essential Budget documents.

Sitharaman is also making history today. She has become the only Finance Minister to present the Union Budget for the seventh consecutive time, surpassing the late Morarji Desai’s record of six consecutive budgets.

The Budget is expected to emphasize the government’s renewed focus on job creation and capital expenditure (capex). In recent Budgets, the government has emphasized increasing capital expenditure. However, revised estimates in the interim Budget indicate that the capex target was not met this year. An RBI bulletin had noted that the “corporate sector must get its act together to relieve the government of capex heavy lifting.”

Finance Minister Nirmala Sitharaman, carrying the Budget tablet, arrived at Parliament to present the first Budget of the Modi government’s third term. She is expected to start her speech at 11 am.

FM Sitharaman is likely to deliver the budgte at 11 AM in the Lok Sabha. This timing represents a shift from the traditional 5 PM slot, a change instituted by finance minister Yashwant Sinha in 1999.

Today’s presentation marks a significant milestone in Indian fiscal policy, showcasing Sitharaman’s continued influence and leadership in shaping the country’s economic strategy.

What Will Budget 2024 Bring? Key Tax Changes And ‘Make In India’ Initiatives To Watch For

July 23, 2024, 9:28 am

Finance Minister Nirmala Sitharaman is set to present the first Union Budget 2024 of the Modi 3.0 government on Tuesday, a significant moment shadowed by critical questions from the Opposition regarding employment and rising prices. The pre-budget Economic Survey has projected a growth rate of 6.5-7% for the fiscal year 2025.

In her seventh Budget presentation, Sitharaman is expected to introduce tax incentives for new manufacturing facilities and promote local procurement to stimulate job creation. The job market has been a contentious issue, with the BJP’s struggle to secure a majority in the recent general elections being partly attributed to dissatisfaction over employment opportunities. This has raised the stakes for potential middle-class tax relief, highly anticipated after the interim Budget before the elections offered minimal benefits.

The fiscal deficit target is set at 4.5%, an improvement from the previous year’s 5.8%. The upcoming Budget is anticipated to deliver optimistic fiscal deficit projections, reflecting the gap between government spending and revenue.

Infrastructure development remains a cornerstone of the Modi administration’s agenda, with planned capital expenditure (capex) rising to ₹11.1 lakh crore from the previous ₹9.5 lakh crore. The government continues to drive infrastructure projects and encourage states to enhance their capex efforts.

Sitharaman is also likely to introduce measures to support micro, small, and medium enterprises (MSMEs), which are vital to India’s economic growth. These initiatives are expected to boost sectors like defense, electronics, and electric vehicle (EV) manufacturing, aligning with the Make In India initiative.

The Union Budget 2024 is slated for passage on July 30. Opposition parties are preparing to challenge the government on issues including inflation, unemployment, sectoral growth deficiencies, and agricultural distress. Congress leader Mallikarjun Kharge criticized the Economic Survey, calling it an exercise in “cherry-picking” and accusing the Modi government of failing to meet the aspirations of 140 crore Indians. He described the survey as a superficial attempt to obscure the administration’s shortcomings.

In contrast, Prime Minister Narendra Modi praised the Economic Survey for highlighting the Indian economy’s strengths and the positive impacts of his government’s reforms. He emphasized the survey’s role in identifying areas for further development as India strives towards becoming a developed nation.

India is projected to remain one of the fastest-growing economies in the Asia-Pacific region in 2024 and 2025, driven largely by government expenditure rather than domestic consumption or exports.

India’s Economic Survey 2023-24 highlights robust Growth and Strategic Vision

July 22, 2024, 11:09 pm

Finance Minister Nirmala Sitharaman tabled the Economic Survey 2023-24 in the Parliament on the first day of the Budget session which had said that India was a resilient economic powerhouse, deftly navigating global headwinds while charting its own course towards sustainable and inclusive growth.

With a robust GDP growth of 8.2% in FY24, the survey underscores India’s economic strength and adaptability in the face of external challenges.
It painted a comprehensive picture of an economy transitioning from recovery to growth, balancing immediate development needs with long-term sustainability goals.

The report has highlighted India’s unique approach to climate action, emphasizes the critical role of strategic sectors like agriculture and MSMEs, and outlines a vision for harnessing technology and human capital to fuel the next phase of growth.

On Tuesday, Sitharaman will present the Budget document. The economic survey is prepared by the Economics Division of the Department of Economic Affairs under the guidance of Chief Economic Advisor, who at the present is V Anantha Nageswaran. It offers an in-depth review of India’s economy for the past financial year and provides a summary of the government’s economic performance, highlighting major developmental programs and policy initiatives and an outlook for the upcoming financial year.

The survey tabled on Monday said that India’s economy has shown remarkable resilience, exceeding the 8% growth mark in three out of four quarters of FY24. This growth came despite external challenges, which highlighted the country’s economic stability.
According to Sitharaman, the focus on maintaining macroeconomic balance has ensured minimal impact from global disruptions even as the Global economic growth was 3.2 per cent in 2023 as per the April World Economic Outlook.

As per the survey document, the government’s thrust on capital expenditure and sustained private investment momentum has boosted capital formation growth, with Gross Fixed Capital Formation increasing by 9% in real terms in 2023-24.

Inflationary pressures, stoked by global issues and supply chain disruptions, have been effectively managed through administrative and monetary policy responses, the survey claimed while adding that retail inflation declined to 5.4% in FY24 from 6.7% in FY23.
The survey pointed out that the transmission of monetary policy to core inflation was unambiguous, with core inflation declining by around four percentage points between April 2022 and June 2024 in response to the RBI’s repo rate increases.

As per it, the Reserve Bank of India projects inflation to fall further to 4.5% in FY25 and 4.1% in FY26, assuming normal monsoons and no external shocks.
The report stated that India’s current account deficit narrowed to 0.7% of GDP in FY24, an improvement from 2.0% in FY23. This was primarily due to strong services exports counterbalancing subdued global demand for goods.

India maintained its position as the top remittance recipient country globally, with inflows reaching $120 billion in 2023. The banking sector showed stellar performance with double-digit credit growth and multi-year low non-performing assets. The market capitalization of the Indian stock market saw a remarkable surge, with India having the fifth-largest market capitalization to GDP ratio globally.

Primary capital markets facilitated capital formation of ₹10.9 lakh crore during FY24, which is approximately 29 per cent of the gross fixed capital formation of private and public corporates during FY23,it noted.

However, the positive report card could not transfer the same positive sentiments to the market with the BSE Sensex going down by 0.13 per cent at 80502 points, while Nifty50 dropped by 0.21 per cent to close at 24509 points from its previous day.

As per the survey report, sectorally, the agriculture and allied sectors registered an average annual growth rate of 4.18% at constant prices over the last five years, though growth moderated to 1.4% in 2023-24 due to weather-related challenges. Industrial growth reached 9.5% in FY24, with manufacturing and construction nearing double-digit growth.

The government claimed that the Production Linked Incentive (PLI) schemes have attracted significant investments, boosting production and exports in key sectors. The services sector, contributing about 55% to the economy, grew by 7.6% in FY24, with services exports maintaining steady momentum and accounting for 44% of India’s total exports.
Significant progress has been made in infrastructure development across various sectors, the survey had said. The average pace of national highway construction increased to 34 km per day in FY24 from 11.7 km per day in FY14.

Capital expenditure on Railways has increased by 77% in the past 5 years. In FY24, new terminal buildings at 21 airports were operationalized, increasing overall passenger handling capacity by approximately 62 million passengers per annum.
Under the Jal Jeevan Mission, tap water connections have been provided to more than 14.89 crore rural households (76.12%).

The survey emphasized India’s commitment to addressing climate change while balancing developmental priorities. India is recognized as the only G20 nation in line with 2-degree Celsius warming targets, it said.
The share of non-fossil sources in installed electricity generation capacity reached 45.4% as of May 2024, and the country has reduced the emission intensity of its GDP from 2005 levels by 33% in 2019.

Importantly, the survey stresses the need for India to adopt climate solutions rooted in its cultural and social fabric, rather than blindly following Western approaches.
In the social and health sector, the Ayushman Bharat scheme has generated over 34.7 crore cards and covered 7.37 crore hospital admissions.

The unemployment rate declined to 3.2% in 2022-23, with rising youth and female participation in the workforce. Net payroll additions under EPFO have more than doubled in the past five years, indicating healthy growth in formal employment.
The document stated that India became a net exporter of finished steel over the past decade, with the sector achieving its highest levels of production and consumption during FY24. Similarly, Coal production has accelerated over the past five years, reducing import dependence. In FY24, India produced 997.2 million tonnes of coal.

It noted that India’s pharmaceutical market is valued at USD 50 billion, making it the world’s third largest by volume while the export of textiles and apparel, including handicrafts, increased by 1%, reaching ₹2.97 lakh Crore.
In the field of electronics manufacturing, domestic production of electronic items increased significantly to ₹8.22 lakh Crore, while exports rose to ₹1.9 lakh Crore in FY23 and India’s share of foreign exchange earnings in world tourism receipts increased from 1.38% in 2021 to 1.58% in 2022.

The report stated that India has 55 active space assets, including various types of satellites and as of June 2024, India had 8.02 lakh mobile towers and 29.37 lakh Base Transceiver Stations (BTSs).

The report card also spoke about the Digital Agriculture Mission 2021-2025 which aims to modernize agriculture through advanced technologies. The DigiLocker platform has reached over 26.28 crore registered users and over 674 crore documents. The number of DPIIT-recognized start-ups increased from around 300 in 2016 to more than 1.25 Lakh by the end of March 2024. Patents granted increased seventeen-fold from 5,978 in 2014-15 to 103,057 in 2023-24.

The report also notes the growth of Global Capability Centres (GCCs) in India, which have increased from over 1,000 centres in FY15 to more than 1,580 centres by FY23. The Indian e-commerce industry is expected to cross $350 billion by 2030, signalling robust growth in the digital economy.

It suggests that in the medium term, the Indian economy can grow at a rate of 7% plus on a sustained basis if it builds on the structural reforms undertaken over the last decade.
While highlighting achievements, the survey also points out challenges that need addressing. These include the need for increased private sector financing in infrastructure development, improving the collection and aggregation of infrastructure-related data, addressing bottlenecks in the MSME sector, enhancing R&D and innovation across industries, and improving workforce skill levels.

Similarly, it noted that the agriculture sector faced challenges due to extreme weather events, depleted reservoirs, and crop damage, which impacted farm output and food prices. Consequently, food inflation stood at 6.6 per cent in FY23 and increased to 7.5 per cent in FY24.

Indian Economy Thriving Despite Global Challenges: Economic Survey 2023-24

July 22, 2024, 4:12 pm

The Economic Survey 2023-24, released by Finance Minister Nirmala Sitharaman today, shows that India’s economy is doing well despite global problems. The detailed report, which is 476 pages long, highlights that the Indian economy is stable and growing strong.

Recovery and Growth

The survey shows that India has successfully recovered from the impacts of Covid-19. The country’s economy is expanding, with growth rates of 9.7% and 7.0% in the past two years. The report notes that while the global situation is uncertain, India’s economic situation is strong.

To keep this growth going, the survey says that India needs to focus on its own efforts. The global environment is challenging, especially in areas like trade, investment, and climate.

Investment and Public Sector Role

The report highlights the important role of public investment in building up the economy. After a period when private companies were less active, they are now starting to invest more. This trend is expected to continue, and early signs suggest that private sector investments are still growing, though at a slower pace.

Inflation, Trade, and Current Account

Inflation is mostly under control, but prices for some food items are high. The trade deficit (the gap between imports and exports) was lower in FY24 compared to FY23. The current account deficit (which measures the difference between what a country earns and spends) is about 0.7% of GDP, and there was a surplus in the last quarter of the financial year. India also has ample foreign exchange reserves.

Working Together for Growth

The survey calls for cooperation between the government, private sector, and the public to overcome global challenges. It suggests that the government should trust the private sector to invest wisely, while people should manage their finances and health responsibly.

Upcoming Budget

Finance Minister Nirmala Sitharaman will soon present her budget, making her the longest-serving finance minister since Morarji Desai, who presented five annual budgets and one interim budget between 1959 and 1964. This will be Sitharaman’s seventh budget speech.

The Economic Survey 2023-24 provides a positive view of India’s economic situation. With ongoing investment, strong public and private sector contributions, and effective policies, India is set to continue its growth and handle global challenges.

Union Budget 2024-25: Key Expectations and Impact on Mutual Funds Sector

July 22, 2024, 3:17 pm

The Union Budget for 2024-25, set to be presented by Finance Minister Nirmala Sitharaman, will lay out the government’s financial strategy aimed at driving economic growth, boosting infrastructure, and advancing social welfare. This budget will significantly impact various sectors, including mutual funds. Here’s a detailed look at the expectations from the Indian Budget 2024-25 and its anticipated effects on mutual funds.

Key Budget Expectations:

1. Boost to Agriculture and Rural Development:
The budget is expected to allocate increased funding for agricultural infrastructure, irrigation, and rural development projects. It aims to promote modern farming practices and innovation to enhance productivity and sustainability.

2. Consumer and Investor Confidence:
To protect consumer interests and ensure fair market practices, the budget will likely strengthen regulatory frameworks. Policies designed to attract foreign direct investment (FDI) and simplify business operations are anticipated. Changes in financial markets are expected to improve transparency, reduce volatility, and safeguard investor interests.

3. Tax Reforms and Relief:
The budget is anticipated to adjust income tax slabs and rates to provide relief to the middle class, potentially increasing disposable income and consumer spending. Simplification of capital gains tax and reductions in corporate tax, especially for MSMEs, are also expected to stimulate business activity and investment.

Budget Highlights:

1. Increased Capital Expenditure:
The proposed budget for capital expenditure is Rs 11 lakh crore, about 3.5% of GDP. This investment aims to stimulate economic growth and job creation, reflecting the government’s commitment to infrastructure development.

2. Tax Reforms:
A new tax regime with revised income tax slabs will provide relief to the middle class. Amendments to the capital gains tax structure are expected to streamline tax rates, and reductions in corporate tax are anticipated to benefit MSMEs.

3. Sectoral Allocations:
Significant funding will be directed towards roadways, railways, urban infrastructure, and green energy projects. Increased funding for rural development, agri-infrastructure, and healthcare infrastructure is also planned.

4. Fiscal Deficit Target:
The budget sets a fiscal deficit target of 5.7% of GDP, down from the previous year’s 5.9%, indicating a commitment to fiscal discipline while aiming for balanced economic growth.

5. Disinvestment and Privatization:
The budget will focus on privatizing public sector undertakings (PSUs) to raise capital and enhance operational efficiency, generating additional revenue for the government.

6. Green Initiatives:
Increased spending on renewable energy and incentives for green technologies reflect the government’s commitment to sustainability and a transition to a more eco-friendly energy future.

Impact on Mutual Funds:

Equity Mutual Funds:

Infrastructure Push: Increased capital expenditure is likely to benefit equity mutual funds with exposure to sectors such as construction, cement, and engineering.
Green Energy and Technology Funds: The budget’s focus on green initiatives and technology may lead to higher returns for funds invested in renewable energy, electric vehicles, and tech sectors.

Debt Mutual Funds:

Interest Rates and Bond Yields: The focus on fiscal discipline may stabilize interest rates, favoring debt mutual funds, especially those invested in long-term bonds.
Credit Risk Funds: Improved credit conditions from increased government spending could benefit credit risk funds invested in lower-rated corporate bonds.

Tax-Saving Mutual Funds (ELSS):
Revised income tax slabs may increase disposable income, potentially boosting investments in tax-saving instruments like Equity Linked Savings Schemes (ELSS).

Thematic and Sectoral Funds:

Agriculture and Rural Development: Increased support for these areas could benefit mutual funds focused on agritech, rural infrastructure, and related sectors.
Healthcare: Enhanced funding for healthcare infrastructure and research may boost mutual funds invested in the healthcare and pharmaceutical sectors.

The budget’s emphasis on growth, fiscal prudence, and sustainability is expected to enhance investor confidence. This positive sentiment could lead to increased mutual fund inflows as investors look to capitalize on anticipated economic growth.

The Indian Budget 2024-25 aims for a balanced approach, focusing on economic growth through capital expenditure and green initiatives while maintaining fiscal discipline. The expected positive impact on both equity and debt mutual funds presents significant opportunities. Investors should align their portfolios to benefit from the budget’s focus on infrastructure, sustainability, and fiscal prudence, potentially enhancing returns in the post-budget period.

Economic Survey To Be Presented Today Ahead Of Union Budget 2024

July 22, 2024, 5:13 am

Finance Minister Nirmala Sitharaman will present the Economic Survey in Parliament today, July 22, 2024. This comes a day before she presents the Union Budget for the seventh consecutive time.

Parliamentary Announcement

Union Minister of Parliamentary Affairs Kiren Rijiju confirmed the schedule:

Economic Survey: July 22, 2024
Budget for Jammu and Kashmir: July 23, 2024

Preparation of the Economic Survey

Prepared by: The Economic Division of the Department of Economic Affairs, Ministry of Finance.
Supervision: Under the chief economic adviser.

Purpose and Content

Insights: The Economic Survey provides insights into the state of the economy and various indicators for the financial year 2023-24 (April-March).
Outlook: It also offers an outlook for the current year.

History of the Economic Survey

First Survey: Conducted in 1950-51, initially part of the budget documents.
Separation: In the 1960s, the Economic Survey was separated and presented a day before the Budget.

Themes of Past Economic Surveys

2022 Theme: ‘Agile Approach’ – Focused on India’s economic response to the Covid-19 pandemic
2023 Theme: ‘Recovery Complete’ – Emphasized the economy’s recovery amid the Russia-Ukraine war and returning to pre-Covid levels.

Upcoming Budget Highlights

Government’s First Major Policy Announcement: This Budget will be the first major policy announcement by Prime Minister Narendra Modi’s government after securing a third term in Lok Sabha elections.

Economic Forecasts

RBI GDP Forecast: The Reserve Bank of India raised the GDP forecast for 2024-25 to 7.2% from 7%.
IMF Growth Projection: The International Monetary Fund increased India’s growth projections for 2024 from 6.8% to 7%.

Conclusion

The Economic Survey and Budget 2024 are crucial documents that provide a comprehensive overview of India’s economic state and future outlook. They will guide the government’s financial and economic policies for the coming year.

Income tax Budget 2024 Expectations: 5 Key Demands Salaried Taxpayers Have for FM Nirmala Sitharaman on July 23

July 13, 2024, 3:34 pm

The salaried class eagerly awaits the upcoming budget, hoping for significant tax relief after finding little in the interim budget of 2024. Substantial tax reforms are anticipated to alleviate the burden and increase savings for taxpayers, especially the middle class. Personal Finance Experts foresee potential changes such as reducing the highest tax rate in the new tax regime, increasing the standard deduction, and raising the threshold for the highest tax rate in the old tax regime. They believe the government will address the shortcomings of the new tax regime introduced in Budget 2023, which did not attract as many taxpayers as expected.

Expectations of the Salaried Class from Budget 2024

1. Tax Rate Reductions

Divya Baweja, Partner, Deloitte India: “While changes provided in Budget 2023 in the new tax regime persuaded taxpayers to switch, the shift is still not as expected. The government is expected to consider reducing the highest tax rate of 30% to 25% under the new tax regime and increase the standard deduction from the current threshold of INR 50,000.”

2. Threshold Adjustments and Deduction Limits

Divya Baweja, Partner, Deloitte India: “Further, the government may also look at increasing the threshold limit for the highest tax rate from INR 10 lakhs to INR 20 lakhs under the old tax regime, and increase the limit of 80C, as an interim measure.”

3. Standard Deduction Enhancements

Garima Tripathi, Partner, V Sahai Tripathi and Co, Chartered Accountants: “The upcoming Budget 2024 brings high hopes for the middle class, particularly regarding increased savings under the old tax regime. One key expectation is the Section 80C deduction limit increase from the current ₹1.5 lakhs to possibly ₹2.0 lakhs.”

CA Abhishek Jain, Partner, Kailash Chand Jain & Co: “An increase in the standard deduction, last revised to ₹50,000, is also expected. This would lower taxable income, providing significant relief amid inflation and rising living costs.”

4. Capital Gains and Investment Incentives

Garima Tripathi, Partner, V Sahai Tripathi and Co, Chartered Accountants: “Many people hope that the Long-Term Capital Gains (LTCG) exclusion ceiling will be raised from ₹1 lakh to ₹1.5 or 2 lakhs, given the growing interest in trading.”

5. House Rent Allowance (HRA) and Other Allowances

“Key expectations include higher House Rent Allowance (HRA) exemptions to offset rising rental costs, particularly in metropolitan areas. This would reduce taxable income and increase affordability for those living in rented accommodations.”

This comprehensive outlook reflects the high hopes the salaried class holds for the upcoming Budget 2024, emphasizing potential measures that could significantly improve their financial well-being.

7 Key Demands by Govt Employee Union for Budget 2024: 8th Pay Commission, DA Arrears, Old Pension Scheme

July 9, 2024, 8:27 am

Finance Minister Nirmala Sitharaman will present the Union Budget 2024–25 on July 23. The Cabinet Secretary has received a significant proposal from the central government employee union that comprises seven key demands.

In a letter dated July 6, the Confederation of Central Govt Employees and Workers outlined their demands for the upcoming budget:

Establish the 8th Pay Commission immediately.
Abolish the New Pension Scheme (NPS) and revert to the Old Pension Scheme (OPS) for all employees.
Release the 18-month DA/DR arrears that were frozen during the COVID-19 pandemic and restore the commuted portion of the pension after 12 years instead of the current 15 years.
Eliminate the 5% limit on compassionate appointments and allow these appointments for all dependents of deceased employees.
Fill all vacant positions in every department and stop outsourcing and contractorization in government sectors.
Ensure democratic functioning of associations/federations according to the JCM mechanism, including:(A) Grant recognition to pending associations/federations and revoke de-recognition orders for certain unions.(B) Stop enforcing Rule 15 1(c) on service associations/federations.
Regularize casual and contractual laborers and GDS employees, and grant employees of autonomous bodies the same status as central government employees.

To push for these demands, the confederation plans to hold a demonstration on July 19 during lunch hours.

S B Yadav, general secretary of the Confederation, expressed that they wanted the implementation of the 8th Pay Commission to start from January 2026, emphasizing the need for the commission to be constituted immediately.

The central government is anticipated to announce a DA hike for employees under the existing 7th Pay Commission in the first half of September, which will be retroactive from July 1, 2024. Employees are expecting a 3-4% increase in the upcoming DA hike.

When asked if the government could increase DA beyond the 50% threshold of DA as a percentage of basic pay, a labor affairs expert confirmed that the government could indeed increase the DA beyond 50%. The expert noted that during the 4th Pay Commission, the DA had reached as high as 170%, and the government had provided interim relief as well.

Economy beats estimates, grows 8.2% in FY24

June 1, 2024, 3:06 am

Growth propels economy to $3.5 trillion and set the stage for achieving the $5-trillion target in the next few years.

Amidst deepening geopolitical distress and global macroeconomic headwinds, India’s GDP is estimated to have posted a growth of 8.2 per cent in financial year 2023-24 compared to the growth rate of 7.0 per cent in FY 2022-23.

The gross value addition (GVA) has grown by 7.2 per cent in 2023-24 over the growth rate of 6.7 per cent in 2022-23, as per the data released by the National Statistical Office (NSO) of the Ministry of Statistics and Programme Implementation (MoSPI).

The Government’s fiscal deficit for FY24 stands at Rs 16,53,670, coming in 4.6 per cent less than in FY23 and 4.7 per cent lower than FY24 revised estimates.

The GVA expansion is attributed to significant growth of 9.9 per cent in the manufacturing sector in 2023-24 over -2.2 per cent in 2022-23 and growth of 7.1 per cent in 2023-24 over 1.9 per cent in 2022-23 for the mining & quarrying sector.

Finance Minister Nirmala Sitharaman said the GDP data “showcases robust economic growth and this growth rate is the highest among the major economies of the world”. Sitharaman highlighted on X that the manufacturing sector highlights the success of the Modi Government’s efforts for the sector. “Many high-frequency indicators indicate that the Indian economy continues to remain resilient and buoyant despite global challenges. India’s growth momentum will continue in the third term of PM Narendra Modi,” Sitharaman said.

The GDP growth of 8.2 per cent for 2023-24 and 7.8 per cent in the last quarter of the fiscal has beaten even optimistic expectations, notes ASSOCHAM Secretary General Deepak Sood who attributed it to the stellar performance of manufacturing, which is expected to sustain momentum in the current financial year as well. “Manufacturing has really bounced back and this is great news for India which is positioned amongst the fastest-growing economies of the world,” says Sood.

According to the NSO data, nominal GDP has witnessed a growth rate of 9.6 per cent in FY 2023-24 over the growth rate of 14.2 per cent in FY 2022-23. “The growth momentum has surprised everyone,” agree Sunil Kumar Sinha, Principal Economist and Paras Jasrai, Senior Analyst at India Ratings. Although the nominal GDP growth in FY24 is now lower than that used in the FY25 budget preparation, the sheer growth momentum is likely to lead to a higher nominal GDP in FY25. This along with an all-time high RBI dividend will help the Government in realizing higher receipts. The noteworthy feature is the continued capex push by the government. The capex grew 26.5 per cent to Rs 992.4 billion in April 2024, indicating the sustained support to the investment demand in the economy,” say Sinha and Jasrai.

The quarterly estimates of GDP for the fourth quarter (January-March) of 2023-24 show GDP growth of 6.3 per cent and GVA growth of 7.8 per cent in Q4 of FY 2023-24. At the nominal level, growth rates in GVA and GDP for Q4 of FY 2023-24 have been estimated at 8.0 per cent and 9.9 per cent respectively.

India’s GDP (constant prices) is estimated to attain a level of Rs 173.82 lakh crore in the year 2023-24, against the first revised estimates (FRE) of GDP for the year 2022-23 of Rs 160.71 lakh crore.

Nominal GDP or GDP at current prices is estimated at a level of Rs 295.36 lakh crore in the year 2023-24, against Rs 269.50 lakh crore in 2022-23.

FM Nirmala Sitharaman emphasizes for more focus on investment in manufacturing sector

May 17, 2024, 1:10 pm

Finance Minister Nirmala Sitharaman emphasized the need for a stronger focus on the manufacturing sector. Speaking at the CII Annual Business Summit 2024 in Delhi, Sitharaman acknowledged that while many advocate for India’s potential in services, manufacturing cannot be overlooked and requires increased investment and government support.

The minister emphasised that sophisticated product production is essential, and that strong policy support is required. “Manufacturing must expand, and India must enhance its role in global manufacturing value chains through effective policies and investment,” She said.

At the function, Sitharaman read aloud from an IMF analysis projecting that, beginning in 2023, India would contribute 18% of global growth over the following five years. She emphasised that India’s growth is most active between 2023 and 2028.

“For the five years beginning in 2023, India is expected to provide 18% of global growth, according to IMF predictions. Thus, we anticipate a dynamic India making a big contribution to global economy between 2023 and 2028,” the minister said.

Sitharaman also emphasised the remarkable growth story of India, using data from S&P Global Market Intelligence regarding the country’s expanding consumer market.

There is a $2.9 trillion opportunity as the Indian consumer market is expected to treble by 2031. It is anticipated that food expenditures by Indian consumers will amount to $1.4 trillion, with a further trillion-dollar potential,” the speaker stated.

Quoting the S&P report, the minister highlighted significant opportunities in India’s financial market as well. “Spending on financial services is predicted to reach $670 billion, with a $390 billion untapped opportunity,” she noted.

Sitharaman also shared projections from the World Economic Forum indicating the creation of 50 million net jobs in India from green energy, contributing $1 trillion to the economy by 2030.

“The WEF projects that 50 million net jobs will be created in India from green energy, with a $1 trillion economic impact by 2030. Solar energy alone exemplifies the potential for job creation,” she stated.

While talking about reforms to India’s financial sector, Sitharaman emphasised the answer to the “twin balance sheet problem,” in which growing non-performing assets (NPAs) and unpaid debt negatively impacted both corporate and financial sector balance sheets.

“According to the government survey and RBI, there has been a shift from the twin balance sheet issues of 2013–14 to a twin balance sheet advantage. She clarified that the balance balances of the corporate and financial sectors have not only recovered but are also in a position to support growth.

Conversations on six themes are covered in the CII conference: Green Economy, India and the World, Advanced Technology and Innovation, Jobs and Livelihood, Startups, and New Age Businesses. The two-day CII Annual Business Summit is scheduled to take place in Delhi on May 17–18.