People watch the live budget speech telecast from Parliament House, as Finance Minister Nirmala Sitharaman presented the Union Budget 2024 on February 01, 2024.
| Photo Credit: Sushil Kumar Verma

Finance Minister Nirmala Sitharaman on February 1 presented her sixth consecutive Budget with a speech lasting 56 minutes, her shortest-ever.

Dressed in a turquoise-coloured embroidered Kantha silk saree, as Ms. Sitharaman delivered her speech, it was lauded at regular intervals by the treasury benches — her remarks on the presentation of the full budget by “our government” in July receiving the loudest cheer.

Union Budget 2024 | Follow live updates here

The opposition members listened to Ms. Sitharaman’s budget speech with rapt attention, barring some voices of disapproval to the Minister’s reference to her government returning to power after the Lok Sabha elections.

Earlier, BJP members raised slogans of Bharat Mata ki Jai, Jai Shri Ram, Jai Siya Ram as Prime Minister Narendra Modi entered the Lok Sabha chamber and took his seat a few minutes before 11:00 a.m.

At 56 minutes, it was Ms. Sitharaman’s shortest budget speech. She also holds the distinction of delivering the longest budget speech at two hours and forty minutes in 2020.

Also Read: Union Budget | Indian economy witnessed profound positive transformation in last 10 years, says Nirmala Sitharaman

In 2019, as India’s first full-time woman Finance Minister, Ms. Sitharaman’s budget speech had lasted for two hours and 17 minutes. In 2021, her speech lasted for one hour and 50 minutes, followed by 92 minutes in 2022 and 87 minutes in 2023.

Ms. Sitharaman’s budget speech found no mention of Tamil poets and thinkers unlike previous occasions, but she referred to Prime Minister Modi at least eight times and quoted from his speeches.

The public galleries saw thin attendance with a few Rajya Sabha members occupying seats in Gallery 2, while relatives of Finance Minister Sitharaman — Krishnamurthy Lakshminarayan and Vidya Lakshminarayan — and her daughter Vangmayi Parakala were seated in the first row of Gallery 3.

Ms. Sitharaman, Ministers of State for Finance Pankaj Chaudhary and Bhagwat Karad, and top officers from the Finance Ministry called on President Droupadi Murmu before presenting the Budget.

The President gave Ms. Sitharaman a spoonful of curd and sugar and extended her best wishes for the presentation of the Union Budget.

In her budget speech, Ms. Sitharaman coined new expansion of FDI – First, Develop India and for GDP – Governance, Development and Performance.

Also Read: Govt to take up next-generation reforms to facilitate growth: Sitharaman

“Besides delivering on high growth in terms of Gross Domestic Product, the government is equally focused on a more comprehensive ‘GDP’, i.e., ‘Governance, Development and Performance’,” Ms. Sitharaman said.

In 2019, Finance Minister Sitharaman did away with the traditional Budget briefcase and instead went for a ‘bahi-khata’ with the national emblem to carry the speech and other documents on a tablet computer, a tradition she stuck to on February 1.

JD(U) leader Rajiv Ranjan ‘Lalan’ Singh, whose party re-joined the NDA last week, was seen applauding the budget speech on regular occasions.

The Prime Minister walked up to Ms. Sitharaman at the conclusion of her speech and congratulated her for the presentation of the interim budget.

Several Ministers were also seen congratulating Ms. Sitharaman after her speech.

Prime Minister Narendra Modi takes a morning stroll on one of the pristine beaches, in Lakshadweep. File.
| Photo Credit: ANI

The Centre will work with States for the comprehensive development of iconic tourist centres and their branding and marketing at a global scale in order to promote Indian tourist destinations within the country as well as abroad.

A framework for rating of the centres based on quality of facilities and services will also be established, Union Finance Minister Nirmala Sitharaman said on Thursday.

Interim Budget 2024 LIVE updates

Presenting the Interim Budget for 2024-25, she said: “Our economic strength has made the country an attractive destination for business and conference tourism. Our middle class also now aspires to travel and explore. Tourism, including spiritual tourism, has tremendous opportunities for local entrepreneurship.”

The States will be encouraged to take up comprehensive development of iconic tourist centres, branding and marketing them at a global scale. The Central government will provide long-term interest-free loans to States for financing such development on a matching basis.

The Finance Minister also announced that in order to address the emerging fervour for domestic tourism, special projects would be taken up for port connectivity and tourism infrastructure. “…amenities will be taken up on our islands, including Lakshadweep. This will help in generating employment also”.

It might be recalled that Prime Minister Narendra Modi visited Lakshadweep in the first week of January, pictures of which were shared widely on social media.

Ms. Sitharaman said the success of organising G-20 meetings in 60 places has presented the country’s diversity to a global audience.

While the total allocation of the Union Tourism Ministry has increased marginally to to ₹2,449 crore in 2024-25 as compared to ₹2,400 crore in 2023-24, the revised estimate for the year 2023-24 is ₹1,692 crore.

Reacting to the budget proposals, Aashish Gupta, Consulting CEO, FAITH, said: “It is hoped that the actual budget in July will take forward the statement of intent announced in the interim budget of international promotion, developing iconic destinations in partnership with states through an incentive-based system and further focus on domestic tourism and recognition of mice tourism capabilities of India.”

Union Finance Minister Nirmala Sitharaman holding a folder-case containing the Interim Budget 2024 at North Block Finance Ministry in New Delhi on February 1, 2024.
| Photo Credit: Shiv Kumar Pushpakar

Finance Minister Nirmala Sitharaman presented the Interim Budget 2024-2025 in the Lok Sabha on February 1.

Highlighting the achievements of the Modi Government for the past 10 years, Ms. Sitharaman left the tax slabs unchanged and stuck to the convention of not making any major announcements while presenting the interim Budget.

The Interim Budget 2024-25 will be a vote-on-account that will give the government authority to spend certain sums of money till a new government comes to office after the April-May general elections.

Ms. Sitharaman’s Budget speech lasted less than an hour, one of the shortest from her. She also tabled the Finance Bill, 2024, and a statement of the estimated receipts and expenditure of the Government of India (Interim Union Budget) for the Year 2024-25.

The Hindu provides a copy of these Budget documents in PDF/DOC format.

Please click here for:

Interim Budget 2024-2025, Speech of Nirmala Sitharaman

Interim Budget 2024-205 at a glance

Key Features of Inerim Budget 2024-2025

The Finance Bill 2024

Receipt Budget 2024-2025

Annual Financial Statement 2024-2025

Image used for representative purpose. File
| Photo Credit: MURALI KUMAR K

Resolving long-pending tax dispute, Finance Minister Nirmala Sitharaman on Thursday, proposed withdrawing all outstanding direct tax demands upto ₹25,000 from 1962 to 2009-10. In her interim budget speech, she noted that a large number of petty or disputed direct tax demands were burdening the system, dating as far as 1962. This would help 1 crore taxpayers, said Ms. Sitharaman.

Read : Budget 2024 live updates | Interim budget leaves tax structure untouched; FM details Centre’s achievements

“To improve taxpayer services, there are a large number of petty or disputed direct tax demands, many of them dating as far back as 1962, which cause anxiety to taxpayers. I propose to withdraw such outstanding direct tax demands upto ₹25,000 pertaining to years upto 2009-10 and Rs. 10,000 for the period from 2010 to 2015. This will help 1 crore taxpayers,” the Finance Minister said.

She also highlighted the government’s move to introduce Faceless Assessment and Appeal, thereby imparting greater efficiency, transparency and accountability and that by introducing a new form 26AS to file income tax returns the process has been made “simpler and easier”. Currently, the average time taken for processing of returns stands reduced from 93 days to 10 days from 2013-14, Ms. Sitharaman said.

The Finance minister presented her sixth consecutive budget speech to Parliament on Day 2 of the Budget session. Her hour-long speech was for an interim budget for the FY 2024-25 as a ‘stop gap’ measure for the transition period between April and June/July. After the Lok Sabha elections scheduled to be held in April-May, the new government will present a full-fledged budget. The roadmap for a ‘Vikasit Bharat’ (developed India) will be unveiled in the next budget speech.

In September last year, the income tax department asked taxpayers to respond to its intimation regarding outstanding demands for 2022-23 to clear refunds faster. In 2022-23, as many as 7.09 crore income tax returns (ITRs) were filed of which 6.96 crore ITRs were verified and 6.46 crore processed. The I.T department said that the notices for unsettled tax demands were issued to provide taxpayers relief in line with “principles of natural justice”.

With the withdrawal of historical tax demands, the hassles faced by both the I.T department and citizens will be greatly reduced.

Terming the Interim Budget presented by Union Finance Minister Nirmala Sitharaman as “progressive”, veteran BJP leader B. S. Yediyurappa complimented her for presenting a realistic Budget that will improve the standard of living of people.

The former Karnataka Chief Minister said the Budget reaffirms the commitment of the BJP government towards building a strong, empowered, developed and a “Vishwaguru” India in the coming days, which will complement the progress of the country. 

“Hearty congratulations to the Finance Minister Nirmala Sitharaman, who has presented the country’s ‘progressive Budget’ to further strengthen the country’s economy, and towards realisation of Prime Minister Narendra Modi’s concept of Navabharat,” Yediyurappa posted on social media platform X.

“Without presenting the Budget of pre-election popular slogans, through this Interim Budget, the Union Finance Minister has presented a realistic Budget that will improve the standard of living of our youth, farmers, women and especially the backward and vulnerable sections of the people, creating new hope and opportunities,” he added. – PTI

Finance Minister Nirmala Sitharaman presenting the Interim Budget 2024 in the Lok Sabha on February 1, 2024.

The revised fiscal deficit for financial year 2024-25 is estimated at 5.1 per cent of the GDP, down from 5.8 per cent for the current financial year 2024 (FY24), Union Minister Nirmala Sitharaman announced in her interim Budget speech on Thursday.

“The revised estimate of the fiscal deficit is 5.8% of GDP, improving on the budget estimate notwithstanding moderation in the nominal growth estimates,” the Finance Minister said.

The fiscal deficit is the difference between the government expenditure and income. As per data released by the Controller General of Accounts (CGA) on Wednesday, the Union government’s fiscal deficit touched ₹9.82 lakh crore or 55 per cent of the annual Budget target at December-end 2023. In the corresponding period last year, the deficit was at 59.8 per cent of the budget estimates of 2022-23. The fiscal deficit was estimated to be at Rs 17.86 lakh crore or 5.9 per cent of the GDP for 2023-24.

The revised estimates of 2023-24 of total receipts other than borrowings is ₹27.56 lakh crore, of which tax receipts are ₹23.24 lakh crore, the Finance Minister said. She added that revenue receipts at ₹30.3 lakh crore are expected to be higher than Budget Estimates.

Also Read | Highlights of Interim Budget 2024-25

The Finance Minister proposed to raise capital expenditure outlay in the interim Budget 2024-25 by 11.1 per cent to ₹11.1 lakh crore — 3.4 per cent of the GDP. The government will borrow a gross of ₹14.13 lakh crore from the markers in the fiscal year, the Finance Minister added. She said GST has reduced the compliance burden, and the average monthly GST collection doubled to ₹1.66 lakh crore. The government resorts to market borrowings to bridge the gap between expenditure and revenue (fiscal deficit).

The Finance Minister said the tax receipts are projected at ₹26.02 lakh crore, while total receipts other than borrowings at ₹30.8 lakh crore. The total expenditure is estimated at ₹47.66 lakh crore.

The Centre will continue 50-year interest-free loans for capital expenditure to States for one more year, with total outlay of Rs 1.3 lakh crore, the Minister announced.

The interim Budget 2024-25 presented by Ms. Sitharaman is the last of the Modi 2.0 government before the upcoming general elections. Technically a vote on account, the interim Budget seeks Parliament’s approval to withdraw money from the Consolidated Fund of India in advance to meet the Centre’s expenditure for the first four months of the new fiscal year, which is April-July period. Once the new administration takes charge, which is expected around June, it will come up with a final Budget for 2024-25 in July.

Also Read | Budget 2024 live updates | Interim budget leaves tax structure untouched; PM calls it ‘transformative’ for India’s future

This is a record sixth time that Ms. Sitharaman has presented the Union Budget in a row, which includes five annual Budgets. Previously, the record was held by former PM Morarji Desai. Former Finance Ministers Manmohan Singh, Arun Jaitley, P. Chidambaram, and Yashwant Sinha had also presented five budgets in a row.

Agriculture and allied sector players termed the Interim Budget 2024-25 as a promising roadmap for strengthening agriculture, agrochemical, dairy sectors by encouraging investment in research and development, technology and warehousing that will empower farmers and their livelihood.

“The Interim Budget 2024-25 reiterates the government’s commitment to strengthening the ‘Annadata’ and backbone of our nation – our farmers. From direct financial assistance through PM-KISAN SAMMAN Yojana to expanding farmer-centric policies and promoting innovations, the budget paves the way for inclusive, sustainable growth in the agricultural sector,” Godrej Agrovet Managing Director Balram Singh Yadav said.

Parag Milk Foods Chairman Devendra Shah said with the focus on the agriculture sector, the announcement of a comprehensive program for dairy farmers, coupled with efforts to control foot and mouth disease, is a positive step.

“The commitment to promote indigenous breeds and fostering research and development in the dairy sector through government schemes lays the foundation for increased productivity and sustainable growth,” he added.

Warehousing services provider Sohan Lal Commodity Management (SLCM) Group founder and CEO Sandeep Sabharwal said that the impetus given to post-harvest activities in the Interim Budget is a welcome step.

“It is a positive move to encourage private-public partnerships and address the diverse ambit of post-harvest agricultural logistics, including storage, supply chain as well as primary and secondary storage. In addition to the one crore women already coming under the purview of Lakhpati Didis, the government now intends to incorporate 3 crore new Lakhpati Didis under the scheme, and we hope it transforms several lives in the Indian agri space across the rural parts of the country,” he added.

Deloitte India Partner and Consumer, Products and Retail sector Leader, Anand Ramanathan commented that the Interim Budget 2024-25, continues to support growth and productivity in agriculture through interventions in crop insurance, encouraging use of nano fertilisers, promoting self-sufficiency in oilseed production, and increasing investments in micro food processing.

“Also, from a protein standpoint – boosting dairy productivity and supporting sea food exports are some of the big areas of focus. These announcements will provide employment opportunities for the rural economy,” he stated.

Dhanuka Agritech Managing Director MK Dhanuka said, “The announcement to further encourage private and public investment in areas of post-harvest activities including aggregation, modern storage, efficient supply chains, primary and secondary processing and marketing and branding is a laudable step.” “The decision to promote the application of nano DAP on various crops in different agro-climatic zones is in line with the government’s vision of promoting technological advancement in the rural sector.” KC Ravi, Chief Sustainability Officer, Syngenta India and Chairman Crop Life India, said that the robust physical-digital-social infrastructure developed in the last decade has given the economy a good foundation for a Viksit Bharat by 2047.

Digital infrastructure and infusion of technology is imperative to not only sustain the momentum but also to take the agriculture growth story to its logical conclusion. he said.

Agritech start-up Otipy’s founder and CEO Varun Khurana said the encouragement for private and public investment in post-harvest activities is commendable, promising a more resilient and sustainable agricultural ecosystem.

“The commitment to modernise the farm sector, focusing on improved storage, efficient supply chains, and branding, reflects a strategic vision to enhance the overall efficiency and competitiveness of Indian agriculture.

These measures align with the contemporary needs of the sector and are crucial steps towards ensuring long-term prosperity for farmers and fostering growth in the agritech landscape,” he noted.

Insecticides India Managing Director Rajesh Aggarwal said the continuation of flagship schemes such as the PM Kisan Samman Yojana and PM Fasal Bima Yojana, providing direct financial assistance and crop insurance respectively, exemplifies the government’s dedication to safeguarding the livelihoods of our farmers.

“We are particularly encouraged by the emphasis on technology adoption and innovation in agriculture. The integration of 1,361 mandis into the Electronic National Agricultural Market, serving 1.8 crore farmers, is commendable. Furthermore, the budget’s focus on modern storage, supply chains, and branding, will encourage private and public investment in post-harvest activities,” he said.

Arya.ag co-founder and CEO Prasanna Rao commented that the Budget’s commitment to boost both private and public investment in post-harvest infrastructure will go a long way in enhancing the outcomes.

“It will not only lead to a reduction of losses but also elevate productivity. Additionally, the expansion of Nano DAP and the commitment to oilseed self-reliance are pivotal and significant steps in achieving sustainable agricultural advancement,” he added. — PTI

Watch | Interim Budget 2024 | What’s in it for health sector?

| Video Credit:
Richard Kujur

Health cover under the Ayushman Bharat Pradhan Mantri Jan Arogya Yojana will be extended to all Accredited Social Health Activist (ASHA) and anganwadi workers and helpers said Finance Minister Nirmala Sitharaman on Thursday, while announcing the interim Union Budget 2024-25.

While a full budget for 2024-25 will be announced after the new government is formed following the Lok Sabha elections later this year the budget allocation saw an increase from ₹89,155 crore in 2023-24 to ₹90,658.63 crore for the Ministry of Health and Family Welfare while Ayush Ministry also saw a hike from ₹3,647.50 crore to ₹3,712.49 crore.

Budget 2024 live | Interim budget leaves tax structure untouched; FM details Centre’s achievements

For the health sector, the Minister added that India will be bringing in the services of the newly designed U-WIN platform for managing immunisation and intensified efforts of Mission Indradhanush.

“This is to be rolled out expeditiously throughout the country,” the Minister said during her nigh hour long speech.

The other major addition in the sector includes utilising the existing hospital infrastructure under various departments to offer medical seats to students and encouraging HPV vaccination for girls in the age group of 9 to 14 years for prevention of cervical cancer.

The government also proposed to combine various schemes for maternal and childcare and bring them under one comprehensive programme for synergy.

The Minister added that, as part of the Skill India Mission, youth are being trained through various world-class institutes including 15 newly constructed All India Institute of Medical Sciences.

“Several youth have the ambition to get qualified as doctors. They aim to serve our people through improved healthcare services. Our Government plans to set up more medical colleges by utilizing the existing hospital infrastructure under various departments. A committee for this purpose will be set-up to examine the issues and make relevant recommendations,” the Minister said.

The Minister added that geopolitically, global affairs are becoming more challenging with wars and conflicts.

“Globalisation is being redefined with reshoring and friend-shoring, disruption and fragmentation of supply chains, and competition for critical minerals and technologies. A new world order is emerging after the COVID-19 pandemic,” the Minister said. The budget also announced upgradation of Anganwadi centres under ‘Saksham Anganwadi’ and Poshan 2.0 will be expedited to improve nutrition delivery, early childhood care, and development.

The sectors that saw increased allocation of funds in the last 2023-24 budget included Ayushman Bharat-Pradhan Mantri Jan Arogya Yojana, CGHS pensioners, and the National AIDS and STD programme. This year continued with that trend although allocation for development of nursing services did witness a drop.

Image used for representative purpose only
| Photo Credit: The Hindu

Giving a boost to affordable housing, the government on Thursday announced a new scheme to help “deserving” sections of the middle class buy or build their own houses.

Union Finance Minister Nirmala Sitharaman also gave a push to rural housing and said two crore more houses would be made under the flagship Pradhan Mantri Awas Yojana (PMAY)-Rural.

“Our government will launch a scheme to help deserving sections of the middle class living in rented houses or slums or chawls and unauthorised colonies to buy or build their own houses,” the Finance Minister said.

Also Read | Budget 2024 live

Ms. Sitharaman said that despite the challenges resulting from the COVID-19 pandemic, “implementation of PMAY (Rural) continued and we are close to achieving the target of three crore houses”. “Two crore more houses will be taken up in the next five years to meet the requirement arising from increase in the number of families,” she added.

The PMAY is a credit-linked subsidy scheme to facilitate access to affordable housing for low and moderate-income people. It has two components — PMAY (Urban) for the urban poor under the Ministry of Housing and Urban Affairs, and PMAY (Rural) for rural India under the Ministry of Rural Development.

Also Read | Interim Budget 2024: Highlights

The total allocation to the Housing and Urban Affairs Ministry for 2024-25 is ₹77,523 crore, up from ₹76,431 crore in 2023-24. The total allocation for PMAY is ₹80,671 crore out of which ₹54,500 crore is for PMAY (Rural).

Ms. Sitharaman said that PM-SVANidhi, a micro-credit scheme for street vendors being run by the Housing and Urban Affairs Ministry, has provided credit assistance to 78 lakh street vendors, out of which 2.3 lakh have received credit for the third time.

The government was working with an approach to development that was all-round, all-pervasive and all-inclusive to make India a ‘Viksit Bharat’ by 2047, she added.

According to Union Finance Minister Nirmala Sitharaman, the PM Kisan SAMPADA Yojana has benefited 38 lakh farmers and assisted 2.4 lakh self-help groups. File photo
| Photo Credit: REUTERS

Enumerating the benefits of the agriculture schemes implemented by the Modi government in her interim budget speech, Finance Minister Nirmala Sitharaman on Thursday, touted that the PM Kisan SAMPADA (Scheme for Agro-Marine Processing and Development of Agro-Processing Clusters) Yojana has benefited 38 lakh farmers and assisted 2.4 lakh self-help groups (SHGs). The scheme uses modern infrastructure and supply chain management to ease the transfer of farm goods from farmers to retail outlets.

Also Read | Budget 2024 live updates

She added that the government will promote private and public investment in post-harvest activities, including storage, processing. Usage of nano Diammonium phosphate (DAP) fertilisers on crops will be expanded for all agro-climactic zones said Ms. Sitharaman. A strategy focusing on oilseeds will be formulated soon covering research for high-yielding varieties, procurement, value addition and crop insurance.

Apart from these, the Finance Minister also announced a comprehensive program to support dairy farmers, tackle the Foot and Mouth Disease among cattle. Lauding the establishment of a separate fisheries department, the Minister informed the Parliament that the PM Matsya Sampada yojana has helped double seafood exports from 2013-14. The scheme will be boosted to generate 55 lakh jobs and boost exports to Rs 1 lakh crore.

Also Read | Interim Budget 2024: Highlights

The Finance Minister is presenting the interim budget for the FY 2024-25 as a ‘stop gap’ measure for the transition period between April and June/July. After the Lok Sabha elections scheduled to be held in April-May, the new government will present a full-fledged budget in which Ms. Sitharaman has promised to present a pathway for ‘Vikasit Bharat’ (developed India).

Slack in consumption demand for Fast-moving consumer goods (FMCG) has been concern of the agriculture sector. High input costs has lead to companies hiking goods, leading to slump in demand. the advance GDP estimates shows the sector’s growth decelerate from 4% in 2022-23 to 1.8% in the current fiscal. Even the Index of Industrial Production (IIP) data for April-November revealed the output of consumer durables decelerated to 0.6 per cent, against 5.3 per cent in the same period last year.

Seeking to tackle these issues, the sector hoped that the government may tweak the tax slabs in the new regime or increase standard deduction, allowing taxpayers a breather.