UNION BUDGET 2025-26
New Delhi, February 1, 2025 – Union Minister for Finance and Corporate Affairs, Smt. Nirmala Sitharaman, presented the Union Budget 2025-26 in Parliament today, outlining transformative reforms in agriculture, micro, small, and medium enterprises (MSMEs), infrastructure, and taxation.
Budget Estimates 2025-26:
- Total receipts (excluding borrowings): ₹ 34.96 lakh crore
- Total expenditure: ₹ 50.65 lakh crore
- Net tax receipts: ₹ 28.37 lakh crore
- Fiscal deficit: 4.4% of GDP
- Gross market borrowings: ₹ 14.82 lakh crore
- Capital expenditure: ₹ 11.21 lakh crore (3.1% of GDP)
Agriculture Initiatives:
- Prime Minister Dhan-Dhaanya Krishi Yojana: Launch of the Developing Agri Districts Programme covering 100 districts, benefiting 1.7 crore farmers.
- Mission for Aatmanirbharta in Pulses: A six-year mission focusing on Tur, Urad, and Masoor pulses, with procurement by NAFED and NCCF over the next four years.
- Comprehensive Programme for Vegetables & Fruits: A new initiative to promote production, efficient supply chains, and fair pricing for farmers.
- Fisheries Framework: Sustainable development framework for fisheries with a focus on the Andaman & Nicobar and Lakshadweep Islands.
- Enhanced Credit Through KCC: Increase in loan limits under the Modified Interest Subvention Scheme from ₹ 3 lakh to ₹ 5 lakh.
MSME Reforms:
- Revised MSME Classification: Enhancement of investment and turnover limits by 2.5 and 2 times respectively.
- Credit Cards for Micro Enterprises: Customized credit cards with a ₹ 5 lakh limit for micro-enterprises registered on the Udyam portal.
- Fund of Funds for Startups: A new fund with a ₹ 10,000 crore contribution to support startups.
- Scheme for First-time Entrepreneurs: Term loans up to ₹ 2 crore for 5 lakh women, Scheduled Castes, and Scheduled Tribes over the next five years.
Tax Reforms:
- Direct Tax:
- No personal income tax up to ₹ 12 lakh under the new regime.
- Standard deduction of ₹ 75,000 for salaried taxpayers, increasing the exemption limit to ₹ 12.75 lakh.
- Revised tax rates aimed at reducing middle-class tax burdens.
- Indirect Tax:
- Rationalization of customs tariffs, reducing the number of tariff rates to eight.
- Full exemption from Basic Customs Duty (BCD) on 36 lifesaving drugs and concessions on several others.
- Support for domestic manufacturing with duty exemptions on critical minerals and electronic components.
Infrastructure & Investment:
- Public-Private Partnership (PPP) Projects: A 3-year project pipeline in PPP mode, with an outlay of ₹ 1.5 lakh crore in interest-free loans to states.
- Nuclear Energy Mission: ₹ 20,000 crore allocated for the development of Small Modular Reactors (SMRs).
- Tourism Development: Top 50 tourist destinations to be developed in partnership with states.
Source:PIB
Also Read: Union Budget 2025-26 Proposes Key GST Amendments to Enhance Trade Facilitation
