The Interim Budget for Viksit Bharat has not only reaffirmed the Narendra Modi Government’s commitment to empowering the four pillars of development — the young, poor, women, and farmers — but has also intensified its focus on women’s empowerment. Initiatives are set in motion to invigorate their economic participation and overall well-being.
The Budget aims to catapult the number of Lakhpati Didis, women earning at least Rs 1 lakh per annum, from 2 crore to 3 crore. The Lakhpati Didi scheme is geared towards intensively training women in self-help groups, effecting transformative changes in rural socio-economic landscapes, and fostering self-reliance. Moreover, the Ayushman Bharat programme is slated to broaden healthcare coverage to encompass all ASHA and Anganwadi workers, acknowledging their pivotal role in the health sector.
While maternal and child care schemes are poised to amalgamate into a cohesive plan, the government plans to vigorously champion the immunisation of girls aged 9-14 to thwart cervical cancer. In higher education in the last decade, there has been an admirable 28 per cent surge in female enrollment, with a noteworthy spike of 28 per cent in science, technology, engineering and mathematics (STEM) courses. Girls and women presently comprise 43 per cent of STEM course enrollment, propelling India to the forefront among global leaders in this realm.
The Budget recognises the substantial momentum achieved in women’s empowerment through entrepreneurship over the last decade. The government underscores the triumph of direct benefit transfers, amounting to Rs 34 lakh crore through Jan Dhan accounts, leading to significant savings of Rs 2.7 lakh crore. Also, it highlights the distribution of 30 crore Mudra Yojana loans to women in the past 10 years.
Reorienting attention towards infrastructure development, the Budget delineates strategies for executing three significant economic railway corridor programmes and the transformation of 40,000 conventional railway coaches to meet the Vande Bharat standard.
While the Centre has achieved the target of three crore houses in rural areas under Pradhan Mantri Awas Yojana, the Budget promises to set up 2 crore affordable houses in 5 years. Housing finance companies stand to gain from these initiatives, potentially amplifying the credit influx into this sector. Despite apprehensions about liquidity, the anticipation of a reduced borrowing programme by the Government of India in the upcoming fiscal year is poised to alleviate the potential rise in funding costs for these lenders.
The government plans to borrow Rs 14.1 lakh crore via bonds, with a lower gross borrowing target than the previous year. Subsidies are projected at 1.2 per cent of GDP, slightly lower than the outgoing financial year, while the divestment target is set at Rs 50,000 crore. By projecting the fiscal deficit for the financial year 2024-25 at 5.1 per cent of GDP, the Government has demonstrated the commitment to fiscal consolidation even in an election year. The Interim Budget aims to reduce the fiscal deficit to below 4.5 per cent by 2025-26.
A significant boost is directed towards private and public investments in post-harvest activities, with a comprehensive programme envisioned for the development of dairy farmers and fisheries. To invigorate tourism, the Government intends to provide interest-free loans to States for developing tourist centres and enhance port connectivity, fostering growth in the hotel and travel industries.
To promote environmental sustainability, the Budget aims to expand and strengthen the electric vehicle ecosystem by supporting manufacturing and charging infrastructure. Additionally, a new scheme for bio manufacturing is set to be launched to encourage green growth.
Though for the salaried class, the Budget has withdrawn pre-2009-10 disputed tax demands of up to Rs 25,000, bringing relief to many, there are no changes in direct and indirect taxation.
Thus the Interim Budget for 2024-25 envisions a holistic approach to economic development, emphasising the empowerment of women and bolstering infrastructure, aligning with the government’s vision of a progressive and developed India.
