Union Finance Minister Nirmala Sitharaman arrived at the North Block on Saturday, ahead of presenting the much-anticipated Union Budget for the financial year 2025-26 in the Lok Sabha.
This marks Sitharaman’s historic eighth consecutive budget presentation, surpassing former Prime Minister Morarji Desai’s record. The Finance Minister is set to deliver her speech at 11 a.m., outlining the government’s fiscal roadmap, revenue strategies, taxation reforms, and developmental priorities.
The Economic Survey 2024-25, tabled in Parliament on Friday, projected a growth rate of 6.3 to 6.8 percent for the upcoming fiscal year. It highlighted the country’s strong economic fundamentals, buoyed by a stable external account, fiscal discipline, and rising private consumption.
Key recommendations in the survey included a renewed focus on research and development (R&D), support for micro, small, and medium enterprises (MSMEs), and investments in capital goods to boost productivity and competitiveness.
The survey also forecasted easing food inflation in the fourth quarter of FY25 due to a seasonal decline in vegetable prices and the arrival of the Kharif harvest. However, risks remain from adverse weather conditions and international agricultural price fluctuations.
India’s foreign exchange reserves, which stood at $634.6 billion in January 2025, continue to provide robust external stability, covering 90 percent of external debt and offering over ten months of import cover.
Significant growth was noted in formal employment, with EPFO subscriptions more than doubling from 61 lakh in FY19 to 131 lakh in FY24.
The upcoming budget is expected to prioritize inclusive rural development, infrastructure expansion, and social welfare programs. Financial inclusion initiatives for rural households and small businesses, alongside concessions for the middle class through potential income tax reforms, are anticipated to be key highlights.
(Inputs from agencies)
