Interim Union Budget

Presented by :Nirmala Sitaraman

1st February,2024 

for the year 2024-25

ECONOMIC GROWTH

1.FY24 GDP growth estimate:7.3%

2.Fiscal deficit target for FY25: 5.1% of GDP

3.Inflation control moderated to 5.4%

KEY ANNOUNCMENTS 

Income tax slabs revised; standard deduction raised to ₹75,000 under the new regime.

Over ₹3 lakh crore for women-focused programs.

₹6.21 lakh crore allocated to strengthen national security.

Employment and Skilling Initiatives:

First-time employees registered with EPFO receive up to ₹15,000 in three installments

Incentives for both employees and employers based on EPFO contributions during the first four years.

MSME and Manufacturing Support:

Credit Guarantee Scheme: Collateral-free term loans for MSMEs to purchase machinery, with a guarantee fund covering up to ₹100 crore

MUDRA Loan Enhancement: Loan limit increased from ₹10 lakh to ₹20 lakh for entrepreneurs who have successfully repaid previous loans

Infrastructure and Rural Development:

Capital Expenditure: Increased by 11% to ₹11.11 lakh crore (3.4% of GDP) to boost infrastructure.

Rural Development Allocation: Provision of ₹2.66 lakh crore, a 40% increase year-on-year.

Agricultural Support:

Continuation of MSP support for farmers.

Enhanced allocation for agricultural credit and infrastructure

Capital Market Adjustments

Increase in short-term capital gains tax from 15% to 20%

Long-term capital gains tax set at 12.5%, with exemption limit raised to ₹1.25 lakh. ​

Sectoral Allocations

₹6.2 lakh crore allocated to Defence

₹2.78 lakh crore for the Ministry of Road Transport and Highways.

Rural Development Initiatives

Phase IV of PMGSY to connect 25,000 villages with all-weather roads

Construction of 3 crore additional houses under PMAY, with ₹54,500 crore allocated.

₹69,926.65 crore allocated to the Jal Jeevan Mission