BUDGET BOOST TO CONSUMPTION
Fortune India|August 2024
Focus on jobs, MSMEs, rural sector and infrastructure is expected to fire up the domestic consumption engine amid slackening global growth.
ASHUTOSH KUMAR
BUDGET BOOST TO CONSUMPTION

IN THE RUN-UP to general elections this year, Prime Minister Narendra Modi asserted on several occasions that the first 100-day agenda of his government will have an extra 25 days dedicated to the youth. Those 25 days seem to have been front-loaded in Budget 2024-25 with a ₹2 lakh crore job creation scheme, rural development, agriculture push, fillip to space sector, women-led development, and MSME support forming the foundation stones. The ultimate aim being to boost consumption and kick-start private investment, the two engines of the economy that badly needed a fillip.

“Turning attention to the full year and beyond, in this Budget, we particularly focus on employment, skilling, MSMEs, and the middle class. I am happy to announce the Prime Minister’s package of five schemes and initiatives to facilitate employment, skilling and other opportunities for 4.1 crore youth over a five-year period with a central outlay of ₹2 lakh crore,” finance minister Nirmala Sitharaman says in her Budget speech.

Apart from specific schemes on jobs, agriculture and rural development alone have received an allocation of ₹4.18 lakh crore for FY25, while ₹3 lakh crore has been set aside for women-led growth. “This year, I have made a provision of ₹1.52 lakh crore for agriculture and allied sector. I have made a provision of ₹2.66 lakh crore for rural development, including rural infrastructure,” says Sitharaman.

The government has made a provision of ₹1.58 lakh crore for education, employment and skilling for the current fiscal. For emerging sectors such as space, the Budget has announced setting up of a ₹1,000 crore venture capital fund. Public infrastructure spending, meanwhile, continues to remain in focus with FY25 allocation at ₹11.11 lakh crore, or 3.9% of GDP. The measures are expected to create a ripple effect in reviving the consumption engine of the economy.

この記事は Fortune India の August 2024 版に掲載されています。

7 日間の Magzter GOLD 無料トライアルを開始して、何千もの厳選されたプレミアム ストーリー、9,000 以上の雑誌や新聞にアクセスしてください。

この記事は Fortune India の August 2024 版に掲載されています。

7 日間の Magzter GOLD 無料トライアルを開始して、何千もの厳選されたプレミアム ストーリー、9,000 以上の雑誌や新聞にアクセスしてください。