The Indian Budget 2025 has presented a few activities aimed at fortifying development over different divisions centered on supportability, advancement, and inclusivity. Here are the key highlights from the budget, along with brief clarifications:
1. A National Manufacturing Mission Covering Small, Medium and Large Industries for Furthering “Make in India”
A new initiative to strengthen the “Make in India” campaign. The mission will focus on upgrading manufacturing across industries, from small enterprises to large corporations, driving innovation, and improving self-reliance in production.
2. Benefitting 1.7 Crore Farmers, ‘Prime Minister Dhan-Dhaanya Krishi Yojana‘ to Cover 100 Low Agricultural Productivity Districts
This plot points to elevating the agrarian segment by supporting 1.7 crore agriculturists in a locale with moo rural efficiency, moving forward to get to assets, innovation, and advertise openings.
3. Budget 2025 Estimated to End with Fiscal Deficit of 4.8%, Target to Bring It Down to 4.4% in FY-26
The government plans to decrease the financial shortage from an assessed 4.8% in FY-25 to 4.4% in FY-26, exhibiting a commitment to budgetary teaching and feasible financial development.
4. Loans Up to Rs. 5 Lakhs Through KCC Under Modified Interest Subvention Scheme
To improve farmers’ credit access, the government has expanded the Kisan Credit Card (KCC) scheme, offering loans up to Rs. 5 lakhs with reduced interest rates to help farmers with cultivation expenses.
5. Mission for Aatmanirbharta in Pulses” with a Special Focus on Tur, Urad, and Masoor to be Launched
This mission focuses on boosting domestic pulse production, particularly Tur, Urad, and Masoor, reducing reliance on imports, and improving food security.
6. No Income Tax on Average Monthly Income of Up to Rs. 1 Lakh To Boost Middle-Class Household Savings & Consumption
To promote financial well-being, the government has raised the tax privilege limit to Rs. 1 lakh per month, enabling middle-class families to save and spend more, stimulating domestic demand.
7. Salaried Class to Pay Nil Income Tax Up to ₹12.75 Lakhs Per Annum in New Tax Regime
The new tax regime provides salaried individuals with a tax-free income up to ₹12.75 lakh, reducing the tax burden and increasing disposable income for the middle class.
Know More – Income Tax Slabs for FY 2025-26: Rates & Ultimate Breakdowns
8. Significant Enhancement of Credit with Guarantee Cover to MSMEs from ₹5 Cr to ₹10 Cr
The credit guarantee cover has been increased to support MSMEs, allowing businesses to access up to ₹10 crore in loans, fostering growth and innovation in this sector.
9. Union Budget Recognises 4 Engines of Development – Agriculture, MSME, Investment and Exports
The budget distinguishes four key areas—agriculture, MSME, speculation, and exports—essential for driving maintainable development and advancing financial strength.
10. ₹1 Lakh Crore Urban Challenge Fund for ‘Smart Cities Mission as Growth Hubs’
This fund aims to develop cities into hubs of economic growth, focusing on urban infrastructure, smart cities, and improved living conditions to drive urban development.
11. ₹15,000 Crore SWAMIH Fund to Be Established for Expeditious Completion of Another 1 Lakh Stressed Housing Units
The SWAMIH Fund will speed up the completion of stressed housing projects, benefiting the real estate sector and contributing to affordable housing for millions.
12. ₹20,000 Crore Allocated for Private Sector-Driven Research, Development, and Innovation Initiatives
The budget provides noteworthy financing for research and development, empowering private sector interest in R&D, which is fundamental for mechanical progression and financial growth.
13. 50,000 Atal Tinkering Labs in Government Schools in the Next 5 Years
The foundation of 50,000 Atal Tinkering Labs points to cultivating development and inventiveness among understudies by giving them instruments to investigate science, innovation, building, and arithmetic (STEM).
14. BCD Exempted for 10 Years on Raw Materials & Components Used for Ship Building
The exception of Essential Traditions Obligation (BCD) on crude materials and components utilized in shipbuilding for ten years points to boosting the sea industry and improving India’s shipbuilding capabilities.
15. BCD Exempted for 10 Years on Raw Materials & Components Used for Ship Building
As mentioned in the previous point, this exemption will support long-term growth in the shipbuilding sector by lowering shipbuilders’ operational costs.
16. BCD Exempted on 36 Lifesaving Drugs and Medicines for Treating Cancer, Rare and Chronic Diseases
To enhance accessibility to essential healthcare, the government has exempted BCD on 36 lifesaving drugs, including those for cancer and chronic diseases, reducing the cost of treatment for patients.
17. BCD on IFPD Increased to 20% and on Open Cells Reduced to 5%
The budget proposes increasing BCD on Integrated Food Processing Devices (IFPD) to 20% while reducing it on open cells to 5%, aimed at supporting local manufacturers.
18. BCD on Parts of Open Cells Exempted to Promote Domestic Manufacturing
Exemptions on BCD for certain parts of open cells are intended to boost the local manufacturing of electronic components and encourage self-reliance in the electronics sector.
19. BCD Reduced from 30% to 5% on Frozen Fish Paste and 15% to 5% on Fish Hydrolysate
Reducing BCD on frozen fish paste and hydrolysate supports the fishing industry and makes these products more affordable in the international market.
20. BCD Reduced from 30% to 5% on Frozen Fish Paste and 15% to 5% on Fish Hydrolysate
A repeated entry emphasizing support for the fishing industry through reduced customs duties on these products to make them more competitive globally.
21. Centre of Excellence in Artificial Intelligence for Education, with a Total Outlay of ₹500 Crore
A Centre of Excellence in AI will focus on advancing education through technology, with an allocation of ₹500 crore to integrate artificial intelligence into learning platforms.
22. Delay in TCS Payment Decriminalised
The budget decriminalizes delays in Assess Collection at Source (TCS) installments, making compliance less demanding and diminishing the burden on citizens.
23. FDI Limit Enhanced for Insurance from 74% to 100%
The increase in the FDI constraint for the protection segment from 74% to 100% will attract more outside speculation, cultivating development and competition in the industry.
24. Gig Workers to Get Identity Cards, Registration on E-Shram Portal & Healthcare Under PM Jan Arogya Yojana
This initiative aims to formalize gig workers, providing them with healthcare benefits, identity cards, and registration on the E-Shram portal for better social security.
25. Gyan Bharatam Mission for Survey and Conservation of Manuscripts to Cover More Than One Crore Manuscripts
The Gyan Bharatam mission focuses on preserving and digitizing over one crore valuable manuscripts, promoting cultural heritage and knowledge conservation.
26. Jan Vishwas Bill 2.0 to Be Introduced for Decriminalising More Than 100 Provisions in Various Laws
This bill seeks to relieve the burden of criminal charges by decriminalizing over 100 provisions across multiple laws, streamlining regulatory processes, and fostering ease of doing business.
27. Modified UDAN Scheme to Enhance Regional Connectivity to 120 New Destinations
The updated UDAN (Ude Desh ka Aam Naagrik) scheme aims to increase regional air connectivity, making air travel more accessible to smaller towns and cities.
28. Nuclear Energy Mission for R&D of Small Modular Reactors with an Outlay of ₹20,000 Crore
A dedicated mission for nuclear energy research and developing small standard reactors (SMRs) will enhance India’s energy security and reduce dependence on fossil fuels.
29. PM SVANIDHI with Enhanced Loans from Banks and UPI Linked Credit Cards with ₹30,000 Limit
The PM SVANIDHI conspire gives upgraded advances and UPI-linked credit cards to road merchants, enabling them to access superior money-related administrations and advance their careers.
30. TDS on Rent Increased from ₹2.4 Lakh to ₹6 Lakh
The edge for Tax Deducted at Source (TDS) on lease has been expanded to ₹6 lakh, allowing more adaptability and decreasing property owners’ assessment compliance burdens.
Also Read, 10 Hidden Tax Deductions: Can Save You Big!
31. To Boost Battery Production, Additional Capital Goods for EV and Mobile Battery Manufacturing Exempted
Exemptions on additional capital goods used for electric vehicle (EV) and mobile battery manufacturing aim to boost production and support India’s green energy transition.
32. Updated Income Tax Returns Time Limit Increased from Two to Four Years
The government has increased the time limitation for tax filing updated compensation charge returns from two to four a long time, giving citizens more adaptability in altering or redesigning their returns.
Conclusion
The Indian Budget 2025 brings comprehensive policies supporting growth across agriculture, manufacturing, healthcare, education, and technology. It focuses on strengthening the economy by encouraging innovation, self-reliance, and inclusivity, setting the stage for a sustainable future.