Budget 2024 lays down a marker for India’s march towards Viksit Bharat, emphasising the government’s commitment to fostering high growth, and balanced job creation through innovation, business facilitation, and ongoing infrastructure enhancements. A big part of this vision is building Atmanirbharta and ushering in a simpler tax/duty regime as well as enabling MSMEs to prosper.

The Budget is noteworthy for remaining steadfast on the path of fiscal consolidation while maintaining a growth-oriented approach. This delicate balancing act was adeptly handled by the Finance Minister without compromising on growth and development objectives — she addressed the priority areas, ensured the capex thrust, and provided tax relief to the salaried class. The attempt to reduce tax litigation is particularly welcome as it would improve ease of doing business.

Capex thrust continued in the Budget, with an allocation of ₹11.11 lakh crore towards enhancing the country’s infrastructure, pushing for investments primarily in highways, railways, ports, and urban infrastructure. This is expected to create jobs, boost economic activity and improve connectivity nationwide.

Public-private partnerships (PPPs) will play a crucial role in mobilising private investment and the expertise to accelerate these projects.

The reworking of the tax slabs under the new tax regime introduced in the Budget seeks to provide significant relief to middle-class taxpayers with the aim to increase purchasing power, particularly among the lower-income class. This move is expected to stimulate consumption and align with the broader goal of economic inclusivity.

One of the standout features of this Budget is the focus on job creation in the manufacturing sector, evident through increased allocations and incentives for industries to encourage employment. By building a robust manufacturing sector, the government aims to create a greater number of jobs and boost economic growth. This approach is aligned with the larger goal of economic resilience and sustainability.

Priority for skilling

Addressing the education and employment gap through skilling is another important aspect of the Budget. With an allocation of ₹1.12 lakh crore for education and skill development, the government is committed to preparing the workforce for future demands. Investments in education, particularly in STEM fields, and the promotion of vocational training and digital literacy will equip individuals with the necessary skills to face the challenges of a rapidly evolving job market.

The Budget’s commitment to digital transformation is commendable, with substantial funds allocated for developing digital infrastructure, including high-speed internet, data centres, and cybersecurity.

These investments will create a robust digital ecosystem that supports innovation, entrepreneurship, and job creation.

The focus on women empowerment is evident as the Budget promotes their participation in the workforce, offering incentives for female entrepreneurs and support for women-led businesses as well as partnerships to organise women-specific skilling programmes.

Signalling the government’s commitment for enhancing women’s role in economic development, the Budget has earmarked more than ₹3 lakh crore for schemes benefiting women and girls.

The government’s pledge to sustainable development is reflected in increased allocation of ₹35,000 crore for renewable energy projects in the Budget. By promoting clean energy and reducing carbon emissions, the Budget aims to create a more sustainable and resilient economy. The emphasis on environmental conservation and sustainable agriculture, with initiatives like making agriculture more resilient and improving agricultural productivity on an outlay of ₹1.52 lakh crore, will significantly boost farmers’ welfare.

In conclusion, Budget 2024 is a visionary blueprint for India’s future, reflecting the government’s commitment to fostering inclusive growth. By focusing on infrastructure, tax relief, job creation, education, digital transformation, financial sector reforms, women’s empowerment, and sustainability, the Budget addresses immediate economic needs while laying the foundation for long-term prosperity. This Budget is a testament to India’s resilience, innovation, and entrepreneurial spirit, setting the stage for a new era of growth and development.

The writer is Chairman and Managing Director, JK Paper Ltd, and Vice-Chairman and Member-Management Board at the International Chamber of Commerce

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