Budget 2025 will take India towards investment, consumption-led growth model: Goyal

Commerce Minister Piyush Goyal

Union commerce minister Piyush Goyal on February 1 said Budget 2025 will take India towards an investment and consumption-led growth model, similar to the path taken by developed economies.

Goyal said this year’s Budget is “transformational and balanced” and very strategic in its outlook. It also focusses on policy continuity, he said in an interview with CNBC-TV18.

“The benefits given to the middle-class straightaway results in money in the pocket of the people. India has a very rapidly growing middle class with 25 crore poor having come out of mutli-dimensional poverty. We are rapidly seeing more and more people with increasing incomes,” Goyal noted.

As a result of the tax relief announced in the Union Budget on Saturday by the finance minister, there will be “more savings” even for individuals with a salary of up to Rs 25 lakh, the trade minister told the news channel.

Goyal also lauded the Central government’s move to cut taxes to zero for salary of up to Rs 12.75 lakh, calling it a “very big message” for the country.

“I think it’s a very big message that the government has so far focussed on investment led growth. Now we will have an investment and consumption led growth, which is how the developed economies of the world have been created. It is the right pathway to a developed India.”

The minister also claimed that the measures announced in the Budget will tackle all the issues raised in the the Economic Survey released on January 31, which highlighted economy's weaknesses.