Budget 2024-25 bets big on Modi ki guarantee

Cheer for individual tax-payers ahead of general elections?

Modi government's key schemes such as MGNREGA, Pradhan Mantri Awas Yojana, Ayushman Bharat, Mission Shakti, and PM Gram Sadak remained in focus in the interim budget 2024. With employment creation and tepid rural demand as some of the key challenges facing the government, Budget 2024-25 outlined its priorities for a crucial election year.

MGNREGA

Initiated by the Congress government, MGNREGA, or the Rural Employment Guarantee Scheme has continued to be a significant part of India’s social security system. The scheme was allocated Rs 60,000 Cr in FY 24, with the revised estimate coming in at 86,000, Rs 86,000 was allocated for the scheme for FY 25, the election year.

The scheme provides a legal guarantee for at least 100 days of wage employment to every rural household whose members do unskilled manual work.

Pradhan Mantri Awas Yojana

The scheme was launched in 2015 with the promise to provide affordable homes to urban poor and rural homeless by 2022. The scheme was allocated Rs79,590 cr in FY 24, the revised estimate for the scheme fell to 54,103 cr and 80,671 cr has been allocated for FY 25. The scheme has two components PMAY (Urban)  and PMAY (Gramin)-with the focus on promoting affordable housing for all through subsidies.

Ayushman Bharat

Government’s flagship health scheme, launched in 2018  aims to provide health insurance coverage to 500 million underprivileged citizens -making it one of the world’s largest government-funded healthcare programs. The scheme provides a cover of up to Rs 5 lakh rupees per family per year for secondary and tertiary care hospitalization across public and private empaneled hospitals in India. It was allocated 7200 cr for FY 24,  the revised budget estimates for FY 24 are Rs 6881 Cr and Rs 7500 cr has been allocated for FY 25.

Mission Shakti

Women continue to be the centerpiece of PM Modi’s policymaking, launched in 2020, the scheme is focused on empowering women and ensuring their safety and dignity. The scheme includes several initiatives -including One Stop Centres to support women affected by violence.

Mission Shakti has seen its allocation nearly double from Rs1912 cr in 2020-21 to Rs3143 in 2023-24,  revised estimates came in at Rs 2326. For fiscal year 2025, Rs 3146 cr has been allocated.

Jal Jeevan Mission 

A flagship project of the Modi government is to provide safe and adequate drinking water through individual tap connections by 2024 to all households in rural India.  Launched on August 15th, 2019, the scheme is a crucial step towards achieving the United Nations’ Sustainable Development Goal which aims to ensure access to water and sanitation for all. The scheme was allocated Rs70,000 Cr, the revised estimates are at 70,000 Cr, and for FY 25, Rs 70,163 has been allocated.

Pradhan Mantri Gram Sadak Yojana 

The flagship rural roads scheme has an allocation of 19,000 cr for FY 25, revised estimates for FY 24 are at Rs 17,000 cr.