The Budget for FY25 assumed the nominal GDP growth at 10.5% for FY25. Nominal GDP growth represents the country's GDP without adjusting for inflation and plays a crucial role in determining various aspects of a budget.
2/7
FM Niramala Sitharaman’s budget speech announced lowered divestment of Rs 30,000 crore for FY24 than the estimated target for FY25 was Rs 50,000 crore. Experts had sought higher divestment for the Indian economy to prioritise public sector enterprises where investor interest is high.
3/7
Sitharaman said that the budget was seeking fiscal consolidation and set the fiscal deficit at 5.1% of GDP for FY25 lower than last year’s fiscal deficit at 5.8% of GDP. The speech also stated that the government aims to reduce fiscal deficit to below 4.5% by FY26
4/7
The budget set the capex outlay at 3.4% of GDP for FY25 with capital spending outlay of Rs 11.11 lakh crore for FY25, against the budgeted Rs 10 lakh crore for FY24.
FY24 saw reduced Gross Market Borrowing at Rs 14.1 lakh crore from estimated Rs 15.43 lakh crore for 2023-24. Borrowings decide the funds available for other companies and had shot up post-pandemic. The finance minister had earlier stated plans to lower the borrowings over next few years.
6/7
Finance Minister Nirmala Sitharaman on February 1 unveiled measures to enhance taxpayer services by waiving off disputed tax demands of up to Rs 25,000.
7/7
Sitharaman noted in her budget speech that PM Awas Yojana (Rural) saw successful implementation despite COVID 19 and the government plans to be build 2 crore houses in the next five years.
