Daily News - Wednesday, 24 July 2024
Big Boos for Viksit Bharat Goal: PM Modi (The Economic Times)
Prime Minister Narendra Modi praised the new budget, emphasizing its potential to drive inclusive growth, job creation, and economic empowerment, positioning India towards becoming the third-largest economy and a developed nation. He highlighted initiatives such as production-linked incentives, employment-linked incentive policies, increased collateral-free loans, and significant investments in infrastructure and manufacturing, which are expected to generate numerous employment opportunities and uplift various societal segments, including the poor, farmers, youth, and women. Modi also pointed out that the budget includes measures to enhance higher education, support startups, strengthen the defence and tourism sectors, and simplify tax rules, all contributing to a robust economic framework.
‘Focus is On Creating Jobs, Giving a Lift to Small Biz & Middle Class’ (The Economic Times)
Finance Minister Nirmala Sitharaman highlighted the budget's focus on employment, skilling, small businesses, and the middle class, emphasizing efforts to simplify the tax regime and create jobs. Revenue mobilization will be enhanced through a broader tax net and asset monetization, while the withdrawal of the 2% equalization levy aligns with international tax solutions. Key initiatives include the "First-Timers Scheme" offering a one-month salary subsidy for new employees, the removal of the angel tax, and measures to support MSMEs, such as providing government guarantees to banks lending to stressed MSMEs and addressing their specific challenges through eight targeted steps.
Customs Duty on gold, silver reduced to 6% (The Hindu)
Finance Minister Nirmala Sitharaman has proposed significant reductions in Customs Duties on precious metals, lowering the rates on gold and silver to 6% and on platinum to 6.4%, aiming to enhance domestic value addition and curb smuggling. The reduction in duties is expected to cost the government ₹28,000 crore annually but will support the growth of the indigenous gem and jewellery industry. Additionally, the budget includes provisions for safe-harbour rates for foreign mining companies selling raw diamonds in India, which is expected to bolster the diamond cutting and polishing sector and help establish India as a global diamond trading hub.
Budget gives fresh impetus to clean energy schemes (The Hindu)
Finance Minister Nirmala Sitharaman's Budget reinforced commitments to clean energy with a significant allocation of nearly ₹10,000 crore for the Pradhan Mantri Surya Ghar Muft Bijli Yojna, which aims to subsidize rooftop solar installations for one crore households, more than doubling last year's spending on solar power grids. The scheme, offering 300 units of free electricity, requires households to invest a minimum of ₹20,000, with options for low-interest, collateral-free loans. Additionally, the budget emphasizes the development of small modular nuclear reactors (SMRs) and reaffirms plans for an Advanced Ultra Supercritical thermal power plant, though no specific budgetary allocations were detailed for these projects.
₹1,000-cr. venture capital fund for space start-ups (The Hindu)
The Department of Space received an 18% rise in allocation compared to the previous year's revised estimates, with a focus on developing space technologies. However, funding for space applications saw a marginal increase, space sciences saw a decrease, and the allocation for INSAT satellite systems was nearly halved. Finance Minister Nirmala Sitharaman also announced a ₹1,000 crore venture capital fund for space startups, aiming to expand the space economy fivefold in the next decade. This announcement received mixed reactions, with experts suggesting the fund is insufficient to meet ambitious goals and emphasizing the need for more substantial government investment to support the growing space sector.
