India is eagerly awaiting the Union Budget 2025, which Finance Minister Nirmala Sitharaman is expected to present on 1 February 2025. This much-anticipated event will provide insights into the government’s plans for the economy in the coming financial year. As industries and individuals look forward to this announcement, there are high hopes for significant policy changes and reforms aimed at boosting growth and addressing various economic challenges. So if you are thinking of taking some serious trades on the best intraday trading platform in India, this article got major highlights for you! 

When and Where to Watch the Budget 2025 Speech

Although the government has not officially confirmed the date and time, the budget 2025 presentation is expected to take place on 1 February at 11:00 AM, continuing a tradition observed in recent years. The speech will be broadcast live on Doordarshan and Sansad TV, the official channels of Parliament. For those who prefer online access, the event will also be streamed live on the YouTube platforms of these channels.

Finance Minister’s Track Record with Budgets

This will mark Nirmala Sitharaman’s eighth budget presentation as Finance Minister. She has already delivered six annual budgets and two interim ones during her tenure. The upcoming budget 2025 is crucial as it will be the second comprehensive budget under the Modi government’s third term, often referred to as Modi 3.0.

Stock Market to Remain Open on Budget Day

Despite the budget presentation falling on a Saturday, the Indian stock market, including both BSE and NSE, will remain open for trading on 1 February. Normally closed on weekends, the exchanges will hold a live trading session to accommodate the budget announcement. This decision, outlined in a circular by the exchanges, reflects the importance of the budget 2025 in influencing market trends.

Consultations Ahead of the Budget

The Finance Minister recently completed a month-long series of consultations with various stakeholders to gather input for the 2025 budget. Starting on 6 December 2024, these discussions involved over 100 participants from nine distinct groups. These included representatives from farmer associations, trade unions, industry leaders, economists, and experts from sectors such as education, healthcare, infrastructure, and energy. The aim was to incorporate diverse perspectives into the budget planning process.

Key Expectations from the Union Budget 2025

1. Tax Reforms and Personal Tax Relief

One of the most significant expectations is related to personal tax relief. Ernst & Young India (EY India) has suggested raising the tax exemption limit under the new tax regime from ₹3 lakh to ₹5 lakh and reducing tax rates. This move could provide much-needed relief to taxpayers and boost disposable income, ultimately driving consumer spending.

Additionally, the government is planning to revise the Income Tax Act of 1961 to simplify tax filing rules and enhance compliance. This updated Act is expected to be introduced alongside the Union Budget in February and will likely be open for public consultation in mid-January.

2. Focus on Capital Expenditure and Fiscal Management

According to experts from EY India, the government should prioritise investment-driven growth while maintaining fiscal discipline. This involves increasing public expenditure on infrastructure and other critical areas, reducing the fiscal deficit, and encouraging private sector investment. Simplifying the tax system and implementing targeted reforms are also seen as essential steps to achieve these goals.

3. Boosting the FMCG Sector

The fast-moving consumer goods (FMCG) sector is facing challenges due to muted demand in both urban and rural areas. Praveen Jaipuriar, CEO of CCL Products (India), has highlighted the importance of providing tax benefits to individuals. He believes that increasing disposable income through tax relief will enhance consumer spending and help revive the sector.

4. Supporting the Healthcare Sector

Healthcare industry leaders are calling for reductions in GST and import duties on critical medical equipment. Rajat Goel, co-founder and CEO of Eye-Q Superspeciality Hospitals, has emphasised that lowering these costs will make advanced medical treatments more affordable. He also stressed the need for increased budget allocations to improve eye care infrastructure and public awareness campaigns, especially given the growing prevalence of eye diseases in India.

5. Promoting Artificial Intelligence (AI) Innovation

India has the potential to become a global hub for artificial intelligence (AI) innovation. Sarvagya Mishra, co-founder and director at Superbot, has urged the government to introduce tax rebates and subsidies for AI start-ups, particularly in healthcare, education, and governance sectors. Such measures could boost AI research, create jobs, and drive economic growth.

6. Enhancing Infrastructure and Energy Investments

Infrastructure and energy sectors are crucial for India’s development. Stakeholders from these industries are looking for increased government spending on projects that can create jobs and improve the country’s overall productivity. Emphasising sustainable and renewable energy sources is also a key expectation, aligning with India’s climate commitments.

Challenges and Opportunities

The Union Budget 2025 comes at a time when the Indian economy is navigating multiple challenges. While there has been a gradual recovery from the pandemic’s impact, global economic uncertainties and domestic concerns, such as inflation and unemployment, continue to pose hurdles. However, this also presents an opportunity for the government to introduce bold and innovative measures to strengthen the economy.

Potential Impact on Industries

The budget is expected to have far-reaching implications for various sectors. For instance:

• Agriculture: Increased allocations for rural development and farming support are likely, given the importance of this sector to India’s economy.
• Technology: Investments in digital infrastructure and incentives for start-ups could further India’s position as a leader in the tech space.
• Manufacturing: Policies aimed at boosting domestic production under the Make in India initiative may receive a push.
• Education and Healthcare: These sectors are expected to benefit from enhanced funding to improve access and quality.

Why the Budget Matters

The Union Budget is more than just a financial statement—it reflects the government’s priorities and vision for the nation. It affects every citizen, from individuals and families to businesses and organisations. Policies announced in the budget can influence job creation, economic growth, and the overall standard of living.

Looking Ahead

As the countdown to 1 February begins, the entire nation will be watching to see how the government plans to address key issues and pave the way for a prosperous future. From tax reforms to investments in critical sectors, there is a lot at stake. Finance Minister Nirmala Sitharaman’s announcements will set the tone for the next financial year and beyond.

For live updates and analysis, tune in to Doordarshan, Sansad TV, or their online platforms to catch the budget presentation as it unfolds.

Download app: Android User | IOS User | Web Trader
Reach tradex.live https://tradex.live/reach-links/