The Union Budget 2023-24 is all set to be presented today via the Finance Minister (FM) Nirmala Sitharaman’s budget speech. Since this will be the last full Budget by the present government ahead of the 2024 elections, all eyes are set on the biggest financial event of the country.
Like last year, the Finance Minister’s Budget 2023 speech will begin at 11 am, a day after the Parliamentary session began, in which the Economic Survey 2023 was presented. While what exactly is rolled out this year will only be known after the Budget speech, expectations are rife across sectors, especially with regards to income tax slabs, subsidies, mental health, technology, the Railway budget and so on.
Since the Economic Survey 2023 has already forecasted a bright future for the Indian economy, even the Budget’s priority is expected to be at maintaining growth alongside having fiscal credibility. Budget outlays – those for healthcare, employment generation, manufacturing, infrastructure etc., are expected to get attention as the government attempts to increase its capex.
Based on feedback from industry experts, here are a few things that the common person and stakeholders can expect from the Budget 2023.
Fiscal Deficit
Many experts believe that the government needs to give special emphasis on its management of the fiscal deficit. As widely expected, through this Budget 2023 as well, the government is expected to focus on fiscal consolidation alongside increasing its capital expenditure. It must be noted that bringing the fiscal deficit under scanner now begins even more imperative as the Economic Survey has shown a bright future for the Indian economy.
Income Tax Slabs
Since it is the last full Budget before the next general elections, the common person is specifically looking at some changes in the current income tax slabs. While the last two Budgets have supposedly been more infra-heavy (as per the market sentiment), this time, as per experts, some money is expected in the pockets of the common person via tweaks in the tax slabs. Some experts also believe that the Finance Minister may also announce initiatives for the promotion of the new income tax regime.
Capital Expenditure
The capital expenditure (capex) has been a driving point of growth in the current India, especially with the development of roads and railways. Even this year, experts believe, that the Budget 2023-24 will see a further boost to the capex, with roads, railways and airports getting a bigger piece of the cake.
Boost To Agriculture And Other Rural Schemes
The Indian economy being an agriculture-heavy economy, has always given special emphasis to schemes that can boost the produce. With the vision of Atmanirbhar Bharat gaining momentum and farmers willing to adopt more modern and organic methods, schemes to boost the same are expected. In addition to this, schemes to zoom rural income like MNREGA, infrastructure and so on, are expected to be in focus again, like in previous Budget(s).
Renewable Energy Space
With carbon neutrality and green hydrogen gaining momentum, the government, through this Budget 2023-24, is also expected to keep special emphasis on the renewable energy sector. At present, India has kept an aim to become the hub of green hydrogen by 2030. Hence, in order to achieve this goal along with carbon neutrality, the government is expected to announce some initiatives.
