New Delhi (AP) -The government of Prime Minister Narendra Modi in India focuses on seducing the middle -class salary class on Saturdays, spurning tax reduction and economic growth by boosting agriculture and manufacturing. The budget was presented to the parliament.
In her budget speech, the Minister of Finance Nirmara Citaraman states that the government focuses on increasing private investment, strengthening growth, increasing the funds of the agricultural sector, and increasing the output of the middle class in India. Ta.
“The focus of the budget is to connect everyone to a comprehensive path,” said Citaraman, saying that the government is aiming for a 4.4 % fiscal deficit of India’s gross domestic product in 2025 to 2014. 。
The fifth largest economy in the world is expected to record the slowest growth in four years due to manufacturing sector, sustainable inflation, stagnant employment growth, and weak urban consumption. A major economic advisor of the country predicts that the Indian economy will increase 6.3 % to 6.8 % in the next fiscal year.
This is some take -out from the budget:
Income tax reduction of the middle class salary class
Citalaman stated that her government will launch “tax transformational reforms” to reform sectors such as financial, power, urban development, and mining. She said the starting point for income tax was raised from $ 8,074 to $ 14,800, and the government would introduce a new income tax bill next week.
“The new structure will significantly reduce the middle class taxes, entrust more money, and support home consumption, savings, and investment,” Citaraman said.
Currently, Modi, the third term of the country, is exposed to the pressure of relieving dissatisfaction among the middle class of the country and creating more jobs to maintain growth. Many economists have suggested that his government has reduced his personal income, implementing an employment creation program, and reducing unemployment.
According to the Indian economic monitoring center, the youth unemployment rate was 7.5 % in January.
Agricultural sector and gig economy are boosted
In order to increase productivity throughout the agricultural department, the Indian government will launch a nationwide program to promote high -yield crops in focus on cultivation of beans and cotton production. Citalaman stated that the program would raise at least 17 million peasants and raise the credit restrictions of the provided subsidy from $ 3,460 to $ 5,767.
The government is also planning to formally register Indian gig workers to make it easier to access healthcare. Citalaman stated that the government will issue an ID card and maintain a state registration that guarantees what they include in welfare initiatives.
According to government think tank NITI AAYOG, the Indian gig economy may hire more than 23 million by 2030.
Investing in a new startup fund and an energy sector
Citalaman has announced a new fund for emerging companies, and has said that it will provide a lot of money to promote partnerships with the private sector and promote innovation to promote manufacturing and exports. In the Indian economy, the market share of the manufacturing industry is nearly 17 %, aiming for a goal of 25 %.
The government will save a lot of money to increase tourism -led employment in some states in India, to help build infrastructure and to pursue 120 new destinations for 10 years. Citaraman said.
By 2047, she announced nuclear energy missions to promote Indian clean energy, with the goal of developing at least 100 GW nuclear power.
