Union Finance Minister Nirmala Sitharaman is set to present the Union Budget 2024 in Parliament today, marking her 7th consecutive budget and surpassing the record held by the late Morarji Desai. This budget presentation is the first of Narendra Modi’s third term as Prime Minister.
Union Finance Minister Nirmala Sitharaman, along with the Minister of State, was seen leaving the Finance Ministry en route to Parliament House to present the General Budget in New Delhi on Tuesday. The photograph is credited to Arvind Yadav/HT.
At 11 a.m., FM Sitharaman will present various financial documents in the Lok Sabha. The budget will highlight key figures demonstrating the growth of the Indian economy under the leadership of PM Modi and FM Sitharaman.
Key Numbers to Watch in Budget 2024:
Fiscal Deficit:
– The fiscal deficit for the current fiscal year is projected at 5.1%, down from 5.8% last year.
– This reduction is attributed to strong tax revenue growth.
– The government aims to bring down the fiscal deficit to 4.5% of GDP by FY26.
Capital Expenditure:
– The planned capital expenditure for this fiscal year is ₹11.1 lakh crore, an increase from ₹9.5 lakh crore the previous year.
– The focus remains on infrastructure development, encouraging states to boost their capital expenditure.
Tax Revenue:
– The projected gross tax revenue for 2024-25 is ₹38.31 lakh crore, reflecting an 11.46% increase from the previous year.
– This includes ₹21.99 lakh crore from direct taxes and ₹16.22 lakh crore from indirect taxes.
GST Collection:
– The Goods and Services Tax (GST) collection for 2024-25 is expected to rise to ₹10.68 lakh crore, an increase of 11.6%.
Government Borrowing:
– The gross borrowing for the current financial year is budgeted at ₹14.13 lakh crore.
– The borrowing trends will be closely monitored, especially after the higher-than-expected dividend from the RBI.
Nominal GDP:
– India’s nominal GDP growth for the current fiscal year is estimated at 10.5%, reaching ₹327.7 trillion.
– Real GDP growth is projected at 7.2%, according to the RBI.
Dividend:
– The Interim Budget had estimated ₹1.02 lakh crore from the RBI and financial institutions, but this is expected to increase due to the RBI’s surplus transfer of ₹2.11 lakh crore in May.
– An additional ₹43,000 crore is anticipated from Central Public Sector Enterprises (CPSEs).
Stay updated with the latest on Budget 2024, including real-time insights and detailed analysis, by following our live updates.
The Shift from Briefcase to ‘Bahi-Khata’:
Finance Minister Nirmala Sitharaman will present Budget 2024-25 in Parliament with a digital tablet wrapped in a traditional ‘bahi-khata’ style pouch, continuing the paperless format introduced by the Narendra Modi government.
In 2019, Sitharaman replaced the colonial budget briefcase with a ‘bahi-khata’, and in 2021, she transitioned to using a digital tablet. This year’s budget marks her seventh consecutive presentation.
The budget briefcase tradition originated in 18th-century Britain. The term ‘Budget’ comes from the French word ‘bougette’, meaning a small leather briefcase. In 1860, British Chancellor William E. Gladstone used a red suitcase with the Queen’s monogram to carry his budget papers. India’s first finance minister, RK Shanmukham Chetty, also used a leather portfolio in 1947, and subsequent finance ministers continued this tradition until 2019.