The Budget for 2023-24 kept its focus on expanding Capex showing that the Modi government’s priorities are building roads, highways, and railway lines. The middle class has been given some relief in terms of tweaks in the new income tax regime clearly pointing out that the government wants a shift towards the new regime from the older one. The FM stuck to the fiscal deficit roadmap in the Budget with a target of 5.9% in FY 24 and adhering to the target for the current year. This is a positive considering a bloated deficit will have caused worries about finding the gap.
-Fiscal Consolidation Not Put On The Back Burner -Budget Balances Govt Capex, Push To Private Sector -Plan To Augment Strategic Petroleum Reserves -Allocated Rs 30,000 Crore For OMC Capex In FY24 -FY24 Tax Target Assumption Conservative
– Finance MinisterNirmala Sitharamanon Wednesday announced hiking the capital expenditure by 33 per cent to Rs 10 lakh crore for infrastructure development for 2023-24 and will be at 3.3 percent of the GDP
– Presenting the Budget, she said the newly established infrastructure finance secretariat will assist in attracting more private investment.
– With an aim to further improve regional air connectivity, she said the government will revive 50 additional airports, helipads, water aero drones and advanced landing grounds
– The Budget also allocated Rs 3,113.36 crore to the union civil aviation ministry
Budget announcements on digital initiatives focuses on artificial intelligence in the education sector
– Three centres of excellence for artificial intelligence will be established in top educational institutions – 100 laboratories in engineering institutions will be developing applications using 5G services – A national digital library will be set up for children and adolescents for facilitating the availability of quality books across geographies, languages and genres – Centre to recruit 38,800 teachers and support staff for 749 Eklavya Model Residential Schools that will service 3.5 lakh tribal students
Budget 2023: Big bonanza for senior citizens
-Budget 2023 has increased the maximum permissible investment in the senior citizen savings scheme, a popular investment among the elderly. The post office monthly income scheme, too, has been made more attractive.
-Finance minister Nirmala Sitharaman doubled the maximum limit under the Senior Citizen Savings Scheme (SCSS) to Rs 30 lakh from Rs 15 lakh. The scheme offers assured interest of Rs 8 percent per annum. The interest is paid quarterly.
-Additionally, the investment limit under the popular Post Office Monthly Income Scheme (POMIS) has been raised to Rs 9 lakh from Rs 4.5 lakh. In case of joint accounts held in POMIS, the investment limit has been hiked to Rs 15 lakh from Rs 9 lakh. The scheme pays monthly interest at the rate of 7.1 percent per annum.