Budget 2023 Live Updates: “Something For Everyone,” PM Modi On Budget
Budget 2023: Nirmala Sitharaman presented Budget ini the Parliament today.
New Delhi:
Union Budget 2023 was presented by Finance Minister Nirmala Sitharaman today which unveiled one of its biggest jumps in capital spending in the past decade and said the fiscal deficit would fall next year.
The Budget adopted “seven priorities” – inclusive development, reaching the last mile, infrastructure and investment, unleashing the potential, green growth, youth power and financial sector – to guide India through the “Amrit Kaal“.
This year’s Budget holds much significance as this is the last full Budget before the 2024 general elections. This is the Finance Minister’s fifth Budget presentation since 2019.
Since taking charge in 2014, Prime Minister Narendra Modi has ramped up capital spending including on roads and energy, while attracting investors through lower tax rates and labour reforms, and offering subsidies to poor households to clinch their political support.
Here are the Live Updates of Union Budget 2023:
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Union Budget 2023 was presented by Finance Minister Nirmala Sitharaman today which unveiled one of its biggest jumps in capital spending in the past decade and said the fiscal deficit would fall next year.
The Budget adopted “seven priorities” – inclusive development, reaching the last mile, infrastructure and investment, unleashing the potential, green growth, youth power and financial sector – to guide India through the “Amrit Kaal”.
Budget 2023: PM Modi on Budget
“Those toiling traditionally through their hands for the country, ‘Vishvakarma’ are the creators of this country. For the first time, scheme related to training and support for ‘Vishvakarma’ has been brought in the budget,” said PM Narendra Modi.
Budget 2023: PM Modi on Budget
“In comparison with 2014, 400 per cent increase in infra investment. Rs 10 lakh crore on infra investment. This will get jobs for youth and earn livelihood for a big population,” said PM Modi.
Budget 2023: PM Modi on Budget
“This budget will boost green growth, green economy, green infra, green jobs for sustainability. This Budget focuses on technology and new economy,” said the Prime Minister.
Budget 2023: PM Modi on Budget
“There is something for everyone in this Budget. It lays strong foundation for New India,” said PM Modi.
“There’s nothing in this Budget. This is a budget made by keeping the Prime Minister on the front. We didn’t see anything in the Budget for the commoners and the states.”
– Sudip Bandopadhyay, Trinamool Congress MP
“The Budget, presented by Finance Minister Nirmala Sitharaman, is well-balanced, progressive and development-oriented. Along with many necessary changes that have been put in motion, the steps to enhance ease of doing business, such as reducing 39,000 compliances and decriminalising 3,400 legal provisions, is a welcome step,” said Harsimarbir Singh, Co-founder at Pristyn Care.
“Acknowledging start-ups as drivers for the Indian economy’s growth, the finance minister has also extended the existing tax benefits for such businesses by one more year till March 31, 2024. Healthcare services by the small & medium sector are yet to bounce back, and the Finance Minister’s announcement of revamped Credit guarantee scheme, allocation of Rs9,000 crores and reduced credit cost is sure to boost the sector to revive quickly,” he added.
The 10-digit Permanent Account Number, popularly known as PAN, will be used as a common business identifier, announced Finance Minister Nirmala Sitharaman in her Budget speech in a big move for ease of doing business.
PAN is allotted by the income tax department to a person, firm or entity.
On the need for separate submission of same information to different government agencies, a system of ‘Unified Filing Process’ will be set-up, the Minister added.
“This year’s budget has set the pathway for India to achieve universal health coverage. We welcome various initiatives announced by the honorable Finance Minister to address the long-standing gaps of the Indian healthcare ecosystem,” said Dr Ashutosh Raghuvanshi, MD and CEO, Fortis Healthcare.
“We also welcome the Mission to eliminate sickle cell anemia by 2047 which will immensely benefit a large population,” he added.
The Union Budget for 2023-24 is focused on growth and welfare with a priority to provide support to farmers, women, marginalised sections and the middle class, Defence Minister Rajnath Singh said on Wednesday.
Mr Singh said the budget proposals will lead the country towards achieving its goal of becoming a USD 5 trillion economy and “top three” economies globally within a few years.
The Defence Minister said the Budget demonstrated the government’s commitment towards supporting growth and welfare oriented policies that will benefit all sections of society including small businesses owners, farmers, and professionals alike.
Here are the highlights of the Budget:
GOVT BORROWING
* Govt targets gross borrowing of 15.43 trillion rupees in 2023/24
* Net market borrowings seen at 11.8 trillion rupees
FISCAL DEFICIT TARGET
* Aims to achieve fiscal deficit of 4.5% of GDP by 2025/26
INDIVIDUAL TAX PROPOSALS
* Proposes to cut highest surcharge rate to 25% from 37.5% under new income tax regime
* Proposes to raise rebate limit to 700,000 rupees under personal income taxes
HIGHER SPENDING
* Outlay for capital spending increased 33% to 10 trillion rupees ($122.29 billion) in 2023/24
* The allocation is higher than the 7.5 trillion rupees budgeted for in the previous year and the highest on record
* Agricultural credit target raised to 20 trillion rupees for 2023/24
* Increases budget allocations to 790 billion rupees for affordable housing in 2023/24
* To provide 350 billion rupees for energy transition
* To provide incentives to replace old, polluting vehicles used by the central and state governments
* Revamps scheme for credit guarantee for small and medium businesses from April 1
* To provide collateral free credit of 2 trillion rupees under revamped scheme
TAX PROPOSALS FOR INDUSTRY
* To consider a cut in customs duty on lab-grown diamonds
* Propose higher import duties on silver dores
* To increase duties on items made from gold, platinum
* Customs duties on compounded rubber being raised.
* Custom duty exemption extended to EV batteries
AIMS FOR HIGHER PRIVATE INVESTMENTS
* Finance Minister Sitharaman says increase in public capex key to crowding in private investments
* Says economy has become the fifth-largest economy in the world in the last nine years
* Says the economy is growing the fastest among major economies
* Says budget adopts seven priorities including inclusive, green growth
Finance minister Nirmala Sitharaman on Wednesday provided an outlay of ₹ 35,000 crore to achieve energy transition and net zero objectives and listed green growth among seven priorities of the government.
“I come to the fifth priority — green growth. Prime minister has given vision for LiFE, or lifestyle for environment. To spur a movement for environmentally conscious lifestyle, India is moving firmly for the panchamrit, the net zero carbon emission by 2070, usher in green industrial and economic transition. This budget builds on our focus on green growth,” the finance minister said in her budget speech in Lok Sabha on Wednesday.
For energy transition, she told the House that this budget provides for ₹ 35,000 crore for priority capital investment towards energy transition and net zero objectives and an energy security by ministry of petroleum and natural gas.
India will focus on economic growth and job creation and cut down fiscal deficit, the Finance Minister said on Wednesday, presenting the government’s last full budget in parliament before elections due next year.
The aim is to have strong public finances and a robust financial sector for the benefit of all sections of society, Finance Minister Nirmala Sitharaman said.
The government will target a budget deficit of 5.9 per cent of GDP for 2023-24, Ms Sitharaman said, compared to 6.4 per cent for the current fiscal year.
The central government today made the much-awaited mega announcement on increasing the income level up to which no income tax is payable: Rs 7 lakh a year from the 2023-24 financial year. It was Rs 5 lakh so far.
Listing out new tax slabs, she also announced that the Old Tax Regime will only be available on request, and what was known as the New Tax Regime so far will thus be considered the default regime.
Taxable income of Rs 0-3 lakh (after all exemptions) will be nil;
Rs 3 lakh to 6 lakh will be taxed at 5 per cent;
If income is above Rs 6 lakh, up to Rs 9 lakh, it will be taxed at 10 per cent;
Rs 9 to 12 lakhs – 15 per cent;
Above ₹ 12 lakh and up to 15 lakh to be taxed at 20 per cent; and
Income above ₹ 15 lakh to be taxed at 30 per cent
Shares surged on Wednesday after the government raised the minimum tax rebate limit and stepped up spending, while bond yields moved lower after it lifted the gross borrowing for the next financial year in the Union budget.
The Nifty 50 index was up 1.5 per cent at 17,922.50, while the S&P BSE Sensex gained 1.6 per cent to 60,528 as of 12:32 p.m.
Indian bond yields reversed course after the government announced gross borrowing at 15.43 trillion rupees for the next financial year and net borrowing at 11.80 trillion rupees.
The benchmark bond yield dropped much as 11 basis points from the day’s high levels, while the Indian rupee rose slightly against the dollar.
Finance Minister Nirmala Sitharaman said the government will spend 10 trillion rupees ($122.3 billion) on longer-term capital expenditure in 2023/24, extending a strategy adopted to revive growth in the aftermath of the COVID crisis.
Finance Minister Nirmala Sitharaman began her Budget 2023-24 speech with declaring it the “first budget of Amrit Kaal” – using a term coined by PM Narendra Modi’s government to define a brighter future as India completed 75 years of Independence.
“Our vision for the ‘Amrit Kaal’ includes a technology-driven and knowledge-based economy, with strong public finances and a robust financial sector. To achieve this ‘jan-bhaagidari’ (public participation) through ‘sabka saath, sabka prayaas’ (efforts by all) is essential,” she said.
For the coming fiscal year, she enumerated seven priorities: “Inclusive development, reaching the last mile, agriculture and investment, unleashing potential, green growth, youth power, and the financial sector.”
Finance Minister Nirmala Sitharaman today made a big announcement on sewage system while presenting the Union Budget 2023-2024.
Calling the transition “manhole to machine mode”, the Finance Minister announced that sewers and septic tanks across the country will be de-sludged through mechanical process.
“All cities and towns will be enabled for 100 per cent transition of sewers and septic tanks from manhole to machine hole mode,” she said.
Budget 2023: Big Numbers Announced So FarFinance Minister Nirmala Sitharaman is presenting the Union Budget for fiscal 2024 that will set the foundation for taking India’s economic growth to the forecast rate of 6.8 per cent.
Budget: Personal Tax
Standard deduction under new tax regime
Highest tax rate 42.7 per cent. Propose to reduce highest surcharge rate from 37 per cent to 25 per cent under new tax regime. Reduction of maximum rate to 39 per cent
Limit of Rs 3 lakh on leave encashment increased to 25 lakh
Tax structure changed from six slabs to five slabs. Reduction in tax liability for those under regime.
Rebate limit increased to Rs 7 lakh in the new tax regime, Ms Sitharaman’s big announcement
Budget 2023: Startups
High value insurance policies – returns will now be taxed and capitals gains on sale of property for over Rs 10 crore will be higher, she announced.
Nirmala Sitharaman:
Next generation common IT form to be rolled out
MSMEs and professionals – if their cash receipts is no more than 5% presumptive tax limits increased to Rs 3 crore (turnover) and Rs 75 lakh (income) respectively
“To finance fiscal deficit in 2023-24, net market borrowing from dated securities estimated at Rs 11.8 lakh crore, said Nirmala Sitharaman.
Cigarettes duty revised upwards, announced the Finance Minister.
“Tax receipts for next fiscal budgeted at Rs 23.3 lakh crore,” said Ms Sitharaman.
Basic customs duty rates to be reduced from 21 to 13 per cent, she announced.
Fiscal deficit expected to be 5.9% of GDP. We aim to Aim to reduce it to 4.5% by 2025-26, said Ms Sitharaman.
Maximum investment for senior citizens – from Rs 15 lakh to Rs 30 lakh in small savings, she announced.
Mahila Samman Savings certificate for a 2-year period. This will offer deposit facility of up to 2 lakh at 7.5 per cent interest.
Fiscal support for digital public infra, she said.
Budget 2023: Financial Sector
Credit guarantee for MSMEs – Rs 9000 crore infused in corpus. National financial information registry to be set up – facilitate credit flow and boost availability of information, announced Nirmala Sitharaman.
Budget 2023: Tourism
“50 destinations to be selected in challenge mode . Every destination to be developed at a complete package under ‘Dekho Apna Desh’ initiative,” she said.
The government will launch Pradhan mantri Kaushal vikas yojana 4.0, she said.
Budget: On old, polluting vehicles
“Vehicle replacement programme for old polluting vehicles,” said Ms Sitharaman.
Coastal shipping will be promoted, said Ms Sitharaman
The government announces MISHTI schemes for mangroves, said Ms Sitharaman.
1 crore farmers will get assistance to adopt natural farming, she said.
Budget: Green Growth
“This Budget focuses on green growth. India heading for net zero “Panchamrit” goal by 2070. 35000 crore for priority capital investment for green energy transition. Battery energy storage systems of 4000 MWH will be supported,” she said.
“All cities and towns will be enabled for 100 per cent transition of sewers and septic tanks from manhole to machine hole mode. Cities will be encouraged to increase creditworthiness for municipal bonds,” said Ms Sitharaman.
“One stop solution for reconciliation of IDs maintained by various government agencies. PAN will be used as common business identifier,” she said.
Government announces Rs 2.4 lakh crore for railways.
50 additional airports, heliports, water aerodromes, advanced landing zones to be revitalised
66 per cent increase in PM Awas Yojana to 79,000 crore, said Ms Sitharaman
“National digital library for children and adolescents will be set up for facilitating quality books,” she said. “The National Book Trust, Children’s Book Trust will replenish non-curricular tirles in regional languages and english to digital libraries,” she added/
Budget 2023: Agriculture Focus
The government will set up an agriculture accelator fund to encourage startups in rural areas. The Indian Institute to Millet Research will be supported as a centre of excellence, she said.
New programme to promote research and innovation in pharma through centres of excellence, Ms Sitharaman said.
Mission to eliminate sickle cell anaemia by 2047, she said.
Budget 2023: Food Security Scheme
“Continuing our commitment to food security, we are implementing from January 1. a scheme to supply free food grain to all Antyodaya and priority households for one year under PM Garib Kalyan Ann Yojana,” the Finance Minister said.
Will set up several cooperative societies for farmers, she said.
Blog 2023: Atmanirbhar Clean Plant Programme
The government will launch the Atmanirbhar Clean Plant Programme to improve availability of disease-free quality planting material for high-value horticultural crops at an outlay of Rs 2,200 crore, Ms Sitharaman said.
“Indian Institute of Millet Research will be supported as centre of excellence,” said Nirmala Sitharaman.
The government also aims to empower women by way of self-help groups focused on raw material supply, branding and marketing of products, she said.
“Indian economy has become more formalised as witnessed by significant enhancement in digital payments,” said Ms Sitharaman
Inclusive development
Reaching last mile
Infrastructure and investment
Unleashing potential
Green growth
Youth power
Financial sector
“Government implementing scheme to supply free grains to poor under PMGKAY with expenditure of Rs 2 lakh crore from Jan 1,” said the Finance Minister.
“We ensured that no one went hungry during pandemic by providing free foodgrains to 80 crore poor people,” said Ms Sitharaman.
“India’s growth at 7 per cent in current fiscal highest among major economies; Indian economy on right track,” said Nirmala Sitharaman.
“The world appreciates India’s achievements,” said Finance Minister.
Economy has growth from tenth to fifth largest in the world, said Nirmala Sitharaman.
“G20 presidency gives us unique opportunity to strengthen India’s role in world economic order,” said Ms Sitharaman.
“Indian economy is on the right track, heading towards a bright future,” said the Finance Minister.
Just In: Nirmala Sitharaman presented Budget 2023 in Parliament. “First Budget of Amrit Kaal,” she said.
“We expect that this budget will ideate 2024 General Elections, for advantage in 2024 elections and some state elections. Last 3 budgets focussed on corporate & upper-class. Middle class & common people were totally ignored,” said K Suresh, Congress’s Lok Sabha Chief Whip.
“We don’t think this Governmentt is giving any concession to salaried people. They are announcing the budget only for eyewash schemes. They did the same in previous budgets. This time, focussing on 2024 elections, some schemes and reliefs may be announced,” he added.
Budget 2023: Parliamentary Affairs Minister Pralhad Joshi on Budget
“This will be the best budget. This will be a pro-poor, pro-middle class budget,” said Parliamentary Affairs Minister Pralhad Joshi.
Budget 2023: Karnataka Chief Minister On Budget
“India’s economy is expected to grow at 6.8 per cent. It will be a pro-people Budget that will support the growth of the economy,” said Karnataka Chief Minister Basavaraj Bommai
Budget 2023: PM Modi-led Cabinet clears Budget
The Union Cabinet cleared the Budget ahead of its presentation. The Cabinet headed by Prime Minister Narendra Modi approved the Budget for this fiscal year.
With only hours left before Union Finance Minister Nirmala Sitharaman tables the Union Budget for the financial year 2023-24, Minister of State for Finance Pankaj Chaudhary on Wednesday said that this budget would match the expectations of the general public and that India’s economy is on track.
In an exclusive interview with ANI, MoS Finance Pankaj Chaudhary said, “Ever since the Modi government has been formed, it brings the budget keeping in mind all the sections of the society.”
Finance Minister Nirmala Sitharaman is the sixth minister in independent India to present five consecutive budget, joining a select league of legends likes of Manmohan Singh, Arun Jaitley and P Chidambaram.
Ms Sitharaman’s budget for the fiscal year starting April 2023 is her fifth straight since 2019.
Other ministers who have presented five straight annual financial statements include Arun Jaitley, P Chidambaram, Yashwant Sinha, Manmohan Singh and Morarji Desai.
After taking charge of the Finance Ministry in the Modi Government in 2014, Mr Jaitley presented five budgets in a row from 2014-15 to 2018-19.
Budget 2023: Watch – Union Cabinet meets to clear budget
Union Cabinet meeting chaired by PM Modi begins at Parliament. After the Cabinet approves the Budget 2023, it will be presented in Parliament by FM Sitharaman
Budget 2023: Union Cabinet Meet Shortly To Clear Budget
The Union Cabinet will meet shortly to clear the Budget. Before the actual presentation, the Cabinet headed by Prime Minister Narendra Modi will approve the Budget for the fiscal year 2023-24 (April 2023 to March 2024).
Here are the key numbers to watch for in Budget 2023-24, which is widely expected to boost spending towards policies that create jobs, leave more money in hands of the common man and boost manufacturing, while increasing tax revenues.
Fiscal Deficit, Disinvestment/Privatisation, Capital Expenditure, Tax Revenue, Borrowing, Nominal GDP.
Budget 2023: Nirmala Sitharaman reaches Parliament
Nirmala Sitharaman has reached parliament ahead of her Budget speech at 11 am. A Union Cabinet meeting will be held here at 10 am following which the Finance Minister will present the Budget.
Budget Glossary: 10 Terms To Know Before The Union Budget PresentationFinance Minister Nirmala Sitharaman is set to present the Union Budget 2023-2024 in Parliament on February 1. According to Article 112 of the Constitution, the government is required to present a statement of estimated income and expenses for each financial year, which runs from April 1 to March 31, to the Parliament.
Finance Minister Nirmala Sitharaman on Wednesday again took a digital tablet wrapped in a traditional ‘bahi-khata’ style pouch as she headed for Parliament to present Union Budget 2023-24 in a paperless format just like the previous two years.
She posed for the traditional ‘briefcase’ picture outside her office along with her team of officials before heading to meet the President. She, however, was holding a tablet instead of a briefcase to present the Budget in a digital format.
With the tablet carefully kept inside a red cover with a golden-coloured national emblem embossed on it instead of the briefcase, she went straight to Parliament after meeting President Droupadi Murmu at Rashtrapati Bhawan.
Union Finance Minister Nirmala Sitharaman will present the Union Budget for 2023-24 with a digital device instead of the traditional ‘bahi-khata’ in her hands.
Wednesday’s Budget will be Sitharaman’s fifth Budget presentation as Finance Minister.
In 2019, the Union Budget was presented in a traditional ‘bahi-khata’ rather than a leather briefcase. It was the first time since independence that any Finance Minister had ‘opted out’ of a briefcase or a hardbound leather bag.
The minister in 2019 not only garnered huge attention for carrying a ‘bahi-khata’, but also for implying the rich culture the country holds.
A ‘bahi-khata’ holds prominence in Indian culture, tradition and history. For decades, the Indian way of managing accounts and keeping a record of bills was done in a ‘bahi-khata’. Traders, merchants, sailors and even small shopkeepers have retained this way of preserving their data.
Finance Minister Nirmala Sitharaman meets President Droupadi Murmu ahead of presenting Budget in the parliament today.
Union Minister of Finance and Corporate Affairs Nirmala Sitharaman, MoS Dr Bhagwat Kishanrao Karad, MoS Pankaj Chaudhary and senior officials of the Ministry of Finance called on President Droupadi Murmu at Rashtrapati Bhavan before presenting the Union Budget 2023-24. pic.twitter.com/S9GJiDG1aw
– ANI (@ANI) February 1, 2023
For the longest time, visuals of the Finance Minister walking into the parliament to present the budget featured them flashing their briefcase for the media cameras. However, Finance Minister Nirmala Sitharaman, in 2019, replaced the briefcase with the “Bahi Khata”. The move was aimed to relinquish the colonial practice of presenting the budget with a briefcase. British finance ministers used to carry a Gladstone Box to the parliament for presenting the budget. After Independence, this Gladstone Box was replaced by bags or briefcases.
A Bahi Khata has been used by Indian households, neighbourhood shops, and small enterprises to manage their budget. Perhaps the inspiration behind Bahi Khata came from its cultural roots. In 2020, Nirmala Sitharaman presented the budget yet again with the Bahi Khata and said that it was time to get over the British hangover.
Markets in the green ahead of budget
Sensex over 400 points up, Nifty over 90 ahead of Budget 2023.
Finance Minister Nirmala Sitharaman is at Rashtrapati Bhavan to call on President Droupadi Murmu ahead of Budget 2023.
Delhi | Finance Minister Nirmala Sitharaman reaches Rashtrapati Bhavan to call on President Murmu
FM will then attend the Union Cabinet meeting, and then present Union Budget 2023-24. pic.twitter.com/hHDSZU7g3j
– ANI (@ANI) February 1, 2023
Ahead of the presentation of Union Budget 2023-24 in the Parliament on Wednesday, Minister of State for Finance Pankaj Chaudhary said that the budget will incorporate the expectations of every section of society and will stand on everyone’s expectations.
Union Finance Minister Nirmala Sitharaman will table the Budget 2023 in Lok Sabha today at 11 am.
This will be the Narendra Modi government’s last full Budget in this term of the Parliament.
Speaking to ANI ahead of the Budget, MoS Finance said that the people’s expectations would be reflected in the Budget which will be presented later today.
Delhi | Finance Minister Nirmala Sitharaman all set to present the Union Budget 2023 at 11am today
This is the BJP government’s last full Budget before the 2024 general elections. pic.twitter.com/m2NRMHW7Ut
– ANI (@ANI) February 1, 2023
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Video: Industry’s Thumbs-Up For Budget 2023
