Finance Bill 2023

Nirmala Sitharaman, the finance minister, launched the presentation of the Modi government’s last full budget with these words: “This is the first budget of Amrit Kaal”. She stated that the world recognizes India’s economy as a shining example, with a 7% growth in the current fiscal, the highest among major economies. India’s per capita income has risen to Rs 1.97 lakh and its economy has grown from 10th to 5th largest in the world in the past 9 years. The budget is being presented as major advanced economies face a slowdown and potential recession. India’s GDP is expected to grow between 6-6.8%, maintaining its position as the fastest-growing economy in the world. The country has fully recovered from the Covid-19 pandemic.
The Indian Railways received a record capital outlay of Rs 2.40 lakh crore. Capital expenditure has been increased by 33% to Rs 10 lakh crore, equivalent to 3.3% of GDP. The PM Awaas Yojana also received a massive boost. The food security program will continue for another year, with steps for Agri startups, fisheries, and programs for primitive, vulnerable, and tribal groups also announced.
Sitharaman must maintain the fiscal deficit target of 6.4% and provide a credible plan for reducing it further in the future. The PLI scheme was launched to reduce dependence on China and position India as a manufacturing hub, with incentives for sectors such as renewable energy, auto, telecom, and mobile phones. More sectors are expected to be added to the PLI scheme, with additional incentives for existing sectors. The budget will continue to focus on doubling farmers’ incomes and improving agriculture infrastructure.