Key Points
The fiscal deficit target for FY24 will be met and a tighter target is proposed for FY25, freeing up space for private borrowings..
The budget focuses on trade, tourism, and transportation, with investments in railway corridors, airports, and public transport..
Mobility matters While a capital outlay of 11.1 lakh crore has been proposed for infrastructure, the tilt towards transportation is evident with a thrust on the development of railway corridors and coach upgradation..
Likewise, promoting public transport investments across metro, rail, electric buses and regional rail projects will meet several objectives by enabling urban transformation, decongesting cities and driving our decarbonisation agenda for transport..
Leave no one behind As the country gears up to achieve its growth ambitions - the 2024 budget was prepared under the backdrop of a projection of 7.4% real GDP growth for FY24 - inclusivity measures will be critical to ensure these dividends reach vulnerable populations..
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26, Feb, 24Capex on full steam, at 80% of Revised Estimates by early February
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22, Jan, 24The nominal growth rate assumption always doesn't pan out, but are necessary to plan out spending and budgetary allocation
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17, Jan, 24Budget 2024: The government aims to limit the increase in overall spending to around 10% in the interim budget for FY25, balancing the need for sustained growth with fiscal consolidation imperatives. It plans to achieve this by raising capital expenditure at a slower pace, while moderately increasing revenue spending. The government has set a fiscal deficit target of 4.5% of GDP by FY26 and expects to meet the target this year.