Budget 2024 Expectations: Top Schemes Govt May Announce on 1st Feb

In just eleven days, the much-anticipated budget presentation is set to take place before the parliament. On February 1, 2024, Finance Minister Nirmala Sitharaman will unveil the budget revealing what’s in store for the upcoming year. Here are the budget 2024 expectations. Citizens eagerly await insights into which items will become more affordable and which ones might see an increase in prices. It’s a date marked on everyone’s calendar, as it holds the key to understanding the financial landscape for the months ahead.

According to economists, there will be many new things included in the budget, although the finance minister has stated that there will not be much from the government in this budget since it will just focus on usual expenses.

Let’s explore what the government plans to simplify and complicate for citizens in the upcoming budget. It’s a chance to see where they aim to make things easier and where challenges may arise.

• Amit Prasad, the founder and CEO of SatNav Group, said to the media that he expects the budget for 2024 will empower the IT sector by supporting modern technology, investing in digital infrastructure, and offering incentives for research and innovation. He continued to say that the budget might also address issues like cyber security, tax policy revisions that benefit startups, and simplified regulations.
• The education technology (EdTech) sector is another one that could benefit from the budget. During the pandemic, this industry saved millions of children by helping them study for examinations even when they were restricted to their homes. Shantanu Rooj, the CEO and founder of TeamLease EdTech, anticipates that funding will be allocated to the edtech sector to shorten the distance between students and their studies. The budget should include funds for enhancing and supporting the digital infrastructure of the country’s educational institutions.
• Another expectation is that this year’s budget will focus on semiconductor manufacturing. According to experts and industry CEOs, the government will assist the semiconductor industries in passing the barriers, and even India may begin exporting the chips
• The well-known PSU, Hindustan Zinc CEO Arun Misra, told the media that the government would release funds for infrastructure development as well as allot funds for mining. He went on to say that exploration is necessary for sustainable development, and India has only explored 2% of its available area, which is not enough for a country like India, where the population is rapidly growing and people want resources as soon as possible, so he believes the government must allocate more funds for exploration mining.
• As people become more aware of climate change, they are turning away from fossil fuels such as diesel and petrol, which is where electric vehicles come into play. According to Akihiro Ueda, CEO of Terra Charge, the government will incentivize the EV ecosystem and help it expand further in the future. Because the government already offers subsidies to make EV plants, industry CEOs expect that the government will continue to support them.
• Pradhan Mantri Avas Vikas Yojna, a scheme that provides homes to homeless people, is set to take on a new form. According to some news channels, the government will announce a new housing loan scheme for the poor and middle-class people so that they can achieve their dream of owning a home. Unlike in other countries, people in India see houses as an emotional bond.
• On the other hand, the restaurant chains are expecting the inclusion of input tax credits for GST. Due to the current GST law that prevents restaurants from claiming input credits, operating costs for restaurants have grown, particularly for small and medium-sized businesses.

All sectors of the economy, from FMCG to health, are generally expecting positive things from the budget, but as we are all aware, “you can’t make everyone happy.” The finance ministry is not as excited as the industry, either because they think that the budget will not be particularly notable or perhaps because they are concerned about inflation.

Since elections are in three to four months, there is very little possibility that the government will raise the price of general commodities. Instead, they will undoubtedly attempt to appease the citizens by bringing down the cost of necessities for a few months, if only to win votes.

However, the health business is asking the government to prioritize telehealth so that everyone can easily access healthcare facilities, and the FMCG sector is calling for relief from their tax slabs and GST due to the extremely low growth they are experiencing in rural India.

It would be interesting to observe who will benefit from the budget, whether the wealthy will get even richer or whether the government will prioritize addressing India’s income inequality over GDP growth as a whole.