Budget 2025 Highlights: Indices End Trading On A Flat Note, New Tax Regime Slabs Revised
Union Budget 2025 Highlights: Finance Minister Nirmala Sitharaman will table the Union Budget 2025-26 in Lok Sabha today, please follow for all the latest news and updates.
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Union Budget 2025 Highlights: Hello and welcome to ABP Live's Budget 2025 LIVE blog. Please follow this space for all the latest updates on the Budget Presentation scheduled for Saturday,...More
Bhavesh Kothari, Founder and CEO, Property First lauded the launch of SWAMIH 2.0 and said the expansion in the fund to develop affordable houses will infuse some much-needed liquidity in the housing segment. "The support of Rs 15,000 crore to states, along with a well-defined three-year project roadmap, will further strengthen infrastructure development. Though a reduction of Rs 1 lakh crore in capital outlay for infrastructure may be worrisome, the government's focus on public-private partnerships and an ambitious asset monetisation target of Rs 10 lakh crore over the next five years should sustain infrastructure growth," the expert said.
Reacting to the Budget reforms focused on women and the role of the younger generation in the economy, Chirashree Ghosh, National Coordinator, FORCES (Forum for Creches and Child Care Services), said, "The Union Budget 2025 announcement of increase in allocation for Saksham Anganwadi and Poshan 2.0 is a welcome step towards strengthening early childhood care in India. With 32.1 per cent of children under 5 years being underweight, enhanced nutrition support is a vital parameter for their development. This enhanced funding will help create comprehensive childcare support systems. Following the government's push for increasing women's economic participation and the expanding gig economy, such infrastructure is crucial for enabling them to fully engage in the workforce and pursue livelihood opportunities."
Anil Rawal, MD & CEO, IntelliSmart Infrastructure, noted, "The Union Budget 2025 emphasizes the government’s strong commitment to meeting rising energy demands while staying true to its climate goals. A key highlight is the emphasis on strengthening electricity distribution, with plans to incentivise states to implement critical distribution reforms. This is a welcome step as it will encourage states to adopt measures like smart metering, which is the need of the hour for enhancing the overall systemic efficiencies of the power utilities and optimise electricity distribution. This also gives AMISPs a significant opportunity to contribute to power sector digitalisation, while empowering grassroots consumers with access to affordable, reliable, and round-the-clock electricity, aligned with the vision of Viksit Bharat."
Amit Sharma, General Partner, Cactus Partners, said that the reforms for start-ups in the budget will help the sector grow. "The establishment of a new Fund of Funds (FoF) with an additional Rs 10,000 crore and an expanded scope is a welcome move. The exploration of a deep-tech Fund of Funds is also a positive step and will be crucial in driving cutting-edge innovation in India. Additionally, the provision of term loans of up to Rs 2 crore for first-time entrepreneurs from certain sections of society, including women, will further encourage entrepreneurship. The increased credit guarantee cover, along with a reduced guarantee fee for startups and MSMEs, will enhance much-needed access to credit," Sharma noted.
Himanshu Sinha, Partner and Head of Tax Practice, Trilegal, said that Budget 2025 displays a change of attitude. The expert said that the reforms call for a shift from capex to consumption-based growth. "Reduction in personal income taxes is likely to jumpstart discretionary spending in sectors like automobiles, FMCG, travel and tourism, quick commerce and affordable housing. One can expect increased investments and M&A in these sectors by large MNCs and funds," Sinha noted.
Upendra Narayan, Founder, L&Y Homes India Pvt Ltd, said that the Budget allows taxpayers to now claim the annual value of two self-occupied properties as nil, exempting them from notional rental income taxation. Earlier, an individual could only claim one property as self-occupied, with additional properties taxed on the basis of deemed rental income, the executive said.
"In addition, with an increase in the TDS exemption threshold for rent from Rs 2.40 lakh to Rs 6 lakh, small property owners will benefit by reducing the number of transactions falling under the TDS regime, making compliance simpler and improving affordability for small landlords. This holistic approach by the government will not only ease the tax burden on homeowners and landlords but also foster a more conducive environment for real estate investments, particularly in second homes and Tier 2 and 3 cities," Narayan noted.
A Balasubramanian, MD and CEO, Aditya Birla Sun Life AMC Ltd, said that Budget 2025 prioritised growth driven by consumption. "Measures like simplified tax structures and reduced surcharges combined with a focus on agriculture and rural incomes should boost overall sentiments, consumption, savings, investments and support key sectors like consumer durables. All of this should improve economic and market sentiments in an uncertain global order and boost investor confidence. Despite short-term market volatility, robust fundamentals make India a promising opportunity for long-term investors," the executive noted.
The government has alloted Rs 4.9 lakh crore additional for the states in Budget 2025. Regarding the same, Sitharaman said, "States are very enthusiastic about the interest-free 50 year loans. They want this for their pending projects and for their requirements. The challenge is to meet the demands of the states."
Nirmala Sitharaman, during an interview with DD News, said, "We respect the taxpayers and trust them to take the country ahead."
Surjeet Thakur, Founder and CEO, TrioTree Technologies, said that the Union Budget's focus on expanding medical education with 10,000 more seats and setting up cancer care facilities in district hospitals is a crucial step towards increasing the access to healthcare. "While these investments are a welcome move, leveraging AI and digital innovations in hospital management, diagnostics, and patient care will be essential to truly modernise India's healthcare system. We look forward to policies that encourage the adoption of AI-driven solutions to complement these infrastructure enhancements, ensuring a more accessible and data-driven healthcare ecosystem for all," the executive suggested.
Bipin Preet Singh, Co-founder & MD, MobiKwik said, "This budget is a game-changer for India's entrepreneurs, especially MSME which drives our economy. By expanding credit guarantees and easing access to capital for startups, it empowers businesses to grow fearlessly. The introduction of a new Fund of Funds scheme (FFS) with an expanded scope and a fresh contribution of another Rs 10,000 crore is a welcome move and will provide a much-needed boost to the startup ecosystem. It is a bold step towards an Atmanirbhar Bharat. Moreover, the exemption of income tax for salaried individuals earning up to ₹12 lakh brings significant relief to the middle class."
Ajay Kumar Srivastava, Managing Director and CEO, Indian Overseas Bank, said, "The Union Budget of 2025 focused on MSMEs, agriculture, investment and exports has many positive decisions, and we welcome them. The enhancement of the Kisan Credit Card (KCC) loan limit to Rs 5 lakh is a huge development which will help farmers improve agricultural productivity. Also the increase in the guarantee cover for MSME from Rs 5 crore to Rs 10 crore and for startups from Rs 10 crore to Rs 20 crore will foster entrepreneurship, create job opportunities and improve the business environment. The proposal to extend interest free loans to states for 50 years is surely a bold step that will accelerate development of infrastructure and boost economic growth.”
Talking about the governance under Prime Minister Narendra Modi, Sitharaman said, "It's a very responsive government and as a result, the income tax simplification which I announced in July is already completed in its works and we shall bring the bill in the next week...So if we are talking of reform inclusive of taxation, the work is done."
Addressing the press conference post the Budget presentation, Finance Minister Nirmala Sitharaman said that this budget focuses on energy security.
Ashwin N Sheth, Chairman and MD, Ashwin Sheth Group, said that the Budget's push for affordable housing by ensuring completion of 40,000 more units by 2025 is expected to help homebuyers and ease the financial pressure on middle-class families.
"The launch of SWAMIH Fund II, with a Rs 15,000 crore blended finance facility, will further accelerate the completion of 1 lakh units, ensuring liquidity and project completion. The special focus on urban infrastructure development will certainly boost real estate. A dedicated push for skilling initiatives in construction, real estate, and hospitality will equip the workforce with industry-relevant expertise, creating employment opportunities and strengthening India's urban landscape," the executive noted.
Sanjeev Mantri, MD & CEO, ICICI Lombard said that Budget 2025 will help the insurance sector evolve. The executive appreciated the government for providing a push to healthcare infrastructure, specifically in cancer care. "We see this as an opportunity to design specialised health coverage products that can complement the expanding medical infrastructure. This, combined with India's emerging position as a medical tourism hub, allows us to create comprehensive cross-border health insurance solutions," he noted.
Sarbendra Sarkar, Founder and MD, Cygnett Hotels and Resorts, said, "The Union Budget’s strategic emphasis on tourism is a welcome move that will significantly boost India’s hospitality industry. The development of 50 key destinations under challenge mode, along with streamlined e-visas and visa-free access for select tourist groups, will drive international footfall and enhance India’s global appeal.”
“The government’s initiative to include new hotels coming up in 50 key destinations in the infrastructure harmonized list (HML) for projects where land will be provided by the state governments is a welcome step. This will help hospitality investors to avail infrastructure lending at easier terms with enhanced limits and offer access to larger amounts of funds as External Commercial Borrowings (ECBs),” Sarkar added.
On Union Budget 2025, Prime Minister Narendra Modi said "Today is an important milestone in India's development journey. This is the budget of aspirations of 140 crore Indians. This is a budget that fulfils the dreams of every Indian. We have opened many sectors for the youth. The common citizen is going to drive the mission of Viksit Bharat."
"This budget is a force multiplier. This budget will increase savings, investment, consumption and growth rapidly. I congratulate Finance Minister Nirmala Sitharaman and her entire team for this Janta Janardan's, People's budget," he added.
Ninad Karandikar, Co-founder of Stance Health noted that the Union Budget 2025 has taken crucial steps towards strengthening India’s healthcare ecosystem, with the addition of 10,000 new medical seats and exemptions on lifesaving medicines.
“These moves will directly benefit patients, including those with severe musculoskeletal (MSK) conditions, by improving access to critical treatments and expanding the healthcare workforce. Additionally, the government's initiative to set up Day Care Cancer Centres in district hospitals in the next 3 years, with 200 centres planned for 2025-26, is a significant move to reduce the burden on tertiary care,” he added.
Reacting to the hike in FDI limits for the insurance sector, Naveen Chandra Jha, MD & CEO, SBI General Insurance, said that this reform is expected to help boost market penetration by luring more capital inflows and enhancing competition. Further, the executive said that the proposed tax reforms will help taxpayers massively. "The proposed tax reforms, including TDS rationalisation and increased thresholds for senior citizens, will empower taxpayers and promote greater financial inclusion. Collectively, these initiatives lay the foundation for a robust insurance ecosystem, supporting the government's vision of 'Insurance for All' by 2047," he stated.
Nirvaan Birla, Managing Director of Birla Open Minds Education Pvt Ltd and Birla Brainiacs, said, “The Union Budget 2025 presents a forward-looking vision for the education sector, aligning with India’s goal of becoming a knowledge-driven economy. The emphasis on skilling through National Centres of Excellence, the PM Research Fellowship Scheme, and AI-driven education hubs is a commendable step towards strengthening India's human capital and fostering technological innovation. The expansion of IITs, medical institutions, and Atal Tinkering Labs further reinforces the government’s commitment to building a future-ready workforce. The Bharat Net project’s broadband expansion in schools is a welcome move to bridge the digital divide, but its success will depend on effective accessibility and implementation.”
Adhil Shetty, CEO, BankBazaar, said, "The income tax reforms introduced in the budget are among the biggest in the last decade — simplified and rationalized to put more money in people's hands without compromising the fiscal deficit. The most important change has been the revision of the tax slabs keeping in line with inflation."
"This has been a long-standing request of the tax payers for the last so many years. In the updated tax reforms, with slabs adjusted for inflation, the 30 per cent tax rate is now applicable above Rs 24 lakh, up from the initial Rs 15 lakh. This change in the 30 per cent slab marks a 60 per cent adjustment. Under the proposed 2025 tax regime, someone earning Rs 25 lakh annually will pay Rs 3.43 lakh in total tax, compared to Rs 4.57 lakh under the 2024 regime. This translates to 5 per cent more money in hand and a monthly saving of around Rs 9,500 — a substantial relief for taxpayers," he added.
Total receipts - Rs 31.47 lakh crore
Net tax receipts - Rs 25.57 lakh crore
Total expenditure - Rs 47.16 lakh crore
Capital expenditure - Rs 10.18 lakh crore
Fiscal deficit - 4.8% of GDP
No income tax till Rs 12 lakh income. Taxpayers with up to Rs 12 lakh income without any special income will be provided tax rebate.
Following will be the tax slab under new tax regime.
Rs 0-4 lakh -- Nil
Rs 4-8 lakh -- 5%
Rs 8-12 lakh -- 10%
12-16 lakh - 15%
Rs 16-20 lakh -- 20%
Rs 20-24 lakh -- 25%
Above Rs 24 lakh -- 30%
Limit of tax deduction on interest for senior citizens increased from Rs 50,000 to Rs 1,00,000.
Annual limit of Rs 4 lakh for TDS on rent raised to Rs 6 lakh.
TCS remittance to be raised from Rs 7 lakh to Rs 10 lakh.
TCS for remittances on education purposes removed.
TDS and TCS on any transaction related to sale of goods: TCS omitted, provisions of higher TDS deduction apply only in non-PAN cases.
Delay for payment of TCS upto due-date has been decriminalised.
New income tax bill to carry forward spirit of Nyaay, simple to understand and reduce litigation: FM
Personal income tax reforms with special focus on middle class, rationalisation of TCS and TDS. encourage voluntary compliance, and reducing compliance burden: FM
Basic Customs Duty (BCD) on interactive flat panel display increased from 10% to 20%. BCD reduced to 5% on open cell and other components.
BCD reduced from 20% to 10% on carrier-grade ethernet switches.
Fully exempt BCD on wet blue leather.
Exempt crust leather from 20% export duty.
Full exempt on Basic Customs Duty on cobalt powder, lead, zinc, and scrap of lithium ion batteries.
As many as 36 life saving drugs have been added to the list of medicines fully exempted from basic customs duty. 6 live saving medicines to list attracting concessional duty of 5%.
The Finance Minister proposed rationalisation of customs tariff structure for industrial goods, removal of 7 tariff rates and 8 remaining tariff rates including 0 rate.
Finance Minister Nirmala Sitharaman said a new Income Tax Bill will be introduced in Parliament next week.
The Centre has lifted the 75 per cent FDI in insurance sector to 100 per cent.
Simplifying the KYC process: Revamped central KYC registry to be rolled out this year.
Scope for fast track mergers be widened.
Greenfield airports will be facilitated in Bihar to meet future needs of state and Patna airport's capacity will be expanded.
Western Kosi Canal ERM project: Financial support to be provided in the Mithilanchal region of Bihar.
Special focus has also been given to destinations related to life and times of Lord Buddha.
UDAAN Regional connectivity scheme: Modified scheme to be launched to enhance regional connectivity to 120 new destinations and carry 4 crore additional passengers in next 10 years.
Development of atleast 100 GW of nuclear energy by 2047 is essential for Nuclear Energy Mission for Viksit Bharat.
Ship building financial assistance policy to be revamped to address cost disadvantages.
Maritime development fund: Long-term financing for marine industry with corpus of Rs 25,000 crore to be set up.
Urban sector reforms, related to governance, municipal services, urban land, and planning will be incentivised. Urban challenge fund of Rs 1 lakh crore will be set up.
Jal Jeevan Mission will be extended till 2028.
Identity cards will be issued for gig worker and registration on E-shram portal. The gig workers will be given healthcare cover under under PM-Jan Aarogya Yojana. The scheme will help an estimated 1 crore gig workers.
Total students capcaity in 23 IITs has increased from 65,000 to 1.35 lakh in last 10 years. More infrastructure will be created in five IITs started after 2014 to facilitate education for 6,500 more students.
Center of Excellence in AI for education will be set up with total outlay of Rs 500 crore.
As many as 10,000 additional seats for medical colleges and hospitals will be added in next year.
A total of 75,000 seats will be added in next 5 years.
PM Research Fellowship scheme to provide 10,000 fellowships.
Broadband connectivity to all government secondary schools and primary health centres in rural areas will be provided.
Five National Centers of Excellence for Skilling to be set up with global expertise and partnerships.
National Institute of Food Technology, Entrepreneurship and Management will be set up in Bihar. Make in India: national manufacturing mission covering small, medium and large industries
Focused products scheme will be implemented in footwear and leather sector and acilitate employment for 22 lakh people.
Schemes will be introduced to make India a global hub for toys, focus on development of clusters, skill and a manufacturing ecosystem to create high quality, unique, innovative, and sustainable toys.
Credit guarantee cover for MSME increased from Rs 5 crore to Rs 10 crore, for startups from Rs 10 crore to Rs 20 crore, and for well-run exporter MSMEs term loans up to Rs 20 crore.
Customised credit card with Rs 5 lakh limit for micro industries, 10 lakh cards to be issued in first year
The Budget also seeks transformation of India Post as a large public logistics organisation
India is second in fish production and aquaculture, Sitharaman said. For the marine sector, governement will bring enabling framework for sustainable harnessing of fisheries, with special emphasis on Andaman and Nicobar and Lakshadweep islands.
A six-year mission for aatmanirbharta in pulses with special focus on tur, urad and masoor. PM Dhan Dhaanya Krishi Yojana will be launched which will cover 100 districts to improve irrigation facilities and help availability of long-term and short-term credit.
Hundred developing agricultural districts will be covered in first phase.
Four powerful engines of development: agriculture, MSME, investments, and exports.
In this budget, the proposed development measures span 10 broad areas focusing on poor, youth, annadata, and naari: Sitharaman
This budget continues our efforts to accelerate growth, secure inclusive development, uplift household sentiments and enhance spending power of India's rising middle class: Sitharaman
Finance Minister Nirmala Sitharaman begins her speech, know what's in it for you.
Prime Minister Narendra Modi told his cabinet colleagues that this budget is for the common man, the budget for the aspirations of the poor, farmers, women and youth, sources told ABP News.
The stock markets rallied ahead in the countdown to the Budget presentation. As of 10:50 AM, the BSE Sensex climbed more than 200 points to trade above 77,700 at 77,729.48, while the NSE Nifty50 jumped over 50 points to trade near 23,600 at 23,580.
Union Parliamentary Affairs Minister Kiren Rijiju said he hoped a good environment will prevail in Parliament during the Budget speech today. "The country has witnessed that despite world-facing multiple issues, India's economy is growing and the country is moving ahead. Nirmala Sitharaman is going to present her record number (8th) of the budget and I hope that it'll be a good environment," said the Union Minister.
The Union Cabinet has approved the Union Budget 2025-26. The finance minister will reach the Lok Sabha and start her Budget speech at 11 AM.
Prime Minister Narendra Modi and Union Home Minister Amit Shah reached the Parliament where Cabinet meeting began.
MP congress president Jitu Patwari targeted Prime Minister Narendra Modi and BJP over the Budget. "...The country is in debt of Rs 270 lakh crore. The situation is getting worse day by day and inflation is increasing...The poor in the country are becoming poorer and the rich are becoming richer... Even before this, whenever Modi ji has brought the budget, the country has been disappointed," Patwari said.
President Droupadi Murmu fed Finance Minister Nirmala Sitharaman the customary 'dahi-cheeni' (curd and sugar) ahead of her Budget speech.
Punjab Finance Minister Harpal Singh Cheema expects the Centre for a special package for the state for crop diversification and legal guarantee of MSP. "I congratulate Union Finance Minister Nirmala Sitharaman as she is going to present the budget today. We have given a memorandum to the central govt and the finance minister in which we have demanded that a special package should be given to Punjab as it is an agrarian state and we need to diversify (crops)... We have also demanded for the legal guarantee of MSP...," Cheema said.
Finance Minister Nirmala Sitharaman posed with the iconic red 'bahi khata' along with the Budget team outside Finance Ministry.
Finance Minister Nirmala Sitharaman has arrived in Parliament where she will attend the Union Cabinet meeting chaired by Prime Minister Narendra Modi and seek approval .
Finance Minister Nirmala Sitharaman presented a copy of the Union Budget 2025-26 to President Droupadi Murmu ahead of the presentation.
Finance Minister Nirmala Sitharaman's white saree choice is in tribute to Madhubani Art and the skill of Padma awardee Dulari Devi.
During her visit to Bihar's Madhubani for a credit outreach activity at Mithila Art Institute, Sitharaman met Dulari Devi and had a cordial exchange of thoughts on Madhubani art in Bihar. Dulari Devi had presented the saree and asked FM to wear it for the budget day.
The share markets exhibit volatility as investors gear up for the Budget presentation ahead. As of 9:30 AM, the BSE Sensex traded above 77,500, climbing 85 points to reach 77,585.55, while the NSE Nifty50 stood marginally lower by almost 2 points at 23,506.55.
A truckload of budget documents arrive at Parliament ahead of the presentation.
Finance Minister Nirmala Sitharaman poses with the iconic red 'bahi khata' along with the Budget team outside Finance Ministry. She will now proceed for the Union Cabinet meeting which will be chaired by Prime Minister Narendra Modi.
Congress attacked the BJP-led Centre ahead of the presentation of the Union Budget 2025-26 saying it does not expect much measures that would bring relief to the common people, unemployed youths or farmers. "We are not expecting much about the common people, unemployed youths or farmers," says Congress' Lok Sabha Chief Whip K Suresh. "This Budget will be focusing on the corporates and upper-class people and multinational companies," he added.
The Nitish Kumar-led JD(U) says it is expecting "big announcement" for Bihar. “We await Budget. Undoubtedly, Bihar has suffered under Congress rule," said JD(U) spokesperson Rajeev Ranjan.
"In the last 10 years, Bihar's expectations have been fulfilled under the leadership of CM Nitish Kumar. We expect big announcements so that Bihar can contribute to the country’s GDP,” he said.
Finance Minister Nirmala Sitharaman has reached Rashtrapati Bhavan where she will provide a copy of the Union Budget to President Droupadi Murmu and receive her approval.
Union finance minister Nirmala Sitharaman will present the Union Budget at 11 am in Lok Sabha. Here's her schedule for the day.
8:30 AM: Depart for North Block from her residence. Will proceed to Rashtrapati Bhavan with the budget team and present a copy of the budget to the President.
9:00 AM: Following President's approval, Sitharaman will return to the ministry for a photo shoot at Gate No. 2 of North Block.
10:00 AM: FM Sitharaman and Minister of State for Finance, Pankaj Chaudhary, will enter Parliament.
10:15 AM to 10:30 AM: Union Cabinet meeting
11:00 AM: FM Sitharaman will present Budget in Lok Sabha following approval by Union Cabinet.
Harris further called for increased allocation for upskilling initiatives aligned with Industry 4.0, creating a future-ready workforce capable of excelling in advanced technologies like AI, IoT, and cybersecurity.
Warren Harris, CEO, Tata Technologies says To achieve the ambitious goals outlined in India’s roadmap for a $5 trillion economy, the budget should prioritize innovation-driven policies, investments in emerging technologies, and the development of products in India—for India and the world.
He also said the technology and engineering sector is looking forward to measures that can propel India into its next phase of economic and industrial growth.
Minister of State for Finance, Pankaj Chaudhary said everything will be known before 12 noon as reporters swarmed the minister outside the Finance Ministry with what to expect from the Union Budget 2025-26. "Everything will be before you by 12 pm...Have some patience. You will get to know everything...," Chaudhary said while speaking to reporters.
The quick commerce sector is expecting the Union Budget for FY 2026 to bring measures that are supportive to the industry and ensure level playing field for all market participants.
Deepak Ravindran, Co-founder & CEO of KiranaPro says the firm isanticipating policy measures that will further bolster the quick commerce sector, particularly benefiting kirana stores and small retailers.
"The rapid expansion of quick commerce, projected to grow by over 75% year-on-year in 2025, underscores the need for supportive regulations that ensure a level playing field for all market participants," he said.
The common man hopes for the tax slab to be exceeded from Rs 5 lakh to Rs 7.5 lakh as the middle-class struggles with high prices and stagnant wage growth. "Being a salaried person, I expect that the govt will provide some relaxation in tax limit; I hope that the govt will alter the 5 lakh slab and will exceed that limit upto 7.5 lakhs," said a devotee at Maha Kumbh Mela in Prayagraj, speaking to ANI.
Anil G. Verma, CEO, Godrej Enterprises Group hopes the government will continue focusing on boosting infrastructure development, maintaining fiscal prudence, and laying emphasis on women, youth, farmers, and the underprivileged through skilling, welfare measures and financial assistance.
"The important area that needs to be addressed now, amongst others, is the continued lower than expected growth in private consumption. Private consumption drives private investment and therefore I am hopeful that the GoI will take steps that boost consumption through a slew of measures that could include reviewing of personal income tax slabs and reassessment of the interest rates to provide EMI relief to the large masses whose purchases of assets such as homes and consumer durables are through loans," Verma said.
The Union Budget will be presented in Lok Sabha at 11 am by Finance Minister Nirmala Sitharaman. The Finance Minister's Budget speech can be viewed live on ABP News.
The speech can be streamed online on ABP News YouTube channel and Sansad TV.
The real estate sector is expecting the Union government to bring measures that can sustain the growth trajectory.
Abhishek Raj, Founder and CEO of Jenika Ventures calls for the government to "consider raising the tax deduction ceiling on home loan interest under Section 24(b) of the Income Tax Act from ₹2 lakh to ₹5 lakh, which would significantly benefit first-time homebuyers."
"Additionally, revising the affordable housing price cap in urban areas from ₹45 lakh to ₹75 lakh is critical, given the rising costs of land and construction. Granting real estate sector status would also unlock enhanced financing opportunities. We strongly believe that incorporating these policies into the budget will not only strengthen the real estate industry but also contribute significantly to the nation’s economic expansion," Raj said.
The Economic Survey 2024-25 has estimated India's GDP growing in the range of 6.3-6.8 per cent in FY26, which is much lower than what is needed to achieve the Viksit Bharat target by 2047. The Survey indicated that India's world-beating growth is moderating and more needs to be done to achieve the near-8 per cent annual rate for the country to feature in the list of developed nations.
Finance Minister Nirmala Sitharaman will present the first full Union Budget of the Modi government's third term today. This will be the record eighth consecutive Budget that she will introduce in the Parliament.
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