Budget 2024:

In the aftermath of the recent Lok Sabha election, the Budget 2024 was presented on July 23rd reflecting several political aspects. This budget is the first of the Narendra Modi’s third term, which explains its weighty economic issues alongside the political factors especially that it has been necessitated by the BJP turning to some other parties for support after losing outright in their bid to form a government alone.

Political Influences and Special Packages:

One crucial thing to note in this budget 2024 is the special packages for Nitish Kumar’s Bihar and Chandrababu Naidu’s Andhra Pradesh. These packages are seen as compensatory gestures for the blocked special category status that both states had demanded. This move is a clear attempt to address the political considerations arising from the Lok Sabha election results

Employment and Economic Boost:

Focus on Employment:

Employment is a major concern for the budget, especially when it comes to job creation among the young people of the country. All sectors have been opened up with the aim of availing apprenticeship openings in private corporations among other organizations due to some policies that the government has put in place.

For instance, any new employee joining work force through Direct Benefit Transfer will receive one month salary paid into his or her bank account but not exceeding ₹15,000. In less than twelve months’ time, this move is anticipated to give jobs to ten million individuals while solving the major problem of unemployment that has reportedly ruined BJP’s creditability during elections.

Subsidies for Employers:

To sweeten the deal for employers, the budget 2024 offers subsidies on their share of Provident Fund Payments. This is aimed at encouraging businesses to hire more workers, thereby boosting employment and reducing unemployment rates.

Tax Reforms and Income Enhancement:

Reworking Tax Slabs:

The budget 2024 also aims to stimulate the economy by reworking the slabs in the new tax regime. One of the notable changes is the increase in the standard deduction from ₹50,000 to ₹75,000, providing an additional ₹25,000 in disposable income for employees. This move is expected to push consumption and demand, thereby stimulating economic growth.

Pension and Custom Duty Adjustments:

To help retirees make savings, from ₹15,000 to ₹25,000, an increase in family pension deduction is done. Moreover, different commodities such as cell phones, chargers, cancer drugs, seafood, leather and golden materials have been relieved on the customs. It is interesting that taxation on tobacco hasn’t been risen for several years now.

According to the budget presentation, this year Nirmala Sitharaman, the finance minister talked about customs duties aimed at supporting the local manufacturing industry, promoting export competitiveness through increasing local value addition, simplifying taxation to ensure the interests of the general public as well as consumers are considered.

Addressing Economic Challenges:

Unemployment and Disposable Income:

The economy has been adversely affected by a high rate of joblessness and limited spending ability. Due to these reasons, there are very many big projects which have not been completed or are not fully operational since they are unused such as infrastructure constructions. The employment market has suffered low levels of investment and an apparent weakness mainly due to approximately several millions of people who cannot find jobs which they can engage into successfully.

Infrastructure and Investment:

The budget realizes the necessity of refurbishing infrastructure projects as well as boosting investment with an aim of spurring economic growth through creation of more suitable environment for it as well as development while dealing with the root causes of economic stagnation, which include unemployment and low disposable income.

Conclusion:

The 2024 budget reflects a link of political factors and economic tactics to meet the most urgent issues facing the nation. From special packages for politically significant states to comprehensive measures for boosting employment and enhancing disposable income, this budget has shown a path for inclusive and sustainable growth. This indicates the administration’s resolve in creating employment avenues, motivating trade entities and amending revenue regulations; thereby attempting to revive commerce while improving living standards of ordinary people.