Finance Minister Nirmala Sitharaman Receives Praise for Balanced Budget 2024-25

Economists heaped praise on Finance Minister Nirmala Sitharaman's Budget 2024-25, highlighting its focus on employment generation, inflation management, and fiscal prudence. Key elements include reduced customs duty on gold, a review of the Income Tax Act, and continued emphasis on infrastructure development. The budget aims to foster job creation and enhance economic stability despite global uncertainties.

Economists lauded Finance Minister Nirmala Sitharaman's Budget 2024-25 for its balanced approach toward employment generation, inflation management, and fiscal prudence. Former NITI Aayog vice-chairman Rajiv Kumar noted the government's commitment to employment and skill development.

Kumar also welcomed the reduction in customs duty on gold imports to 6%, anticipating a decrease in smuggling and lower prices. However, he expressed concerns about the increase in long-term capital gains tax, which could affect household savings.

NIPFP distinguished professor Pinaki Chakraborty emphasized the need for continued fiscal prudence and highlighted the review of the Income Tax Act as a significant step toward a simpler, more efficient tax system.

Economists stressed the importance of Union-State coordination to ensure the success of proposed reforms. The budget also focuses on job creation through employment-linked incentives and subsidized internships, alongside a renewed focus on infrastructure capex to drive economic growth.

Despite some criticisms, the budget's emphasis on boosting the manufacturing sector and enhancing economic sustainability was widely praised.

(With inputs from agencies.)