The Indian Budget 2024, presented today, reinforces the Atmanirbhar Bharat (self-reliant India) initiative with a series of strategic measures aimed at bolstering domestic production, innovation, and economic self-sufficiency. This budget focuses on several key sectors, providing the necessary financial and policy support to drive the vision of a self-reliant India forward.
Strengthening Manufacturing and MSMEs
Enhanced Allocation for PLI Schemes
The Production-Linked Incentive (PLI) schemes, which incentivize domestic manufacturing, have received a substantial boost. The budget allocates an additional ₹1.97 lakh crore to extend PLI benefits to more sectors. This increased funding aims to attract global manufacturers to set up operations in India, reduce import dependency, and boost exports.
MSME Support
Micro, Small, and Medium Enterprises (MSMEs) are pivotal to the Atmanirbhar Bharat mission. The budget introduces several measures to support MSMEs:
- Credit Support: The allocation for the Emergency Credit Line Guarantee Scheme (ECLGS) has been extended with an additional ₹20,000 crore, making a total of ₹70,000 crore available to provide financial assistance to MSMEs affected by the pandemic.
- Technology Upgradation: ₹10,000 crore is earmarked for technology adoption and upgradation in MSMEs to enhance productivity and competitiveness.
- Ease of Doing Business: Simplified compliance procedures and reduced regulatory burdens are introduced to make it easier for MSMEs to operate and expand.
Infrastructure Development
Record Allocation for Infrastructure
A record ₹11.1 lakh crore has been allocated for infrastructure development, with a focus on roads, railways, and urban development. This substantial investment is expected to create jobs, boost domestic demand for construction materials, and enhance connectivity, all of which are essential for a self-reliant economy.
Urban Infrastructure
The budget includes ₹2.55 lakh crore for urban infrastructure development. This includes:
- Affordable Housing: Continued support for the Pradhan Mantri Awas Yojana (PMAY) with an allocation of ₹48,000 crore.
- Smart Cities: Expansion of the Smart Cities Mission, focusing on sustainable and resilient urban infrastructure.
Agriculture and Rural Development
Agri-Tech and Farm Mechanization
To enhance agricultural productivity and farmer incomes, the budget allocates ₹1.5 lakh crore for various agri-tech initiatives and farm mechanization. Key components include:
- Digital Agriculture: ₹10,000 crore for the digitalization of agricultural practices, which includes precision farming and blockchain technology for supply chain management.
- Irrigation Projects: Continued support for the Pradhan Mantri Krishi Sinchai Yojana (PMKSY) with an allocation of ₹20,000 crore to ensure water security for farmers.
Rural Infrastructure
The budget proposes ₹1.2 lakh crore for rural infrastructure development, with an emphasis on roads, water supply, and sanitation under the Pradhan Mantri Gram Sadak Yojana (PMGSY) and the Jal Jeevan Mission.
Innovation and Research
Research and Development (R&D)
The budget emphasizes the importance of R&D with an allocation of ₹50,000 crore aimed at fostering innovation and technological advancements. This includes:
- National Research Foundation (NRF): Establishment of the NRF with an initial funding of ₹10,000 crore to coordinate and promote research in various scientific disciplines.
- Innovation Hubs: Creation of innovation hubs in collaboration with academic institutions to drive cutting-edge research and development.
Digital India
Furthering the Digital India initiative, the budget allocates ₹20,000 crore for expanding digital infrastructure, focusing on:
- 5G Rollout: Accelerating the rollout of 5G technology to improve connectivity and enable new digital services.
- E-Governance: Enhancing e-governance platforms to streamline government services and improve citizen engagement.
Energy and Sustainability
Renewable Energy
To promote sustainable development, the budget allocates ₹1 lakh crore for renewable energy projects. This includes:
- Solar Energy: ₹20,000 crore for expanding solar energy capacity, including the establishment of solar parks and rooftop solar installations.
- Green Hydrogen: ₹15,000 crore for research and development in green hydrogen technology, positioning India as a leader in the global green energy transition.
Electric Vehicles (EVs)
The budget supports the adoption of electric vehicles with incentives and infrastructure development:
- Subsidies and Tax Benefits: Continued subsidies for EV buyers and tax benefits for manufacturers.
- Charging Infrastructure: ₹10,000 crore for expanding the EV charging infrastructure across the country.
Defense and Security
Indigenous Defense Production
In line with the Atmanirbhar Bharat initiative, the budget allocates ₹6.22 lakh crore for defense, with a significant portion earmarked for indigenous defense production. This includes:
- Defense Research and Development: Increased funding for defense R&D to develop advanced technologies domestically.
- Procurement from MSMEs: Encouraging procurement from MSMEs to boost local manufacturing capabilities.
Conclusion
The Indian Budget 2024 lays down a comprehensive roadmap to advance the Atmanirbhar Bharat drive, focusing on strengthening domestic manufacturing, supporting MSMEs, developing infrastructure, and promoting innovation and sustainability. With strategic allocations and policy measures, the budget aims to build a self-reliant economy, reduce dependency on imports, and position India as a global leader in various sectors. The financial provisions and structural reforms introduced in this budget are set to catalyze India’s journey towards self-reliance and sustained economic growth.
