Today I will be talking about the Budget 2025 that our Finance Minister, Ms. Nirmala Sitharaman will be presenting on February 1, 2025, that is this Saturday. A special session has been invited for this budget presentation by the Government of India. Before I talk at length regarding this forthcoming budget, let me just put a few strengths that we have today in our economy and a comfort level that I think the Finance Minister would be enjoying.
Those are few things that I am mentioning here like the overall economy is in very, very good shape. We are poised to become the third largest economy in 2027, wherein this year the Budget 2025-2026 would be a precursor to that third largest economy dream. This budget that is why is very, very important and this would be again strengthening ourselves in terms of the positioning in the global scenario, wherein we see ourselves at a very comfort, very good and a comfort level because across the globe the inflation has been very, very high.
Whereas, in our country, India has been very, very meticulous in managing the inflation which was almost close to the targets taken by the Reserve Bank of India. Herein, I would also like to mention one thing that to give comfort to our Finance Minister, the Indian diaspora which is spending a hefty 127 billion dollar remittance. I mean, this is the last year remittance that I am mentioning that this Indian diaspora has sent to the country.
It is the largest in the world and the distant second is China with around 58 to 59 billion dollar. So, then second thing comes about the direct tax and the indirect tax which is also very comforting for the Finance Minister. The year 24-25, financial year 24-25 is likely to close by around 21 lakh crore in terms of direct taxes and would be close to 11 lakh crores in terms of indirect taxes if I talk about only the central government share.
Having said that, the growth in both the taxes have been very, very good and it is expected that this kind of tax collection would give room to the Finance Minister for taking some bold decisions. These could be putting more into health, education and infrastructure. Predominantly infrastructure has been the key driver for the GDP of our country.
No doubt, the industry is also doing very, very good. So, overall and then I would say we will not forget about the agriculture sector wherein the PM is also of the opinion that agriculture produced should not be export material only. It is in the interest of the farmer in the industry as a whole to create value addition in the agriculture produced also.
Even the critical minerals, the PM has categorically said that we should be more oriented towards value addition rather than doing a plain export of critical minerals.
India Budget 2025 Pre Budget Analysis - Introduction
