The “Vote on Account” for India on February 1, 2024, was presented as an interim budget due to the upcoming general elections. Here are some important features:
Focus on infrastructure and housing:
- Increased capital expenditure to ₹11.11 lakh crore for 2024-25, aiming to boost infrastructure development.
- Initiatives like PM Awas Yojana (urban and rural) received allocations, potentially benefiting the housing sector.
Fiscal consolidation:
- Trimmed fiscal deficit for the current financial year (2023-24) to 5.8% of GDP, compared to the budgeted 5.9%.
- Further aimed to lower the deficit to 5.1% in the next fiscal year (2024-25).
No major changes to taxes:
- No changes in income tax rates for individuals and corporates.
- Customs duty also remained unchanged.
Focus on key government schemes:
- Continued support for existing government schemes like MGNREGA, PM Kisan Samman Nidhi, and Ayushman Bharat.
- Allocations for education, healthcare, and agriculture received attention.
Limited scope due to being an interim budget:
- No major policy announcements or significant changes were expected due to the caretaker status of the government.
- The full budget with detailed plans and allocations will be presented by the new government after the elections.
The Vote on Account received mixed reactions, with some praising its focus on infrastructure and fiscal consolidation, while others critiqued the lack of major reforms or measures to address pressing issues.
