If we explain the ideal budget in layman terms it can be understood as a strategy to manage our expenses in a manner that we efficiently utilize them alongside trying to generate more revenue. Our finance minister Ms. Nirmala Sitaraman presented the budget on 1st Feb, 2021 for the Financial Year 2021-2022. Here’s a short analysis of the Budget.
Positives of the Budget:
• About 2.2 trillion rupees have been planned for investment in the Health Sector and about 64,000 crores for the Fit India Movement.
• About 35,000 crores will be spent on corona vaccines and the establishment of critical care hospitals and bio labs in 602 cities.
• The budget is focusing on entrepreneurship this time. And encouraging entrepreneurship will gradually increase the employment rate as well.
• Disinvestment of 1.45 lakh crores has been planned to recover losses so that the citizens are not overburdened with more taxes.
• Citizens aged 75 years or above are exempted from paying tax. It can be seen as a good step for the senior citizens.
• People buying a house for the first time will be exempted from paying interest in home loans.
• About 15,700 crores have been invested in MSME sector and a huge chunk of the budget has been allocated to railways, metro and construction of highways across India.
• The government has made a target to credit 16 lakh crores in agriculture and create more than 1000 digital mandis. Small workers have also been to the minimum wages act.
Negatives of the Budget:
• There is no direct benefit given to the common man.
• Education Budget has been reduced from 96,000 crores to 93,000 crores.
• Insufficient amount of Budget allocated for Startups.
• Nothing much offered for the health insurance sector.
• The government should have made some policies on Startups like Israel to promote Indian businesses and increasing ease of business in India.
Our views on the Budget:
The budget was good in terms of long term initiatives but could haven been more efficiently used. The best part about the budget is that the government has focused on the development of infrastructure this time which requires a variety of skilled labour. This will increase the employment rate and the developed infrastructure will attract domestic and international trade and tourism also.