Budget 2024: Can NDA deliver for aam aadmi?

Budget 2024: Can NDA Deliver for Aam Aadmi?

As India eagerly anticipates the upcoming union budget announcement, the nation stands at a pivotal juncture. The recent elections delivered a surprising jolt to the ruling party, setting the stage for a high-stakes budget presentation—the 11th from the Modi cabinet and the sixth from Finance Minister Nirmala Sitharaman. What was expected to be a landslide victory turned into a coalition conundrum, leaving the BJP to navigate the choppy waters of governance with new partners. But as they say, "Modi hai toh mumkin hai."

This budget is poised to be a fascinating blend of fiscal prudence and populist measures, driven by the necessity to address multiple pressing concerns. Let’s dive into the key areas of focus and the expectations of the populace:

Uplifting the ‘Aam Aadmi’: The Common Man's Expectation

Despite low inflation, unemployment remains a thorny issue that the opposition has exploited. The perception is that the ruling party has neglected the average citizen. The budget must do the following:

Job Creation Initiatives: Launch large-scale employment schemes to tackle unemployment. "Abki Baar, Rozgar Yojana Paar!"

Agricultural Support: Avoid taxing farmers and provide subsidies to support the agricultural sector. Introduce measures to enhance farmers' income and safeguard them against crop price fluctuations.

Tax Relief for the Middle Class: Introduce tax cuts or rebates to put more disposable income in the hands of the middle class, thereby boosting consumer spending. "Middle Class ki Baat, Budget ke Saath!"

Coalition Compromises: Navigating New Alliances

After a decade of dominance, the BJP is now part of a coalition with the TDP and JDU, each with its own set of demands. The budget must do the following:

Special Status for Bihar: Address calls for special status for Bihar, ensuring it receives the necessary support for development.

Special Package for Andhra Pradesh: Allocate a special package for Andhra Pradesh to support its infrastructure and development needs. "Abki Baar, Vikas Har Dwaar!"

Infrastructure Projects: Allocate funds for state-specific infrastructure projects to satisfy coalition partners.

Political Harmony: Ensure that coalition demands are met without compromising the broader national agenda.

Economic Acceleration: Keeping the Growth Momentum

India's economy is a bright spot globally, with growth rates outpacing those of the G7 nations. The budget must do the following:

Boost Capital Expenditure: Increase investment in infrastructure and capital projects to sustain high growth rates.

Attract Foreign Investment: Create an investment-friendly environment to draw foreign capital.

Maintain Fiscal Prudence: Balance spending and revenue generation to avoid fiscal slippage.

What People Don’t Want from the Budget

While expectations are high, there are several areas where the public hopes for no changes:

No Increase in Capital Gains Tax: Avoid raising both long-term and short-term capital gains taxes.

No New Tax Slabs: Refrain from introducing new tax slabs or methods that increase the financial burden on taxpayers.

Simplify Tax Filing: Avoid new, cumbersome methods for filing taxes or claiming relief that would create additional labor for individuals and businesses.

Conclusion: Balancing Act for a Prosperous Future

The budget must do the following:

• Prioritise job creation and provide tax relief for the middle class.
• Satisfy coalition partners’ demands to ensure a stable government.
• Continue investing in infrastructure to maintain economic growth.
• Provide meaningful support to farmers to enhance their income and protect them from price volatility.
• Address special status for Bihar and allocate a special package for Andhra Pradesh.

With GST collections soaring, it’s time for the government to reward the public, not just the party. "Abki Baar, Budget at Par!" The whole of India, including the stock market, is eagerly awaiting to hear good news—and, more importantly, no bad news. By striking the right balance, the Modi administration can ensure a prosperous future for all Indians.