Union Budget 2025: Key Announcements and Economic Outlook

Finance Minister Nirmala Sitharaman presents the Union Budget 2025, the eighth consecutive budget under her leadership. Key expectations include taxation reforms, fiscal policies, and measures for industrial growth. The Economic Survey predicts moderate economic growth alongside stable external accounts and anticipates significant contributions from the formal employment sector.

Union Finance Minister Nirmala Sitharaman, accompanied by Union Minister of State for Finance Pankaj Choudhary, arrived at the Parliament to participate in a crucial Cabinet meeting scheduled for the approval of the Union Budget 2025. Prior to the meeting, Sitharaman and Choudhary visited President Droupadi Murmu at Rashtrapati Bhavan, marking a customary pre-budget ritual.

During the meeting with President Murmu, who extended the traditional good-luck gesture of offering 'dahi-chini', Sitharaman engaged in detailed discussions on the budget proposals. Delivering her eighth consecutive budget, Sitharaman is set to delineate the government's fiscal direction, addressing key areas like taxation reforms and economic policies.

The Economic Survey, presented a day earlier, forecasts economic growth between 6.3% and 6.8% for 2025-26, buoyed by stable economic fundamentals, fiscal discipline, and robust private consumption. It emphasizes initiatives to bolster industrial growth, focusing on R&D, MSMEs, and capital goods to enhance global competitiveness.

The survey highlights a promising agricultural outlook, anticipating eased food inflation due to favorable harvests, while noting potential inflationary risks from adverse weather and global agricultural prices. It reports robust foreign exchange reserves supporting strong external finances, alongside marked growth in formal employment figures.

The budget session, beginning with President Murmu's address, is set to run in two phases, concluding on April 4. The comprehensive legislative agenda underscores efforts to consolidate economic gains and address emerging fiscal challenges.