Indian Interim Budget 2024 - Expectations & Live Updates

What are the key expectations from the Interim Budget 2024?

The key expectations of Interim Budget 2024 are as majorly hinted at the Technology, Manufacturing, Personal Tax, Indian Real Estate, and also schemes such as Atma Nirbhar Bharat and Make In India and how these will propel our country to the next level. Industries and sectors that were overlooked in the previous year's Union budget 2023 are keen to discover what insights this year's budget will bring for them. As the realty segment is booming in metro cities, especially the stakeholders in Bangalore real estate are eagerly looking forward to the new policies that make quite the change.

Indian startups and MSMEs are also putting a lot of hope into the Interim budget as well. However, more often than not, Interim budgets will not have any major policy changes. There are certain challenges to address too, such as unstable international affairs which can spill over to domestic trade, the rise of AI which can impact the employment sector etc which might also find its place in the Union Budget 2024.

As our Hon President Droupadi Murmu in her speech, we as a country transformed ourselves from a "fragile five" to a "top five" economy in the last 10 years and the whole world is recognising Made in India as a global brand.

What are the highlights of the 2024 Interim Budget?

Interim Budget 2024 - Highlights

Nirmala Sitharaman, the Finance Minister of India presented the Interim Budget for 2024. Here are the major highlights mentioned in the Union Budget 2024:

• The new proposed budget mainly focuses on promoting new entrepreneurship and increasing employment opportunities.

• A new foundation stone for "Amrit Kaal" has been laid by Panch Pran - The Goal of A Developed India.

• By 2047, India will become Vikasit Bharat, says our financial minister. India is working tirelessly to achieve this milestone.
• "The Indian Economy has witnessed in profound transformation in the last 10 years" - FM Nirmala Sitharaman.

• Universities and other education institutes have been exponentially expanding their services. The track record says that 7 new IITs, 16 new IITs, 15 AIMs & 319 Universities have joined the vision of "Education for all".

• Good news for growing entrepreneurs and start-ups!

• Resources are distributed properly as the government is focusing on pro-people programmes which are timely delivered

• By Offering free rations for 80 crores of people, worries about food have been eliminated.

• Inflation is moderate

• 78 Lakh Street vendors provided credit through PM - SVANidhi

• DBT (direct-benefit-transfers)of Rs 34 Lakh Cr using PM-Jan Dhan accounts has led to savings of Rs 2.7 lakh crore for the Government

• Under PM Gati Shakti's Scheme 3 major railway corridors for energy, mineral and cement are to be constructed

• No changes in Tax rates for Direct and Indirect taxes (including import duties)

• PM Modi's roof-top solarisation scheme over 1 crore households under PM Surya Ghar Muft Bijli Yojana will be able to obtain up to 300 units of free electricity per month

• FM announced that 40,000 normal train bogies will be converted into the standards of Vande Bharath.

• About 11.8 crore farmers will be offered direct financial assistance from the Government, says the minister.

• Under the Skill India Mission, education is been offered to about 1.4 crore skilled and unskilled youth of India.

• Development of East - The government will be working on embracing the growth of East India, making the region the powerful driver of India's growth.

• Under PM Garama Yogana, 3 crores of houses have been built and an extension of 2 crores of houses will soon be built.

• No big bang announcement is made for the real estate sector! Although the new infrastructural and connectivity enhancement will indirectly affect the growth of real estate growth of the country. Not just the major Tier-1 cities, the tier-2 & tier-3 cities will receive this elevation, thereby resulting in the real estate drive-in of these cities.

• Crop insurance is given to 4 crore farmers under PM Fasal Bima Yojana. Direct financial assistance for 11.8 crores of farmers under PM Kisan Samman Yojana

• Under Blue Economy 2.0, a scheme for restoration and adaptation measures will be set up, promoting climate resilience.

• By 2030, 100 metric tonnes of coal gasification and liquefaction will be laid.

• Huge investments in Lakshadeep will be made to drive the tourism of India.

• Greater adoption of E-Buses and promotion of an e-vehicle ecosystem
• 9.83 lakh ASHA workers & Anganwadi workers to be covered under Ayushman Bharat
• 2 crore more houses under PMAY-G

Union Budget 2024: Ministry Wise Allocation

Here are the major tax proposals of the Interim Budget 2024:

• Tax benefits to start-ups and wealth or pension funds investments

• Tax exemption on certain income of some IFSC units extended to 31-3-25

• Benefit 1cr Tax-payers approximately

Part B of Interim Budget 2024, states:

• No tax liability will be offered to income below 7 Lakhs.

• The threshold for presumptive taxation for retail business in India will be increased from 2 crores to 3 crores.

• The budget decided to waive off outstanding direct tax demands up to Rs 25,000 for the financial year 2009-10 and Rs 10,000 for the financial year 2010-11 to 2014-15.

• Interest-free loan will be assured for the domestic tourism department.

• Many significant decisions have been taken for farmers focusing on nano-DAP and the self-sustainable, Atamanirbhar scheme for oil seeds, like mustard, ground nut, sunflower, etc.

Interim Budget 2024 - Impact on Real Estate

The Finance Minister of India, Nirmala Sitharaman while presenting the Interim Budget 2024, announced that, within the next 5 years, more than 2-crore middle class families will be receiving houses under the housing scheme of PMAY(rural).

As per this scheme, the middle class can either buy or build their own houses. This will be highly beneficial for the real estate industry in India. Home buyers have gladly welcomed the announcement of the Interim Budget 2024.

With this new housing scheme for the middle class, the shortage of housing will be reduced to a level, as most of the middle class will be living in rented houses, or houses bought or built on their own. This scheme will encourage the middle class to buy or build houses as per the scheme, thereby aiding the tremendous growth of the housing market in India.

Yet another announcement in Interim Budget 2024 is that the homeless and the people living in kutcha houses in rural areas will be offered pucca houses with moderate amenities under the housing scheme of PMAY(Grameen). This is good news for small and emerging real estate builders and developers in India.

Casually speaking, the Interim Budget 2024 has done more bad than good for the top-notch realtors. Yet indirectly helping them by aiding the auxiliary sectors, such as - steel, cement, etc.

However, the proposed 3 major railway corridors under PM Gati Shakti's Scheme can help the real estate in the regions enjoy some positive aspects, thereby bringing Indian real estate a notch up.

The presented Interim Budget 2024 has a crucial impact on the flow of real estate in India. With further developments to come, the Union Budget 2024 will be a turning point for the future of India, as a developed country.