Summary of Budget 2025-2026
Government of India
Ministry of Finance
February 2025
Key Focus Areas
The Budget 2025-2026 prioritizes inclusive development, aiming to
accelerate growth, enhance the spending power of India’s rising middle
class, and encourage private sector investments. The budget highlights
four critical groups: Garib (Poor), Youth, Annadata (Farmers), and Nari
(Women).
1. Agriculture and Rural Development
Prime Minister Dhan-Dhaanya Krishi Yojana: Covers 100 districts,
benefiting 1.7 crore farmers.
Enhanced Credit through KCC: Short-term loans up to ₹5 lakh for
7.7 crore farmers, fishermen, and dairy farmers.
High-Yielding Seeds: Development of high-yield, pest-resistant, and
climate-resilient seeds.
Makhana Board in Bihar: To boost the production, processing, and
marketing of makhana.
India Post as a Rural Hub: Provides banking, insurance, and digital
services in rural areas.
2. Support for MSMEs and Make in India
Credit Cards for Micro Enterprises: ₹5 lakh credit limit for
businesses registered on the Udyam portal.
Scheme for First-Time Entrepreneurs: Loans up to ₹2 crore for 5
lakh new entrepreneurs, including women and marginalized groups.
Manufacturing Mission: Focus on ease of doing business, clean
tech, and quality products.
Increased Credit Guarantee Cover: For small businesses, startups,
and exporters.
3. Youth, Education, and Health
Saksham Anganwadi and Poshan 2.0: Expansion of nutrition
programs.
Atal Tinkering Labs: 50,000 labs in government schools to foster
innovation.
Broadband Connectivity: For rural government schools and primary
health centers.
Medical Education: 10,000 additional seats to increase capacity by
75,000 in 5 years.
Day-Care Cancer Centers: To be established in all district hospitals.
4. Infrastructure and Urban Development
Jal Jeevan Mission: Extended until 2028 to achieve 100% water
coverage.
Power Sector Reforms: Incentives for states to enhance electricity
distribution.
Urban Challenge Fund: ₹1 lakh crore for city development, water,
and sanitation.
Maritime Development Fund: ₹25,000 crore for long-term financing
in the maritime sector.
5. Tourism and Employment
Top 50 Tourist Destinations: Developed in partnership with states.
E-Visa Facilities: Streamlined to simplify travel.
Skill Development: Programs targeting youth in tourism and other
sectors.
6. Research and Innovation
PM Research Fellowship: 10,000 fellowships for technological
research.
Gene Bank for Crops: To secure future food and nutrition.
National Geospatial Mission: Modernization of land records and
urban planning.
7. Tax Reforms
Personal Income Tax: Increased deductions for senior citizens and
the middle class.
Corporate Tax: Certainty for electronics manufacturing and
startups.
Indirect Taxes: Simplified customs duties and exemptions for key
sectors like textiles and electronics.
8. Financial Sector Reforms
Grameen Credit Score: To help rural self-help groups access credit.
FDI in Insurance: Increased from 74% to 100%.
Jan Vishwas Bill 2.0: Decriminalizes over 100 provisions in various
laws.
9. Deficit and Expenditure
Fiscal Deficit: Reduced to 4.4% of GDP.
Major Expenditures: Defence, rural development, and health are
prioritized.
10. Exports and Trade
Export Promotion Mission: Support for MSMEs to access global
markets.
BharatTradeNet: A digital platform for international trade
documentation and financing.
Conclusion
The Budget 2025-2026 is a forward-looking plan that focuses on inclusive
growth, job creation, and infrastructure development. By empowering
farmers, youth, women, and small businesses, while promoting
innovation, exports, and ease of doing business, the budget sets the stage
for achieving a Viksit Bharat (Developed India) by 2047.
