In an exclusive interview with ET Now, she addressed concerns about the absence of announcements for India’s middle class in the recent budget and said, “Full Budget mein sabki pukar sunenge” (In the full budget, everyone’s concerns will be addressed).
Clarifying that the budget presented was interim, Sitharaman emphasized that major announcements regarding tax, unemployment, and jobs would be unveiled later in July. She stated, “There was never a second thought whether it should have something as a pre-election bonanza. Nothing. In fact, I did remark, I think, in one earlier programme somewhere that it is going to be an interim budget and there is not going to be any spectacular announcements.”
Expressing confidence in Prime Minister Narendra Modi’s potential third term, the finance minister hinted at presenting another budget later this year.
Sitharaman’s decision to maintain the current income tax slabs raised questions this time around. Typically, governments indulge in pre-election spending, offering benefits to secure votes. However, the Modi government prioritized fiscal prudence over populist measures, despite seeking a third consecutive term in power. Economists noted that recent BJP victories in some states provided electoral comfort, along with the completion of the Ram Mandir consecration ceremony in Ayodhya.Whether viewed as poll comfort or not, the government’s commitment to fiscal responsibility remains evident, even amid elections in the world’s largest democracy. Notably, the government increased the capex target to a record high, aiming to boost demand and consumption in the economy, benefiting all Indians.
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