Economic & Fiscal Policies • GDP Growth Projection: 6.4% for 2025-26. • Fiscal Deficit Target: 4.4% of GDP (down from 4.8% in FY25). • Capital Expenditure: Record allocation of 11.2 lakh crore to boost infrastructure. • States' Support: 1.5 lakh crore interest-free loans for states to enhance infra development. Tax Reforms • Income up to 12 lakh made tax-free. • 1 lakh crore in direct tax relief. • Reduction in TDS & TCS rates for ease of compliance. • Industrial & Trade Policies Customs Duty Rationalization • Removal of seven tariff rates; now only eight remain. • Exemption for key minerals like cobalt, lithium-ion battery waste, lead, zinc. • FDI in Insurance: Raised from 74% to 100%, conditional on reinvestment in India. MSME Sector: • Investment & turnover limits revised. • Credit guarantee cover increased from 5 crore to 10 crore. • New credit cards with 5 lakh limit for micro-units. Infrastructure & Energy • UDAN Scheme: Extended for another 10 years to enhance air connectivity. • Electric Mobility: Import duty exemption for battery manufacturing materials. • Nuclear Energy: 20,000 crore for Small Modular Reactors (SMRs). • Green Initiatives: National Critical Minerals Mission allocated 410 crore. Agriculture & Rural Development • PM Dhan-Dhaanya Krishi Yojana: To boost crop production in 100 low-yield districts. • Self-Reliance in Pulses: Six-year mission focusing on tur, urad, and masoor dal. • Fertilizer Subsidy Cut: Allocation reduced by ₹26,500 crore. • Fisheries Support: Import duty on frozen fish paste & fish hydrolysate reduced.
