Echoing Abraham Lincoln, Finance Minister Nirmala Sitharaman called the Union Budget “by the people, for the people, of the people,” and stressed that Prime Minister Narendra Modi absolutely backed tax cut ideas although it took some effort to persuade the bureaucracy. Sitharaman pointed out that the middle class, which had worried about its unmet ambitions despite being accountable taxpayers, had been heard by the government. She noted during a PTI interview, “Middle class voice has been heard.”
She noted that the capital expenditure had slowed down a little during the 2024 campaign season. She said, about criticism from Bihar and Delhi, “The Opposition is picking this up for want of it.” These are dull and indifferent fast budget analysis. Everyone gets their due grant. I want them go over the specifics and return. Sitharaman lowered the income tax brackets for other taxpayers and gave middle-income taxpayers substantial rebates including tax-free annual income of up to Rs 12 lakh in Budget 2025.
Regarding the fall of the rupee, she brushed aside complaints of its depreciation, ascribing the drop to the strengthening US dollar, but confirmed that India’s solid macroeconomic fundamentals meant the rupee remained steady against other currencies. I am worried but I will not take the criticism that ‘Oh Rupee is weakening!’ Our macroeconomic fundamentals are solid. Sitharaman remarked, “If the basics were weak, rupee wouldn’t be stable against all the other currencies,”
Sitharaman says the rupee is still one of the least unstable currencies vis-à-vis the US dollar, though it has come under pressure of late. She noted that it was becoming more unstable in part of the dollar index was rising and trade deficit enlarging. The Rupee’s fluctuation is contrary to the dollar. She added:—Rupee has acted far more steadily than any other currency,”