In her Budget 2025 speech, the Finance Minister (FM) responded to Rahul Gandhi’s metaphorical ‘halwa’ comment not by addressing equity concerns but by banning pictures of the traditional halwa ceremony. This reaction epitomizes the budget—superficial, reactionary, and missing the bigger picture.
Expectations were high for a transformative economic vision. If not an inclusive ‘halwa,’ many hoped for a robust, flavorful ‘biryani.’ Instead, what arrived was a bland political pitch, minor relief for salaried taxpayers, and a few tweaks to exports policy.
The increase in the income tax exemption threshold to ₹12 lakh is a welcome step, but it feels more like a delayed response to long-standing demands. If the goal was to boost spending, the FM should have simultaneously reduced GST rates, which would have had a broader, more immediate impact.
While the government claims to be foregoing ₹1 lakh crore in tax revenue, salaried taxpayers still bear a heavier burden than corporations. GST, a flat consumption tax, continues to extract disproportionately from lower-income groups. A GST rate cut would have stimulated demand more effectively, yet the budget chose optics over structural reform.
Despite the Economic Survey advocating minimal government intervention, the budget expands regulatory controls, increases import duties, and splurges taxpayer money on start-ups—ignoring private sector capabilities.
Moreover, it offered little direction on India’s global trade strategy and completely sidestepped the urgent issue of employment. In the end, even the ruling party’s lack of enthusiasm spoke volumes.
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