The government led by Prime Minister Narendra Modi has, in just over a decade, transformed the country's budget from a mere document of revenue and expenditure into a powerful instrument for shaping India's economic direction.
The Union Budgets from 2014 to 2025 have not only emphasised infrastructure and social security, but have also prioritised tax reforms, digital economy, green energy, and future technologies.
The initial years focused on tax relief and infrastructure development. These budgets were presented between 2014 and 2016.
The Modi government's first Union Budget (2014-15) provided relief to the common people by increasing the income tax exemption limit from Rs 2 lakh to Rs 2.5 lakh, while for senior citizens it was set at Rs 3 lakh.
The investment limit was also increased to Rs 1.5 lakh. This budget saw the launch of ambitious schemes like 'Digital India' and 'Swachh Bharat Abhiyan' (Clean India Mission).
In 2015-16, the government promoted cooperative federalism by giving states a larger share of tax revenue. Simultaneously, schemes like Jan Dhan Yojana, Mudra Yojana, and Atal Pension Yojana accelerated financial inclusion. Furthermore, a roadmap for reducing corporate tax and cracking down on black money was presented.
The entire decade was dedicated to agriculture and rural development. Several major reforms took place between 2016 and 2019.
In the 2016-17 Union Budget, the government set a target of doubling farmers' income by 2022. Significant investments were made in irrigation, crop insurance, and rural infrastructure.
In 2017-18, the historic step of merging the railway budget with the general budget was taken. Schemes like e-NAM, crop insurance, and rural housing also received a boost.
In 2018-19, the Ayushman Bharat Scheme was launched, becoming the world's largest health insurance scheme. For farmers, the minimum support price (MSP) was fixed at 1.5 times the cost of production.
In the 2019 interim budget, the PM-KISAN scheme was launched, providing small farmers with an annual income support of Rs 6,000. Additionally, the tax exemption on income up to Rs 5 lakh provided significant relief to the middle class.
The roadmap for a $5 trillion economy and the vision of an Atmanirbhar Bharat (Self-Reliant India) were presented. The intention behind this was evident in the 2019-2021 Union Budgets.
In the 2019-20 Union Budget, the government set the goal of making India a $5 trillion economy. Steps such as the National Infrastructure Pipeline, Jal Jeevan Mission, and promotion of startups were taken.
In 2020-21, the foundation of Atmanirbhar Bharat was laid. Historic decisions such as the Rs 100 lakh crore infrastructure plan, simplified income tax regime, and the LIC IPO were made.
In 2021-22, amidst the COVID-19 pandemic, the health budget was doubled to Rs 2.23 lakh crore, and Rs 35,000 crore was allocated for COVID-19 vaccination. Manufacturing was boosted through the PLI scheme.
India took steps toward "Amrit Kaal" (the golden era) and green growth. The 2022-23 budget emphasised multimodal connectivity under the PM Gati Shakti scheme. Initiatives like the Green Hydrogen Mission, Digital Rupee, and Sovereign Green Bonds were crucial steps towards a green economy.
In 2023-24, India became the world's fifth-largest economy. The Rs 10 lakh crore capital expenditure, a record Rs 2.4 lakh crore for railways, and tax exemption up to Rs 7 lakh in the new tax slabs made headlines.
In the 2024 interim budget, the government claimed to have lifted 25 crore people out of multidimensional poverty. The Rs 11.11 lakh crore capital expenditure, rooftop solar scheme, and schemes like Lakhpati Didi accelerated social and economic empowerment.
The year 2025-26 focused on the future economy and tax relief. In the last budget (2025-26), the government provided significant relief to the middle class by making income up to Rs 12 lakh per annum tax-free.
The PM Dhan-Dhaanya Krishi Yojana for farmers, the doubling of the credit guarantee limit for MSMEs, and significant investments in AI, nuclear energy, and R&D have set the direction for the future economy.
Furthermore, the increase in the FDI limit to 100 per cent in the insurance sector, the simplification of laws under Jan Vishwas 2.0, and the target of bringing the fiscal deficit down to 4.4 per cent demonstrate fiscal discipline.
The Modi government's budgets over the past decade have propelled India from a welfare state towards a developing economy. From Digital India to Green India, from farmers to startups, and from the middle class to industry, policies have been formulated keeping every segment of society in mind.
The direction set by these budgets in the coming years could prove decisive in making India a global economic power.
