Union Budget 2025: Here’s What People Are Saying

The Union Budget 2025, presented by Finance Minister Nirmala Sitharaman on February 1, has elicited a wide range of responses from various political leaders, industry stakeholders, and the general public. The budget is characterized by its focus on four key engines of growth: Agriculture, Micro, Small, and Medium Enterprises (MSMEs), Investment, and Exports, aimed at achieving the vision of a “Viksit Bharat.”

Prime Minister Narendra Modi described it as a “people’s budget” emphasizing its potential to enhance disposable income and stimulate economic growth. In contrast, opposition leaders, including Congress’s Rahul Gandhi and DMK’s Dayanidhi Maran, criticized the budget as being politically motivated, particularly in light of upcoming elections in Bihar, and argued that it fails to address pressing issues such as unemployment and the needs of the middle class. Concerns were raised about the budget’s effectiveness in providing tangible benefits to the common man, with some leaders labelling it a mere “band-aid for bullet wounds.”

Additionally, industry reactions have been mixed, with some business leaders expressing optimism about tax relief measures and their potential to boost consumer spending, while others highlighted missed opportunities in areas like GST reductions and support for small businesses.

As the discourse around the budget unfolds, it reflects a complex interplay of political interests, economic aspirations, and public expectations, setting the stage for further analysis of its implications across various sectors.

Jargon

people’s budget: A term used by Prime Minister Modi to describe the Union Budget 2025, suggesting it prioritizes the needs and welfare of the general populace, particularly in terms of financial relief and support.
force-multiplier: A concept indicating that the budget’s measures are expected to significantly enhance economic growth and investment, amplifying the effects of government spending and policies.
band-aid for bullet wounds: A metaphor used by Rahul Gandhi to criticize the budget, implying that the measures proposed are superficial and inadequate to address the deeper economic issues facing the country.
paradigm shift: A fundamental change in approach or underlying assumptions, which Rahul Gandhi argues is necessary to effectively tackle the economic crisis, rather than the incremental changes proposed in the budget.
engines of development: Refers to the four key sectors identified by the Finance Minister—Agriculture, MSMEs (Micro, Small, and Medium Enterprises), Investment, and Exports—that are expected to drive economic growth.
election-focused strategy: A critique suggesting that the budget is designed primarily to win votes in upcoming elections, rather than to implement sound economic policies.
income tax slab: The range of income levels that determine the rate of income tax an individual must pay, with the budget proposing changes to these thresholds to provide tax relief.
Minimum Support Price (MSP): A government-set price at which it purchases certain crops from farmers, which was highlighted as a key demand by farmers that was not addressed in the budget.
fiscal deficit: The difference between the government’s total revenue and total expenditure, indicating how much the government is borrowing to cover its spending.
Viksit Bharat: A vision for a developed India by 2047, as articulated by the government, aiming for comprehensive growth across various sectors.
tax compliance burden: The obligations and complexities faced by taxpayers in fulfilling their tax duties, which the budget aims to simplify.
Fund of Funds: A financial structure that pools capital from various investors to invest in multiple startups or funds, aimed at fostering entrepreneurship and innovation.
Aatmanirbhar Bharat: A self-reliant India initiative aimed at boosting domestic manufacturing and reducing dependency on imports, which is a recurring theme in the budget.
gig economy: A labor market characterized by short-term contracts or freelance work as opposed to permanent jobs, which the budget seeks to support through various initiatives.
PM Dhan Dhaanya Krishi Yojana: A government scheme aimed at enhancing agricultural productivity and supporting farmers, which is part of the budget’s focus on rural development.
digital infrastructure: The foundational technology and systems that support digital services and connectivity, which the budget emphasizes for economic growth.
cross-border trade: Trade that occurs between countries, which the budget aims to enhance through various initiatives to support Indian businesses in international markets.

Viewpoints 💭

‘Left’ Viewpoint

Ideological Differences

‘Right’ Viewpoint

The Union Budget 2025 is criticized by the left for being politically motivated, particularly with its focus on Bihar ahead of elections, while neglecting other regions like West Bengal and Tamil Nadu.
Left-leaning critics argue that the budget fails to address pressing issues such as unemployment and the needs of the middle class, describing it as a ‘band-aid for bullet wounds’.
The budget is seen as favoring capitalists over the common man, with significant tax concessions perceived as benefiting the wealthy rather than addressing economic inequality.
Concerns are raised about the lack of provisions for job creation and the absence of new initiatives to tackle economic challenges, with accusations of repackaging old announcements.
The left criticizes the budget for not addressing the issue of billionaire loan waivers, which they see as a significant expenditure from the public exchequer.

While the left criticizes the budget for being politically motivated and neglecting certain regions, the right views it as a strategic move to retain power and boost economic growth through targeted investments.
The left argues that the budget fails to address unemployment and economic inequality, whereas the right praises its focus on tax relief and consumption-driven growth as a means to stimulate the economy.
Left-leaning critics see the budget as favoring capitalists and lacking new initiatives, while the right highlights its reforms and support for MSMEs and startups as steps towards economic resilience.
The left is concerned about the lack of job creation measures, whereas the right emphasizes the budget’s focus on infrastructure and digital innovation as drivers of employment and technological advancement.
While the left criticizes the budget for not addressing billionaire loan waivers, the right commends its fiscal prudence and efforts to reduce the fiscal deficit, viewing it as a foundation for long-term economic stability.

The Union Budget 2025 is praised by the right for its focus on infrastructure-led growth, tax relief measures, and initiatives to boost disposable income, which are expected to drive consumption and economic growth.
The budget is seen as a strategic move to attract foreign investment, with significant reforms such as 100% FDI in the insurance sector and support for MSMEs and startups.
Right-leaning supporters highlight the budget’s emphasis on fiscal prudence, with measures to reduce the fiscal deficit and maintain a declining debt-to-GDP ratio.
The budget is commended for its focus on digital infrastructure, AI innovation, and clean technology, aligning with the government’s long-term vision of a developed India by 2047.
The right views the budget as reinforcing the Make-in-India initiative, with efforts to enhance local value addition and expand the Production Linked Incentive (PLI) scheme.

Prominent Voices 📣

From the ‘Left’

From the ‘Right’

Rahul Gandhi (Congress Leader): Criticized the budget for being superficial and inadequate, lacking innovative solutions to economic challenges and failing to address pressing issues like unemployment and healthcare. ¹ ²
Mayawati (Leader of Bahujan Samaj Party): Criticizes the Union Budget 2025 for focusing more on political interests rather than addressing the needs of the people and the nation. ³
Mallikarjun Kharge (Leader of the Opposition in Rajya Sabha): Criticizes the budget for offering tax exemptions to those earning up to Rs 12 lakh after collecting substantial income tax from the middle class over the last ten years. ⁴
Arvind Kejriwal (Chief Minister of Delhi and leader of the Aam Aadmi Party): Expressed disappointment over the budget’s failure to end billionaire loan waivers, highlighting the financial burden on public funds. ⁵ ²
Akhilesh Yadav (SP chief): Emphasized the importance of addressing the Maha Kumbh stampede over budgetary figures, criticizing the government’s handling of the event. ²

Jairam Ramesh (Congress General Secretary): Criticized the budget’s focus on multiple development engines as confusing and ineffective. ¹
Dayanidhi Maran (DMK MP): Viewed the budget as an election-focused strategy rather than a balanced financial plan, expressing disappointment for the nation. ¹ ⁶
Shashi Tharoor (Congress MP): Highlighted the lack of job creation measures and criticized the focus on middle-class tax cuts as a tactic for electoral gains. ¹ ⁷
Abhishek Banerjee (TMC MP): Claimed the budget neglects the common man and favors certain states, particularly Bihar due to upcoming elections. ¹ ²
Dimple Yadav (Samajwadi Party MP): Criticized the budget for offering nothing new and demanded accountability for a tragedy during the Maha Kumbh ¹ ²
Konda Surekha (Telangana Minister): Expressed disappointment over insufficient budget allocation for Telangana. ¹
P Sandosh Kumar (CPI MP): Criticized the budget for neglecting Kerala and failing to address farmers’ demands and employment issues. ¹
M.K. Stalin (Chief Minister of Tamil Nadu): Expressed concern over the lack of funding for Tamil Nadu’s infrastructure projects despite the state’s positive mention in the Economic Survey. ⁸
Sanjay Singh (AAP MP): Accused the government of favoring capitalists by waiving corporate loans instead of reducing taxes for the common people. ²
Prithviraj Chavan (Former Minister and Congress Leader): Expressed opposition to the proposal, highlighting the strategic dimensions of the nuclear energy sector that extend beyond mere electricity generation. ⁹
Tejashwi Yadav (Indian politician and leader of the Rashtriya Janata Dal): Criticized the budget for lacking new initiatives and failing to address the demand for special status. ¹⁰

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Narendra Modi (Prime Minister of India): Praised the budget as a ‘people’s budget’ that will enhance investments and growth, expressing optimism about its potential to benefit the poor and middle classes. ¹ ¹¹
Nirmala Sitharaman (Finance Minister of India): Emphasized the focus on key sectors and tax relief measures, highlighting the government’s commitment to economic growth and development through strategic investments. ¹² ¹³
Piyush Goyal (Minister of Commerce and Industry): The focus on manufacturing and job creation will strengthen India’s position as a global economic powerhouse. ¹⁴
Arvind Subramanian (Former Chief Economic Adviser): The tax reforms are a positive step, but the budget could have done more to address structural challenges in the economy. ¹⁴
Puneet Maheshwari (Director of Upstox): The budget’s tax relief measures and increased capital expenditure are expected to enhance economic growth and job creation by boosting consumption and supporting MSMEs and innovation. ¹⁵

G P Hinduja (Chairman of Hinduja Group): The budget’s tax relief for the middle class is a significant step to enhance consumption and demand, while the increased FDI limit in insurance and focus on renewables are positive developments. ¹⁶
Aasif Malbari (Chief Financial Officer at Godrej Consumer Products Ltd): The budget is expected to boost economic activity by focusing on rural development and job creation, benefiting the FMCG sector. ¹⁷
Prashanth Prakash (partner at Accel): He finds the exploration of DeepTech Funds of Funds particularly exciting and highlights the government’s efforts to support exponential growth in the startup sector. ¹⁸
Rajeev Singh (MD at BenQ India and South Asia): The increase in customs duty on interactive flat panel displays is a crucial step, and the new centers for skilling offer a chance to incorporate advanced technologies into education. ¹⁹
Girish Tanti (Vice Chairman of Suzlon): The National Manufacturing Mission’s targeted support for all renewable energy sources is a positive step towards enhancing self-reliance in wind and solar manufacturing. ²⁰
Thomas John Muthoot (Chairman of Muthoot FinCorp): He believes the budget supports long-term economic resilience and inclusive development, with specific enhancements in the tourism sector. ²¹
Rumki Majumdar (Economist at Deloitte India): The budget makes significant strides in harnessing India’s demographic potential through strategic investments in skilling and education. ²²
Dr. H Sudarshan Ballal (Chairman of Manipal Hospitals): The budget’s focus on broadband connectivity to primary health centers is seen as a major advantage for expanding telemedicine in rural areas. ²³
Saurabh Dhanorkar (MD at Finolex Industries): He appreciates the extension of the Jal Jeevan Mission as a commitment to sustainable water management and highlights the importance of community involvement. ²⁴
Ketan Kulkarni (MD at Allcargo Gati Ltd): Expressed enthusiasm for the budget’s focus on rural prosperity, economic resilience, and tax relief for the middle class. ²⁵
Anshul Singhal (Chairperson of ASSOCHAM): He highlights the budget’s initiatives to streamline cargo screening, upgrade air cargo infrastructure, and transform India Post into a key player in national logistics. ²⁶
Sadaf Sayeed (CEO of Muthoot Microfin Ltd): The budget is excellent, emphasizing key economic sectors and rationalizing taxes to encourage growth. ²⁷
Oneeka Medh (Research Analyst at SAMCO Securities): The initiative will benefit companies like Bata India, Relaxo Footwear, and Liberty Shoes by increasing domestic demand and expanding into the global market. ²⁸
Subburathinam P (Chief Operating Officer at TeamLease): The budget’s focus on clean tech investments and increased turnover limits will drive industrial expansion and job creation. ²⁹