On February 1, Union Finance Minister Nirmala Sitharaman announced her eighth consecutive budget, marking a significant step towards the vision of 'Viksit Bharat.'

The Union Budget 2025-26 introduces significant income tax reforms, raising the exemption threshold to ₹1.2 million to boost middle-class spending. It also emphasizes inclusive growth by enhancing credit for MSMEs and startups, and launching agricultural initiatives like the Prime Minister Dhan-Dhaanya Krishi Yojana. Additionally, the budget proposes a new Income Tax Bill aimed at simplifying the tax regime and reducing compliance burdens.

The theme of this Budget focuses on a balanced growth trajectory that emphasizes agriculture, MSMEs, investments, and exports as the four engines driving the nation forward, with reforms serving as the fuel. With a clear vision for a Viksit Bharat—zero poverty, quality education, healthcare access, skilled labour, women in economic activities, and a thriving agricultural sector—the government aims to position India as a global leader.

Check out our report to see how these priorities are shaping the path to a more inclusive and developed India.