This year's Union Budget is an outstanding one, has something for everyone and has been prepared keeping the long-term growth of the country in mind, India's G20 Sherpa Amitabh Kant has told NDTV.
In an exclusive conversation on Tuesday, Mr Kant said predictability, consistency and stability are the hallmarks of a good government and all of these things are in evidence in the Budget for 2024-25, which was presented by Finance Minister Nirmala Sitharaman.
On the thrust on employment generation, Mr Kant, who is a former CEO of the Niti Aayog, said while jobs are being created, they have largely been in the agriculture sector and have not been high-paying ones.
“So you need to shift a large population from agriculture to manufacturing. This Budget is a catalyst for providing employment in the manufacturing sector because it gives benefits to both employers and employees. Through another scheme, it gives benefits to first-time employees of one month's salary and there's a third scheme which is for employers that they will get a benefit of Rs 3,000 every month for two years for every new employee they hire,” the G20 Sherpa said.
“This is in addition to centrally sponsored schemes for skilling 25 lakh youth, remodelling ITIs and a focus on skilling of women, (all of which) provide a completely new dimension to employment and skilling,” he added.
‘Simplifying Tax Regime'
To a question on changes in the income tax regime, the taxation structure and the disappointment expressed by some people, especially those who are salaried, Mr Kant emphasised, “Predictability, consistency, stability, easiness and simplicity are the hallmarks of a great government. Making India's tax regime easy and simple and bringing in stability of policy across sectors, that is what the government's job is. The policy design must be correct. Some people may not like it, but that is the way a government has to work if India has to grow at a high rate. That is what the government is trying to do in the tax structure.”
The former Niti Aayog CEO said the introduction of GST simplified the tax structure and the steps announced in this Budget will help India go further in that direction.
“One of the major challenges plaguing India has been the complexity of the tax regime. The simpler and easier we make it, the more predictable and consistent it will become,” he said.
‘Atmanirbharta Push'
Mr Kant stressed that while the defence outlay has gone up, one of the key takeaways from the Budget is the push for ‘atmanirbharta' (self reliance) and the emphasis on ensuring that India's defence exports rise.
“One of the remarkable stories of India over the past few years is that from a nation which used to import all its defence needs, we have become a country that is pushing defence startups, indigenised our defence, and defence exports have become one of our fastest growing sectors and enormously benefited our economy,” the G20 Sherpa said, adding that this will help other sectors as well.
Asked to rate the Budget, Mr Kant said, “I am not in a numbers game but it is an excellent budget. It is not a budget for today but a budget for the long-term growth of India. It's also a budget which focuses on growth with employment. It is also a progressive, pragmatic budget. So I would like to congratulate the finance minister for an outstanding Budget.”
