Union Budget 2025 LIVE Updates: Union Finance Minister Nirmala Sitharaman on Saturday presented her 8th Budget. This was the historical highest number of back-to-back budget presentations by any finance minister in India’s history.
Nirmala Sitharaman is also known for delivering the longest Budget speech in history. Her 2020 Budget speech lasted two hours and 40 minutes before she had to stop with two pages still remaining.
In her speech at the Parliament while presenting the Budget, the Finance Minister highlighted the focus areas as to accelerate growth, secure developments, uplift household sentiments and India’s rising middle class. “We see the next 5 year as a big opportunity as Sabka Vikas.”
KCC loan limits
Sitharaman hailed the Kisan credit cards, and said thie facilitate short-term loans for 77 million farmers, fishermen, and dairy farmers.
“The loan limit under modified interest subvention scheme will be enhanced to Rs 5 lakh from Rs 3 lakh,” she announced.
Announcements for MSMEs
For the MSMEs, Finance Minister introduced customised credit cards; a fund of funds for startups.
“MSMEs employ 7.5 crore workers. They have come together to manufacture India as manufacturing hub. We will ensure better access to capital,” she said.
“MSMEs responsible for 45% of exports, the budget aims to provide them better access to capital, and technology innovation, thereby increasing the credit guarantee cover from Rs 5 Crore to Rs 10 Crore for micro enterprises, this increases additional credit of Rs 1.5 Lakh Crore in the next 5 years.”
Also Read: Union Budget 2025: Boost for MSMEs with uptick in credit cover
PM Dhan Dhaanya Krishi Yojana
Finance Minsister also announced the launch of a new programme — PM Dhan Dhaanya Krishi Yojana — which is aimed at developing agri districts program.
“Our government will undertake a PM Dhan Dhaanya Krishi Yojana in partnership with states. Through the convergence of existing schemes and specialised measures, the program will cover 100 districts with low productivity, moderate crop intensity and below-average credit parameters. It aims to enhance cultural productivity,” Sitharaman said.
New Income Tax Bill:
The Finance Minister also announced that a New Income Tax Bill to be introduced next week.
“Government has dedicatedly introduced tax reforms including faceless assessment, the taxpayer charter, and faster processing of returns,” she said.
100% FDI for Insurance
Union Budget announced a major reform in the Insurance sector, allowing 100% Foreign Direct Investment (FDI), a demand being raised by Insurance players since long.
Also Read: Union Budget 2025: Finance Minister announces 100% FDI in Insurance sector
Fiscal deficit for FY25
The stance for maintaining fiscal deficit in a way that reduced the government’s debt, fiscal deficit for FY25 is now estimated at 4.8% of GDP. The revised total expenditure is Rs 47.16 Lakh Crore, with a Capital expenditure of Rs 10.1 Lakh Crore.
Also Read: FM sticks to fiscal prudence, Sets FY26 deficit target at 4.4%
This aligns with the government’s commitment to bringing the deficit below 4.5% by FY26, as outlined under the Fiscal Responsibility and Budget Management (FRBM) Act.
The reduction is likely aided by lower capital expenditure and a higher-than-expected dividend from the central bank.
Definition of crypto asset
In the Union Budget, the centre has expanded the definition of virtual digital assets (VDA) under Section 2(47A) to include any crypto asset that relies on cryptographically secured distributed ledger technology.
It has introduced stricter compliance requirements for crypto transactions by proposing Section 285BAA in the Income-tax Act, making it mandatory for specified entities to furnish transaction details. The changes, announced as part of the Finance Act 2022, will take effect from April 1, 2026.
Also Read: Budget 2025: Govt tightens crypto reporting norms, new compliance rules from April 2026
Under the new provisions, reporting entities will be required to submit statements on crypto transactions in a prescribed format and timeframe. If a submitted statement is found defective, the entity will have 30 days to rectify it, failing which it will be considered as furnishing inaccurate information. Authorities may also issue notices to entities that fail to submit the required statements.
The Budget session of Parliament commenced on Friday, with President Droupadi Murmu addressing a joint session of Lok Sabha and Rajya Sabha.
The session will take place in two parts. First phase will be from January 31 to February 13 while the second phase from March 10 to April 4.
A day before the presentation of the Budget, the Finance Minister had presented the Economic Survey.
V. Anantha Nageswaran, Chief Economic Advisor (CEA) in the Economic Survey 2025 said the Indian economy is on a ‘steady growth path’, and the macroeconomic health checklist looks good.
“As the country aims to accelerate its economic growth rate in the coming years, it has the tailwind of strong balance sheets in the domestic corporate and financial sectors. But, globalisation is on the retreat,” he said.
Also Read: Economic Survey 2025: Major announcements and all you need to know
ETBFSI has invited a panel of experts as part of its Budget series today at 3 pm for a post-Budget analysis.
Also Read: Union Budget 2025: Industry leaders to discuss key takeaways
