Budget 2024-25: Major Boost to Education, Industry, and Internal Security with Significant Allocations and Policy Adjustments

New Delhi, Jul 23:In the Union Budget for 2024-25, Finance Minister Nirmala Sitharaman announced substantial support for higher education and skill development, significant adjustments in customs duties to benefit various industries, and a considerable allocation to the Ministry of Home Affairs to bolster internal security.

Major Initiatives in Education and Skill Development

The government will provide financial support for loans up to Rs 10 lakh for higher education in domestic institutions. Union Finance Minister Nirmala Sitharaman, presenting the budget on Tuesday, revealed that e-vouchers for this purpose will be given directly to one lakh students every year, with an interest subvention of 3 per cent of the loan amount.The budget allocates Rs 1.48 lakh crore for education, employment, and skilling in the country. A key component of this initiative is the upgrading of 1,000 Industrial Training Institutes (ITIs) in a hub-and-spoke model. This includes aligning course content with industry skill needs and introducing new courses for emerging requirements. The Finance Minister announced a new centrally sponsored scheme for skill development, aiming to skill 20 lakh youth over a period of five years.Additionally, the model skill loan scheme will be revised to facilitate loans up to Rs 7.5 lakh, guaranteed by a government-promoted fund. This measure is expected to help 25,000 students every year.

Adjustments in Customs Duties

The budget also addresses long-standing demands from the gems and jewellery industry by proposing a reduction in basic customs duty on gold and silver to 6 per cent, and platinum to 6.4 per cent. This move is expected to boost the sector significantly.Further, Sitharaman announced the removal of basic customs duty on ferronickel and blister copper. However, she proposed increasing the customs duty on specified telecom equipment from 10 per cent to 15 per cent. There are also reductions in basic customs duty on certain brood stocks, shrimps, and fish feed to 5 per cent, aiming to support the fisheries sector.Conversely, the government plans to raise customs duty on ammonium nitrate to 10 per cent and on non-biodegradable plastics to 25 per cent. These measures aim to balance industrial growth with environmental and safety concerns.

Support for MSMEs and Traditional Artisans

To further boost the economy, the government will establish e-commerce export hubs in a public-private partnership (PPP) mode. These hubs are designed to enable Micro, Small, and Medium Enterprises (MSMEs) to sell their products internationally. Traditional artisans will also benefit from these initiatives, gaining the ability to sell their products in global markets.

Strengthening Internal Security

In a significant move, the Union Budget 2024-25 allocated Rs 2,19,643 crore to the Ministry of Home Affairs, with Rs 1,43,275 crore designated for central police forces like the CRPF, BSF, and CISF, which are responsible for internal security, border guarding, and securing vital installations.The budget also allocates Rs 42,277 crore to the Union Territory of Jammu and Kashmir, Rs 5,985 crore to the Andaman and Nicobar Islands, Rs 5,862 crore to Chandigarh, and Rs 5,958 crore to Ladakh. Additionally, Rs 1,248 crore has been earmarked for the expenditure of the Union Cabinet, and Rs 6,458 crore has been allocated for disaster management, relief, rehabilitation, and grants-in-aid to state governments.By addressing the needs of students, skill development, various industries, and internal security, the Union Budget for 2024-25 lays a comprehensive foundation for India’s economic growth and stability.