+
Budget 2022: Nirmala Sitharaman announces budget for FY 2022-23
ECONOMY & POLICY

Budget 2022: Nirmala Sitharaman announces budget for FY 2022-23

Minister of Finance Nirmala Sitharaman has announced that the 2022-23 budget would lay out the economic growth's foundation by public investment as India's economy arises from a pandemic-induced slump.

The finance minister revealed the plan of Prime Minister Narendra Modi's government to enhance domestic manufacturing and boost employment.

Here are the highlights of the budget 2022-

Expenditure-

Fiscal deficit of 6.4% of GDP in the year 2022-23.
2021-22 revised fiscal deficit at 6.9% of GDP.
Fiscal deficit of 4.5% GDP by the year 2025-26.
The year 2022-23's entire expenditure is estimated at Rs 39.45 trillion.
In the FY2023, states would be allowed a 4% fiscal deficit to GDP.
Capital investment outlay schemes for financial assistance to states to be Rs 1 trillion in the year 2022-23.

Taxes-

Import duty on the various chemicals is being decreased.
For small and medium-sized businesses, customs duty on steel scrap is to be extended for another year.
Customs duty on high steel bars, stainless steel, and flat products to be cancelled.
Unblended fuel to get an extra duty of Rs 2 per litre from October 2022.

Finance-

Emergency credit line guarantee scheme to be extended to March 2023 for small and medium-sized businesses.
Climate activity and energy transition would be one of the main government priorities.
The public issue of Life Insurance Corporation is expected soon.
Initiatives from the previous year's budget have been given sufficient allocations in the 2022-23 budget.
Special Economic Zones Act to be substituted with new legislation.
The resolution process is to be sped up to amend the bankruptcy code.
Aims to reduce the winding up of firms from currently 2 years to 6 months.
Long-term capital improvement taxation to be capped at 15%.

Digital Currency-

Starting 2022-23, the digital rupee is to be launched through blockchain technology.
To establish a scheme for the taxation of online digital assets.
Losses from the sale of virtual digital assets cannot be compensated against other income.

Defence-

The government focused on decreasing defence imports.

Infrastructure-

5G range auctions to be held in the year 2022.
Plan for design-led manufacturing for 5G would be part of a production-linked scheme.
To award contracts to lay optical fibre in rural places would be completed in 2025.
Rs 480 billion set aside for affordable housing in 2022-23.
To allot additional Rs 195 billion for production-linked incentives for solar equipment production.

Agriculture-

The domestic scheme is introduced to decrease reliance on oilseed imports.
Reserve with blended capital raised under the co-investment model to fund agriculture startups.
In the year 2022-23, railways will develop infrastructure for small farmers.

Transport-

Over the next three years, 400 energy-efficient trains will be manufactured.
National highways network to be developed by 25,000km in 2022-23.
The expansion of highways to cost Rs 200 billion in 2022-23.
The budget of India to introduce a battery swapping policy.

Image Source

Minister of Finance Nirmala Sitharaman has announced that the 2022-23 budget would lay out the economic growth's foundation by public investment as India's economy arises from a pandemic-induced slump. The finance minister revealed the plan of Prime Minister Narendra Modi's government to enhance domestic manufacturing and boost employment. Here are the highlights of the budget 2022- Expenditure- Fiscal deficit of 6.4% of GDP in the year 2022-23. 2021-22 revised fiscal deficit at 6.9% of GDP. Fiscal deficit of 4.5% GDP by the year 2025-26. The year 2022-23's entire expenditure is estimated at Rs 39.45 trillion. In the FY2023, states would be allowed a 4% fiscal deficit to GDP. Capital investment outlay schemes for financial assistance to states to be Rs 1 trillion in the year 2022-23. Taxes- Import duty on the various chemicals is being decreased. For small and medium-sized businesses, customs duty on steel scrap is to be extended for another year. Customs duty on high steel bars, stainless steel, and flat products to be cancelled. Unblended fuel to get an extra duty of Rs 2 per litre from October 2022. Finance- Emergency credit line guarantee scheme to be extended to March 2023 for small and medium-sized businesses. Climate activity and energy transition would be one of the main government priorities. The public issue of Life Insurance Corporation is expected soon. Initiatives from the previous year's budget have been given sufficient allocations in the 2022-23 budget. Special Economic Zones Act to be substituted with new legislation. The resolution process is to be sped up to amend the bankruptcy code. Aims to reduce the winding up of firms from currently 2 years to 6 months. Long-term capital improvement taxation to be capped at 15%. Digital Currency- Starting 2022-23, the digital rupee is to be launched through blockchain technology. To establish a scheme for the taxation of online digital assets. Losses from the sale of virtual digital assets cannot be compensated against other income. Defence- The government focused on decreasing defence imports. Infrastructure- 5G range auctions to be held in the year 2022. Plan for design-led manufacturing for 5G would be part of a production-linked scheme. To award contracts to lay optical fibre in rural places would be completed in 2025. Rs 480 billion set aside for affordable housing in 2022-23. To allot additional Rs 195 billion for production-linked incentives for solar equipment production. Agriculture- The domestic scheme is introduced to decrease reliance on oilseed imports. Reserve with blended capital raised under the co-investment model to fund agriculture startups. In the year 2022-23, railways will develop infrastructure for small farmers. Transport- Over the next three years, 400 energy-efficient trains will be manufactured. National highways network to be developed by 25,000km in 2022-23. The expansion of highways to cost Rs 200 billion in 2022-23. The budget of India to introduce a battery swapping policy. Image Source

Next Story
Real Estate

Heena Lalwani Buys Rs 1.13 Billion Juhu Apartment

Heena Lalwani, promoter of Aatman Innovations Private Limited, has purchased a luxury apartment worth Rs 1.13 billion in Mumbai’s upscale Juhu locality, according to property registration documents accessed by Zapkey.com.The 9,862 sq ft apartment, located on the 10th floor of Lodha Developers’ Avalon Tower, was acquired at Rs 115,000 per sq ft and comes with five car parking spaces. The deal, registered on 18 August 2025, also included the payment of Rs 68 million in stamp duty and a Rs 30,000 registration fee.Lodha Developers did not respond to queries regarding the transaction, while the..

Next Story
Real Estate

Godrej Buys KPHB Land for Rs 7 Billion in E-Auction

An acre of prime land in Kukatpally Housing Board (KPHB), Hyderabad, was auctioned for Rs 7 billion, with the Telangana Housing Board generating Rs 5.47 billion from the sale of 7.8 acres through e-auction on 20 August 2025.The auction notification was issued last month, attracting bids from Godrej Properties, Aurobindo Realty, Prestige Estates, and Ashoka Builders, according to Board vice-chairman V.P. Gautham. With an offset price of Rs 4 billion per acre, the three-hour auction saw 46 bid increases, before Godrej Properties acquired the land.Revenue generated from the auction will be utilis..

Next Story
Real Estate

HMDA to Auction 93 Prime Plots in September

The Hyderabad Metropolitan Development Authority (HMDA) is preparing to conduct a three-day auction of prime open plots across Hyderabad, Rangareddy, and Medchal-Malkajgiri districts this September.According to official reports, the e-auction will take place on 17, 18, and 19 September, offering 93 plots. Of these, 70 are located in the Bachupally HMDA layout, with the remainder spread across Turkayamjal, Kokapet, Poppalguda, Chandanagar, Bairagiguda, Gandi Maisamma, Suraram, Medipally, and Bachupally village.The highest upset price has been fixed at Rs 175,000 per square yard for a land parce..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

Advertisement

Advertisement

Talk to us?