Analysis of Government Subsidies and Key Schemes Allocation in 2024-25 Budget

The allocation of government funds towards subsidies and key schemes in the 2024-25 budget reflects the administration's priorities and strategies for addressing socio-economic challenges and promoting inclusive growth. Let's analyze the key aspects of the budget allocations: 

1. Subsidies: 

• Food Subsidy: The allocation for food subsidy is estimated at Rs 2,05,250 crore in 2024-25, reflecting a 3.3% decrease over the revised estimate of 2023-24. 
• Fertiliser Subsidy: Expenditure on fertiliser subsidy is estimated at Rs 1,64,000 crore in 2024-25, marking a decrease of Rs 24,894 crore (13.2%) from the revised estimate of 2023-24. 
• Other Subsidies: Expenditure on other subsidies, including interest subsidies for various government schemes and LPG subsidy, is estimated to increase by 3% over the revised estimate of 2023-24. 

2. Key Government Schemes: 

• MGNREGS: The allocation for MGNREGS remains unchanged at Rs 86,000 crore in 2024-25, reflecting the government's commitment to rural employment generation and livelihood support. 
• Pradhan Mantri Awas Yojana (PMAY): The allocation for PMAY sees a significant increase to Rs 80,671 crore in 2024-25, reflecting the government's emphasis on addressing housing shortages and promoting affordable housing. 
• Jal Jeevan Mission: The allocation for the Jal Jeevan Mission remains steady at Rs 70,163 crore in 2024-25, indicating the government's commitment to providing safe drinking water to rural households. 
• PM-KISAN: The allocation for PM-KISAN remains unchanged at Rs 60,000 crore in 2024-25, highlighting the government's continued support for farmers' welfare and income security. 

Conclusion: The analysis of government subsidies and key scheme allocations in the 2024-25 budget underscores a strategic allocation of resources towards addressing socio-economic challenges and promoting inclusive growth. While certain subsidies witness a reduction, reflecting fiscal prudence, increased funding for key schemes demonstrates the government's commitment to priority sectors crucial for sustainable development. Overall, the budget allocations reflect a balanced approach aimed at achieving sustainable and equitable growth while ensuring the well-being of all sections of society.

Sat Feb 3, 2024