Sat Feb 01 19:47:00 UTC 2025: ## India’s 2025 Budget Focuses on Infrastructure and Growth

**New Delhi, February 2, 2025** – India’s latest budget, presented by Finance Minister Nirmala Sitharaman, prioritizes infrastructure development and fiscal consolidation to achieve its “Viksit Bharat” (developed India) goal. The budget outlines a clear roadmap for sustained economic growth, focusing on increased consumption and public-private partnerships (PPPs).

A significant ₹1 lakh crore boost to consumption is expected to stimulate demand across sectors like housing, automobiles, consumer goods, and travel. The government aims to accelerate infrastructure projects through expanded PPPs, with all relevant ministries tasked with identifying three-year project pipelines. To incentivize state participation, ₹1.5 lakh crore in 50-year, interest-free loans for capital expenditure has been allocated.

Asset monetization remains a key funding strategy, with a new plan targeting ₹10 lakh crore over the next five years (2025-30), exceeding the previous target. The power sector will also see revitalization efforts, particularly in electricity distribution and intra-state transmission, with additional borrowing permitted for states implementing reforms.

A notable shift is the government’s commitment to expanding nuclear energy, with a 100 GW target by 2047. This includes amendments to relevant acts to allow private sector participation and ₹20,000 crore allocated for Small Modular Reactor (SMR) research and development. The aviation sector will also benefit from an expanded UDAN scheme, aiming to add 120 new destinations and 4 crore passengers over the next decade.

Kumar Mangalam Birla, Chairperson of the Aditya Birla Group, praised the budget’s focus on power sector revitalization. The budget is seen as a pragmatic approach prioritizing long-term investment over short-term gains, laying the groundwork for sustained high-quality growth.

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