The Finance Minister presented the Union budget 2023-24 in Parliament on Wednesday and in which they proposed 100 critical infrastructure initiatives, for last and first-mile connectivity identified in coal, steel, ports, food grains, and fertiliser sectors. While presenting the FY24 budget finance minister Nirmala Sitharaman said these projects will be prioritised with an investment of Rs 75000 cr, including Rs 15000 cr from private sources. She proposed an increase in capital expenditure outlay by 33% to Rs 10 lakh cr for infrastructure development for FY2023-24, which will be 3.3% of the GDP. Further, she added that the newly established infrastructure finance secretariat will help in attracting more private investment.


In the budget 2023, the government proposed 100 critical infrastructure initiatives

According to the finance minister, this will be almost 3 times the outlay in 2019-2020. The budget allocation for the ‘Effective Captial Expenditure’ is Rs 13.7 lakh cr, which will be 4.5% of GDP. For civil aviation, the finance minister announced the plans to build 50 additional heliports and airports, water aerodromes and advanced landing grounds will be revived for enhancing regional air connectivity. Further, as a part of its green growth strategy, which is one of the budget’s 7 priorities, Nirmala Sitharaman said the government has been working to implement many programmes for green farming, green mobility, green fuel, green energy, green buildings, and green equipment and policies for efficient use of energy across several economic sectors.

These green growth initiatives help in reducing the carbon intensity of the economy and provide a significant number of green job opportunities. In order to usher in a green industrial and economic revolution, India is firmly moving toward the panchamrit and net-zero carbon emission by 2070. This budget builds to focus on green growth.


The newly established infrastructure finance secretariat will help in attracting more private investment

The budget of this year is significant being the last full budget of Narendra Modi’s government’s second tenure as the general elections are scheduled to be held next year. During presenting the budget finance minister Nirmala Sitharaman set the fiscal deficit goal for 2023-24 at 5.9% of GDP (gross domestic product). In 2022-23, the government fiscal deficit is at 6.4%. Further, Nirmala Sitharaman said that the government intends to bring the fiscal deficit below 4.5% of GDP by FY2025-26.