Sensex jumps over 1,000 points as FM hikes tax exemption limit; Nifty trades above 17,900

Indian equity benchmarks rose sharply in Wednesday's trade as Finance Minister Nirmala Sitharaman, in her Union Budget 2023-24 speech, increased the income tax (I-T) exemption limit to Rs 7 lakh from earlier Rs 5 lakh under the new tax regime. The 30-share BSE Sensex pack jumped 1,005 points or 1.69 per cent to trade at 60,556, while the broader NSE Nifty index moved 272 points or 1.54 per cent to trade at 17,934.

In her fifth Budget presentation, Sitharaman said the world has recognised the Indian economy as a bright star. This is the first Budget to be presented in Amrit Kaal (the Golden period of Independence), the finance minister noted.

"Entire expenditure (around Rs 2 lakh crore) under PM Garib Kalyan Anna Yojana is being borne by the government, for supplying free food grains for one year to all Antyodaya and priority households," she stated.

She mentioned that an agriculture accelerator fund would be set up for agri start-ups which run from rural areas.

"PM Vishwa Karma Kaushal Samman - package of assistance for traditional artisans and craftspeople has been conceptualized, will enable them to improve quality, scale and reach of their products, integrating with MSME value chain," she said.

Components of the scheme would include financial support, access to efficient green technologies, advanced skill training, social security, modern digital techniques, brand promotion and market linkages, she added.

Sitharaman further said, "We are implementing many programs for green fuel, green energy, green farming, green mobility, green buildings, green equipment, and creating policies for efficient energy use across various economic sectors."

The finance minister cited seven priorities of Budget 2023: Inclusive development; Reaching last mile; Infrastructure and investment; unleashing potential; Green growth; Youth Power and Financial Sector.

Sitharaman also stated that the outlay of PM Awas Yojana has been increased 66 per cent to Rs 79,000 crore.

"We have increased Railway outlay to Rs 2.40 lakh crore for Railways, highest ever and more than nine times higher than FY14," Sitharaman said.

The economy has become a lot more formalized as reflected by the doubling of EPFO membership to 27 crore and Rs 7,400 crore digital payments of Rs 126 lakh crore through UPI in 2022, she further said.

Also Read | Budget 2023 LIVE updates: FM Nirmala Sitharaman addresses Parliament

Also Read | What Economic Survey tells you about Union Budget 2023