Interim Budget 2024: 'Infrastructure outlay hiked to Rs 11.11 lakh cr for FY25, will be 3.4% of GDP,' says FM

Union Finance Minister Nirmala Sitharaman on Thursday announced hike in infrastructure outlay for FY25 at Rs 11.11 lakh crore. 

In her Interim Budget 2024 speech at Parliament, Sitharaman said, "Capital spending for 2024-25 raised by 11 per cent to Rs 11.11 lakh crore or 3.4 per cent of GDP."

Sitharaman said on Thursday India’s economy was going through a transformation as she rose to present the government’s last budget to parliament before a national election due by May.

“The economy has undergone a profound transformation,” Sitharaman said to the thumping of desks.

India has set a target to narrow its fiscal deficit to 5.1% in the fiscal year 2024/25, after lowering the current year's deficit to 5.8% of gross domestic product (GDP), Sitharaman said on Thursday, while presenting the interim budget for the next fiscal year that starts on April 1.

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Sitharaman promised economic reforms to drive growth in a speech on the government's budget on Thursday.

“The next five years will be years of unprecedented development and golden moments to realize the dream of developed India by 2047," Sitharaman said.

She said the next generation of reforms will be carried out in consultation with state governments.

Sitharaman said the government will build 2 crore affordable houses in the next five years, to add to the 3 crore houses built already.

The government will also launch a scheme for housing for middle class, she said, without providing details.