Union Budget 2025 Summary: All You Need to Know for UPSC Aspirants

The 2025-26 Union Budget, presented by Finance Minister Nirmala Sitharaman, is packed with reforms to boost economic growth, strengthen the middle class, enrich farmers, and power innovation. In this quick recap, we"ll walk you through the major points every UPSC student needs to know and show you how this budget shapes India"s growth narrative.

6 Key Highlights of Union Budget 2025

New Tax Slabs for a New Beginning

The budget this year has big relief for the middle class. The new income tax regime now exempts income up to ?12 lakh, and salaried persons can avail of it up to ?12.75 lakh because of the standard deduction. It"s a move to put more disposable income in the hands of people and boost spending.

Agriculture Gets a Stronger Backbone

The government launched the PM Dhan-Dhaanya Krishi Yojana. A specialised scheme to make India self-reliant in pulses like Tur, Urad, and Masoor. There’s also a dedicated Makhana Board for Bihar and an increased credit limit for farmers at ?5 lakh. For UPSC, this is standard current affairs with a rural development twist.

MSME and Startup Support

The budget gives a strong thrust to Make in India. MSMEs and startups can expect smoother credit and regulatory encouragement, and it is a very good reference document for industrial policy or development-related questions.

Focus on Education and Skills 

?1.48 lakh crore has been assigned to improve education and boost skill development. This is part of the government"s strategy to tackle unemployment and prepare the workforce for new-age employment. You can anticipate questions on this in your GS Paper III or essay segment.

Healthcare and Inclusivity

Also in the pipeline are health reforms—accessible and affordable services are on the agenda, which aligns with the larger vision of universal health coverage.

Fiscal Roadmap

The fiscal deficit will fall to 4.4% of the GDP, mirroring the government"s attempt to stay fiscally responsible while still supporting key sectors.

Conclusion

Having clear knowledge of the Union Budget gives you an upper hand in your UPSC preparation. If you"re seeking expert-guided learning that breaks down such complex topics into simple, bite-sized content, DICS is your go-to platform. 

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