Water And Sanitation: The Unsung Economic Driver Of A Developed India
The 2025 Union Budget is a reform-oriented budget that sets the course for the next four to five years, emphasising regulatory easing, trust-based regulation, and simplifying tax processes. This reform-oriented approach is expected to boost economic growth, improve ease of doing business, and enhance the overall business environment.
The budget's emphasis on regulatory reforms is aimed at reducing the regulatory burden and improving the ease of doing business. The increased focus on MSMEs, including expanded definitions and targeted support, is expected to boost entrepreneurship and job creation.
The government's commitment to fiscal prudence projects a deficit of 4.4 per cent while increasing capital expenditure (capex), albeit marginally. The budget prioritises labour-intensive sectors like toys, leather, handicrafts, and tourism for employment generation. It also focuses on domestic manufacturing for both domestic consumption and exports, balancing competitiveness with quality. Additionally, the budget continues to prioritize women's development through various schemes, including those for entrepreneurship and credit access.
Key Takeaways Of The Union Budget 2025
Fiscal Prudence: The budget strikes a balance between maintaining fiscal discipline and investing in growth-oriented initiatives.
Capex Increase: The increased capex allocation of Rs 11.2 lakh crore is expected to boost infrastructure development and economic growth. Capex expenditure allocated to states further adds Rs 5.8 lakh crore to the spend
Tax Relief: Significant income tax slab changes aim to put more money in the hands of the middle class, with an estimated impact of Rs 1 lakh crore.
Focus on Long-term Growth: The budget prioritises initiatives that address low domestic demand, putting more money in the hands of the middle class.
As India strides towards Viksit Bharat– Clean Water and Sanitation are vital economic drivers shaping the country's future. By creating a robust waste management system and ensuring sanitation for all, India is investing in public health, quality of life, and environmental sustainability. A commitment that is also reflected in the Union Budget 2025-26.
The Union Budget for 2025-2026 has increased the funding for the Department of Water Resources, River Development and Ganga Rejuvenation, Ministry of Jal Shakti by 17 per cent. The budget outlay for the FY 2024-25 was Rs 21,640.88 crores which has now increased to Rs 25,276.83 crores in FY 2025-26.
A key highlight is the Jal Jeevan Mission (JJM), which has received substantial funding of Rs 67,000 crore, reflecting the urgency to expedite its objectives. The extension of JJM till 2028 signals the government's focus on ensuring functional household tap connections (FHTCs) in every rural household, a crucial step toward clean and sustainable water access in remote areas. This investment will accelerate the development of water delivery systems, pipelines, and treatment plants, directly addressing the challenges faced by all communities
