Union Budget for the financial year 2023-24 was tabled in the Parliament by Finance Minister Nirmala Sitharaman earlier today. It was a growth-oriented budget that focussed on infra, agri, green energy, and railways. FM Sitharaman listed 7 priorities for this budget - Inclusive development, Reaching the last mile, Infrastructure and investment, Unleashing the potential Green growth, Youth power, and Financial sector. From income tax relief to green energy proposals, let's take a look at the key highlights of the 2023 Budget. <a target="_blank" href="https://mintgenie.livemint.com/news/personal-finance/budget-2023-from-income-tax-relief-to-green-energy-proposals-14-key-highlights-151675242302929">CLICK HERE</a>

Budget 2023: 14 key highlights

From retail investors to Gen Z: Who Gained and Who Lost From India’s Federal Budget. <a target="_blank" href="https://mintgenie.livemint.com/news/markets/from-retail-investors-to-gen-z-who-gained-and-who-lost-from-india-s-federal-budget-151675248140981">READ HERE</a>

Who Gained and Who Lost From India’s Federal Budget

"The budget reiterates the government’s vision for long term economic growth through increased capital expenditure and enhanced consumption. Growth in capital expenditure while maintaining fiscal consolidation will have a cascading impact on the economy in terms of strong corporate earnings, growth stimulus to all core sectors and employment generation. The focus on infrastructure development will eventually increase private investments into roads, power, urban infrastructure, etc. In addition, the budget has proposed effective measures to boost the entrepreneurship and start-up ecosystem which is currently growing though a subdued fund-raising phase".

Budget quote by Shivam Bajaj - Founder &amp; CEO at Avener Capital

"The Union Budget was clearly growth focused along with being pragmatic, considering that the Government had a tight rope walk between managing the fiscal deficit and providing some relief to tax payers on the personal income tax front. Higher capex spend and boosting consumption should provide a major boost to the economy. Continuity of policies and being progressive along with being fiscally prudent were significant highlights of this budget. Markets have seen a decent correction in the last few days. With this important event guiding Indian economy on the growth path, focus will be back to the earnings season &amp; global cues. Capex, consumption &amp; credit growth together will ensure that corporate profitability of India Inc remains strong."

Budget quote by Devang Mehta, Head- Equity Advisory, Centrum Wealth

“The budget remains focused on long-term economic growth through capex and sops to boost consumption for the middle-income group. This would support strong corporate earnings with positive bias for sectors like infra, housing, cement, cap goods, auto and tourism. Despite upcoming state elections, the government did not deliver a populist budget and tried to maintain fiscal prudence.”

Budget perspective by Motilal Oswal, MD &amp; CEO, Motilal Oswal Financial Services

“The Budget laid much-needed importance on the MSME sector which is still recovering from the pandemic-induced challenges. Lot of actions in rural economy and agriculture will improve domestic consumption, especially public digital infrastructure for agriculture will create huge momentum. Steps taken to improve tourism industry is a welcome move as this is a sector suffering the maximum due to covid impact. Relief in tax rates can provide the much needed thrust to the consumption demand. The tweaking in custom duty rates will support promotion of domestic value addition and manufacturing. Another positive factor is the focus on green growth. Specific outlays provided for Green Hydrogen, Energy Transition, Battery Storage, Renewable energy evacuation, green credit program and vehicle replacement will help a long way in decarbonising the Indian economy. This budget has touched upon all the right chords of the economy – Capex, Consumption, Health and well-being, Sustainable growth, Entrepreneurship and Financial inclusion.”

Budget reaction from Mini Nair, CFO at Geojit Financial Service

"Rupee traded in a volatile range between 81.70 + 82.00 as the pre budget and budget session kept capital market sentiments positive thus rupee was seen at highs of 81.70, but post budget Adani group stock sell off led to panic selling in capital markets and PSU banks were seen taking the beating. Rupee in second half fell from highs of 81.70 to 82.00 with now the focus on FED's policy meeting update in which 0.25bps is already priced in, any different number shall add pressure on rupee as dollar will be seen higher, Even a hawkish tone shall keep rupee under some pressure. Rupee range can be seen between 81.60 - 82.35."

Quote in Rupee from Jateen Trivedi, VP Research Analyst at LKP Securities

"Markets witnessed a roller coaster ride on the Union Budget day but eventually settled with a marginal cut. The bulls were in control in the first half but the tone reversed completely as the session progressed. Consequently, the Nifty index settled at 17,616.30; down by 0.26%. Meanwhile, a mixed trend on the sectoral front kept the traders busy wherein FMCG and IT showed tremendous resilience.Markets will react to the outcome of the US Fed meeting in early trade on Thursday. Besides, the overhang of the Union budget and scheduled weekly expiry would further add to the choppiness. A decisive close below the 17550 zone in Nifty would strengthen the bears. We thus reiterate our negative view and suggest limiting trades until we see some stability."

Market Analysis by Ajit Mishra, VP - Technical Research, Religare Broking

- FY24 fiscal deficit target at 5.9% of GDP- FY23 fiscal deficit target retained at 6.4% of GDP- FY24 food subsidy seen at ₹1.97 lakh crore, fertilizer subsidy seen at 1.75 lakh crore- FY24 divestment target at ₹61,000 crore- FY23 divestment target revised to ₹50,000 crore- FY23 growth estimated at 7%- FY24 capital expenditure proposed at ₹10 lk cr, up 33%- FY24 nominal GDP target at 10.5%- FY24 revenue deficit seen at ₹&nbsp;8.7 lakh crore- FY24 dividend from PSU companies seen at ₹43,000 crore- FY24 gross tax receipt target at ₹33.6 lakh crore- FY24 interest payments seen at ₹10.8 lakh crore- FY24 income tax target at ₹9.1 lakh crore

Key Budget numbers

Union Budget for the financial year 2023-24 was tabled in the Parliament by Finance Minister Nirmala Sitharaman earlier today. It was a growth-oriented budget that focussed on infra, agri, green energy, and railways. Let's take a look at the key highlights of the 2023 Budget: <a target="_blank" href="https://mintgenie.livemint.com/news/personal-finance/budget-2023-from-income-tax-relief-to-green-energy-proposals-14-key-highlights-151675242302929">Click here</a>

Budget Highlights

"A well-tuned budget with strong emphasis on consumption and capex has lifted optimism in the market; however, volatility sparked in the latter half as focus shifted back to the Adani saga and FOMC meeting. Life insurance players witnessed heavy selling as the budget pushed for the new tax regime, making insurance products less appealing as a tax-saving tool."

Closing quote by Vinod Nair, Head of Research at Geojit Financial Services

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Top Sensex gainers and losers

Indian markets recovered from intra-day lows but ended on a mixed note on the budget day on the back of profit booking post budget announcements. The Sensex ended 158 points higher at 59,708 while the Nifty fell 46 points to 17,616. Broader markets underperformed with the midcap and smallcap indices down a percent each in today's deals.Sectors were also mixed with the Nifty PSU Bank dragging the most, down nearly 6 percent. Nifty Metal also shed 4 percent while Nifty Oil &amp; gas declined 2 percent. Nifty Realty lost 1.3 percent, Nifty Auto fell 1 percent and Nifty Bank ended 0.3 percent lower. However, Nifty IT and Nifty FMCG gained between 0.5-1 percent each.

Markets at close

Nifty PSU Bank index tanks 5%

“The market has not held up on the gains, as, again, Banks and Adani group stocks have come under pressure apart from a correction in insurance stocks due to changes in taxation laws.”

B Gopkumar, MD &amp; CEO, Axis Securities explains why the markets tanked

“The Finance Minister announced fiscal deficit at 6.4% of GDP, with a target of breaching 6% in FY 23-24 to close at 5.9%. She reiterated her commitment to achieve an ambitious fiscal deficit of 4.5% for FY 2025-26. The Budget supports the continued digitisation of the financial sector through steps including setting up of a National Financial Registry to enhance data availability for robust credit assessment and rolling out of a National Data Governance Policy to encourage R&amp;D by using the Aadhar and Digi Locker platforms to simplify individual address reconciliation and verification across all regulators.MSMEs will benefit from steps including continued reduction of unnecessary compliances to promote ease of doing business and additional infusion of 9,000 crores in the Credit Guarantee scheme from April 1, 2023, with reduction in cost of guarantee by 1%. Start-ups have been given extension on tax benefits from date of incorporation and carry forward losses by a year.At a macro level, capital investment outlay is enhanced by 33% to 10 lakh crores, which is 3.3% of the GDP, with a big push on infra, employment and green growth.To conclude, a balanced budget keeping General Elections 2024 clearly in sight!”&nbsp;

Budget quote by Karan Desai - Founder at Interface Ventures

“It was a delight to hear the Finance Minister presented the budget that painted vibrant colors of India's growth story. The previous full Budget by the NDA Govt was not populist as some feared, but continued on the path of fiscal prudence with minimal changes in tax proposals reflecting the Govt.’s thrust on stability in tax regime. While the nudge to new tax regime has gained momentum offering reliefs for those who opt for it, HNIs are impacted both ways – reduction in peak surcharge rate benefitting them while Capital gains and MLD limits could hurt them to an extent. Real estate companies in the affordable segment could benefit while those in ultra-high value segment could get impacted.”

Budget quote by Dhiraj Relli, MD &amp; CEO, HDFC Securities

“I believe it is a highly pragmatic and growth-oriented budget which will help India remain amongst fastest growing economies globally.FY23-24 budget is walking the talk and continues Govt focus on 1) bottom end of pyramid with free food grains 2) taxation relief to middle class 3) enhancing Agri credit 4) heightened capex spend with Rs13.7 trillion capex and 5). focus on green energy, energy transition etc.I believe that the budget is targeting inclusive growth with focus on increasing consumption through benefits to middle class and impetus to industry to spur investment for domestic manufacturing and infrastructure development.”

Budget quote by Amisha Vora – Chairperson and MD, Prabhudas Lilladher Group

Indian indices pared most gains despite positive budget announcements mainly dragged by oil and gas, PSU banks, auto and metal stocks. While the Sensex was up 71 points at 59,621, the Nifty fell 29 points to 17,636 at 2:30 pm. Broader markets also declined with the Nifty midcap and smallcap idices down 0.8 percent each. Volatility index India VIX was down 3 percent.Among sectors, The Nifty PSU Bank index shed the most, down 4.5 percent followed by Nifty Metal and Nifty oil &amp; gas, down over 2 percent each. Nifty Auto also lsot 1 percent while Nifty Pharma was own 0.4 percent. Meanwhile, Nifty Bank, Nifty IT and Nifty FMCG gained over half a percent.

Market Check

Shares of Dixon Technologies gained 7 percent in the afternoon trade after Finance Minister Nirmala Sitharaman lowered the duty on mobile phone components and TV sets in her Budget 2023-24.The Budget cut customs duty on mobile components like cameras and batteries and offered concession on lithium-ion batteries. Duty on open cells used televisions was cut to 2.5 percent, which is likely to make TVs cheaper and boost demand.These announcements are seen benefiting contract manufacturers like Dixon Technologies, said market participants. The reduction in custom duty on certain mobile phone components and television parts will help promote their manufacturing in India.

Budget 2023: Dixon Tech soars 7%

Finance Minister Nirmala Sitharaman on Wednesday announced to increase the outlay for Pradhan Mantri Awas Yojana by 66% to ₹66,000 crore, which will be positive for cement companies. Further, Sitharaman has also announced to increase FY24 capital outlay by 33% to ₹10 lakh crore. Shares of cement companies zoomed up 4% following the announcements. At the bourses, India Cements rallied the most at 3.78% while Ramco Cements was up 2.38%, Shree Cements gained 2.70% and Ultratech Cement surged 1.04%.

Cement stocks gain up to 4% as govt hikes housing scheme outlay in Budget

"This is a terrific budget. I believe that the most important aspect of the budget is that it is preparing India for the future. Whether it is through participation, limiting carbon footprint, or ensuring the rural economy has the money, and plans to reduce pressure on urban infrastructure. It's also a step in the right path toward making India Atmanirbhar and easing of doing business.The government also recognized that there was a lot of strain on the common man as inflation ate into individual savings. The change in the tax system in the personal income tax is a step in the right way to put more money in the hands of taxpayers, which will encourage growth. And if that happens, private capex may return.What is commendable, and I believe the biggest highlight of this budget, is that while increasing capital expenditure to Rs. 10 lac crores, or 3.3% of GDP, the government has managed to keep the fiscal deficit at 5.9% for FY2024. Overall, the budget is excellent. The absence of negative news is a tremendous source of optimism. And the stock market has been ecstatic about this budget."

Sunil Damania, Chief Investment Officer, MarketsMojo on Budget

""The market had a mixed expectations on the budget presuming to be populist and low elbowroom for the government ahead of the slowing economy, high inflation and interest rates. However, the government has taken it to a new zone with a well-tuned perfection between growth and stability. The rise in capital expenditure by 33% to Rs10 lac cr is the shot in the arm heading a multiplier effect on the economy. While high amount of schemes and tax benefit to rural economy and taxpayers will enhance consumption growth in India. Much beyond expectations, a win-win for households and corporates. It is a 10 on 10 budget."

Vinod Nair, head of Research at Geojit Financial Services on Budget

Banks surge on pro-growth measures, and support for digital payments. The strong thrust of the government to boost consumer spending, which will effectively drive credit growth lifted the banking index. ICICI Bank rose the most, nearly 4 percent followed by HDFC Bank, Kotak Bank, IndusInd Bank, and Axis Bank, up between 1-3 percent each. even though Private Banks rallied, public banks declined since there was no capital allocation for the space in this budget. Except for Bank of India and SBI, all PSU Banks were in the red. Indian Bank lost the most, down over 2 percent followed by Maharashtra Bank, BoB and PNB, down over a percent each.

Nifty Bank surges &nbsp;

“There are some good things in Union Budget 2023 but there was no mention of MNREGA, poor rural labour, employment and inflation. Some fundamental questions remained to be answered,” Tharoor said.

Budget quote by Shashi Tharoor

"FM scored in both the Economic expansion line as well as relieving common man with higher Personal Disposable Income in Hand. This budget enables domestic consumption growth while boosting business &amp; investment sentiment for corporates," said Anmol Das, Head of Research, Teji Mandi.

Budget Quote

“Capex outlay increased by 33% to ₹10 lakh crore for FY24. At this level, public capex will be 3.3% of GDP. Equity indices are in the green so far. But bond markets are getting jittery as expenditure looks elevated so far. 10-year bond yield has climbed 2 basis points to 7.38% since the FM announced the hike in capex outlay. A lower fiscal deficit will cool bond markets.”

View on Capex outlay from Satish Menon, Executive Director at Geojit Financial Services

"In Spite of spending on Capex, the government has managed to keep the market borrowings lower and parallel adherence to FRBM act by keeping fiscal deficit at 5.9 percent compared to 6.4 percent earlier. Secondly, limiting the increase on small savings like FD for women, senior citizens and MIP of the post office is a good step. Lastly, focus is increased on health and education by starting nursing centre's and skilling people for job creation is a positive step. These are initial thoughts and we need to look at fine print. Overall positive for fixed income."

Budget quote by Marzban Irani, CIO - Debt , LIC Mutual Fund

- FY24 nominal GDP target at 10.5%- FY24 revenue deficit seen at ₹8.7 lakh crore- FY24 dividend from PSU companies seen at ₹43,000 crore- FY24 gross tax receipt target at ₹33.6 lakh crore- FY24 interest payments seen at ₹10.8 lakh crore- FY24 divestment target at ₹61,000 crore- FY24 income tax target at ₹9.1 lakh crore

Budget 2023: Key numbers

“In keeping with its focus on inclusive growth, the Union Budget has hiked outlays on Infrastructure and Agriculture which in our view would have a force multiplier impact on the economy. The Budget has put more money in the hands of the people through relief from Income Tax which to our mind is a very positive step. Budget leaving Taxation on Capital Gains untouched is a big positive. We rate the Union Budget 9/10,” said S Ranganathan, Head of Research at LKP Securities.

Budget quote

Shares of housing finance companies such as Star Housing Finance, Reliance Home Finance and Aptus Value Housing Finance India jumped up to 5 percent in trade after Finance Minister Nirmala Sitharaman announced an increase in outlay for Pradhan Mantri Awas Yojana. The PM Awas Yojana outlay was hiked by 66 percent to ₹79,000 crore.“The budget for Pradhan Mantri Awas Yojana has increased by 66 percent to ₹69,000 crore. This is a major positive for low cost housing providers and financiers. Further, the budget for capital outlay increased 33 percent to ₹10 lakh crore, giving a significant boost to capital goods and infra companies,” said Apurva Sheth, Head of Market Perspectives &amp; Research, SAMCO Securities.

Budget 2023: Housing Finance cos rise

Shares of cigarette makers ITC, Godfrey Phillips, VST Industries and NTC Industries fell up to 6 percent in trade after Finance Minister Nirmala Sithraman in her Budget 2023 speech announced a hike in duty on cigarettes by 16 percent.

Budget 2023: Cigarette cos shares fall

Shares of infrastructure companies, including Larsen &amp; Toubro rallied up to 4 per cent on Wednesday after Finance Minister Nirmala Sitharaman listed infrastructure as one of the seven priorities of Union Budget 2023-24.Siemens Ltd stock jumped 4 per cent on the BSE, HG Infra Engineering surged 3.32 per cent while the scrip of Larsen &amp; Toubro gained 1.57 per cent.Besides, KNR Constructions stock gained 2.97 per cent, Ashoka Buildcon 1.21 per cent and IRB Infrastructure Developers 0.05 per cent.

Budget 2023: Infra cos shares rally&nbsp;

New income tax slabs have been announced Finance Minister during her budget speech. Following are the new tax slabs:Up to ₹3 lakh: No tax ₹3 lakh- ₹6 lakh: 5% ₹6 lakh- ₹9 lakh: 10% ₹9 lakh- ₹12 lakh: 15% ₹12 lakh- ₹15 lakh: 20%Over ₹15 lakh: 30%.

Budget 2023: New tax slabs

Indian indices surged over 1.5 percent after the Finance minister announces that the exemption limit for income tax has been increased to ₹7 lakh from ₹5 lakh earlier. At 12:43 pm, the Sensex was up 1052 points at 60,602 while the Nifty surged 283 points to 17,945.

Processed more than 6.54 cr Returns this year on the tax portal, average processing period of 93 days in FY13-14 reduced to 16 days now; 45% Returns processed within 24 hours

Budget 2023: Direct tax

- Propose increasing tax exemption up to ₹7 lk/year from ₹5 lk/yr under new tax regime- Currently, the highest rate is 42.74% income tax under the new regime. The FM has proposed to reduce the highest surcharge from 37% to 25% in the new tax regime, max rate of 39%.- New Tax Regime Will Be Default; Will Have Option To Choose Old Regime- No tax for income up to ₹3 lk/year

Budget 2023: Income tax&nbsp;

- FM Nirmala Sitharaman has announced the expansion of the Government digital certificate depository Digilocker services for the fintech sector.- Documentation availability will be the focus for the DigitLocker expansion for the fintech sector, The fintech sector has been facilitated by digital services, PM Jan Dhan Yojana, Indian Stack and UPI.

Budget 2023: Digilocker

16% increase in National Calamity Contingency on certain cigarettes

Budget 2023: Cigarettes

The Centre will borrow ₹15.43 lakh crore via bonds in 2023-24 on a gross basis - a new all-time high.FY24 net borrowing target at ₹12.31 lk cr

Budget 2023: Borrowing targets

- Duty lowered for mobile phone components &amp; TV sets to 2.5%- Relief on customs duty on camera and camera lens- Concessional duty on import of lithium ion batteries extended for a year- Exempt exise on biogas contained in CNG

Budget 2023: Custom Duty

To provide support to 47 lakh youths in 3 years, a Direct Benefit Transfer under a pan India national apprenticeship scheme will be rolled out.

Budget 2023: DBT

Will allow acquisition financing by foreign bank IFSC units. Will facilitate data embassies at GIFT IFSCTo improve bank governance via amendments in lawsFor reclaiming shares, dividends a, integrated IT portal will be established

Budget 2023: Banks &amp; financials

FM Sitharaman announces fiscal deficit target for FY24 at 5.9 percent. FY23 target retained at 6.4%.

BREAKING: FY 24 Fiscal Deficit target at 5.9% of GDP

The Budget 2023-24 allocated ₹79,000 crore for the Pradhan Mantri Awas Yojana (PMAY), giving a further boost to the government’s programme to provide housing to the urban poor.Presenting the Union Budget on February 1, finance minister Nirmala Sitharaman said that the outlay of PMAY is being enhanced by 66 percent to over ₹79,000 crore.

Budget 2023: Housing

- Financial sector regulators to review existing regulations- Permitting acquisition financing by IFSC units of foreign banks- National Financial Information Registry to promote credit, facilitate inclusion. NFIR to be designed in consultation with RBI

Budget 2023: Financials

- ₹9,000 cr corpus for revamped credit guarantee scheme, revamped credit guarantee scheme will be effective April 1, 2023.- This will enable another collateral-free credit of ₹2 lakh crore.- &nbsp;Further the cost of credit will be reduced by around 1%.- If MSMEs fail to execute contract, 95 percent of performance security will be returned to small business as part of Vivad Se Vishwas- Govt to bring another dispute resolution scheme under Vivad Se Vishwas-2 to settle commercial disputes

Budget 2023: MSMEs

- Funds allocated to scrap old vehicles, including old ambulances- 5% compresses bio gas mandate to be introduced in due course- Coastal Shipping will be promoted with viability gap funding for people and freight movement

Budget 2023: Auto and shipping

Three centres of excellence for artificial intelligence will be set up in top educational institution

Budget 2023 on AI

- Govt to bring National Data Governance policy- National Data Governance Policy will enable anonymised data; KYC process will be simplified by adopting risk-based system- PAN will be used for common identifier for all digital systems of specified government agencies

Budget 2023: data governance

- Outlay of ₹35,000 cr for energy transition investment- Battery energy storage with capacity of 400 MWH will be supported with viability gap funding- Target to reach green hydrogen production of 5MMT by 2030- Outlay of ₹20,700 crore for renewable energy plan in Ladakh- Green credit programme will be notified under the Environment Protection Act

Budget 2023: Energy

Finance Minister announces to set up 100 labs to develop 5G applications

Budget 2023: 5G

For enhancing ease of doing business, more than 39,000 compliances have been reduced, over 3,400 legal provisions decriminalised

Budget 2023: Ease of doing business

&nbsp;- Will invest ₹10,000 cr/year on Urban Infra Development fund- Will set up 50 additional airports, heliports, aerodromes- States and cities will be encouraged to take up urban planning- 100 critical transport infrastructure projects have been identified for implementation.- All cities and towns will be enabled for 100 pc transition of sewers and septic tanks from manhole to machine hole mode.- Cities will be encouraged to increase creditworthiness for municipal bonds- Newly-established infrastructure finance secretariat will assist all stakeholders in more private investment- Expert committee to be set up to make infrastructure classification and financing framework suitable for Amrit Kaal- Govt to create Urban Infrastructure Development Fund on lines of Rural Infrastructure Development Fund; to be managed by NHB

Budget 2023: Urban development

- PM Awas Yojana outlay hiked by 66 per cent to ₹79,000 cr- To improve social-economic condition of the Particularly Tribal Groups, PMPBTG Development mission will be launched, to saturate PBTG habitations with basic facilities. ₹15,000 cr to be made available to implement scheme in next 3 years- Pradhan Mantri Primitive Vulnerable Development Commission being launched; ₹15,000 cr earmarked for next 3 years

Budget 2023: Govt reforms

- At ₹10 lakh crore, the Centre’s capex target for 2023-24 is 33 percent higher than the budget estimate of ₹7.5 lakh crore for 2022-23.&nbsp;- Effective capex will be ₹13.7 lakh cr; forming 4.5% of GDP- 50-year interest-free-loans to states have to be spent on capex by 2024

Budget 2023: Capex

- Capital Investment outlay increased by 33% to ₹10 Lk Cr, 3.3% of GDP- Increased capital outlay for infrastructure to crowd in private investment- Capital investment outlay is being increased steeply for third year in a row- Capital outlay of ₹2.40 lakh cr that will be provided for railways, highest ever outlay; 9x of 2013-2014- Plan to increase PM Housing outlay to ₹79000 crore

Budget 2023: Capital investment outlay

- New programme to promote research in pharmaceuticals- Facilities in select ICMR labs will be made available for research by public and private medical faculties.- Mission to eliminate sickle cell anaemia by 2047 will be launched by the government. This will entail awareness creation, universal screening of 7 crore people in the age group of 0-40 years in tribal areas and collaborations between central institutions and state governments.

FM on Pharma and healthcare

- FM Sitharaman lists seven priorities of Budget, including infra, green growth, financial sector, youth power- Four transformative opportunities can be used be in Amrit Kaal for enhancing economic empowerment:

Budget 2023: FM Sitharaman lists seven priorities

- The Union Government’s focus on reforming the agriculture sector continues, after its legal reforms had to be repealed.- The Budget envisages an open-source digital infrastructure for agriculture and an agriculture accelerator fund focused on youth in rural areas.- These steps will help the nascent agri-tech industry and could help boost the sector which still employs nearly half of the country’s workforce.- Agriculture credit target increased to ₹20 trillion for FY'24, with focus on animal husbandry, dairy and fisheries- Government to spend ₹2200 crore for high-value horticulture

FM Sitharaman on agri-reforms

- We have made significant progress in many Sustainable Development Goals (SDGs)- Govt made cash transfer of ₹2.2 lakh crore under PM-KISAN- National Rural Livelihood Mission has achieved remarkable success by mobilising rural women into 1 lakh SHGs- Govt to launch a ₹2,200 crore Aatmanirbhar clean plan programme

FM on govt programmes

- Green growth would be one of the priorities of the budget.- We are implementing many programmes for green growth across various economic sectors. They will help reduce carbon intensity and create green jobs.

FM Sitharaman on Green Growth

- We have made significant progress in many Sustainable Development Goals (SDGs)- Indian economy has increased in size from being 10th to 5th largest in last nine years- Our vision for the Amrit Kaal includes a technology-driven and knowledge-based economy, with strong public finances and a robust financial sector. To achieve this 'janbhagidari' through 'sabka saath, sabka prayaas' is essential.

FM Sitharaman says

- Entire expenditure of ₹2 lakh cr for free food scheme to be borne by centre.- India has grown from 10th to 5th largest world economy- India's per Capita income doubled to ₹1.97 lakh

FM Sitharaman says:

- The world appreciates India's achievements- In times of global challenges, G-20 presidency gives us opportunity to strengthen India's role in global order

- Economy has become more formalised as shown by the EPFO data, with 270 million members- The government schemes have ensured better quality of life for the citizens

This budget hopes to build on foundations set in previous budgets. Indian economy is on right track, current year’s growth has been 7%

Nirmala Sitharaman says:

At 11:06 am, Sensex was up 627 points to 60,177, Nifty rises 164 points at 17,826

Finance Minister Nirmala Sitharaman starts Budget Speech in the Parliament.

Budget Speech starts

The Union Cabinet headed by Prime Minister Narendra Modi approved the Budget for the fiscal year 2023-24. Following this, Finance Minister Nirmala Sitharaman will present the Budget in the Lok Sabha shortly.

Just In | Cabinet approves Union Budget for 2023-24

“Insurance remains one of the indispensable aspects as it provides financial cushion at the time of need and offers tax benefits, thus incentivizing more people to safeguard their families. We certainly would like to see more benefits on taxation as it will act as an added impetus for a larger populace to insure themselves and their family. On the overall budget, it would be favourable if the Government continues promoting investments, improving ease of doing business and easing capital formation. In the long run, this will give customers better choices and help deepen the industry's reach and address the penetration gap,” Bhargav Dasgupta, MD &amp; CEO, ICICI Lombard.

Budget expectations: Insurance

Some interesting facts:- This is the last full Budget of the Modi government before Lok Sabha elections next year- This is the fifth Budget presentation by Sitharaman.- Union Budget 2023-24 will also be delivered in paperless form- The formal exercise to prepare the annual Budget commenced on October 10.

Budget 2023: Interesting facts

Sensex gainers and losers

Less than 15 mins to the budget annnouncement, the Sensex is up 542 points at 60,092 while the Nifty has risen 147 points to 17,810. Broader markets also rose, with the midcap and smallcap indices jumping over 1 percent each. Volatility index India VIX was down over 5 percent. All sectors, excpt Nifty Oil &amp; Gas were in the green with Nufty Bank and Nifty Fin surging the most, up over 1.5 percent each.

“The street is expecting Finance Minister to bat like Suryakumar Yadav, bowl like Umran Malik and field like Ravindra Jadeja.The market expects the budget to be growth-oriented by increasing spend in infrastructure, healthcare and education. The budget should take steps to tackle these challenges facing Indian economy viz. subdued consumption at the bottom of the pyramid, control the widening trade deficit and boost private sector investment.The budget has to assure the investor that it is on the path to fiscal prudence while keeping tax rates stable. This is possible if budget 2023 raises non-tax resources by asset monetisation and plug tax loopholes.”

Budget expectations by Nilesh Shah, Managing Director, Kotak Mahindra AMC

Budget 2018: Nifty fell 0.2 percentBudget 2019: Nifty declined 1.1 percentBudget 2020: Nifty shed 2.5 percent&nbsp;Budget 2021: Nifty surged 4.7 percent, the best budget day gain since 1999.Budget 2022: Nifty advanced 1.4 percent.

Markets in the past 5 budget session

Only 20 minutes left for the Budget announcements to begin. Catch up on Budget expectations quickly. <a target="_blank" href="https://mintgenie.livemint.com/news/markets/budget-2023-key-numbers-to-be-watched-for-world-s-fastest-growing-economy-151675227482571">Click here </a>for key numbers to watch for in Budget 2023-24.

Key numbers to watch for in Budget 2023

- The budget could explore increasing the 80C limits to at least Rs.15 lacs along with creating secure medium to long term investment options where the principal is exempt from tax in the year of investment and interest is exempt in the year of redemption.- There is a need to revive real estate as an investment class hence it would be helpful if the limits on housing loan interest u/s 24 is increased or opened up.- LTA could be made eligible for tax benefit every financial year instead of twice in a block of four years- Sec 80D limits could be increased to at least Rs.2 lacs irrespective of age categorization.- Sec. 80E for education loan could be revisited to cover larger scope of education related expenses for Institutions in India and overseas.

Budget Expectations: Exemptions

The most common ask from the salaried class is to increase the basic exemption slab to at least Rs.5 lacs. The budget could explore a mandate to invest Rs.15000/- in medium term tax saving investment option to avail this higher exemption slab. The tax rates could be simplified, for example, it could be 10%, 20%, 30% with a maximum cap at 30% along with elimination of surcharge and cess. It would also be good if there is one tax structure instead of the old &amp; new tax regime.

Budget Expectations: Income Tax

Students expect the government to come up with policies to promote employment growth and spend on digital literacy while young professionals and salaried class are mainly seeking tax relief from the government. <a target="_blank" href="https://mintgenie.livemint.com/news/personal-finance/budget-2023-expectations-what-students-and-young-professionals-are-seeking-from-the-government-151674012828318 ">Read more</a>

Budget Expectations: What students and young professionals are seeking

Tax relief for growing Fintech startups:Fintech startups are hopeful for GST exemptions until a certain level of revenue is achieved. Liberalisation of the tax structure along with depreciation on the fixed assets used by Fintechs, can go a long way in promoting advancement. Announcement of tax benefits for research &amp; development activities would bolster the ideation &amp; execution of differentiating financial products &amp; services for the masses.Continued push for Digital Payments:The recent Budgets introduced several incentive schemes to promote digital payments &amp; we expect the momentum to continue in this year’s Budget. The UPI has augmented India’s payments &amp; collections infrastructure and has penetrated the unserved &amp; underserved population in semi-urban &amp; rural regions. New guidelines regarding the UPI transaction cost will be a major development, providing a much-needed impetus to the sector’s expansin

Budget Expectations: Fintech

- The current limit of ₹2 lakh as a deduction for interest on a home loan for the self-occupied property should be increased to at least ₹5 lakh in view of inflation and higher interest rates.- The government should also consider providing relief to sellers by bringing taxability of gains on the sale of the property at par with those of listed shares.- The Credit-Linked Subsidy Scheme should be extended as it has been a major motivator with 2.54 million beneficiaries and will incentivise homebuyers.

Budget Expectations: Real Estate

- Policies to encourage the development of electric vehicles (EV) charging infrastructure as well as initiatives to promote the adoption of flex fuel and EVs.- Given that many EV and hybrid components now have an inverted duty structure, rationalising the GST rates for these components is essential.- Remission of duties or taxes on export products scheme (RoDTEP) and duty drawback benefits should be increased in order to promote the export of auto parts.

Budget Expectations: Auto Sector

The Government of India is likely to miss its divestment target for the fourth year in a row. In the last Budget, the government had set a divestment target of ₹65,000 crore for FY23 and so far, it has raised only around ₹31,000 crore, which is just a little over 50 percent of its original target. In FY22 as well, the government missed its original target as well as its revised target by a huge margin. The original divestment target for the previous financial year was ₹1.75 lakh crore, which was later reduced by 55 percent to ₹78,000 crore. However, the government was able to raise just ₹13,531 crore, only 18 percent of the revised target as the initial share sale of LIC was pushed to FY23 to avoid market volatility. This was the lowest mop-up after the disinvestment program was revived in FY10. <a target="_blank" href="https://mintgenie.livemint.com/news/markets/budget-2023-government-likely-to-miss-divestment-target-for-4th-straight-year-151673431295735">READ MORE</a>

Budget 2023: Government likely to miss divestment target for 4th straight year

“We expect the fiscal deficit to come down from 6.4% this year to 5.8% of GDP next year. We also expect about 70% of the budget to be funded through dated bonds, which works out to a number of to a net borrowing ₹12 lakh crs and gross borrowing of about 15.75 lakh crs. There is an outside chance that the Government borrows a little extra this, which could surprise the market participants.”

Pre-budget comment by Mr. Sandeep Bagla, CEO, TRUST Mutual Fund

- Senior citizens expect the government to raise the basic exemption limit from ₹3 lakh to ₹5 lakh.- The government is expected to increase the deduction against medical expenses. Currently, senior citizens are entitled to a deduction of up to ₹50,000 on medical expenses during a year.- Those who have health insurance can claim tax deduction up to ₹50,000 under Section 80D on premiums paid. This limit should be raised to ₹1 lakh.- The FM should also allow OPD expenses like pharmacy bills, doctor - consultation fees and diagnostic tests for deduction even if they are not covered in insurance policies.- Under Section 80TTB, senior citizens are entitled to tax deduction of up to ₹50,000 on interest earned on bank and Post Office savings fixed deposits (FDs). This could be increased to ₹1 lakh.- Senior citizens expect the government to make pension income, at least the principal of it, tax-free.- A new dedicated fixed income instrument, rationalisation of lock-in period of holding specified investments u/s 80C and ease in tax return and refund process are other demands from senior citizens. <a target="_blank" href=" https://mintgenie.livemint.com/news/personal-finance/budget-2023-expectations-raising-se[…]tax-free-here-s-what-senior-citizens-want-151674579585971">Read More</a>

Budget 2023: A quick look at everything that senior citizens seek

There is a widespread expectation that the Union Budget 2023 will be pro-growth. The government may also announce benefits and policies to boost the rural sector. As this will be the last full Budget before General Elections in 2024, will it be populist? Here's what top analysts think. <a target="_blank" href="https://mintgenie.livemint.com/news/markets/budget-2023-expectations-from-capex-push-to-direct-tax-changes-here-s-what-top-analysts-expect-151674201818587">Read here</a>

Budget 2023: What top analysts expect

The government may expand the scope of Production-Linked Incentive (PLI) schemes and top up it for the existing sectors in the Union Budget 2023, said an ET Report."India is likely to substantially top up the allocation for ongoing Production-Linked Incentive (PLI) schemes in the February 1 budget after seeing good results, said people with knowledge of the matter. Some new sectors may be included in the programme that seeks to reignite manufacturing in India and boost exports, along with other measures to spur investments," the report said."Finance minister Nirmala Sitharaman had in the FY22 budget announced ₹1.97 lakh crore for PLI schemes that now cover 14 key sectors. This incentive amount, which is for the five-year period beginning FY22, may be raised in the budget," the report added. <a target="_blank" href="https://mintgenie.livemint.com/news/markets/budget-2023-expectations-govt-may-raise-allocation-for-existing-pli-schemes-says-report-151674013646155">READ MORE</a>

Budget 2023: Govt may raise the allocation for existing PLI schemes

"Defense, railways and infrastructure including affordable housing would be key sectors to watch out for as a direct beneficiaries of increased allocation in the upcoming budget. Capital goods and consumer staples could be another sector to watch out for which could be indirect beneficiaries of government-incentivised capital expenditure (capex) programs and any positive relief to the common man on the personal income tax front. Rural as a theme could also pick up if there be increased thrust on improving rural income through direct schemes or indirectly through channelising of rural infrastructure spend." Yogesh Patil, Chief Investment Officer - Equity, LIC Mutual Fund

Pre-Budget quote: Key sectors in focus

Budget announcements are critical for the market since they shape the country's economic landscape. Announcements on taxes, Capex and economic policies have near- and long-term impacts on the stock market.The Budget 2023 is expected to focus on infrastructure, manufacturing, agriculture and allied activities. There may also be a stronger focus on production-linked incentive schemes and more sectors may be brought under its ambit. <a target="_blank" href="https://mintgenie.livemint.com/news/markets/budget-2023-expectations-what-are-the-key-things-for-retail-investors-to-look-out-for-151673625146805">Read More</a>

Budget Expectations: Retail Investors

Some key highlights of the market performance since the 2022 budget presentations are as follows:· Benchmark Nifty (1%) is almost unchanged since the last budget.· Small caps (-17%) have underperformed majorly. Midcaps (-0.5%) has been almost unchanged since the last budget.· PSU Bank (~28%), FMCG (~21%), Metals (~16%) and Auto (~11%) have been the top outperforming sectors.· Media (-17%), Realty (-16%), IT Services (-14%) and Energy (-7%) have been the top underperforming sectors.· Infra (-1%) and Services (-3%) did not do much in the past one year.

Key Markets Highlights since Budget 2022

Those from Gen-Z are hoping that the government has some good things in store for them. They are looking at Budget 2023 with greater expectations than ever before so that they can put the year gone by behind them.&nbsp;Here are some of the expectations that the Gen-Z has from the upcoming Budget to be presented on February 1, 2023: <a target="_blank" href="https://mintgenie.livemint.com/news/personal-finance/budget-2023-expectations-from-cheaper-travel-to-protection-against-layoffs-everything-that-gen-z-wants-151674836169737">Let's take a look</a>

Budget expectations: What Gen-Z wants?

The Union Budget is the framework for the Government's income and expenditure for a fiscal year. It is divided into two parts: capital budget and revenue budget. The capital budget outlines the capital expenditure (money spent on building and maintenance of infrastructure or fixed assets) and capital receipts (money acquired through loans or selling assets). Whereas, the revenue budget details the revenue expenditure (expenditure incurred on day-to-day activities) and revenue receipts (tax and nontax revenue). For a more detailed article, <a target="_blank" href="https://mintgenie.livemint.com/news/personal-finance/budget-2023-what-exactly-is-this-union-budget-mintgenie-explains-151641446054242">click here</a>

What exactly is this Union Budget?

The Indian market (Nifty) has moved less than 1 percent on Budget day in four of the past 10 sessions, with the highest gain in 2021 at 4.7 percent. In the past 10 years, the market has been in the red in six of the Budget sessions and in the green in the other four. Most of the pre- and post-Budget months have witnessed a negative trend. The market has been muted so far in the month before the Budget in 2023. <a target="_blank" href="https://mintgenie.livemint.com/news/markets/budget-2023-how-indian-markets-has-performed-a-month-before-and-after-budget-for-last-10-years-151674121398493">Read More</a>

How Indian markets has performed a month before and after budget for last 10 years

Nifty, Derivative and Rupee comments from Anand James - Chief Market Strategist at Geojit Financial Services.Nifty outlook:Though the initial volatility submerged Nifty below our downside marker of 17600 for a while, the anticipated positivity was strong enough to keep the 17820 trajectory intact. We will begin the day with a base expectation of achieving the 17800 objective fully, with an optimistic target of 18000 in the near term. Downside Marker can continue to be near 17600, though it may be pushed higher to the 17700 vicinity once 17800 is cleared. Alternatively, Slippage past 17600 may dilute all the positivity, but the prospects of a collapse need to be re-considered only once well above 17820 or below 17400.Derivative:Nifty weekly contract has the highest open interest at 18000 for Calls and 17000 for Puts while monthly contracts have the highest open interest at 18000 for Calls and 17500 for Puts. The highest new OI addition was seen at 18500 for Calls and 16700 for Puts in weekly and at 17600 for Calls and 17600 for Puts in monthly contracts. FIIs increased their future index long position holdings by 15.94%, increased future index shorts by 22.03% and in index options by 2.15% in Call longs, -1.51% in Call short, -1.85% in Put longs and 3.91% in Put shorts.USD-INR outlook:USDINR finally broke above the 81.59-81.8 band that had kept the lid on upside attempts, leading to a spike that pushed it above 82. However, the inability to keep the gains by close, takes away the momentum. This should mean that, though we might begin the day with USDINR re-attempting upsides aiming 81.9, the inability to float above 81.75 could render the trend sideways.

Quotes on Nifty, Derivative and Rupee comments

Indian indices rallied at opening on Wednesday on the back of positive macro announcements in the Economic Survey and as investors awaited the Union Budget 2023. At 9:15 am, the Sensex was trading 451 points higher at 60,001 while the Nifty rose 100 points to 17,762. Broader markets were also in-line with the indices with the midcap index up 0.8 percent and smallcap index up 0.6 percent. All sectors, except Nifty oil &amp; gas were positive at opening with Nifty PSU Bank jumping the most, up 1 percent. Nifty Bank, Nifty Financial Services and Nifty Realty rose around 0.9 percent each.

Markets at open

“The massive FPI selling in Indian markets have impacted market sentiments. NSDL data shows FPI selling of ₹28852 crores in January. The actual selling in the cash market is a mammoth ₹53887 crores in January. FPIs are selling in India and buying in cheaper markets like China, Hong Kong and South Korea where valuations are attractive. This “short India and long other cheaper markets” strategy has led to big underperformance of the Indian market, so far this year.&nbsp;If the budget turns out to be good, with no unpleasant surprises, there can be short covering leading to spurt in the market. On the other hand, if there is some negative proposal like hiking the LTCGs tax to 20%, FIIs will continue to sell, pushing the markets further down. The Economic Survey reflects optimism on the growth and corporate earnings front. This augurs well for the markets in the medium term," said VK Vijayakumar, Chief Investment Strategist at Geojit Financial Services

Morning market quote

The Indian rupee may remain under depreciation pressure on account of plateauing of exports and subsequent widening of the current account deficit, said the Economic Survey 2022-23 tabled in Parliament on Tuesday.It said the "risks to the current account balance stem from multiple sources".The country's current account deficit (CAD) widened to 4.4 per cent of the GDP in the quarter ended September from 2.2 per cent in April-June due to higher trade gap, as per latest data of the Reserve Bank of India.

Rupee may remain under pressure, says Economic Survey

"The relative positioning of India in terms of economic growth potential appears very strong at this point in time. However, insofar as the financial markets are concerned, the conditions are not so favourable. The relative valuations are expensive and global investor positioning still overweight as compared to peers like China. We may therefore continue to see selling pressure from global investors for some more time. Nonetheless, for domestic investors, the risk-reward appears marginally positive in equities and very good in bonds," said Vijay Kumar Gaba, market observer and the director of the Equal India Foundation.

Quote on markets, ahead of opening on Budget day

Budget 2023 highlights: Sensex gains 158 points, Nifty in red; here's the list of announcements from today's budget

Here are all budget 2023 and market updates of the day.&nbsp;

Indian markets recovered from intra-day lows but ended on a mixed note on the budget day. The Sensex ended 158 points higher at 59,708 while the Nifty fell 46 points to 17,616. In a major move, the govt announced changes in tax slabs. It also hiked outlays towards Infra, agri, railways and more.

Budget 2023 highlights: Sensex gains 158 points, Nifty in red; here's the list of announcements from today's budget

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