No state has been ignored: Nirmala Sitharaman defends Budget in Rajya Sabha

Finance Minister Nirmala Sitharaman counters Opposition claims that the Budget favoured BJP-ruled states, especially poll-bound Bihar

Union Finance Minister Nirmala Sitharaman defended the Union Budget 2024-25 in the Rajya Sabha on Thursday during the ongoing Budget session, countering Opposition claims that the Budget favoured Bharatiya Janata Party (BJP)-ruled states, especially poll-bound Bihar. Responding to criticisms, she asserted that no state had been neglected under Prime Minister Narendra Modi’s leadership.

 

Sitharaman called such claims “unfounded,” dismissing the opposition’s allegations of ignoring states. She also took aim at critics who questioned the tax benefits introduced in the Budget, remarking that their objections suggested a broader opposition to middle-class tax relief.

 

During her address, Sitharaman emphasised that the government’s financial planning was realistic rather than conservative, reinforcing its commitment to equitable growth across all regions.

 

 

Budget 2025: Bihar highlights

Among the major allocations, Bihar received Rs 11,500 crore for the Western Koshi Canal Extension, Renovation, and Modernisation (ERM) Project, aimed at improving irrigation infrastructure for farmers cultivating over 50,000 hectares of land.

 

Additionally, the government announced the creation of a Makhana Board, dedicated to supporting foxnut farmers in Bihar. The Finance Minister also unveiled plans for expanding IIT Patna and bolstering infrastructure across five Indian Institutes of Technology (IITs).

 

Oppositions criticise Budget 2025

The Opposition sharply criticised the Budget’s allocations, alleging regional bias. Congress MP Manish Tewari remarked, “I fail to understand if this is a Budget for India or just Bihar. Did you hear the name of any other state in the entire Budget speech?”

 

Echoing similar sentiments, TMC MP Abhishek Banerjee accused the government of neglecting West Bengal, stating, “There is nothing for the common man. With Bihar elections approaching, this Budget was clearly designed for Bihar. Bengal has been ignored for the past 10 years.”

 

While addressing the Rajya Sabha today, Sitharaman also criticised past governments, particularly the economic policies under former Finance Minister P Chidambaram during Manmohan Singh’s tenure. She argued that while Singh opened up the economy, key reforms stagnated until the late Atal Bihari Vajpayee initiated infrastructure and structural reforms.

 

She further stated that the central government was encouraging state governments to phase out outdated laws, with initiatives such as the Jan Vishwas Bill aimed at modernising regulatory frameworks.

 

New Income Tax Bill, 2025 tabled

Earlier today, Sitharaman tabled the Income-Tax Bill 2025 in the Lok Sabha, a comprehensive reform that seeks to replace the 60-year-old Income Tax Act of 1961. Spanning 622 pages, the proposed law is expected to take effect in April 2026 once approved.

 

The bill will be reviewed by the Parliament’s Standing Committee on Finance before being reintroduced for final approval in both Houses of Parliament. The proposed legislation aims to simplify taxation and modernise India’s fiscal framework in line with contemporary economic realities.