Budget 2024: Focus on Job Creation in Modi 3.0 Government’s First Budget
The Modi 3.0 government’s first Budget is on the horizon, with a major focus on sustaining economic growth and boosting job creation. With the fiscal deficit target in mind, the Union Budget 2024 is set to be unveiled in July. All eyes are on Finance Minister Nirmala Sitharaman, as various sectors and organizations eagerly await the policies and initiatives that will be announced.
Industry Associations Present Recommendations
Several industry associations have released their Pre-Budget 2024 memorandums, with suggestions tailored to specific sectors and the overall Indian economy. CII (Confederation of Indian Industry) has highlighted key measures necessary for employment generation. These measures include:
- Implementing an Employment Linked Incentive Scheme in the service sector, inspired by the success of the Production Linked Incentive Scheme in manufacturing. This scheme would focus on labor-intensive sectors like tourism, hospitality, logistics, retail, film/entertainment, animation, and gaming.
- Establishing an ‘International Mobility Authority’ under the Ministry of External Affairs aimed at assisting Indian labor in foreign markets, similar to the ‘Philippine Overseas Employment Administration (POEA)’.
- Conducting a study on skill gaps in the Indian workforce for sectors facing or projected to face labor shortages. This study would lead to targeted skill enhancement programs and training sessions on language and culture for countries with high labor demand.
These measures are crucial in addressing India’s employment challenges and maximizing the country’s demographic dividend, according to CII.
Sustainable Growth and Structural Reforms
Besides job creation, FM Nirmala Sitharaman is expected to target structural reforms in Budget 2024 to ensure sustainable growth. As the world’s most populous country, India’s employment scenario plays a critical role in its overall development.
