Union Budget 2025: Key Ministry-Wise Allocations and Trends
The Union Budget 2025 focused on defence, rural development, and technological innovation, apart from the headline grabbing income tax cut for individuals. There were increases in allocations to specific ministries, but the focus appears of this budget is to accelerate economic growth, enhance India’s global competitiveness, and public welfare. Here is a break-up of the allocations to major ministries.
Ministry | Budget Allocation (₹ Crore) | YoY Change (%) |
|---|---|---|
Ministry of Road Transport & Highways | 2,72,000 | Unchanged |
Ministry of Defence | 6,81,210 | +9.53% |
Ministry of Railways | 2,52,000 | Similar to last year |
Ministry of External Affairs | 20,516 | -7.4% |
Ministry of Education | 1,28,000 | +12.3% |
Ministry of Health & Family Welfare | 99,858 | +9.78% |
Ministry of Rural Development | 1,88,000 | +5.75% |
Ministry of Tourism | 2,541 | +199% |
Ministry of Corporate Affairs | 11,561 | +972% |
National Geospatial Mission | 100 | New Initiative |
Ministry of Housing & Urban Affairs | 96,777 | +18% |
Ministry of Coal | 501 | +255% |
Ministry of Science & Technology | 38,613 | +167% |
Sectoral Implications: Who benefits from these allocations?
1. Infrastructure & Transportation
- With ₹2.72 lakh crore allocated to road transport and highways, the government is prioritizing highway expansions, logistics improvement, and rural connectivity.
- A significant budget for railways continues to support modernisation, high-speed rail projects, and improved passenger services.
2. Defence & National Security
- ₹6.81 lakh crore for defence ensures continued military modernisation, procurement of indigenous weaponry, and strategic border infrastructure development.
- This is aligned with Atmanirbhar Bharat in defence manufacturing.
3. Healthcare & Social Welfare
- ₹99,858 crore for health & family welfare ensures better public health facilities, vaccine programs, and expanded rural healthcare access.
- ₹3,350 crore for minority affairs aims at inclusive growth and welfare schemes for underprivileged communities.
4. Business & Economy
- The massive increase in corporate affairs budget suggests an effort to streamline regulatory frameworks, ease business operations, and attract global investments.
- Increased coal and energy sector budgets indicate a transition towards energy self-reliance and sustainable resource management.
5. Research, Innovation & Digital Economy
- ₹38,613 crore allocated for science and technology aims to drive AI, robotics, and digital transformation in India.
- The launch of the National Geospatial Mission (₹100 crore) marks India's ambition in mapping technologies, smart cities, and advanced spatial data analytics.
A Growth-oriented and future-focused budget
The Union Budget 2025-26 clearly reflects the government's vision of economic growth, innovation, and global competitiveness. With a strong emphasis on infrastructure, defense, science & technology, and corporate growth, this budget sets the stage for long-term economic sustainability and sectoral expansion.
As India gears up for the next phase of development, these allocations serve as a crucial step towards strengthening domestic capabilities, fostering innovation, and improving overall economic resilience.
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