Here follows a look at the four engines in some detail:
Agriculture: It was proposed that a new Prime Minister Dhan-Dhaanya Krishi Yojana would target 100 low-productivity districts, benefitting 1.7 crore farmers. A multi-sectoral rural prosperity programme would be set up for tackling under-employment through skilling and technology, it was announced.
Sitharaman talked about the launch of a six-year mission for pulses self-reliance, and informed that NAFED/NCCF would procure Tur, Urad and Masoor for four years.
A national programme for fruits and vegetables was proposed for raising production and enhancing supply chains. Bihar got a dedicated Makhana Board, alongside a National Mission on High-Yielding Seeds and a five-year Cotton Productivity Mission.
A sustainable development plan for fisheries was announced, with special focus on island territories. Credit support through KCC was raised to Rs 5 lakh, and a major urea plant was announced for Assam.
MSMEs: MSME classification thresholds were expanded. The FM proposed the issuance of ten lakh micro-enterprise credit cards with Rs 5 lakh limit.A Rs 10,000 crore Fund of Funds to support startups was announced, complemented by a targeted scheme for five lakh SC, ST and women first-time entrepreneurs.
Footwear, leather, toys and food-processing industries were given productivity-enhancing schemes in the budget. A National Manufacturing Mission was proposed with the aim to scale industry across sizes.
Investment: Human capital received significant focus, with measures such as: 1) 50,000 Atal Tinkering Labs, 2) broadband for all secondary schools and rural PHCs, 3) a Bharatiya Bhasha digital books scheme, 4) five new skilling centres, 5) IIT capacity expansion, 6) an AI Centre of Excellence and 7) 10,000 new medical seats.
It was announced that day-care cancer centres would cover all districts within a period of three years. Reforms for urban workers and gig-economy platform workers also featured prominently in Budget 2025-26.
To strengthen the investment thrust, the budget introduced these measures — 1) a PPP project pipeline, 2) Rs 1.5 lakh crore interest-free loans for states, 3) an expanded Asset Monetization Plan, 4) an extended Jal Jeevan Mission, and 5) a Rs 1 lakh crore Urban Challenge Fund.
Some of the other measures included: 1) A Rs 20,000 crore Nuclear Energy Mission for small modular reactors, 2) a revamped shipbuilding policy, 3) a Maritime Development Fund, 4) expanded UDAN scheme, 5) new airports in Bihar, and 6) mining reforms.
A second SWAMIH fund of Rs 15,000 crore was also announced for completing stalled housing projects.
Exports: An Export Promotion Mission, BharatTradeNet digital platform and a national GCC framework were announced in order to boost export competitiveness.
Financial reforms announced by Sitharaman for 2025-26 included: 1) 100% FDI in certain insurance companies, 2) rural credit scoring and 3) regulatory simplification.
In a major move on direct tax, the FM announced that no personal income tax would be payable up to income of Rs 12 lakh (i.e. average income of Rs 1 lakh per month other than special rate income such as capital gains) under the new regime.
This limit would be Rs 12.75 lakh for salaried taxpayers, owing to a standard deduction of Rs 75,000.
The budget also announced the rationalisation of TDS/TCS and extension of startup tax benefits to 2030. Changes made in indirect tax would serve to rationalise customs tariffs, boost domestic manufacturing and grant relief on life-saving drugs, Sitharaman said.