Union Budget 2025: Analysis With A Legal Perspective

India's Economic Growth
India continues to hold the title of “One of the fastest growing economies” in the world. Over the past decade, the country has made remarkable developments and implemented significant structural reforms, gaining confidence and trust of neighboring states. The next five years are seen as a golden opportunity that would lead to “sabka vikas” (inclusive growth that uplifts every region and every citizen).
Jan Vishwas Bill 2.0: Simplifying Business Laws
The Jan Vishwas Bill 2.0 is derived from the Jan Vishwas (Amendment of Provisions) Act, 2023, making it easier for businesses and entrepreneurs. This initiative is designed to decriminalize over 100 offences, simplify numerous business laws, and trim legal complexities. The Department for Promotion of Industry and Internal Trade (DPIIT) is actively working on revising rules and regulations across various government departments to streamline legal compliance, encourage entrepreneurship, and create a more welcoming business environment.
Healthcare For Gig Workers: Pm Jan Arogya Yojana
Under the PM Jan Arogya Yojana, the government is expanding healthcare coverage to support gig workers. This initiative ensures financial protection during medical emergencies for workers who often lack healthcare coverage. The e-Shram portal is the heart of this initiative, ensuring that gig workers are properly registered and recognized to avail its benefits. Companies like Zomato, Blinkit, and Urban Company have already introduced their workforce to the platform, marking a significant step toward securing gig workers' rights.
Bharat Trade Net (Btn): Enhancing Cross-Border Trade
Bharat Trade Net (BTN), a cutting-edge digital public infrastructure, is created to simplify trade documentation and improve global trade. It is responsible for aligning with international trade conventions and making cross-border payments smoother, more efficient, and transparent, reflecting India’s commitment to making trade more accessible for businesses of all sizes.
Increased Fdi Limits In The Insurance Sector
To attract more foreign investments, the government has raised the Foreign Direct Investment (FDI) limit in the insurance sector from 74% to 100%. Companies investing the entire premium in India will benefit from this policy, with a review of associated conditions to further simplify regulations.
Fast Track Mergers
The government is committed to fostering a business-friendly environment by streamlining the process for company mergers, speeding up approval procedures, and making business operations easier and more efficient. This will widen the scope for fast-track mergers, allowing businesses to adapt and grow more quickly.
Empowering Msmes
Micro, Small, and Medium Enterprises (MSMEs) form the backbone of India's economy. The government is revising the classification criteria for MSMEs to allow more businesses to qualify for government benefits and schemes. The Credit Guarantee cover has been raised to ₹10 crore, unlocking ₹71.5 lakh crore in funding over the next five years. Additionally, a new term loan scheme offers up to ₹220 crore to MSME exporters to enhance global competitiveness. Micro-enterprises registered on the Udyam Portal will receive tailored credit cards with a ₹25 lakh limit for easier access to working capital.
Supporting Startups
The government has launched a ₹10,000 crore fund to support startups, encouraging MSMEs to thrive and compete globally while attracting additional investments. A new scheme focusing on first-time entrepreneurs offers a term loan of up to ₹20 million over five years, with special provisions for women, scheduled castes, and scheduled tribes. This initiative aims to provide funding as well as opportunities for all aspiring entrepreneurs.
Agricultural Reforms
Agriculture is the backbone of India, and the government is committed to making it stronger and more sustainable. The launch of national missions on high-yielding seeds focuses on developing pest-resistant and climate-resilient seeds. The Prime Minister Dhan Dhaanya Krishi Yojana promotes sustainable farming practices with supportive policies for land use, water rights, and environmental conservation.
Infrastructure Development
Infrastructure is crucial for a thriving economy. The government is committed to building a stronger and more connected India. Infrastructure ministries will develop a three-year project pipeline under the Public-Private Partnership (PPP) model, encouraging collaboration between public and private sectors to turn ambitious infrastructure plans into reality.

This Union Budget reflects India's unwavering commitment to fostering an inclusive, business-friendly environment while ensuring sustainable development across all sectors. It is a roadmap for growth that leaves no one behind, paving the way for a brighter, more prosperous future.