Editor's Letter: Prudent Growth Strategy

In a masterful blend of fiscal prudence and growth impetus, Union finance minister Nirmala Sitharaman has charted out a promising course with her budget proposals for the 2024-25 financial year. The Union Budget ensures fiscal consolidation even as it lays the groundwork for robust economic expansion. The Economic Survey 2023–24 projects a real GDP growth of 6.5-7 per cent for FY2025, buoyed by a confluence of global and domestic drivers.  I am confident that our readers will get a deeper insight into the budget through our easy-to-understand, yet in-depth features, columns and expert analysis. A pivotal aspect of this budget is the government’s commitment to a fiscal deficit target of 4.9 per cent, an improvement from the 5.1 per cent outlined in the previous interim budget, with an ambitious aim to drop below 4.5 per cent by FY 2025-26. This decisive step fortifies the nation’s economic resilience against global financial uncertainties.

Tax collections are anticipated to rise substantially, with an 11.2 per cent increase in the central government’s net tax revenue from the FY2023-24 revised estimates. While there is a slight reduction in net tax collections over the interim budget, this is primarily owing to higher state allocations from the gross tax revenue. The gross tax to GDP ratio is projected to rise to 11.8 per cent in FY2024–25, up from 11.6 per cent, to surpass conservative revenue estimates and enable future growth.  The budget proposes significant reforms in indirect and direct taxation to streamline the system and boost economic growth. The key measures include simplifying the Income-tax Act 1961, rationalising tax rates, revamping capital gains taxation and improving taxpayer services. The big takeaway from the Union Budget is this determined endeavour to encourage investment and create jobs! 

This issue also underscores the dynamic evolution of legal education in India with the coverage of the third edition of the BW Law School Rankings held by our community magazines BW Legal World and BW Education. Our focus remains steadfast on the stately domain of the legal profession, where education is undergoing a significant transformation to prepare students for the new and emerging demands of the profession.

An industry-law school interaction is highly sought after, with top law schools making commendable strides in this direction. There is, however, a collective realisation that the emphasis on being market-ready should not come at the cost of losing the foundational principles of law, which stem from deep research and a thorough understanding of jurisprudence.  For a more equitable assessment, we have also distinguished between government and private law colleges in our rankings.

 As always, we bring to you our regular columns and features. Happy reading!