Nirmala Sitharaman presented the Union Budget 2024 today for the Modi 3.0 government. Earlier in the year, on February 1, Sitharaman had presented the Interim Budget in her capacity as the Finance Minister.
We at DH Web Team told Artificial Intelligence -- ChatGPT, Claude, and Perplixity -- to analyse her two speeches and note how and if the sentiments and focus had changed for the Narendra Modi-led government in the Budget presented ahead of the Lok Sabha elections and the one presented after the NDA government returned to power with heavy electoral reversals in key states.
Here are the responses the engines generated.
ChatGPT response
Comparing Nirmala Sitharaman’s Interim Budget speech from February 1, 2024, with her Budget speech from July 23, 2024, reveals significant changes in sentiment and focus before and after the Lok Sabha elections.
The Interim Budget speech carried a tone of optimism and hope, emphasising promises and initiatives aimed at garnering public support ahead of the elections. It highlighted schemes targeting key voter demographics, such as farmers, youth, and women, with a focus on immediate benefits and welfare measures.
Post-election, the tone has shifted to one of confidence and stability. The speech expressed gratitude for the public’s support and trust, underlining the government's commitment to fulfilling its long-term vision of a "Viksit Bharat" by 2047. It focused on consolidating and expanding initiatives rather than introducing more populist measures.
In the Interim Budget, emphasis was placed on immediate relief and support. Key highlights included higher Minimum Support Prices (MSP) for crops, extension of the Pradhan Mantri Garib Kalyan Anna Yojana, and schemes for women and youth empowerment. The focus was on addressing pressing issues and providing tangible benefits to secure votes.
In the Union Budget, the focus shifted to sustainable and inclusive development. The speech outlined a comprehensive roadmap with nine priorities, including productivity in agriculture, employment and skilling, inclusive human resource development, manufacturing and services, urban development, energy security, infrastructure, innovation, and next-generation reforms.
This reflected a strategic shift from short-term gains to long-term economic growth and stability.
GPT analysed that the Interim Budget speech highlighted populist measures such as direct financial assistance to farmers, higher MSPs, and increased budget allocations for key welfare schemes.
Such populist measures were aimed at addressing immediate economic concerns and winning public favour.
Meanwhile, in the Union Budget, structural reforms took centre stage, with a focus on enhancing productivity, developing climate-resilient agricultural practices, promoting digital infrastructure, and boosting private sector participation. The government emphasised reforms in land administration, labour markets, financial sectors, and urban planning to drive economic efficiency and growth.
The Interim Budget addressed economic challenges such as inflation, unemployment, and the need for fiscal prudence amidst pre-election uncertainty. The speech reassured the public of the government's commitment to economic stability and growth.
With electoral uncertainty resolved, the Union Budget's focus was on capitalising on the stable political environment to drive transformative economic policies. The speech underscored India’s resilient economic performance amidst global uncertainties and outlined strategic investments in infrastructure, education, and technology to sustain long-term growth.
In summary, Nirmala Sitharaman’s Budget speeches reflect a strategic shift from addressing immediate electoral concerns in February to implementing a comprehensive, long-term development agenda in July, post the government’s electoral victory.
The transition highlights a move from populist measures to structural reforms aimed at achieving long-term and sustainable economic growth and stability.
Claude response
Comparing the full Budget speech from July 2024 with the Interim Budget from February 2024, there are notable differences in focus and sentiment, the generative AI said.
The full Budget speech opens by acknowledging the government's re-election for a historic third term, reflecting a more confident tone. While the Interim Budget focused on four key groups ('Garib', 'Mahilayen', 'Yuva', and 'Annadata'), the full Budget outlines nine comprehensive priorities for long-term development.
The full Budget places significantly more emphasis on employment and skilling, introducing the Prime Minister's package of 5 schemes targeting 4.1 crore youth over 5 years. There's also increased attention to regional development, particularly in the eastern states, with the introduction of the 'Purvodaya' plan and specific allocations for Bihar and Andhra Pradesh.
The Union Budget proposes more extensive economic reforms, including a comprehensive review of the Income Tax Act and changes to capital gains taxation. While infrastructure was important in both budgets, the full Budget provides more detailed plans and higher allocations for various infrastructure projects.
The full Budget also elaborates on energy transition plans, including nuclear energy and advanced thermal power plants, showing a more comprehensive approach to energy security. Claude added that it introduces more significant tax changes, including reductions in customs duties and modifications to personal income tax slabs.
The full Budget repeatedly references 'Viksit Bharat' (Developed India) and plans towards 2047, indicating a longer-term perspective post-elections. It also reaffirms the government's commitment to fiscal consolidation, aiming for a deficit below 4.5 per cent next year, showing continuity with pre-election plans.
Overall, the full Budget appears more comprehensive, reform-oriented, and confident in its approach, likely reflecting the government's strengthened mandate post-election. It maintains some continuity with the Interim Budget but expands significantly on various fronts, particularly employment, regional development, and economic reforms.
Perplexity response
The comparison between Nirmala Sitharaman's Interim Budget speech delivered on February 1, 2024, and her Full Budget speech on July 23, 2024, reveals significant shifts in sentiment and focus, particularly influenced by the political context surrounding the Lok Sabha elections.
In the Interim Budget, the tone was cautious yet optimistic, emphasizing continuity and stability in policies as the government sought to reassure the electorate ahead of elections.
Sitharaman highlighted the government's achievements over the past years and aimed to maintain public confidence. She focused on welfare schemes for the poor, women, and farmers, reflecting a sentiment of inclusivity and social justice. The language used was more about consolidating support and ensuring that the benefits of government policies reached the grassroots level.
Conversely, the Union Budget speech exuded a more assertive and confident tone, reflecting the government's re-election and mandate for a third term. Sitharaman expressed gratitude for the public's trust, which set a more triumphant backdrop for the proposed policies. The emphasis shifted to ambitious developmental goals, such as "Viksit Bharat" (Developed India), indicating a long-term vision rather than short-term electoral considerations.
The sentiment here was one of empowerment and progress, aimed at capitalizing on the electoral victory to push for transformative changes.
The generative AI noted some of the key focus areas in the Interim Budget.
Welfare Schemes: Strong emphasis on extending existing welfare programs like the Pradhan Mantri Garib Kalyan Anna Yojana, targeting the immediate needs of vulnerable populations.
Agricultural Support: Highlighted measures for farmers, including higher Minimum Support Prices (MSPs) and direct benefits to ensure food security.
Social Justice: Focus on marginalised groups, particularly women and youth, with initiatives aimed at enhancing their socio-economic status.
Meanwhile, the Union Budget focused on other key areas.
Economic Growth and Employment: A clear pivot towards employment generation and skill development, with the introduction of five major schemes aimed at benefiting 4.1 crore youth over five years. This reflects a proactive approach to address unemployment and skill gaps.
Infrastructure and Development: The Full Budget outlines extensive plans for infrastructure development, including urban development and energy security, indicating a broader vision for national growth.
Long-term Vision: The focus on "Viksit Bharat" and sustainable development strategies showcases a commitment to long-term economic stability and resilience, moving beyond immediate welfare to structural reforms.
In summary, the transition from the Interim to the Full Budget reflects a shift from a defensive, welfare-oriented approach to a more ambitious, growth-centric agenda. The sentiments have evolved from caution and reassurance to confidence and empowerment, aligning with the government’s renewed mandate post-election. This strategic pivot aims to leverage electoral success to implement comprehensive reforms that promise to transform India's economic landscape.
[Note: AI-generated responses are not always accurate. The copy does not attempt to directly analyse the Budget, but see how AI compares the Interim and full Union Budgets. The content here has been generated by AI and edited for stylisation by the DH Web Team]
Union Budget 2024 LIVE | Making a record for any Finance Minister, Nirmala Sitharaman presented her 7th consecutive Union Budget on July 23, 2024 under the Modi 3.0 government. This Budget brought tax relief for the middle class, while focusing on jobs through skilling, incentivising employers. Track the latest coverage, live news, in-depth opinions, and analysis only on Deccan Herald. Also follow us on WhatsApp, LinkedIn, X, Facebook, YouTube, and Instagram.