Finance Minister Nirmala Sitharaman, in her eighth consecutive Union Budget presentation on February 1, 2025, announced the PM Dhan Dhanya Krishi Yojana, a transformative initiative aimed at enhancing India’s rural economy.
The scheme will focus on 100 districts grappling with low productivity, moderate crop intensity, and below-average credit access. Implemented in collaboration with state governments, the first phase is expected to benefit 1.7 crore farmers, fostering sustainable livelihoods in rural areas and reducing distress-driven migration.
“Through the convergence of existing schemes and specialized interventions, the PM Dhan Dhanya Krishi Yojana aims to enhance agricultural productivity and ensure rural prosperity,” Sitharaman stated in her Budget speech.
Rural Resilience and Growth at the Forefront
Complementing this initiative, the government also announced a Rural Prosperity and Resilience Program targeting youth, women, and farmers. The program aims to empower marginalized communities by improving access to finance, modernizing agricultural practices, and strengthening rural infrastructure.
Agriculture Receives Consistent Budgetary Support
The Union Budget 2025 builds on the government’s continued focus on agriculture. In the previous Budget (2024-25), the Ministry of Agriculture and Farmers Welfare received an allocation of ₹1.52 lakh crore, up from ₹1.25 lakh crore in 2023-24—demonstrating steady growth in agricultural investments.
With agriculture contributing 17% to India’s GDP and employing over 50% of the population, the sector has witnessed a 5.4% CAGR in budgetary allocation since 2019-20. Compared to 2013-14, when the budget stood at just ₹27,662.67 crore, the allocation has increased nearly fivefold.
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