Union Finance Minister Nirmala Sitharaman, in her Union Budget 2025-26 on Saturday, said the government is determined to ensure that the regulations keep up with technological innovations and global policy developments.
Photo: IANS
Union Finance Minister Nirmala Sitharaman, in her Union Budget 2025-26 on Saturday, said the government is determined to ensure that the regulations keep up with technological innovations and global policy developments.
A light-touch regulatory framework based on principles and trust will unleash productivity and employment. Through this framework, regulations will be updated that were made under old laws, she said in her budget speech in the Lok Sabha.
Advertisement
To develop this modern, flexible, people-friendly, and trust-based regulatory framework appropriate for the twenty-first century, Mrs Sitharaman proposed four specific measures:
Advertisement
— High Level Committee for Regulatory Reforms: A High-Level Committee for Regulatory Reforms will be set up for a review of all non-financial sector regulations, certifications, licenses, and permissions, she added. The committee will be expected to make recommendations within a year. The objective is to strengthen trust-based economic governance and take transformational measures to enhance ‘ease of doing business’, especially in matters of inspections and compliances. States will be encouraged to join in this endeavour.
–Investment Friendliness Index of States: An Investment Friendliness Index of States will be launched in 2025 to further the spirit of competitive cooperative federalism.
–FSDC Mechanism: Under the Financial Stability and Development Council, a mechanism will be set up to evaluate the impact of the current financial regulations and subsidiary instructions. It will also formulate a framework to enhance their responsiveness and development of the financial sector.
–Jan Vishwas Bill 2.0: The Government will now bring up the Jan Vishwas Bill 2.0 to decriminalise more than 100 provisions in various laws. In the Jan Vishwas Act 2023, more than 180 legal provisions were decriminalized.
”In the last ten years in several aspects, including financial and non-financial, our Government has demonstrated a steadfast commitment to ‘Ease of Doing Business’,” the Finance Minister said.
Advertisement
