New Delhi: Prime Minister Narendra Modi addressed the nation on September 21, extending Navratri greetings and declaring the dawn of India’s “Festival of Savings” with the launch of next-generation GST reforms. Effective from September 22, the reforms will simplify the tax structure, leaving only two major slabs 5% and 18%—and reduce costs on a wide range of essential goods and services.
The Prime Minister emphasized that these reforms represent not just an economic change but a people-centric move under the spirit of Nagarik Devobhava. Food items, medicines, soaps, health and life insurance, and other everyday necessities will either be tax-free or brought into the 5% bracket, replacing most of the previous 12% category. Modi underlined that nearly 99% of items taxed at 12% are now shifted to the lower slab, promising relief for households across the nation.
Highlighting the reforms’ impact, Modi said the combined effect of income tax relief and GST reduction would lead to national savings exceeding ₹2.5 lakh crore annually. This, he declared, is why the reforms are rightly called a Bachat Utsav. The reforms also align with the government’s broader vision of Aatmanirbhar Bharat, urging citizens to choose products that are made in India and strengthen the country’s self-reliant journey.
The Prime Minister also noted the reforms’ importance for India’s MSMEs and cottage industries, long regarded as the backbone of the economy. Lower GST rates and simpler compliance procedures are expected to increase sales, reduce tax burdens, and enhance global competitiveness of Indian manufacturing. Modi called upon citizens and states alike to embrace the Swadeshi spirit “I buy Swadeshi, I sell Swadeshi” and ensure every household becomes a symbol of self-reliance.
Concluding his address, Modi expressed confidence that the GST reforms would accelerate India’s growth story, attract investment, and ensure equitable development across states. He extended festive greetings, noting that from the first day of Navratri, India is stepping into a new economic era marked by greater affordability, inclusivity, and national pride.
