On July 23, Indian Prime Minister Modi announced the first central budget after this year's election. According to the budget, the Indian government raised the capital gains tax rate on stocks held for less than a year from 15% to 20%, the first increase since 2008. The capital gains tax rate on stocks held for more than a year will be increased from 10% to 12.5%, and the tax on equity derivatives transactions will also be increased. This is the first time in decades that the Indian government has made major changes to domestic taxes on equity investments and equity derivatives gains in an attempt to curb surging speculative trading.