She met, she heard but she belied our hopes belied, say hoteliers about FM Budget tunes.
BizNewsConnect presents a collection of opinion from across the sectors.
Gunish Jain, CEO, BlueKaktus-The Union Budget 2022-23 has significantly boosted the MSME sectors in terms of skilling and entrepreneurship. Moreover, the current budget inserts an emphasis on the small and medium-sized business sector, which contributes over 5% to total manufacturing output, 40% to exports, and nearly 30% to GDP. As a result of the government's interlinking of the MSME's Udyam, e-Shram, NCS, and Aseem portals, the growth factors have already widened. In addition, the government's initiative to boost the sector by allocating Rs 6,000 crore to the Raising and Accelerating MSME Performance (RAMP) program for MSMEs will help in improving competitiveness and productivity. Also, the increase in capital expenditure will help the industry recover quickly from the pandemic and improve private investment and create infrastructure. This is a step in the right direction. The increase in outlay for MSMEs will bring much-needed relief to SMEs and encourage them to grow.
Shrishti Bhandari, Chief Marketing Officer & Executive Director, Mangalam Information Technologies Pvt. Ltd.-The thrust on digitisation in the Union Budget augurs well for the post-pandemic world. In a heartening measure, the Budget gives a push to emerging technologies such as blockchain, drones, etc., and recognises animation, e-sports and gaming as sunrise sectors. Moreover, strengthening digital infrastructure through DESH stack e-portal and granting infrastructure status to datacentres will catalyse the growth of the Indian IT sector. Overall, the emphasis on tech-enabled growth is a major positive takeaway from the Union Budget. These, along with the implementation of the 5G and Bharat Net Optical Fibre scheme, will go a long way in revamping digital infrastructure in the country.
Jahan P. Jamas, Co-founder- Bombay Hemp Company: The 17% increase in budgetary allocation for Health sector represents the Union Govt's progressive approach towards ensuring the health of citizens receives greater prioritisation
The increase in allocation for Pradhan Mantri Ayushman Bharat Health Infrastructure Mission (PMABHIM), will greatly augment the growth of wellness centres, integrated public health labs, and critical care hospital blocks in districts with a population of more than 5 lakh
In the shadow of Covid-19, the National Tele Mental Health & programme announcement will come as a welcome relief to citizens across the nation whose lives have been drastically impacted by mental health based issues, particularly with 23 tele mental health centers to be set up for greater access
The impending roll-out of an open platform for the Nation Digital Health Ecosystem is a greatly welcomed move towards aggregation of pivotal health related data for the purpose of identifying solutions to reduce the burden of chronic diseases across the nation
The increased allocation to the Ministry of Ayush and it's premier institutes such as CCRAS strongly represents the Honourable Union Government's goals of supporting the research & development of traditional & integrative medicines which will help improve the lives of patients from across the nation.
Arun Misra, CEO, Hindustan Zinc - The growth-oriented and CAPEX-focussed Budget 2022 will boost the development of the economy at a higher rate post-pandemic. The demand for zinc is set to go up 6.2% annually, with a steady rise in usage of galvanised steel by various sectors, especially the railways that have been consuming about 18%. Overall infrastructure growth and defence research and development (R&D) will only increase the need for metals in manufacturing specialised high-grade equipment under the 'Atmanirbhar Bharat' vision. With the rise in demand for the usage of galvanised steel, the demand for zinc is likely to rise as a consequence. India is on the cusp of a major metals revolution, and this budget is set to make that happen.
Vinod Aggarwal, MD & CEO, VECV -We welcome the long-term focus in the budget on infrastructure & logistics development and modern vehicle technologies.
The Commercial Vehicle industry will benefit as trucks will play a key role in infrastructure development proposed under the PM Gati Shakti Plan, construction of highway network and other infrastructure projects. This in-turn will pave the way for modern trucks and buses to operate efficiently on Indian roads. Initiatives in the budget that strengthen the rural economy will further improve vehicle buying sentiment for a diverse range of passenger and commercial vehicles. EV battery standardization and the formulation of new interoperability standards will facilitate development of the EV ecosystem -particularly in the two-wheeler and last-mile delivery segments.
Overall, the Union Budget 2022 promotes digitisation and technological advancement, encourages sustainable development, and puts India on the path of progressive development.
Prasad Rajappan, Founder and MD, ZingHR -The Union Budget recognises the significance of emerging technologies in fostering economic growth. The reorientation of the skilling scheme is a critical step to reap the benefit of India's demographic dividend. Moreover, measures such as extending incentives to startups for one more year, One Nation, One Registration and a dedicated credit guarantee fund will propel startups and MSMEs in India. Emphasis on digital infrastructure through the DESH stack e-portal, the 5G rollout and completion of Bharat Net will provide a conducive framework for the growth of startups.
Anish Srikrishna, Chief Executive Officer, Times Professional Learning -The creation of the digital university will increase our Gross Enrolment Ratio in higher education and ensure a seamless transition for students to continue with their education while staying employed at the same time. The networked hub and spoke model is a great idea but would be stronger with edtech and the private sector participation on many parameters. Overall, the government's initiatives to create a digital ecosystem through skill development, e-content, and digital delivery demonstrate its focus to make learners future-ready and boost employability.
Lohit Bhatia, President, Workforce Management- Quess Corp -Further to the Union Budget 2022 announcement today, the Finance Minister confident of the rising tax and other revenue receipts has chosen a growth-focussed Budget aimed at pushing Capex spending upto 7.50 lakh crores and specific sectoral announcements that will create investment and job growth. The Budget has steered clear of any major additional strategic proclamations and seems to focus on execution rather than big-bang announcements.
Increasing focus on manufacturing-led PLI schemes which will enable over 60 lakh new jobs is a promising outlook for the sector. Data centres in India will be considered as part of the infrastructure sector, thus pushing both investment and employment generation in burgeoning industries such as cloud, analytics, and the like. Further, the Budget states for defence manufacturing, 65% must be sourced from domestic players over import, which acts as an incentive for the Indian workforce. The PM GatiShakti approach for economic growth will increasingly impact and boost employment generation across Roads, Railways, Airports, Ports, Mass Transport, Waterways, and Logistics Infrastructure.
Suggested projects in agriculture, manufacturing, solar engineering, roadwork, and EV engineering will also lead to consequential demand for jobs across these industries, encouraging opportunities for talent. Execution speed in Infrastructure, Healthcare, PLI and non-PLI based manufacturing sectors will encourage employment generation and thus enhance consumption thereby fuelling private sector investment.
Besides this, the announcement on the digital-led skilling mission that aims to connect through a portal skill providers and aspirants is an interesting thought. We look forward to the details of the implementation of the same, which is sure to enhance skilling companies as well as job-oriented courses.
Based on the Economic Survey presented in Parliament yesterday, given the confidence of India delivering a GDP of over 9% this year (in FY22) and achieve over 8.5% in FY23, as well as economic indicators that are clearly showing improving economic signs i.e., GST collection, robust corporate and personal income tax, toll collections, highest ever exports and imports each month, we are confident that the Government will continue to plan on the growth side rather than caution-only to tame inflation or fiscal deficit. Implementation of the pre-approved labour codes in a timely manner will be equally encouraging for India’s labour space in 2022.
Sandeep Singh, COO, SingleInterface - The key highlight in Union Budget 2022 is the announcement of the use of technology in every important project. From agriculture to education and overall governance, the use of information technology to drive efficiency is indeed a welcoming move, ensuring definitive ROI. The emphasis that the Budget has laid down on Ease of Doing Business 2.0 and considering that the National Retail policy is already in the works, will eventually bolster the retail- which is impactful when it is planned on a hyperlocal level to bring in potential customers in the long term.
Vikas Bhasin, MD, SAYA Homes -The Union Budget 2022-23 is progressive, providing a broad-spectrum boost to the economy, particularly with its emphasis on improving the country's infrastructure. The government has increased the Capex target by 35.4 percent, from INR 5.54 lakh crore to INR 7.50 lakh crore, potentially boosting overall spending for economic growth. The budget also emphasises the importance of appropriate urban planning, while simultaneously providing some assistance to states and keeping the budgetary deficit in check. Another significant plus is that the government's goal of creating 6 million new jobs over the next five years will allow residential real estate to expand across the country. In a post-covid era, it's a good budget since it hasn't altered the tax system, leaving individual discretionary incomes unaffected and the government has continued on its stated path to job creation. However, a few pressing issues in the real estate sector remain unaddressed such as granting the sector industrial status and tax breaks on home loans to enhance buyer confidence.
Anshuman Panwar, co-founder, Creditas Solutions - Union Budget 2022-23 has laid focus on promoting fintech and technology-based developments which will play a major role in boosting the digital economy. The introduction of 75 digital banking systems in 75 districts by scheduled commercial banks will empower the population digitally in a consumer-friendly manner, supporting inter-operability and financial inclusion. This will enable many consumers to experience digital banking for the first time at their convenience. When customers are empowered by digital experiences specific to their needs, the repayment process also becomes seamless and pain-free.
Manav Subodh, Managing Director, 1M1B (One Million for one Billion) -“As the budget encourages skills development & digitization. Reskilling and Upskilling will be key to getting students ready for digital jobs. Global trends suggest the evolution of the creator's economy. Soloprenurship and freelancing will be a big trend in the future. Digital and creators' skills can uplift many young job seekers and get them ready to be meaningfully employed without leaving their cities or villages. We need to focus on workplace experiences along with skilling, re-skilling and upskilling. This will drive the creators economy in India.
Sudarshan Jain, Secretary General, IPA Secretary General, Indian Pharmaceutical Alliance (IPA) -This is India's first post vaccination budget and the policy consistency is maintained. The planned increase in capital expenditure is likely to boost economic growth and employment. There is a thrust on macro areas like digital, VC-ecosystem, ease of doing business and supportive measures for R&D and industry-academia collaboration with Pharma included in the Sunrise sectors. The extension time limit for the commencement of business to claim benefits of concessional tax regime for manufacturing companies has been extended by a year to 31 March 2024. This will support the investment in pharma manufacturing. Details are being examined and the implementation will be key going forward.
Mehroo Vishu Tomar, Founder, The Oscar Collection by Mehroo’s Treasure -Union Budget's announcement to reduce import duty on cut and polished diamonds to 5 percent from the current 7.5 percent is a great move as it will further help in stabilizing the staggering jewellery industry. It would not only boost the morale of jewellers but also bring back the spark that has been missing from the industry due to the ongoing pandemic.
We are grateful to our finance minister for this significant initiative & welcome it with open arms. Furthermore, the Gem and Jewellery sector has lots of MSME companies that will further be benefitted from the extension of the Emergency Credit Line Guarantee Scheme (ECLGS) for MSMEs up to March 2023. Overall the budget is very satisfactory for our industry.
Rakesh Singh - MD & CEO, Aditya Birla Finance Ltd -Overall, the Budget announced today is a step in the right direction for a more progressive and developed India@100. A strong push towards capital expenditure will likely result in multiplier growth across various industries such as infrastructure, cement, steel, commercial vehicles, and manufacturing which is also a positive indication for the NBFC sector. Pandemic had adversely impacted the MSMEs; therefore, steps like the extension of ECLGS and enhancing entrepreneurship will be constructive in bolstering the MSME sector.
The allotment of Rs. 48,000 cr for completion of 80 lakh houses this year under the PM Awas Yojna will further boost the Affordable Housing segment. Also, digital adoption would enhance the digital lending across hinterlands of the country.
Anand Srinivasan, MD - Covestro India Pvt.Ltd -We welcome the FM’s take on clean and sustainable mobility by providing cleantech, special mobility zones with zero fossil-fuel policy and EV vehicles. We all know that plastics integrated electronics, thermally conductive plastics, signal transparency are here to stay as plastic will continue to support organic growth.
We have been collaborating with cross-industry players for alternate raw materials, innovative recycling, and joint solution development as a part of our vision to be circular and provide a holistic tool that enables humans to function efficiently. The possible challenge of availability of different skilled workforce aligned to the changing landscape of future mobility will be a challenge that industries will have to collectively tackle to usher in this new era of clean and sustainable mobility, which we wholeheartedly support.
Dr. Rakesh Gupta, Chairman, Sarvodaya Hospital, Sector 8, Faridabad -A bold budget that lays down a 25-year roadmap for India to become a truly digital economy. The announcement regarding establishment of National Digital Health Ecosystem is significant. It will make the health sector much more efficient and bring it into the modern age. Mental health has emerged as a silent epidemic in the last few years. Setting up a national tele mental health program to provide counselling and support to patients fulfills an urgent, long-felt need of an overlooked health challenge. Upgrading two lakh anganwadis with better infrastructure will have a positive effect on child health. I wish there was a significant increase in budgetary allocation to health for FY 22-23, considering how the Indian healthcare system struggled to meet the challenge of the epidemic. However, all in all, it is a very well thought out budget that will have a positive impact on the digital and health infrastructure of the country.
Rohan Bhargava, Co-Founder, CashKaro & EarnKaro -We’re happy that this year’s budget has reaffirmed the government’s faith in business, and startups in particular as major drivers of the Indian economy.
It’s a mark of confidence for India’s $46billion startup industry that the corporate surcharge has been reduced from 12% to 7%. This is a major game-changer that will enable companies to grow at a fast clip, make further investments and supercharge the route to the Indian economy’s $5 trillion target for 2025.
The major focus on investments in digital infrastructure such as the introduction of a blockchain-backed digital rupee, the inclusion of 5G and similar technologies in the production-linked incentive (PLI) scheme, digital platforms for skilling is also a big sign that the government believes that there can be no growth without technology.
The government’s proposal of setting up a task force for scaling up investments by venture capital and private equity, has contributed to 5.5 lakh crore investments in the last year alone. CashKaro being a digital-first business, we believe that tech-driven businesses like e-commerce companies, are the only way forward for agile growth and economic recovery, not to mention job-creation. We applaud measures such as the extension of the tax benefit scheme for startups until March 31, '23, as it will assist young startups in meeting their working capital requirements, particularly during the critical early years of their operations.
We’re also reassured by the projected growth rate of 8-8.5%, despite uncertainty brought up about Covid-19 pandemic. The large mop-up of GST in the month of January – the highest since the introduction of the tax in 2017 – just shows that investments are on the right track. Combined with the extension of the ECLGS scheme for MSMEs, the government has made a clear statement that it believes in the ease of doing business in the country.
Amit Gainda, CEO, Avanse Financial Services -Union Budget 2022 focused on some of the progressive pillars, which are inclusive development, productivity enhancement, energy transition, and climate action, and thus, it can be rightly termed as the Booster Budget 2022. Diverse structured announcements have been made to provide an impetus to the growth of the economy.
We believe that some of the announcements have the potential to impact the overall education and the education financing sectors positively.
Providing necessary support to the education ecosystem was an integral part of the Union Budget 2022. In the last two years, school and college closures had a significant impact on learning. The proposal for creating a digital university, designed to impart lessons in all regional languages through a network of ‘hub and spoke’, and the launch of new e-learning content delivery platforms will accelerate the expansion of the ed-tech segment, thereby contributing to a surge in the education sector.
The announcements such as the alignment of the National Skill Qualification Framework with dynamic industry needs, the launch of DESH-Stack e-portal, promotion of Drone-As-A-Service (DrAAS), Battery Swapping Policy to improve efficiency in the EV ecosystem will contribute towards the introduction of several new skill sets that young learners and professionals can embrace to be future-ready. We, as an education-focused organization, are geared up to support the aspirants to acquire the necessary skills to contribute positively.
Dayapatra Nevatia, COO and President at Infogain -As expected, thanks to digital tech's incredible support in helping India Inc. brave the pandemic, this year's budget takes a 'digital first' stance. A significant focus on new initiatives and progressive policy interventions, such as opening defence R&D, promoting drone start-ups, digital university, giving datacentres infra status will propel further adoption of technology across industries.
The budget highlights the Governments' focus on digital inclusion, quite evident with the introduction of the Digital Rupee. This progressive move will give a big boost to India's digital economy. This also reaffirms our vision and approach to leverage emerging technologies like blockchain to build future-ready solutions with our team at Nggawe Nirman Technologies (recent acquisition).
I believe digital literacy will be the key to realizing India's 5 trillion-dollar economy dream. To create a digital ecosystem for skilling and focus on digital inclusion through 5G and investment in technologies such as Artificial Intelligence and infrastructure, the government will continue strengthening the development of entrepreneurship, productivity, and quality of IT talent in the country, thereby scaling the adoption of new-age technologies across industries.
Dhiresh, Co-founder and CEO, Neem Tree Agro Solutions - The union budget 2022, caters well to the expectation of the farmers. Their pending MSP of 2.37 lakh crores for the Rabi season wheat and Kharif season paddy will be directly paid to them in their bank accounts, which I feel is an upright step. Availability of credit facilities has always been an area for the government to ponder upon and the budget 2022 deals with it in an effective way. Also key steps like introduction of domestic schemes to reduce dependency on oilseed imports and infrastructure development by railways for small farmers was the need of the hour and I feel good to see it being incorporated in the Budget.
The expectations of the agritech industry was exorbitant from this year’s Union budget and the Government has presented some great initiatives, which is in alignment with the expectations. The promise to finance start-ups in agriculture and rural enterprises for farm produce value chain in accordance with NABARD is praiseworthy. Use of Kisan Drones for crop assessments, land records and spraying of insecticides is very convenient.
We firmly believe that this year is going to be the year of ag-tech start-ups, the year is also important as this is the target year for doubling the farmers’ income.
Amit Gainda, CEO, Avanse Financial Services -Union Budget 2022 focused on some of the progressive pillars, which are inclusive development, productivity enhancement, energy transition, and climate action, and thus, it can be rightly termed as the Booster Budget 2022. Diverse structured announcements have been made to provide an impetus to the growth of the economy.
We believe that some of the announcements have the potential to impact the overall education and the education financing sectors positively.
Providing necessary support to the education ecosystem was an integral part of the Union Budget 2022. In the last two years, school and college closures had a significant impact on learning. The proposal for creating a digital university, designed to impart lessons in all regional languages through a network of ‘hub and spoke’, and the launch of new e-learning content delivery platforms will accelerate the expansion of the ed-tech segment, thereby contributing to a surge in the education sector.
The announcements such as the alignment of the National Skill Qualification Framework with dynamic industry needs, the launch of DESH-Stack e-portal, promotion of Drone-As-A-Service (DrAAS), Battery Swapping Policy to improve efficiency in the EV ecosystem will contribute towards the introduction of several new skill sets that young learners and professionals can embrace to be future-ready. We, as an education-focused organization, are geared up to support the aspirants to acquire the necessary skills to contribute positively.
Ruchir Arora, CEO & Co-Founder, CollegeDekho- The government’s continued focus on building a quality higher education ecosystem is encouraging. The reforms allowing foreign universities in India to offer courses free of domestic regulations and the introduction of a Digital University will help bring industry best practices enabling the students with better job opportunities. Also, Animation, Visual Effects, Gaming, and Comics (AVGC) sectors are very popular with the younger generation and have great potential for employability. It's great to see the government realise this and focus on building domestic capacity to serve both our markets and the global demand. This will further push the popularity of emerging technologies and business models among the youth fuelling our country’s vision of a Digital India.
Sushant Gupta, Founder & CEO of SG Analytics -The Union budget 2022 is certainly growth-oriented & futuristic as it covers different facets of technology and embraces digital adoption widely. Whether it is the introduction of a New Digital Rupee or Central Bank Digital Currency (CBDC), legitimizing private cryptocurrencies & NFT (with 30% tax imposition on virtual assets), Digital Universities, or Digitization of Post Offices, the list is ambitious and futuristic. The thrust and focus on digital technology are certainly welcomed and appreciated.
Also, very timely and heartening is the focus on inclusive development, energy transition, and climate action as three of the four pillars of development. I wholeheartedly welcome the decision regarding the provision of green jobs and the acknowledgment of new-age entrepreneurship and its drivers.
Yogesh Mudras, Managing Director, Informa Markets in India -This year, the Union Budget has been one of recovery and stabilization from the impact of COVID-19. The Budget has taken some initiatives for MSMEs and India Inc for start-ups. The extension of ECLGS scheme is a welcome move for MSMEs. The tax concession period has been extended by one more year, which in my opinion is a very positive move. A tax rate of 15% has been decided for the newly incorporated manufacturing unit which will further boost manufacturing activities. Healthcare and infrastructure were the main highlights of Budget 2022 and immense investment has been allocated for the expansion of roadways and logistics networks. Introduction of ‘Digital Rupee’ using blockchain technology sends a strong message that India is at the forefront of technology implementation. A digital currency issuance by the RBI will result in a structured approach with controlled regulation and bring in transparency to transactions enabling accounting of all money. The push on digitization will make way for more inclusion in the ecosystem. The focus on 'Ease of doing business' is a great step, as it will further promote entrepreneurship in the economy. India is to grow at 9.27%, the highest among all large economies. With a focus on contributing to the environment, chemical-free natural farming focusing on soil, biodiversity and human well-being is a welcome move. The budget is growth-oriented with an impetus on capital expenditure to fuel economic growth and employment generation. SEZ Act to be replaced with the new legislation is a much-needed announcement. Introduction of the battery swapping policy and recognizing battery and energy as a service will help to develop charging infrastructure and increase the use of EVs in public transportation. This would motivate businesses to incorporate EVs into their fleet and create new avenues for companies to venture into the business of battery swapping. The formation of a strong charging infrastructure alongside the highways across the country would promote the use of EVs for interstate travel. An additional allocation of Rs 19,500 crore to boost manufacturing of solar modules under the government’s flagship PLI scheme has the potential to create 60 lakh new jobs, while producing 30 lakh crore jobs during next five years. International travel has been severely impacted during the pandemic. We are pleased with the introduction of e-passports as it will provide a boost to the travel industry and add convenience. Extension of ECLGS scheme with an additional allocation for the hospitality sector is a positive move as it would help small and mid-size hotels overcome liquidity issues and pave way for growth.
Hitesh Doshi, CMD, Waaree Energies Limited -As an ardent believer of Energy Security through Renewable Energy with Aatmnirbhar Bharat, we bow with gratitude to the vision of GOI & believe that the announcements by Hon. FM in the budget dawn a new era for the Renewal and Solar Energy industry in India.
Both Demand and Supply side have been addressed along with forward looking announcements.
We welcome and express sincere appreciation for the clarity on BCD, expanding the pool for PLI for Solar manufacturing and initiatives which clearly outline the expedited deployment of solar in various segments with special focus on Rural sector and Smart cities.
Ankit Mehra, Founder & CEO,GyanDhan -The budget was a non-event from our viewpoint as an ed-fintech with nothing announced that could significantly impact the end consumer. Bringing the postal offices into the core banking system is definitely a huge positive as it should drive financial inclusion.
The budget emphatically laid out the vision for the education sector, from the plan of setting up a digital ecosystem for skilling to setting up a digital university, to allowing foreign universities in the Gift City. However, the budgetary allocation at 1.04 lakh crore, which is at an all-time high, is quite low to achieve these ambitious targets combined with the implementation of the NEP 2020 plan.
Shreyas Kudalkar - Managing Director at Kings Life Nidhi Ltd.-The budget for this year is a pleasant surprise, as it prepares India for the next stage of its long-term development. It is a logical continuation of last year's budget. The enormous rise in capital spending is the budget's main focus. It concentrates on areas that are just getting their feet wet in terms of development. This budget encourages India to embrace digital technology. There is a strong push for renewable energy incentives, as well as a greater focus on preventing infrastructure waste, in order to achieve a greener future. The government's goal of fostering corporate innovation through the development of a competent workforce for India's youth is a fantastic undertaking. In addition, the budget has a strong emphasis on infrastructure and logistics, which is a solid step toward ensuring that the economy not only recovers but also grows steadily over time. The recent relief for small businesses and startups is encouraging, and these, together with initiatives toward digitalization, will provide options for India's young population. It focuses on personnel upskilling and allocating funds to invest in new technology. Considering the rise in the usage of online education during the pandemic, the concept of a digital university with over 200 channels in several regional languages under the "One Class, One TV Channel" has a lot of potential for making India smarter.
Jaideep Mukherji, CEO at Smart Power India -Budget 2022 has clearly laid a major focus on the green energy transition, reducing carbon footprint, and inclusive economic growth. As we move towards a greener economy, the role of Distributed Renewable Energy as a catalyst in the empowerment of MSMEs, job creation, and reforms in agriculture will be crucial. New initiatives to encourage productive use of clean energy in rural areas driven by DRE can be of great value to the rural as well as the national economy.
Gurbaxish Singh Kohli, Vice President, Federation of Hotel & Restaurant Associations of India (FHRAI) -Though the Budget has been gravely disappointing, the extension of ECLGS with additional allocation to the crawling hospitality sector and provisioning an outlay of Rs.2 lakh crore through CGTMSE are the only relief measures provided as part of the Union Budget 2022-23. The special allocation through ECLGS will support the struggling sector to mitigate some of the pandemic-induced challenges and the CGTMSE scheme is expected to facilitate additional credit of Rs 2 lakh crore for micro small enterprises and expand employment opportunities. This move has come as a result of the multiple representations and extensive meetings FHRAI held with the authorities since the start of the pandemic. The Hon’ble FM acknowledged the massive losses incurred by the sector.
However, this is just a drop in the ocean for a sector that has been severely battered. Given the massive damages that decimated the entire sector’s ecosystem, these measures are not adequate to bridge the losses and offer impetus to the hospitality and tourism industry. The number of meetings we held with the Finance Ministry and other ministries led us to believe that they were surely going to announce some sort of specific relief for the industry but it is a huge disappointment that it has not come through.
We had requested the Hon’ble FM to allow domestic travel for individuals and corporates to be a deductible expense in their IT returns. Inclusion of Hotels and Tourism related sectors in the National Infrastructure Pipeline (NIP), Infrastructure status and Industry status for the Hospitality industry and allowing Input Tax Credit (ITC) for restaurants. These are equally crucial requirements for the hospitality industry. The industry has been requesting long-term credit facilities in view of the vulnerabilities and the time it would take for businesses to resume normalcy.
Lalit Beriwala, Director, Shyam Steel Industries Ltd . and Sr. Vice President , Merchants Chamber of Commerce & Industry -I welcome the Union Budget, 2022, which is balanced as well as target oriented. It envisages 9.2% growth covering every sector of country’s economy. The focus on promotion of digital economy, health, infrastructure, aviation, energy transition, climate action with an inclusive approach will spur country’s economic growth and improve the quality of life of the people. Besides stabilizing economy, it will accelerate steady growth. I am confident that the following budget provisions will go a long way for transition of India at 100.
Capital expenditure raised by 35.40 per cent from ₹ 5.54 lakh crore to ₹ 7.50 lakh crore is a landmark initiative for economic growth. Capping of Surcharge on long-term capital gains at 15% is also a welcome measure.
Interest free loan of Rs. 1 lakh crore for the States will help the States for robust economic growth benefiting the people.
The Union Budget that proposes to expand National Highways by 25,000 KM in 2022-23 is a welcome decision for Infrastructure development.
The PM Gatishakti National Master Plan costing Rs. 20,000 crore and encompassing 7 engines of development will also be a game changer to the transformation of Indian economy.
Emphasis on infrastructure development including five River Link Projects will ensure hassle-free movement of raw materials of the industries as well as distribution of finished goods across the country at a reduced cost.
Credit guarantee for two lakh micro and small industries aiming to create more employment opportunities is also a welcome measure.
68% capital procurement budget earmarked for domestic procurement will be a significant milestone to the achievement of the goals of Atmanirbhar Bharat Abhiyan and Make in India.
Earmarking of Rs.60,000 crore to cover 3.8 crore households in 2022-23 under Har Ghar , Nal se Jal programme and Rs. 48,000 crore for completion of 80 lakh houses in 2022-23 under PM Awas Yojana will also help the construction industries ( Steel, Cement, Chemicals etc.) to grow.
The proposal to extend “Steel Scrap Duty” for another year will benefit Western India who mostly uses scraps; revoking of anti-dumping on stainless steel will also benefit steel industry.
PM Development (PM-DevINE) initiative for North- East for infrastructural and social development projects with an initial allocation of Rs. 1500 crore will boost economic growth, trade and business and help mainstream NE areas.
Setting up of four Multimodal logistic Parks in different places, 100 Gati Shakti Cargo Terminals in three years will help to accelerate economic growth and boost industrial development.
Kavita Sahay Kerawalla, Vice-Chairperson, VIBGYOR Group of Schools -As the country faces its third year under the pandemic, the Union Budget's focus on further enhancing the digital teaching infrastructure in the country comes at an opportune moment. The announcement of 750 virtual labs in Science and Mathematics will strengthen simulated learning in the country and help promote critical thinking. The availability of high-quality e-content through Digital Teachers in vernacular languages via the internet, mobile phones, TV, and radio, can be instrumental in bridging the digital divide in learning. We also welcome the government's focus on initiating a competitive mechanism for developing high-quality e-content by teachers. Other than ensuring relevance and excellence in learning material, this initiative can empower and equip them with digital teaching tools, thus facilitating better learning outcomes.
Vinesh Menon - CEO Human Development & Social Impact Solutions, Ampersand Group -The Budget has been well framed across all sectors with adequate attention being given to Education too. We appreciate the decision to relook at the syllabus for agricultural universities as well as to revisit NSQF in order to meet recent industry needs in skilling and suggest attention be paid towards the areas of digital education delivery and relay. Increasing PM e Vidya through 200 TV channels deserves applause and adding a way to measure learning outcomes would greatly enhance its value. Similarly, digital universities with a Hub & Spoke model would work more efficiently with better wifi connectivity in villages.
If NEP 2020 needs to be implemented faster, governmental support in the areas of Public Private Partnerships, Impact Funding support to private players, regulations to allocate a portion of CSR funds compulsorily to education, SOPs for devices and technology enablers for education purposes as well as prioritising internet bandwidth for digitising government schools in rural belts would be invaluable.
To summarise, this is a good progressive budget for the country overall. Adding education reforms as an eighth engine to the PM Gati Shakti initiative would be a masterstroke.
Mayank Bathwal, CEO, Aditya Birla Health Insurance for the Post Budget -This year, the budget has kept growth at its core along with a focus on rapid digitisation. The announcement of the National Digital Health Ecosystem is a path breaking step that will aid in creating a digital backbone for an integrated healthcare delivery in India. This digitalisation drive will enable deeper penetration and acceptance of health insurance, improve accessibility while also making it affordable.
Saajan R. Thakkar - Chief Financial Officer, Kulfi Collective- Clear indication from the budget that the government wants to move fast on digitisation. Adoption newer technologies like 5G, AI, Geospatial systems and Drones, Semiconductors, etc. If 4G and Jio were a game changer in the last decade for the nation, so will be 5G as a technology and the various sectors that it will impact.
Also, initial thoughts around acceptability and taxability of digital currencies as an asset is welcoming for the industry as it was much awaited. It's just a glimpse though for now, further fine print of the law will only be helpful to determine the real implications for businesses and individuals who will be regularly dealing in these digital currencies.
Caleb Franklin, the founder & CEO at HeyHey! Global -Well, earlier we were very happy to see the announcement from the government on the digital currency initiative as well as the CBDC’s embracement of regulatory acts, changes as regards cryptocurrencies and digital currencies.
We truly believe that India will be the centre of the global Web3 innovation space simply due to a greater need and desire to embrace changes such as these.
As a celebrity company focused on helping build out retail and monetization opportunities for the biggest influencers in the country, we've already seen the power of Web3 and NFTs enhance the lives of entrepreneurs, celebrities and their customers at a great level. The recent news will help to make the current situation more transparent, more open, and hopefully, as we continue to learn more about the plan, it will lead to India becoming an even greater source of innovation in the coming web3 world.
Archana Surana, Founder and Director, Arch College of Design and Business -It is a progressive and forward looking budget as the Finance Minister made announcements for all the major sectors to pave the path of economic recovery and growth. Her recommendations to promote digitization in the education sector shows a futuristic approach towards teaching and learning to make world-class quality education available for all the students. Also skilling, upskilling and reskilling programmes will help boosting entrepreneurship in the youth of the country.
Prof (Dr.) Y.S.R. Murthy, Founding Vice-Chancellor, RV University, Bengaluru -We welcome the Union Budget presented by the H’ble Finance Minister. The focus on education sector will augur well for the country and put it firmly on the growth path over the next 25 years. The Digital DESH, Digital University initiative, One-Class-One channel through PM eVidya initiative for supplementary education in regional languages for rural development will ensure learning continuity during these troubled times. The 5G auction next year and fibre optic connectivity for last mile digital reach in rural areas will ensure inclusive growth. Overall, this is a growth-oriented budget with progressive initiatives. We are confident it will help revive our economy and lead to sustainable growth in the years to come.
Archana Surana, Founder and Director, Arch College of Design and Business -It is a progressive and forward looking budget as the Finance Minister made announcement for all the major sectors to pave the path of economic recovery and growth. Her recommendations to promote digitization in education sector shows a futuristic approach towards teaching and learning to make world-class quality education available for all the students. Also skilling, upskilling and reskilling programmes will help boosting entrepreneurship in the youth of the country" by Archana Surana, Founder and Director, Arch College of Design and Business.
Dr. Vivek Desai, Founder & MD, HOSMAC -Whilst one welcomes the FM's point on creating a National Digital Health Ecosystem which will be beneficial in the long-run and creation of Tele Mental Health centres. However, except for doubling allocation for the Ayushman Bharat from Rs 3199 cr to Rs 6412 cr, there isn’t much stimulus for the healthcare sector. This is surprising as everyone was hoping that healthcare infrastructure creation will get a boost in some way after two continuous years of pandemic that hit the healthcare sector. One may need to evaluate the fine print of health budget allocations to see how the funds have been allocated. India’s glaring need is to create more hospital beds and increased skilling of medical and paramedical human resources to service these beds.
Tejas Kusurkar, Co-founder and CEO, Offgrid Energy Labs - Budget 2022 has laid a strong emphasis on promoting digital and technological innovations across sectors. The three identified focus areas of technology led development, energy transition and climate action will create a conducive environment for deep tech innovators operating at the intersection of technology and energy to flourish in the country. An allocation of Rs 19,500 crores towards solar energy PLI schemes will spur large-scale demand for the next level of stationary-energy-storage capacities. This will unravel an entirely new ecosystem comprising of battery technology innovators, energy storage platforms, as well as manufacturers and service providers across the energy value chain. At Offgrid Energy, we are particularly excited at prospects unfolding for deep tech companies in the energy storage space.
Dr. Angeli Misra (MD Path), Founder & Director, Lifeline Laboratory -The diagnostics industry has been ignored in the new budget. There is a deep sense of disappointment at no significant allocation of additional funds to boost India’s healthcare infrastructure. The diagnostic equipment manufacturing industry continues to bear a heavy tax burden, as there is no reduction in customs and excise duty and tax exemptions on imports for an industry that is heavily dependent on imports (86%). The launch of an open platform for a National Digital Health Ecosystem, a focus on building domestic capacities by encouraging public-private partnership, and the promotion of R&D to provide universal access to health facilities for all, is however, a welcome move.
Vinay Thadani - Chief Financial Officer, Vishal Fabrics Ltd -The Budget highlighted India’s positive growth rate of 9.2%, which is the highest among other large economies. Capital expenditure was increased by 35.4% to 7.5 lakh crores as is a key driver to bringing sustainable economic revival and generating jobs for the youths. The budget provided additional allocation of Rs. 50000 crore under Emergency Credit Line Guarantee Scheme (ECLGS) which benefited more than 130 lakh MSMEs from the Emergency Credit Line Guarantee Scheme (ECLGS) and the Credit Guarantee Trust for Micro and Small Enterprises (CGTMSE) plan. Exemptions are being provided to encourage exports on items such as embellishment, trimming, fasteners, buttons, zipper, lining material, specified leather, furniture fittings, and packaging boxes that may be required by bona fide exporters of handicrafts, textiles and leather garments, leather footwear, and other goods. The production linked incentive (PLI) in 14 industries is expected to create 60 lakh jobs with the potential to produce 30 lakh crore in production over the next five years.
Daniele Russolillo, COO & Deputy CEO at Planet Smart City -Budget 2022 displays the governments ambitious expansion of EV infrastructure for faster, smoother transition into the EV ecosystem, which is definitely a welcome move on many fronts. This move impacts sustainable living and further accelerates usage of electric vehicles, pushing India towards green transportation. Interestingly, this also opens the doors for real estate sector to offer advanced prop tech enabled homes across segments. Homes of tomorrow will not only need to be connected and secure, but also more green with infrastructure to support EV charging.
The larger narrative for India is to enable a potentially strong and self-sufficient industry, with allocations ranging from Rs. 48000CR for housing under PMAY, which will help to create 80 lakh residences and help the government address the country's affordable housing challenge, to Rs.19,000 CR for PLI for solar modules. India's commitment to green energy will start to be supported by the provision of Rs. 1,400 crore for hydro and solar projects. Green Energy and Clean Mobility technology will further elevate The country’s roadmap towards a more inclusive economy with more “young” jobs. The new policy announcement for battery swapping to stimulate the adoption of electric vehicles will fasten the transition to electric transportation, making it necessary for real estate developers to provide charging stations as an added amenity for new-age home buyers.
Kshitish Nadgauda, Senior Vice President & Managing Director (Asia) (Louis Berger International) -The Budget has the necessary long-term vision with the horizon established as India@100 and has a clear focus on infrastructure development. With Gati Shakti, involving the seven engines from roads to mass transit, the current budget has the right emphasis on infrastructure to drive rapid and inclusive economic growth.
For the infrastructure industry, the allocations for various infrastructure sectors and projects are welcome and will pave the way for increased efficiency in logistics and supply chains and enhance the competitiveness of the Indian economy. In addition, the budget is clearly in favor of increased private investment, and PPPs. For citizens, the Budget promises safe, convenient, and cost-effective multimodal transportation not only in Tier I but also in Tier II cities and towns. The ambitious 25,000 km expansion of national highways, and announcement of intended investment in light rail and metro lite in Tier II cities and towns and as feeder networks in Tier I cities will rightly increase the share of public transport in urban areas, thereby contributing to sustainable development.
A key aspect of the Budget with its focus on investment in infrastructure, urban and housing development, and river-linking, and transportation projects is that it should drive employment and create thousands of much-needed jobs. Increased employment coupled with the greater efficiency in the movement of people and goods would likely bring down inflation. Overall, it is a positive, promising and job-driven budget that has all the elements to revive the economy and revitalise society.
Vidya Sagar Gannamani, Chairman and Managing Director, Adecco India -The Union Budget clearly seeks to prioritize the revival of the economy with emphasis on crucial enablers such as digitization in the financial and healthcare sectors, technology-enabled education, and skilling the workforce to create job opportunities. While the extension of productivity linked incentives in various sectors has been a welcome move, the government must continue investing in skilling initiatives to increase employability and enable rapid redeployment. Finally, with the emphasis on creating jobs in the government and PSU sector, we believe there will also be more formalization of jobs in the private sector.
Harleen Gulati, Founder Totally Infuzd -The pandemic led to a decline in the retail sales of tea, as a majority of the population resorted to making it at home. But with the return to normalcy, and uplifting of the lockdown, the tea industry is expecting better sales. This will also be boosted with the help of the budget.
Tarika Batra, Owner & Director Tarika Hotels -The increased budget for the hospitality services, offers a new chance at growth in the industry. The pandemic was followed by a stagnation period in the travel industry and the improvement in the budget will help in the restoration of the business.
Nidhi Ojha, Co-founder Premium Bionaturals -The pandemic has led to a spike in the demand for sanitisation, cleaning and health products. The high sales volume are likely to follow through for the rest of the year and maybe even the next few years. The increase in the budget for sectors of infrastructure and mobility will help in strengthening our connectivity in rural areas as well, which is a win-win for everybody.
Anish Garg, Co-founder Abbzorb -The focus of the annual budget on the healthcare sector is highly appreciated. Due to the pandemic and work-from-home, physical health has suffered greatly. The increased budget shows the government’s efforts to make healthcare a primary concern.
Shashank Kumar, CEO and Co-founder – DeHaat -The Union budget 2022-23 comes with many welcome moves that will bode well for the agriculture sector at large. Farmers stand to benefit greatly from the supply of tech and research-oriented services that agritech Startups, in conjunction with the government, can provide. Furthermore, government initiatives to drive funding across agritech Startups mark a step in the right direction towards uplifting the sector and encouraging more agri-preneurs to enter the market. With the focus on Kisan Drones as part of the inclusive development, for crop assessment, digitisation of land records and to drive efficiency across various aspects of farming also comes as a progressive move that encourages the incorporation of new-age tech into the agricultural framework. Government support in improving supply chain logistics, digital payments, irrigation facilities and the announcement about the launch of a scheme of PPP mode, etc., are all much-needed changes that will be pivotal in defining the way forward. Additionally, the focus on chemical-free, sustainable farming is a welcome move that will reap results over the period.
Santanu Agarwal Deputy Chief Executive Officer at Paisalo Digital Limited -The budget showcases India’s vision on creating a Financial Inclusion along with Digital India walking hand in hand with Public-Private Partnership’ leading to the creation of ‘Atmanirbhar Bharat’ and with its blueprint of ‘Amrit Kal’. Key announcements on technology, innovation, research, and development are steps in the right direction that will enable India to become a Global Leader and Hub in Fintech and talent, thereby ensuring India achieves its Economic and Digital growth.
Dr. Vijay Patil, Chancellor of DY Patil University, Navi Mumbai -The government's 'equal education for all' approach can positively change the dynamics of the education sector and can transform the country into a centre of education excellence.
The newly announced formation of a digital university to provide access to world-class education to Indian students will go a long way in making education accessible and student-friendly. The inclusiveness of digital learning citing the prolonged closure of schools will also play a catalyst in the academic development of the students in the country and speed up academic recovery caused due to the pandemic. Additionally, the proposed 'hub and spoke' model will diminish any gaps in the system caused due to language barriers and the regional language syllabus will make education a home-coming experience for students especially in rural India. Also, collaboration of the university with central universities in the country will not just provide the required digital infrastructure and training but will be able to forge deeper connections with students through customized and local experiences.
Furthermore, the roll out of 5G services by 2022-23 is likely to boost connectivity especially in the rural areas and most crucially will assist in flexible learning infrastructure. The expansion of SWAYAM PRABHA TV under the PM e-vidya scheme from 12 channels to 200 will enable states to provide supplementary education and empower them to build youth with 'future-ready' skills, the nucleus of economic growth and development. New skill development courses will also help in bridging the skill gap in the country while equipping human resources with the knowledge and expertise to fulfil 'jobs of tomorrow.'
Also the implementation of the Production Linked Incentive (PLI) Scheme will encourage the formation and growth of more indigenous brands necessitating the need for talent that can propel the speed of development by minimizing time on 'on-the-job' learning.
Dr. Kishore Indukuri, Founder & MD, Sid's Farm -We at Sid's Farm welcome the initiatives for farmers in the Union Budget of 2022. As a boost to our vision of natural farming, the Government has announced promotion of chemical-free natural farming throughout the country. That the Government will launch a scheme of PPP mode with the involvement of public sector research and extension institutions along with private agritech players and stakeholders of agri value chains, is also an encouraging step towards creating efficient building blocks and greater reach. All in all, a good budget for the agri sector.
Mahavir Bafna - CEO, Bafna Pharmaceuticals Limited -Digitisation of the national health ecosystem is a welcome move announced in the Budget. Digitisation of health registries of health providers and facilities will help the beneficiaries access to health facilities, especially in rural India. This will positively impact the pharmaceutical companies also, it being an integral part of the healthcare sector.
Nandan Kundetkar, CSO (Chief Scientific Officer) of Femto Green Hydrogen Ltd -The Government's impetus to the private sector to create sustainable and innovative business models for battery and energy as a service, will create enormous innovative opportunities in the Electric Vehicles ecosystem. Particularly, on the energy front, more options such as green hydrogen and EV sector will come into vogue, which will improve efficiencies and entail more investments into the sector. Currently, the green hydrogen production is only five percent worldwide and the same should increase gradually.
In the EV sector, more options such as quick charging, charging stations for the home segment, decarbonised public charging booths and its application in the EV segment would boost the prospective investment into the sector. The focus should be more on reducing the distributed road-carbon-emission caused by the normal fossil fuel-based vehicles. But in the pursuit, the EV sector should not become a satellite centre for carbon emission. But, on a positive note, introduction of the new battery swapping policy will increase the use of electric vehicles and achieve broader decarbonisation goals. It is a big step for EV adoption in line with India's net zero emission goals by 2070.
Further, energy transition initiatives and focus on reducing carbon footprint by enhanced funding will create space for technologies like green hydrogen, as it is directly related to climate change actions. Issuance of green bonds to bring investment into the sector speaks about the Government's resolve towards developing a low carbon strategy. It also added the inclusion of energy storage in the Harmonised List of Infrastructure will facilitate quick and cheaper finance to electric vehicle (EV) battery makers."
Prithipal Singh - Director & Head Business Development, Aequitas Investment Consultancy Private Limited -The budget is forward looking and one that is focused on propelling the Indian economy forward post COVID . With its focus on Capex , an increase of 37% over last year and infrastructure development ( PLI for Solar and defence manufacturing added to the earlier 13 sectors) its addressing the twin needs of the Indian economy that of Generation of employment across sectors and debottlenecking through creation of better networks – whether physical or digital.
The Govt has also kept a keen eye on the Fiscal deficit which has been budgeted at 6.4% , down from 6.9% this year - this too is in line with the enhanced Fiscal deficit limits that the house passed last year due to COVID. The higher number will surely help revive the economy.
Focus on PM AWAS yojana helping generate employment as also creating housing for the lower end of the economic strata.
Akhil Gupta - Head of Technology/CTO, Faballey -The amount of focus technology has received in this budget is truly a wonderful and welcome step towards a great future. The introduction of the digital Rupee based on blockchain will give a tremendous boost to the whole cryptocurrency and blockchain ecosystem by providing legitimacy and formal acceptance. Blockchain, which can be used to solve i
