Bizmen hail government’s dedication to fostering innovation and technological growth.
Warren Harris, CEO & MD, Tata Technologies: We commend the Indian government’s recent budget, which places a significant emphasis on youth skill development and employment opportunities. The proposed initiative to equip 20 lakh young people with relevant skills over the next five years is commendable and timely, representing a strategic vision for the future. The commitment to upgrading over 1,000 ITIs is a welcome step forward in recognizing the importance of vocational training and upskilling to address the skill gap. This budget underscores the critical role of youth upskilling as an economic driver, providing a much-needed boost to India’s growing workforce and empowering the government’s Make in India initiatives.
At Tata Technologies, we are committed to engineering a better world for our youth by supporting and enhancing these upskilling efforts, ensuring a future-ready workforce with the skills necessary to thrive in an evolving industrial landscape. With our established record in transforming government ITIs to technology hubs for upskilling youth on in-demand skills including Industry 4.0, we are keen to collaborate with the government to design and implement effective STEM-focused skill development programs. Our expertise in industry-specific training courses will be invaluable in this initiative.
Rohit Taneja, Founder and CEO, Decentro: The 2024 Union Budget showcases the government’s dedication to fostering innovation and technological growth. It focuses on SMEs and manufacturing with initiatives like the self-financing guarantee fund and enhanced PSB capabilities for the SME assessment. A five-scheme package supports financing, regulatory changes, and technology, amplifying Make In India movement that is a huge tail wind for infrastructure building companies like us.
These measures, coupled with the extension of tax benefits for startups, indicate a promising environment for digital growth. At Decentro, we see this as a prime opportunity for fintech to contribute deeper across India’s digital infrastructure and double down on the technology-driven reforms that have boosted productivity and financial inclusion over the last decade.
We are particularly excited about the potential to leverage these initiatives further to enhance the fintech infrastructure and drive seamless integrations across banking.”
Sagar Gupta, Director, Ekkaa Electronics: As our FM Nirmala Sitharaman outlaid the Modi 3.0’s first budget, and the 13th Budget of the Modi government, the FM brought the focus on job creation in manufacturing and additional employment is a significant step forward. By providing incentives to both employers and youth, these schemes are poised to benefit 30 lakh young individuals, fostering a skilled and productive workforce. This approach by our government will drive economic growth, enhance global competitiveness, and ensure a brighter future for India’s youth and manufacturing sector. We are particularly encouraged by the special attention given to MSMEs and manufacturing, especially labour-intensive sectors. The emphasis on labour-intensive manufacturing and technology support will not only help these sectors grow globally but also generate substantial employment opportunities across various industries. The new formulated package covering financing, regulatory changes and technology support for MSMEs will help them grow and also compete globally. The introduction to facilitate term loans to MSMEs for purchase of machinery and equipment without collateral or third-party guarantee, a credit guarantee scheme, was great move by our FM.
We welcome the new scheme to skill 20 lakh youth through enhanced training institutes and industry-aligned curricula. The substantial ₹3 lakh crore allocation for women-centric initiatives demonstrates the government’s commitment to boosting women’s economic participation and supporting women-led enterprises, paving the way for inclusive growth. This support is crucial for sustaining high growth with next-generation reforms that cover all factors of production, including land, labour, and capital. We believe that collaboration between the Centre and States will be essential in implementing these reforms and achieving sustained economic growth. Additionally, the launch of a comprehensive scheme providing internship opportunities in 500 top companies to 1 crore youth over five years is a commendable initiative. At Ekkaa Electronics, we fully support these initiatives and are committed to leveraging these opportunities to foster innovation, growth, and employment within the industry.”
Pradeep Shetty, President of FHRAI: The hospitality sector has been pinning high hopes on the Union Budget for 2024- 25 presented by Smt. Nirmala Sitharaman today, on the backdrop of the Government of India’s stated vision of Viksit Bharat by 2047 and the critical role tourism industry holds in achieving it. However, there is nothing spectacular in the budget to bring structural changes to address the fundamental challenges it faces in a competitive world order and to accelerate the growth of the sector to be a $ 3 trillion economy by 2047.
Some key demands of tourism & hospitality to revitalize the sector such as GST rationalization, granting of infrastructure status and bringing ease of doing business and policy reforms have not been considered in the budget once again, given the well accepted multiplier effect of tourism on employment and economy.
The hospitality sector is disappointed but not dejected as the overall focus on infra structure development, employment generation and skill development and development of religious tourism centres are the silver linings which will help the sector to tide over some of the critical challenges that it faces today.
The government’s proactive perspective on enhancing tourism, particularly through the development of spiritual and cultural landmarks like the Vishnupath temple in Gaya and Mahabodhi temple in Bodhgaya is a commendable move that promises substantial economic and social benefits. Furthermore, the development plans for Rajgir and Nalanda represent a significant investment in promoting India’s ancient historical and educational legacy. The government’s commitment to supporting tourism in Odisha will not only highlight Odisha’s unique attractions but also encourages sustainable practices that preserve the state’s ecological balance and cultural heritage.
The focus of Budget 2024 on youth employment, skill development and job creation are welcome initiatives. The industry has been facing a shortage of skilled workforce, especially in the hospitality sector.
It is also laudable that the Honourable Finance Minister’s Budget speech highlights the Governments’ commitment to make India a premier global travel destination through targeted investment and strategic initiatives. Development of iconic spiritual sites along with promotion of cruise and beach tourism can be helpful in attracting both domestic and international tourists.
Dr. Aman Basheer Sheikh, CoFounder and Chief Medical Officer, TruthIn: The Budget 2024 announcement to facilitate the establishment of NABL-accredited food safety labs is a significant step towards enhancing India’s food safety standards. This initiative will improve the quality and reliability of food testing, ensuring consumers have access to safe and nutritious products. Additionally, allocating financial support for 50 multi-product food irradiation units is a significant step towards enhancing food safety and extending the shelf life of perishable goods. This initiative will aid in reducing post-harvest losses, improving food quality, and ensuring food security for consumers. Combining the availability of accredited labs and support for multi-product food irradiation units, along with the implementation of robust food labeling laws, will further boost consumer confidence by supporting businesses to meet stringent safety and ingredient disclosure standards. This comprehensive approach ensures a transparent and trustworthy food system, fostering greater consumer trust and industry integrity”
Ravi Putrevu, CoFounder and CEO, TruthIn: This uptick in FMCG stocks reflects investor confidence, anticipating that higher incomes will drive increased demand for consumer staple products. However, as India’s fourth-largest sector, FMCG’s rise highlights the pressing need for a better-regulated environment where all stakeholders come together to ensure sustainable growth. Effective regulation coupled with collaborative efforts will help maintain product quality, protect consumer interests, and support long-term industry stability. This holistic approach will enable the FMCG sector to thrive while contributing positively to the economy and society.”
Kunal Sethi, CEO of The Detailing Mafia.: The budget aims to revitalize the startup ecosystem and manufacturing sector altogether. The decision to remove angel tax is a major relaxation, which will boost the confidence of the startups. Also, the initiatives to boost manufacturing jobs, employments, skilling the youth and women will create a pool of skilled workers with disposable income & potentially drive growth in the industry. This two-pronged approach could propel India’s startup ecosystem and manufacturing base forward
Rohit Mali, Director, Firefly Fire Pumps : “I am thrilled with the Budget 2024-2025 announcements that demonstrate a visionary commitment to MSMEs and labor-intensive manufacturing, essential pillars for India’s economic growth. The comprehensive package of financial, regulatory, and technological support signals a transformative era for MSMEs, enabling them to scale operations and compete globally.
Moreover, the Credit Guarantee Scheme for MSMEs in manufacturing, leveraging digital footprints for credit assessment, and measures to support MSMEs during stress periods are game changers that will foster innovation, expand access to credit, and sustain entrepreneurial resilience. Enhancements in Mudra Loans, mandatory onboarding on TReDS, and SIDBI branch establishments in MSME clusters will unlock working capital, improve credit access, and extend critical support nationwide.
In essence, this budget lays down a robust roadmap for MSMEs, propelling us towards the vision of ‘Viksit Bharat’. We at Firefly Fire Pumps are excited to align our efforts with these initiatives, fostering an environment where MSMEs can thrive and contribute significantly to India’s economic renaissance.
Tarun Sawhney, Vice Chairman and Managing Director, TEIL: In the Budget 2025, the Government has laid out a comprehensive roadmap for a ‘Viksit Bharat,’ focusing on key areas such as agriculture, manufacturing, and energy security. With increasing demand and growing concerns about climate change, there is an urgent need to shift towards high-yielding and climate-resilient seed varieties.
We are optimistic that the Government’s allocation of INR 1.52 lakh crore for R&D in agriculture and allied sectors, along with the push towards natural farming and Digital Public Infrastructure with a digital crop survey, will enhance productivity and significantly boost farmers’ incomes, particularly for sugarcane farmers who face challenges like uneven rainfall and red rot disease in certain pockets of the country. Natural farming will also help the Compressed BioGas sector to enhance the financial attractiveness due to assured disposal of the liquid fertilizer.
In the energy sector, the Government’s emphasis on renewable energy sources such as solar, thermal, and nuclear, along with the upcoming policy on pumped storage projects for electricity storage, will facilitate the smooth integration of renewable energy into the overall energy mix. This approach will address the variable and intermittent nature of renewable energy, ensuring a stable and reliable energy supply. Further the increased focus on climate finance and tools such as carbon credits would enhance the speed of green transition through improved viability of the Bioenergy sector.
We also commend the Government’s new scheme aimed at incentivizing additional employment in the manufacturing sector. This forward-thinking strategy will not only create job opportunities but also encourage the hiring of fresh talent, driving economic growth and fostering innovation.
Vineet Agarwal, MD at Transport Corporation of India: We welcome the Union Budget 2024’s comprehensive focus on infrastructure development and fiscal prudence. We see the CAPEX allocation continue to provide the multiplier effect to the economy. At Transport Corporation of India, we are particularly encouraged by the government’s commitment to improving rural infrastructure and promoting sustainable practices. Enhanced rural critical infrastructure will enable us to boost our cold supply chain footprint along with general warehousing & transportation network, further optimizing our operations to provide more reliable, efficient services to our customers.
Provisions for ease-of-doing-business for the MSMEs and the potential impact of the 5 schemes targeted at youth through a ₹2 lakh crore allocation will further foster upskilling, employment and private investment – strengthening the overall manufacturing ecosystem. Similarly, setting up of the E-Commerce Export Hubs will also increase our global competitiveness and boost exports. We expect this to provide a significant spill-over effect to multiple facets of the economy, increasing formalization and a more skilled workforce, which are vital for the logistics industry as we continue to innovate and expand our services.
The emphasis on fiscal deficit reduction to 4.9% of GDP is a positive step towards maintaining economic stability, which is essential for long-term business planning and investment. The budget announcement aligns well with our vision of creating a robust and sustainable logistics network that supports India’s growth trajectory. We look forward to leveraging these opportunities to enhance our operations and contribute to the nation’s development.
Zaiba Sarang, Co-founder of iThink Logistics: The 2024 budget announcements are a significant boost for the logistics and e-commerce industries. The increased focus on infrastructure development, digital transformation, and sustainability initiatives is highly encouraging. At iThink Logistics, we are particularly excited about the emphasis on technology adoption and the support for MSMEs, which are crucial for driving growth and innovation. The establishment of E-Commerce Export Hubs in PPP mode will enable MSMEs and traditional artisans to sell their products in international markets, expanding their reach and potential. Additionally, the reduction of the TDS rate on e-commerce operators from 1% to 0.1% will ease financial burdens and promote business growth. These measures align perfectly with our mission to deliver superior service and drive positive change in the industry. We look forward to leveraging these advancements to continue setting new standards in logistics and e-commerce”
Nishith Rastogi, Founder & CEO Locus: We appreciate the Union Budget 2024’s strategic emphasis on infrastructure expansion. The substantial allocation of ₹11.1 lakh crore, equivalent to 3.4% of GDP, is a significant commitment to elevating India’s infrastructure landscape by facilitating the creation and improvement of key elements such as airports, highways, and logistics hubs.
We are particularly heartened by the government’s dedication to augmenting rural infrastructure and promoting sustainable practices. These initiatives will enhance accessibility, streamline goods transportation, and foster economic growth across the nation.
Equally exciting is the ₹2 lakh crore allocation for youth employment and skill development, which will cultivate a skilled workforce that is essential for driving innovation and growth across all sectors. We believe that the Union Budget 2024 aligns with our vision of creating an efficient, resilient, and sustainable logistics network that supports India’s growth ambitions. We look forward to contributing to the nation’s progress by harnessing the growth opportunities that these initiatives will create.
Harry Bajaj, Founder and CEO, Mobec on the EV Sector: Union Budget 2024, presented by Finance Minister Nirmala Sitharaman, demonstrates a strong commitment to India’s energy transition and sustainable development. The introduction of the PM Surya Ghar Muft Yojana, providing rooftop solar panels and up to 300 units of free electricity to 1 crore households, is a significant step towards democratizing access to clean energy. Additionally, the focus on advanced ultra-supercritical thermal power plants and critical mineral recycling will bolster our green infrastructure. The energy audit and financial support for MSMEs will drive the adoption of cleaner energy sources in key industrial clusters. These initiatives not only align with Mobec’s vision of a sustainable future but also create a robust ecosystem for green innovation and energy efficiency in India.
Harshvardhan Lunia, founder & CEO, Lendingkart Group: The Union Budget 2024 is a testament to the Government’s vision of ‘Viksit Bharat 2047’. It reflects the dedicated focus towards overall infrastructure development and more importantly the betterment of the MSME sector. We particularly welcome the introduction of the credit guarantee scheme for MSMEs in manufacturing. The Finance Minister’s announcement to facilitate term loans for MSMEs for the purchase of machinery and equipment without collateral and guarantee is a significant move. This initiative appears to be a monumental stride for MSMEs, which are widely recognized as the backbone of our economy.
The adoption of a revised approach to assess credit worthiness represents a progressive step in the right direction. We eagerly anticipate collaborating with our partner banks to streamline this process, thereby ensuring a consistent flow of credit to MSMEs. Overall, it is indeed encouraging to witness every stratum of our nation becoming an active participant in its economic growth. We look forward to seeing the positive impact of these measures on the fintech and MSME sector and by extension, the broader economy.
Rahul Jain, President and Head, Nuvama Wealth: The Union Budget for 2024 has been presented. Two notable positive changes have been made to the personal income tax in the new regime. Firstly, the standard deduction has been increased by 50% to Rs 75,000. Secondly, three income slabs have been revised.
Both changes will reduce the tax liability for those who choose the new regime, with savings potentially reaching up to Rs 17,500, as mentioned in the budget speech. More money in the hands of individuals will help boost personal consumption, which has slowed down.
However, the tax liability will be higher on the capital gains side. The short-term capital gain tax on listed financial assets has increased from 15% to 20%. Similarly, the long-term capital gain tax on listed financial assets has been raised from 10% to 12.50%. At the same time, the exemption limit on long-term capital gains has been raised from Rs 1 lakh to Rs 1.25 lakh. While this change may impact the sentiments negatively in the short term, it will encourage investors to take a long-term view of investments, especially in equity.
Sujit Bangar, Founder Taxbuddy.com: Long term capital gain tax on real estate has been reduced to 12.5% but without indexation benefit. This is a welcome move. This has potential to bring liquidity in otherwise illiquid reality market.Long term capital gain tax on real estate has been reduced to 12.5% but without indexation benefit. This is a welcome move. This has potential to bring liquidity in otherwise illiquid reality market.
The standard deduction in new tax regime has been increased from ₹ 50k to ₹75k. Along with this, further changes in tax slabs for new tax regime has ensured more tax saving to the extent of ₹17,500/-
Government has been consistently making changes to make new tax regime as preferred option of individuals. This is an effort to give more disposable cash in hands of individuals by way of tax saving and in-turn give filip to consumption
Security transactions tax (STT) has been increased on futures and options transactions. Bad news is that this will enhance cost of F&O traders. Good news is that still they can claim this as deduction while calculating taxable profit.
Harshad Patwardhan, Chief Investment Officer at Union Asset Management Company Private Limited: “The biggest positive from this budget is the government’s reaffirmation that it is committed to its fiscal consolidation plan despite perceived pressures from the coalition partners. It is heartening to see that the government has not diluted its focus on capital expenditure for infrastructure creation. It has, however, brought some rebalancing to its supply side focus with more attention to boost consumption by creating incentives from employment generation and easing credit availability to MSMEs. We believe the time is now ripe for the private sector to pick up the mantle to undertake capital investment to boost growth. While increase in capital market taxation is a bit disappointing, on balance, the budget is expected to prove positive for equity markets from medium to long term perspective.
Neha Shah, a co-founder, Mentor, and Director at MentorMyBoard (MMB): The logistics and supply chain sector is crucial to India’s growth, with a strong focus on infrastructure, manufacturing, and skilling for long-term development. The government’s plan to establish e-commerce export hubs to help MSMEs export local products is a significant step towards driving growth through innovation. Introducing an integrated platform for the Insolvency and Bankruptcy Code (IBC) and additional tribunals will reduce delays in corporate mergers and acquisitions, improving operational efficiencies and benefiting all stakeholders with faster recovery processes and timely corporate actions.
The new credit guarantee scheme for MSMEs addresses the critical barrier of access to finance, promoting technological advancements and productivity improvements. The reduction of the corporate tax rate for foreign companies to 25% and the abolition of the Angel Tax in praiseworthy. Additionally, long-term capital gains on all financial and non-financial assets will now attract a tax rate of 12.5%, with an exemption limit set at Rs 1.25 lakh per year. Over 5-6 years, LTCG rates will range from 0% to 12.5%, with the removal of indexation for real estate.
A new skilling programme aims to train 20 lakh youth over the next five years through industry-designed courses. While the budget is seen as favourable for GDP growth, Neha Shah expressed concerns that it may not be as beneficial for investors and traders, particularly due to the removal of indexation. Taxpayers, however, do not get much benefit from the budget.
