Fri. Dec 27th, 2024

Samir Jasuja, Founder and CEO of PropEquity

While the Budget sidesteps the long-standing demands of the real estate sector, the focus on job creation, skilling and employment-linked incentives, boost to infrastructure, urban redevelopment and relaxation in income tax slabs are the big reforms that will indirectly provide a fillip to the real estate sector. The call to State Governments to reduce Stamp Duty and initiate land related reforms that includes urban planning, usage, building bylaws, and GIS mapping of land records are steps in the right direction that will not just help the sector but also be a strong growth propeller for the Indian economy.

Arijeet Talapatra, CEO, Transsion India.

Transsion India welcomes the Ministry of Finance’s decision to reduce the basic customs duty from 20% to 15% on mobile phones, mobile PCBA, and chargers. This policy change will significantly benefit both manufacturers and consumers, fostering a more competitive smartphone market and strengthen our position in the global market. This move will undoubtedly bolster the industry’s growth making smartphones more affordable and we remain committed to the ‘Make-in-India’ initiative to bring the best-in-class smartphones to the ever-evolving Indian market.

Hardika Shah, Founder & CEO, Kinara Capital –

 Focused on Women 

The Union Budget has made significant strides in promoting women’s economic participation. To this end, a number of initiatives were announced, supported by the allocation of more than INR 3 lakh crore for schemes benefitting women and girls. Initiatives like setting up working women’s hostels in collaboration with industries and the establishment of creches, organizing women-specific skilling programmes, and promoting market access for women SHGs are commendable steps towards addressing challenges faced by women. Another move that will have a positive impact on women’s participation in the workforce is the abolishment of the Angel Tax. Even today in India out of the 8,000 startups founded by women, nearly 75%, of which some are generating revenues exceeding $30,000 are still unfunded (Tracxn Report). This move will encourage greater participation of investors in the startup ecosystem including women-owned startups. The improvement in the funding ecosystem and the support offered through the different women-focused initiatives is also likely to have a ripple effect on job creation for women. According to Kinara Capital’s MSME Insights, which analyzed data from 44,821 MSMEs, women-owned enterprises create 11% more jobs for women than men-owned ones, and we can expect to see similar trends in the startup ecosystem. This second-level impact will add further impetus to the government’s intention of helping more women enter the formal workforce.

Focused on GST 

The implementation of the GST regime has proved to be beneficial for MSMEs, reducing the compliance burden and logistics costs. As stated in the 2024 Union Budget, the government remains committed to further simplifying and rationalizing the tax structure, with the goal of enhancing its benefits. The original vision of GST, encapsulated in the idea of One Nation, One Tax, is gradually being realized. As the GST continues to evolve, it will encourage more MSMEs to formalize, thereby increasing their creditworthiness. This, in turn, will facilitate access to formal credit, as well as government benefits and subsidies, supporting their growth and contribution to the broader economy.

Focused on FDI 

Today’s Union Budget announcement about the simplification of Foreign Direct Investment (FDI) rules and regulations to facilitate inflows is a particularly positive move for India’s growing economy. India experienced nearly USD $600 billion in FDI inflow from 2014-2023, nearly 2x the inflow compared to the previous decade. By easing the process for FDIs, the government is taking a significant step towards attracting more foreign capital, which is essential for boosting economic growth. Further, a boost to foreign investors will be the corporate tax reduction from 40% to 35% while the abolishment of Angel Tax for all classes of investors is a game changer. Removing this tax barrier will ratchet up the foreign investor interest just as India is gunning to become the world’s 3rd-largest in the next couple of years.

“The Union Budget 2024-25 presents a balanced approach to stimulating economic growth while maintaining fiscal prudence. The government’s commitment to reducing the fiscal deficit to 4.9% of GDP in 2024-25, down from 5.8% in the current year, signals a strong focus on macroeconomic stability. This fiscal consolidation path, coupled with the projected 8.2% GDP growth rate, creates a favourable environment for investments and economic expansion.

Arun Poddar, CEO, Choice International Ltd.

 The budget’s tax proposals are designed to boost disposable income and encourage savings. The increase in the standard deduction for salaried employees to ₹75,000 and the rationalization of capital gains tax, with a 12.5% rate on long-term gains for all assets, provide clarity and benefits for individual investors. For businesses, the abolition of angel tax for all classes of investors and the reduction of corporate tax for foreign companies to 35% are significant steps to attract investment. These measures, combined with the ₹11,11,111 crore allocation for infrastructure development, create a robust framework for economic growth and investment opportunities across sectors”-Arun Poddar, CEO, Choice International Ltd.

Mr Prakash Chhabria, Executive Chairman, Finolex Industries Ltd

 “The Union Budget 2024 presented by Finance Minister Nirmala Sitharaman sets a clear roadmap for India’s inclusive growth. The government’s focus on manufacturing, agriculture, and infrastructure development is commendable. The credit guarantee scheme for MSMEs and the establishment of e-commerce export hubs will significantly boost our industrial capabilities. For the agricultural sector, initiatives like digital crop surveys and promotion of natural farming align well with sustainable practices.

The budget’s emphasis on infrastructure, including the PM Awas Yojana’s ambitious housing targets and urban development focus, presents great opportunities for the pipe and fittings industry. We applaud the government’s commitment to water management, promoting water supply, sewage treatment, and solid waste management projects in 100 large cities. This initiative, along with plans for treated water reuse, demonstrates a holistic approach to water resource management. The measures for empowering women and youth, combined with substantial rural development allocation, promise inclusive growth. We look forward to contributing to these progressive initiatives as we work collectively towards building a more prosperous India.”

Mr. Saiyam Mehra, Chairman, All India Gem & Jewellery Domestic Council

 “The reduction in the basic customs duty on gold and silver to 6% and on platinum to 6.4% is a commendable move by the government. This was a long-standing demand from the All India Gems & Jewellery Domestic Council, which represents the entire gems and jewellery industry. The customs duty reduction will benefit domestic jewellery manufacturers, especially small and medium enterprises, encouraging them to transition gradually to the formal channel. Additionally, the Finance Minister has also increased the scope of working capital loans to SMEs and MSMEs, which will help these units expand their businesses in the future. The extension of the direct benefit transfer scheme to the manufacturing sector, with separate salary and Employees’ Provident Fund transfers directly to the accounts of employers and employees, is a wonderful move. This will accelerate employment generation in India. Overall, this budget has focused on 9 key priorities of Viksit Bharat and we are proud to witness it.”

Mr. Rajesh Rokde, Vice Chairman, All India Gem & Jewellery Domestic Council

 We admire Finance Minister Nirmala Sitharaman ji’s Union Budget presented today, which stands out in several ways. Notably, after persistent efforts from GJC, the government has reduced customs duties on gold and silver to 6 % and on platinum to 6.4%. This move will provide significant relief to consumers who have been investing in alternative assets, encouraging them to return to gold investments. We are confident that household investment and savings in India will see an increase in the coming days.

Additionally, the expansion of working capital loans for SMEs and MSMEs in the jewelry sector will provide a much-needed boost. The increase in the personal income tax exemption limit will also benefit consumers and promote household savings. Overall, the Union Budget 2024 is commendable.

Mr. Pankaj Kalra, CEO, EOGEPL 

 “The Union Budget’s emphasis on energy transition and sustainability is commendable. It highlights the importance of balancing economic growth with environmental sustainability through appropriate energy transition pathways. We remain confident about India’s energy future and eager to collaborate with the government on policies that ensure energy security, affordability, and accessibility, thereby supporting our Nation’s growth aspirations.”

Lt. Gen. AK Bhatt (Retd.), Director General, Indian Space Association (ISpA)

 “The Union budget’s vision to grow India’s space economy by fivefold in the next decade demonstrates the government’s strong commitment to this sector. We previously advocated for increased financial incentives to support the burgeoning space startups in the country. The announcement of a ₹1000 crore VC fund is a step forward, addressing the funding challenges faced by these nascent ventures in this capital-intensive domain. Additionally, the proposal for establishment of 12 industrial parks across India we hope will include the space sector as this will provide a substantial boost to the space and satellite manufacturing industry, which has long called for the creation of space parks. These measures are pivotal for the growth and development of India’s space ecosystem.”

Agendra Kumar, Managing Director, Esri India

 “It was encouraging to see the focus given in the budget on Infrastructure, Energy sector and urban development. GIS plays a very important role in these sectors. The Finance Minister spoke about improving productivity in the agriculture sector and digital crop survey in 400 districts. GIS can be an important tool in these as well. The focus on rural land records, GIS mapping for urban land records, and the use of GIS for property tax collection also offer opportunities for the GIS industry. These will improve the income of cities which can be used to improve the quality of infrastructure in cities and to provide better living conditions to the citizens. The investment of more than Rs 11 lakh crores in infrastructure development is also a positive news for the GIS industry.”

A. Gururaj, Managing Director, Optiemus Electronics Ltd.

 “We welcome the initiatives announced in the Union Budget. The significant emphasis on manufacturing is heart warming and much needed for the growth of the economy. With the substantial expansion of the electronics manufacturing industry, the demand for a skilled workforce has become paramount. The announcement of various skilling initiatives and the scheme to incentivize additional employment in the manufacturing sector, particularly for first-time employees, will provide essential support to industries reliant on skilled workforce, especially in electronics. Furthermore, the proposal to reduce the Basic Customs Duty on mobile phones, mobile PCBA, and mobile chargers to 15% is a positive step. The measures laid out to support the MSME industries in particularly welcome to create a much needed supplier base for electronics within India. These measures collectively send out a strong message on the manufacturing sector and related eco system in India.”

Joyshree Das Verma, National President, FICCI FLO

 “This year’s budget marks a significant stride towards enhancing women‘s role in India’s economic development. The allocation of more than Rs 3 lakh crores for women-specific schemes and skilling programs underscore the government’s commitment to women-led development and enhancing economic inclusivity. The government is creating a supportive environment for women professionals through market access to women-led Self Help Groups and the establishment of working women’s hostels and creches in partnership with businesses. Furthermore, the reduction in duties for properties purchased by women and the introduction of the NPS Vatsalya scheme, which promotes long-term savings for minors, exemplify the government’s commitment to an inclusive financial landscape for women and their families. Schemes like PM Vishwakarma, PM SVANidhi, Mudra Yojana and Lakhpati Didi are a testament to the transformative impact of targeted financial support for women. FICCI FLO stands poised to collaborate closely with the government to ensure these initiatives translate into tangible benefits for women entrepreneurs. Together, we can accelerate the momentum towards gender equality and inclusive growth, enabling women entrepreneurs to thrive and contribute significantly to the nation’s economy”.

Kavitha Ramachandragowda, Co-Founder and Executive Director, Routematic

 “The Union Budget 2024-25 serves as a significant stride towards women’s empowerment, earmarking over ₹3 lakh crore for initiatives benefiting women and girls. By facilitating higher participation of women in the workforce through the establishment of working women hostels and creches in collaboration with industry, the government is creating supportive environments for women professionals. The government’s focus on higher education, women centric skilling, employability, and enhanced schemes for women entrepreneurs along with the abolition of the angel tax is commendable and will undoubtedly boost the startup ecosystem in India and representation of women in the Indian workforce.”

Neha Bagaria, Founder & CEO, Herkey

 “As a woman entrepreneur, I am deeply encouraged by the Union Budget 2024-25’s commitment to fostering women’s participation in the workforce. The dedicated focus on creating hostels and women-specific skilling programs reflects a significant step towards gender parity in business. Moreover, the new credit guarantee schemes for MSMEs, which remove the burden of collateral requirements, will empower countless women-led enterprises to grow and innovate. This budget not only addresses immediate economic needs but also lays a strong foundation for a more inclusive and equitable future. It is heartening to see such a comprehensive approach to unlocking the potential of countless women across India.”

Mr. Sumit Kumar, Chief Strategy Officer at TeamLease Degree Apprenticeship.

 “The recent budget announcement, featuring a transformative ₹2 lakh crore initiative, sets an ambitious precedent for reshaping employment and skilling opportunities in India. With a targeted outreach to 4.1 crore youth over five years, this initiative is poised to make a significant impact by seamlessly integrating education, skill development, and employment. The budget’s ‘Employment Linked Incentive’ schemes offer substantial support to first-time employees and their employers. Up to ₹15,000 in direct benefits will facilitate the transition of new entrants into the formal workforce, while additional incentives for job creation in the manufacturing sector and support for employers across various industries aim to promote widespread job creation and bolster economic activity. This forward-thinking approach aligns with the vision of a ‘Viksit Bharat,’ fostering an environment where every young Indian can contribute meaningfully to the nation’s growth and prosperity.

Furthermore, the budget underscores a strong commitment to increasing female participation in the workforce. It includes the establishment of working women’s hostels, creches, and women-specific skilling programs, along with support for women SHG enterprises. An impressive ₹3 lakh crore allocation for schemes benefiting women and girls highlights the government’s dedication to women-led development. The upgraded skilling program will enhance 1,000 Industrial Training Institutes and align their courses with industry needs, fostering skill development tailored to market demands. Revised Model Skill Loans and financial support for higher education through e-vouchers will provide crucial resources for career advancement. The comprehensive internship scheme, offering real-world experience to 1 crore youth and supported by CSR funding, is a welcome addition that bridges the gap between education and practical experience. Although these measures are commendable, simplifying apprenticeships could have made a significant impact in skilling the youth. Integrating apprenticeships could further strengthen the link between education and employment by offering structured, hands-on training opportunities. Together, these initiatives are set to address skill gaps, boost youth employability, and cultivate a more skilled and inclusive workforce, driving significant progress in India’s labor market and economic development.”

Ms Gunjan Agarwal, Co-founder of XYST

 “Abolishing Angel Tax will have a long-term impact on startup founders. This will not only motivate angel investors but also help to encourage entrepreneurial spirit in the Indian business domain. Additionally, the job generation push, coupled with the government’s financial assistance will help startups acquire more talented professionals, leading to cumulative growth in the long term. This Union Budget is full of opportunities for Indian startups pushing to become the next Unicorn, and governmental assistance is bolstering it to ensure success and growth.

Dr. Ashish Agarwal, Co-Founder & CTO, Weather Risk Management Services (WRMS)

 “Budget 2024-2025 marks a significant milestone towards a thriving and innovative agritech future, with a strong emphasis on climate resilience and adaptation. The introduction of 109 high-yielding, climate-resilient crop varieties and the comprehensive review of agricultural research for climate-smart seeds are substantial advancements for the sector.

The budget’s allocation of Rs 2.66 lakh crore for rural development and the promotion of digital infrastructure aligns well with our objectives. The focus on natural farming and the goal to engage one crore farmers in the next two years further supports sustainable agriculture.

Additionally, the budget underscores the importance of collaboration among the government, private sector, and research institutions to drive innovation and scalable solutions. To fully harness this progress, increased investments in IoT, AI, and data analytics are crucial. These technologies will enhance climate risk assessment and response, providing real-time data and predictive insights to improve climate adaptation strategies and ensure more effective interventions.

We are optimistic that these initiatives will drive economic growth and promote sustainable development.”

Nikunj Agarwal – Head – Fund Raise, Finance & Lending Alliances (Propelld)

 The Rs 1.48 lakh crore announced in Budget 2024 for education and employment and skill enhancement is welcoming news. The financial support for loans upto Rs 10 lakh for students aiming for higher education in domestic institutions. Further, it was announced that a guarantee from a government promoted Fund will be available Loans up to ₹7.5 lakh amount.
Such initiatives in the education and skilling financing sectors are widely praised and can be seen as crucial steps towards fostering the potential of the youth, who are integral to the future growth of our nation. These measures are expected play a pivotal role in advancing our country’s socio-economic development as a whole.

Mr. Sanjeev Srivastva, Chairman & Founder of Assotech Group, a leading real estate company.

 “The 2024 Union Budget marks a pivotal moment for the real estate sector, and as the Chairman & Founder of Assotech Group, I am both encouraged and excited by the government’s strategic initiatives. The substantial allocation of Rs 50,000 crore towards infrastructure development is poised to invigorate our industry, enhancing both urban and rural landscapes.

Moreover, the introduction of PM AWAS Yojana Urban 2.0 with a significant investment of Rs 10 lakh crore into urban housing underscores the government’s commitment to addressing the country’s urban housing needs. This initiative will provide a substantial boost to the real estate market, fostering growth and creating new opportunities for developers and investors alike.

The revised income tax slabs, including potential savings of up to Rs 17,500 per year for taxpayers, coupled with an increased standard deduction to Rs 75,000, are expected to enhance consumer purchasing power. This is likely to translate into increased demand for residential and commercial properties, further stimulating the real estate sector.

Additionally, with the focus on infrastructure development and the burgeoning real estate boom in states like Orissa, which is experiencing rapid growth and urbanization, we at Assotech Group are poised to leverage these developments. The enhanced financial environment and supportive government policies will enable us to continue driving innovation and delivering exceptional value in real estate.

In essence, these budgetary measures collectively represent a transformative opportunity for the real estate sector, aligning perfectly with our vision of creating impactful and sustainable real estate solutions.”

Kaushik Das, Founder and CEO of AAO NXT, East India’s premier OTT platform

 “The 2024 Union Budget presents a forward-thinking approach, especially in the realms of technology, regional development, and digital innovation. The reduction of Basic Customs Duty on mobile phones and related components to 15% is a significant step that will lower costs and enhance accessibility to digital devices, which is crucial for platforms like AAO NXT. Additionally, the government’s commitment to supporting the development of regional storytelling and the tourism sector, including backing the development of Nalanda in Bihar and extending support to Odisha’s tourism, aligns perfectly with our vision to showcase Odisha’s rich cultural heritage through digital content.

Moreover, the initiative to set up a ₹1,000 crore venture capital fund for space economy highlights the government’s dedication to fostering innovation and technological advancement. This, coupled with the enhanced focus on employment-linked skilling programs and the emphasis on energy security, will undoubtedly create a conducive environment for startups and established companies alike. These measures will not only boost the regional OTT landscape but also propel us towards our goal of making AAO NXT a global platform for localized content.

Overall, the budget’s focus on promoting digital infrastructure, regional development, and innovation reflects a robust framework for sustainable growth and positions India as a leader in the digital entertainment space.”

 Mr. Apurv Modi, Managing Director & Co-Founder of ATechnos Group

 “The Union Budget 2024 focuses on nine key priorities and demonstrates a comprehensive approach to India’s growth and development. I am excited about the emphasis on Innovation, R&D, and Next Generation reforms. These priorities align perfectly with the digital revolution that’s reshaping our economy.
The focus on Manufacturing and Services, coupled with Urban Development and Infrastructure, creates fertile ground for technological advancements. We see immense potential for digital solutions to drive efficiency and innovation across these sectors.

Also, the budget introduces a new mechanism to facilitate the continuation of bank credit to MSMEs during their stress period. This is a crucial step in ensuring that MSMEs, which form the backbone of our economy, receive the necessary financial support to navigate challenging times. The introduction of a new MSME guarantee plan to enable loans up to ₹100 crore further underscores the government’s commitment to supporting small businesses. The increase in the limit of Mudra loans from ₹10 lakh to ₹20 lakh is another significant measure that will empower small businesses and entrepreneurs, enabling them to expand their operations and contribute to economic growth.

In the taxation domain, the removal of the Angel Tax on all classes of assets is a welcome move, promoting a more favorable investment climate. The standard deduction limit has been increased to ₹75,000 from ₹50,000, providing much-needed relief to taxpayers. Additionally, the lowest slab in the new tax regime has been increased to ₹3 lakh from ₹2.5 lakh.

Moreover, the government’s decision to allocate ₹2 lakh crore for job creation over the next five years is a significant step towards addressing unemployment and fostering economic stability.

The synergy between these priorities and the digital realm will be key. Whether leveraging AI for better urban planning, using IoT for energy management, or developing innovative solutions for employment generation, the digital sector stands ready to contribute significantly to realizing this vision.”

 Sohail Mirchandani, Chief Operating Officer & Co-Founder of Ekostay, a homestay venture:

“The 2024 Union Budget brings transformative changes that hold great promise for the hospitality and homestay sector. As a co-founder of EKOSTAY, I am particularly excited about the implications of these developments for our business.

The government’s substantial allocation of Rs 50,000 crore towards infrastructure development, including a major boost to urban infrastructure through the PM AWAS Yojana Urban 2.0, will significantly enhance connectivity and accessibility. This is especially beneficial for the homestay industry, as improved infrastructure will make our unique, personalized accommodation options more accessible to travelers.

Furthermore, the emphasis on the ‘Make in India’ initiative and the Production Linked Incentive (PLI) scheme will likely foster economic growth and improve consumer spending power, which could lead to increased demand for experiential stays like ours.

Overall, these budgetary measures are set to support and elevate the homestay sector, providing EKOSTAY with exciting opportunities to expand and offer even more exceptional experiences to our guests.”

By team

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