Today, our FM Nirmala Sitharaman presented the Union Budget which according to many has the potential to sustain & grow the Indian economy in the times when the world is facing recession.
Prominent changes will be proposed with respect to startup development in the country, here is a take from the Founder & CEO of QuackQuack, Mr. Ravi Mittal on the Union Budget, “The Budget 2023-2024 comes bearing good news; it shows the economy to grow at 7% this year, which is the highest among all major economies, and we couldn’t be more optimistic. The focus on Startups in this year’s budget is certainly encouraging. As a young company with 22 million users, we are hopeful that the announcement regarding Startups will only take us further ahead. It is exciting to see that India will have more Centres of Excellence for the development of Artificial Intelligence to help make AI work for India. We understand that the Data Governance Policy will be brought out to unleash innovation and research and is expected to encourage startups, but it is still too early to say how and on what this will be implemented”
The finance minister also emphasized on growing the usage of renewable energy and use of EV products in the Indian market, on the same Mr. Pritesh Mahajan, Co-founder and CEO of Revamp Moto commented, “In the recently announced budget, GOI has taken key initiatives in boosting the Green economy. Specifically in the EV sector, reduction in custom duty on lithium-ion cells will help in incentivizing the product cost to end consumers. Thus, resulting in boosting the sales of EV’s. This will be further catalyzed by the government’s initiative of strict scrapping policy. We look at increased CAGR of EV sector in the FY 22-23”
The budget also holds the vision of empowering India as a manufacturing powerhouse of the world and the 33% in capex is a prior indication of the same. Sharing his views on budget implications Mr. Rajesh Shah, MD & Chairman of Eurobond comments, “We express our strong support for the visionary budget presented by Finance Minister Nirmala Sitharaman. This budget places an emphasis on the comprehensive development of the economy through targeted investments in infrastructure, micro and small businesses, and affordable housing. The allocation of 10 lakh crore rupees for capital expenditures will bring the Capex/GDP ratio to a historic high of 3.3%. Despite the potential for a slowdown in the global market, it is amazing to see how this budget supports India’s continued growth through the encouragement of investments in the manufacturing and export sectors, which will further lead to the creation of substantial employment opportunities. Overall, this budget masterfully balances the imperative need for growth and sustainability, keeping de-carbonization as a central consideration”
Our FM Nirmala Sitharaman also recognized the importance of technology, skill development and new innovations for the youth of the country in the Union Budget, all these initiatives will form the cornerstone for India’s success. Sharing his views on the same, Mr. Rishabh Khanna, Founder and CEO of Suraasa says, “The budget reflects the government’s commitment to improve access to quality education and to promote the use of technology. The establishment of three centers of excellence for AI will help advance ‘Make AI for India’ & ‘Make AI work for India’, fostering innovation and providing opportunities for students to learn the latest technology. The re-envisioning of teacher training programmes through innovative pedagogy, curriculum transaction, and continuous professional development will help address the challenges such as the shortage of qualified teachers and the lack of teachers’ career growth. The budget provides teachers with the resources they need to grow and succeed. This commitment to teacher growth will help ensure teachers are equipped with the latest knowledge and skills. The plan to set up 30 Skill India International Centers highlights the importance of skill development. These centers would also increase their chances of finding employment opportunities abroad. Moreover, the launch of PMKVY 4.0 under NEP 2020 would enable the youth to compete in the global job market and grow”
Adding to it, Ms. Ritika Kumar, Founder & CEO of STEM Metaverse says, “The emphasis of the government on past mile access is extremely encouraging for the edtech sector. This involves digitization of content and training and skill development becoming part of every sector. Coming to the k12 school education bit, “We are thrilled to see the government’s commitment to empowering students through innovative and futuristic learning solutions. The establishment of a National Digital Library for children and adolescents, physical libraries at panchayat levels, and a focus on teacher training are all steps in the right direction. As a company dedicated to providing cutting-edge edtech solutions, we are particularly excited about the plan to set up Centers of Excellence in Artificial Intelligence in top educational institutions. Additionally, the allocation for providing age-appropriate reading materials to inculcate reading habits is a step towards promoting literacy and lifelong learning. The commitment to establishing 38,800 teachers and support staff for the 740 Eklavya Model Residential Schools over the next three years is a major boost for tribal students who will now have access to quality education and opportunities. With this budget, we see a promising future for education in India and look forward to supporting the government in its efforts to provide a brighter future for all students in the country”
Daya Prakash, Founder, TalentOnLease
The Union Budget 2023 is forward-looking. It was very encouraging to hear that the government recognises the importance of upgrading skills to keep up with technological advancements in order to speed up India’s initiative to become more self-reliant. Great initiatives such as on-the-job training, industry partnerships, and course alignment with industry needs, in addition to schemes that cover new age courses for Industry 4.0 such as coding, AI, robotics, mechatronics, IOT, 3D printing, drones, and soft skills to empower youth and assist the ‘Amrit Peedhi’. Under the Pradhan Mantri Kaushal Vikas Yojana 4.0, 30 Skill India International Centres are being established across various states to prepare youth for international opportunities.
Budget 2023-24, the Modi government’s final union budget before the 2024 elections, is undoubtedly beneficial to taxpayers. One of the biggest tax payers in India are salaried workers. Under the new tax system, Finance Minister Nirmala Sitharaman suggested raising the limit on income tax rebates to Rs 7 lakh. For the salaried class, the announcement of the tax hike was the most anticipated part of the budget speech.
Dileep Seinberg, Founder, MuffinPay
No bad news for cryptos should be considered good news. The government has left the crypto taxation untouched, which is majorly in-line to the expectations. However, the government had mentioned them in the economic survey and the G-20 presidency is a viable opportunity for India to seek global cooperation on digital assets. It was pretty well expected from the current budget. There will be no regulations coming on Crypto before the election and clarity from global counterparts. Although it is well appreciated that the Government has acknowledged the power of Web3 & Metaverse and its utility in the Agriculture sector. It will unleash innovation and research by start-ups and academia, a National Data Governance Policy will be brought out. This will enable access to anonymized data.
Manas Madhu, Co Founder, Beyond Snack
In terms of personal income tax, it is encouraging to see that the rebate limit has now been increased in the new regime from 5 lakh to 7 lakh. This will increase disposable income levels and stimulate the FMCG industry’s demand cycle. Furthermore, despite the epidemic, India has risen to become the world’s third largest ecosystem for start-ups, and ranks second in innovation quality among middle-income countries, according to the Budget 2023. This will encourage businesses in the FMCG industry to develop distinctive offerings for the Indian market. In 2023, our growth-driving strategy will focus on innovation, prioritisation of profitable sales channels, and careful management of stock-keeping units. In addition, I am glad to see a budget that prioritises agritech and agriculture. The Agriculture Accelerator Fund and digital public infrastructure for agriculture will aid farmers and agritech startups looking for modern technologies, farm inputs, and loans. Furthermore, the Finance Minister’s decision to establish a decentralised storage capacity for farmers will assist them in pricing their produce at competitive prices so that it may be sold at appropriate times.
Raja Debnath, Co-founder and CEO of Veefin – Post-Budget views on MSME, Fintech and overall budget
The General Budget 2023-24 is clearly a concerted effort to push the Indian economy upwards from its current position of being the 5th largest in the world. And highlighting the role of the financial sector among the seven priorities in achieving this vision shows the government’s resolve in making financial access and inclusion pivotal to our economic growth.
There is a clear commitment towards the needs and priorities of India over the next 5 years with a robust capital investment outlay of Rs.10 lakh crore towards green mobility, financial inclusion, technology innovation, agriculture, education and skill development, public and digital infrastructure.
Aptly termed the backbone of our economy – MSMEs stand to gain from the Rs.9000 crore infusion into the revamped credit guarantee scheme. The new scheme will bring financial relief to MSMEs by incentivising banks to go more aggressive on unsecured and priority sector lending and also provide credit to MSMEs at a lower cost. The current market size for Supply Chain Financing, a major beneficiary of which is the MSME sector, is estimated to be around Rs. 150,000cr. The new scheme effective April 1 2023 is likely to boost public and private sector banks to pursue SCF with vigour and increase access to formal credit channels in the MSME sector, which still averages around 8 per cent.
Additionally, the introduction of Digilocker for MSMEs will support them by easing the process of digital application of credit and digitizing the saving of documents. Some other key measures that will boost the confidence of the financial ecosystem and its players include the setting up of the National Financial Information Registry and the public consultation on regulation making and subsidiary directions.
Not just MSME credit, there is a strong commitment also towards Agri credit target of Rs.20 lakh crore, green credit and infrastructure investment – which creates tremendous opportunities for banks and financial institutions to innovate credit products and solutions through technology and scale financial access to support the socio-economic aspirations of the country.
The budget resonates with the aspirations of the citizens and the new India which is more visionary in its goals both domestically as well as globally.
Gaurav Dahake, Founder & CEO, Bitbns – Post budget reaction on the startup ecosystem and govt push for the community
The General Budget has been encouraging for the startup community in terms of the government’s vision for the country over the next couple of years. A slew of programs like Startup India, Digital India in the past have championed the startup ecosystem and helped it become the third largest in the world. With this budget, the government has yet again reinforced its commitment towards the startup community through measures like budgetary support for public digital infrastructure to enhance digital payments, extension of Digilocker services for the fintech sector, setting up of a New Financial Repository, Income Tax benefits and extensions and a consultative approach to optimum regulation in the financial sector for making regulations are together going to boost the startup community.
Another initiative to fuel India’s startup ecosystem is the initiative ‘Make AI in India’ and ‘Make AI work for India’. This clearly indicates that the country is committed to being a crucible to spur tech innovation by setting up three Centres of Excellences across the country and bringing the best of talent, industry and academia together. Efforts to build 30 skill India international centers for skill development and bring in new age courses on Coding, Robotics, Soft Skills among others are equally worth appreciating as it powers the youth of the country to be ready for jobs of the future and makes our future tech talent the best in class across the globe.
Moreover, the programs being initiated to increase sustainability and reduce carbon footprints will largely prove beneficial for a green economy in the future.
Vishnu Prasath Devarajan, Founder, Supercluster Pi
Post budget reaction on ‘Make AI in India’ and ‘Make AI for India’ and startup ecosystem
India is the third largest startup ecosystem in the world and the front-runner in bringing some of the most accessible and affordable technology solutions like UPI to the world. Further, building on India’s technology prowess, the Government of India has yet again taken an audacious resolve to ‘Make AI in India’ and ‘Make AI for India’ by committing to create 3 Centres of Excellence for Artificial Intelligence in top educational institutions in the country. This is a seminal step in bringing academia and industry together to develop and hone India’s tech talent and gear it ahead of its time to build for a rapidly changing world. The budget has also accommodated a long term vision of upskilling the next generation of young talent by aligning school education with the jobs of tomorrow.
The announcement of PM Kaushal Vikas Yojana 4.0 is a step in this direction to skill lakhs of youth within the next 3 years in new age courses like coding, AI, robotics, soft skills as well as the setting up of 30 skill India international centers across different states. This will definitely level up Indian tech talent. Other key initiatives like setting up of Agritech Accelerator to develop technology companies and support techpreneurs reinforce India’s commitment to building its startup ecosystem. The budget has also made considerable room for startups to carry forward losses from seven to 10 years, providing relief for the startup ecosystem that is still emerging from funding winter.
Divya Jain, Co-founder, Seekho:
The Union Budget 2023 encourages and helps our youth realize the importance of Upskilling by establishing skill India international centers across states. Even establishing a national digital library for children will be helpful to build a solid infrastructure.
Giving priority to AI in various sectors, including education, particularly through the establishment of Centres of Excellence in Top Educational Institutions, has provided a much-needed boost to the overall education ecosystem for all. The finance minister announced the recruitment of 38,000 teachers for Eklavya Model and Residential Schools, which will provide opportunities for tribal students, in this year’s union budget, providing a ray of hope for the education sector.
Amrit Singh, Co-Founder, and CRO at Loop
“Better health outcomes can be driven through investment in health data and AI. Imagine if every Indian could have a data-driven health profile that guides them on preventive and curative steps toward better health. That’s making AI work for India”
Kunal Mehta, Founder & Director, Arthan Finance
Accepting the Union Budget for FY2023–24 spells uninterrupted growth. This budget intends to build upon the foundation established by the previous budget, with a vision of a prosperous, inclusive India where the fruits of progress reach all sections. This time, a Relief for MSMEs was announced stating that in the case of a failure, the government will restore 95% of forfeited funds. The emphasis on financial inclusion will increase. According to the national data governance strategy, the KYC process would be streamlined utilising a risk-based methodology. Using the Digilocker service and Aadhaar as the basic identity, a consolidated identity-updating system will be developed. The Permanent Account Number (PAN) will serve as a universal identity for all digital government platforms. Small and medium-sized enterprises (SMEs) will receive loan guarantees through prudent measures. In addition, beginning April 1st, 9000 crores will be available for collateral-free guarantee credit under the revised plan. Utilizing the tax regimes, the budget intends to strengthen the startup environment. The establishment of a national financial register will enhance the efficient flow of credit and promote financial inclusion. India has now entered “Amritkaal.” Given that financial services are one of the primary pillars of growth during Amritkaal, the future financial services ecosystem will concentrate on financial stability and technology-driven innovation. Approximately 10 lakh crores of capital investment will generate GDP growth and wealth creation opportunities for Indians across the economic spectrum, consequently increasing the odds of asset management funds in India. With an influx of Rs. 9,000 crores, the government has revised the loan guarantee scheme for SMSE. This becomes effective on April 1, 2023. This will decrease credit costs by one percentage point. Pradhan Mantri Jan Dhan Yojana (PMJDY) is the national mission for financial inclusion designed to promote affordable access to financial services, including savings and deposit accounts, remittance, credit, insurance, and pension. This budget is very aspirational and will help India in a long run.
HP Singh, Chairman & Managing Director, Satin Creditcare Network Limited.
“The Budget for 2023 announced by Union Finance Minister, Nirmala Sitharaman is focused on strengthening the digital and technological infrastructure of various industries and boosting the economy of India. Given that financial services are one of the cornerstones of growth during Amrit Kaal, the Government has focused on strengthening the financial and MSME sector within this Budget with a holistic approach. With continued assistance to the MSME sector, the Government announced a revamped credit guarantee scheme with an investment of Rs 9000 cr into the corpus which will take effect from 1st April 2023. This is a major step towards strengthening the MSME sector and helping NBFCs provide credit to the underbanked sector of the nation. The new scheme will enhance the collateral-free credit guarantee of Rs 2 lakh crore rupees, reducing the cost of credit by 1%. Additionally, the Budget announced various measures to be taken for the development of rural economy. With the aim to promote inclusive development, the Budget focused on building a digital public infrastructure for farmers, encouraging agri-based start-ups, and helping i boosting value added crop production. Not only will this encourage the MSME sector but also provide support to the recovering MSMEs to stand back post the pandemic hit. The Budget also announced an increased outlay allocation for ‘Prime Minister Awas Yojana’ (PMAY) by 66% to over Rs. 79,000 crores. The expansion of the Digilocker services will work towards strengthening the digital ecosystem within the fintech sector.”
Aditya Malik, Founder & CEO, ValueMatrix.ai
“The Union budget reflects the government’s profound interest in making India a tech-driven and knowledge-based economy. It was great to see that the finance minister continued the trend of more productive expenditure. The budget stayed on its course of providing growth-oriented policies and incentives for start-ups. More quick measures are needed to realize the ambitious goals of “Make AI in India” and “Make AI Work for India,” the way AI is engulfing the world in its efficacy. The long-term but workable solution appears to be an institutionalized structure that focuses on educating AI. A ray of hope for the future of AI in India can be found in the three centers of excellence that will be established in the best educational institutions. I see it as a positive step for start-ups and investors in technology-focused industries. India is catching up to other economies since it currently has the third-largest start-up ecosystem globally. Additionally, the national data governance strategy will positively affect providing access to anonymized data by aiming for innovation and a tech-driven economy.”
Pooja Mehta, Chief Investment Officer, JITO Angel Network
“The government’s announcement of a National Data Governance Policy is a landmark moment for India’s start-ups and academic community. With India being recognised as the third largest start-up ecosystem in the world and a leader in innovation quality, it’s a powerful testament to the entrepreneurial spirit in the country. The Focus on R&D and AI Execution to move India more towards Digitisation. Also, extension of tax benefits and the relaxation of the conditions for carry-forward of losses for start-ups is a positive step forward. This shows that the government is again fully committed to support, promote, entrepreneurship and Technology development which will drive economic growth and development in India.”
Nitish Mittersain, Founder, CEO & Joint Managing Director of Nazara Technologies
“The Union Budget 2023 has given prominence to digital infrastructure. The intent is not only on developing but building an ecosystem. The budget makes digitisation an integrated aspect of all sectors. AI is the next level in technology innovation and enterprise creation. The creation of three centers of excellence for artificial intelligence to enable ‘Make AI for India’ and ‘Make AI work for India’ will be a game changer in streamlining AI further. The budget also emphasizes developing applications under 5G as the country makes way for it.
While focusing on new pillars of growth, the budget has also given start-ups their due credit. Establishing a National Data Governance Policy to enable access to anonymized data and extending the date of incorporation for income tax benefits to start-ups will be a game changer. In addition, removing the minimum threshold of Rs 10,000/- for TDS and clarifying taxability relating to online gaming is one of the key takeaways.
The proposed Union Budget also reflects the proactive approach by the government in streamlining the tax system and promoting fairness in the industry.”
Sanjay Kalirona, Co-founder and CEO, Gizmore
“Smart wearables are expected to continue to drive consumer interest with increasing preference for a healthier and modern lifestyle. Technology plays an important role in developing these products with the latest features. The announcement from the Finance Minister to set up three Centres of Excellence for artificial intelligence will boost the infrastructure for AI in the country and its use in smart wearables. Investment in the ecosystem of building semiconductors in India will change the industry scenario from “import led” to “export house” and will make India self-reliant in the component industry. The indirect tax proposals are expected to boost domestic manufacturing and promote exports. In addition, the relief provided to the consumer by direct tax proposals like an increase in rebate limit to INR 7 lakh, increase in standard deduction and reduction of the highest surcharge rate will boost consumption levels in the country. Overall, it is a balanced Budget that sets the right tone for the Amrit Kaal,”
Sameer Merchant, CEO, Illusion Dental Lab & Illusion Aligners.
“The Government has shown the right intent to bring a meaningful change in the Indian healthcare sector in this year’s budget. The initiatives to strengthen the academic, research and skill ecosystem will have a far-reaching impact on the country. It also shows that the government is responsive to the nation’s needs. However, there is a need to give due importance to dental care, especially after Covid and the role it can play in improving the Indian health ecosystem. We were expecting some announcements related to the dental industry as it is one of the fastest-growing industries in India,”
Rajesh Srivastava, Chairman, Prowess Advisors and Executive Chairman, Rabo Equity Advisors
“We heartily welcome this year’s budget by the honorable Finance Minister. Forming up of the Agriculture accelerator fund and computerisation of 63,000 primary agricultural credit societies (PACs) with an investment of Rs 2,516 crore are all extremely encouraging steps towards improving the state of the agri-startups in rural areas. Setting up massive decentralised storage capacity would also be highly beneficial to farmers.”
He further said, “The reduction of Alternate Minimum Tax rate for co-operative societies to 15 percent and the decrease in surcharge on co-operative societies to 7 percent from 12 percent are all commendable decisions. Alongside, setting up of a national cooperative database to map cooperative societies will help in better implementation of the proposed national policy on cooperatives. Revamping of the Credit guarantee scheme with an infusion of Rs 9,000 crore corpus is again a big boost for MSMEs. All of these announcements have instilled our confidence that our economy is on the right path and is accelerating towards a bright future.”
V. Raman Kumar, Founder and Chairman of CASHe
“It is a forward-thinking, balanced budget that gives particular attention to the financial industry. The Budget’s announcement of a “risk-based” KYC procedure as opposed to a “one size fits all” strategy is well appreciated. Expanding the scope of DigiLocker will benefit fintechs as it will simplify the KYC process and enable more significant digital investment and lending adoption. Additionally, it will help bring down the customer on-boarding cost and lead to ease of business. Introducing risk-based KYC will also encourage small ticket-size investors to sign up on investment platforms by doing a minimum KYC. Simplifying the KYC process will enable more significant digital investment, and lending adoption decisions will ultimately aid the fintech sector in better consumer acquisition and database analysis. The initiative will help bridge the digital gap and further penetration of the internet and smartphone it has provided an opportunity to close the credit gap further.
The centres of excellence(CoE) on AI is a well-thought-off move. It will go a long way in learning and adopting AI in the country, giving impetus to the fintech and digital lending sector. It will aid in extending high-tech benefits, including penetration of digital credit to all parts of the country.
The overall restructuring of the tax slabs has simplified the new tax structure while, on average, giving consumers more purchasing power. The initiative is expected to boost investor sentiments towards savings in different asset classes and grow their investment portfolio.”
Mandar Agashe, Founder, MD and VC of Sarvatra Technologies
The simplification of KYC process will serve to be instrumental in proliferation of digital payments in the country. The Budget announcement of adopting a ‘risk-based’ KYC procedure, instead of ‘one size fits all’ approach, addresses the underlying issue pertaining to customer verification process faced by banks, NBFCs and fintechs. This will also encourage greater adoption of digital payments in the country. Currently, the KYC obligation is same for customers doing small value as well as large value digital transactions. Those opting for minimum KYC wallets and e-KYC bank accounts have to eventually upgrade to a full KYC accounts after a stipulated period of time to keep availing the financial services. Once, the risk-based KYC process is introduced, more customers will be encouraged to KYC for financial transactions, including the small-value transactions. The Finance Minister during her Budget speech said that the financial sector regulators will be encouraged to have a KYC system fully amenable to meet the needs of Digital India. The move will eventually help the fintech industry in better customer acquisition along with customer data management.
The setting up of National Financial Information Registry is a welcome move. While we await the draft framework on this, it will promote efficient flow of credit and data interoperability, eventually leading to accelerated financial inclusion.
Bhavin Patel, Co-founder and CEO of LenDenClub
“The overall reorganisation of the tax slabs has made the new tax system simpler while giving consumers more spending power on average. This positive step is anticipated to improve capital investment across multiple asset classes with a stronger focus on increasing private investment. Reducing the highest tax rate will encourage investment leading to growth in wealth for the investors. However, It would have been great if some tax benefits had been provided to investors in new-age asset classes, in investments such as RBI-regulated Peer-to-Peer lending.
The budget is growth-oriented, virtually touches crucial sectors, and lays the groundwork for a future-ready digital India. It is heartening to see the digital economy and fintech-enabled development being a key focus area of 2023–2024, given the vision of “Make AI in India and Make AI work for India”. This initiative will undoubtedly boost the innovative use of technology, resulting in greater financial inclusion, better and faster service delivery, easier access to credit, and participation in financial markets. It certainly sends a strong message that India is at the forefront of technological adoption. With the creation of ‘Centres of Excellence for Artificial Intelligence’, the incorporation of AI into the educational system will provide the talent required for the FinTech sector, and advancements in AI will result in better Fintech products.
India’s growth strategy is based on delivering digital financial infrastructure as a public good. Improved digital infrastructure will result in seamless services and a wider distribution of FinTech products, especially lending.
Moreover, the “National Financial Information Registry” is a positive move as it will strengthen financial stability and inclusion across the nation.”
Sudarshan Lodha, Cofounder & CEO, Strata.
“The overall tax slab restructuring has simplified the new tax regime while leaving an increased average individual purchasing power in the hands of the consumers. With an enhanced focus on boosting private investment, this is a welcoming move expected to increase capital investment across sectors. Reducing the highest tax slab to 39% will channelise increased investments in the high-value asset classes, including infrastructural avenues.
Furthermore, the budget also focussed on inclusive development with a special emphasis on boosting manufacturing. Additionally, a massive infusion of INR 10 lakh crore for infrastructural development will boost last-mile connectivity by strengthening inland transport and supporting infrastructure, complementing MSME manufacturing and generating increased employment.
It will certainly increase the commercial real estate market momentum, creating more demand for state-of-the-art manufacturing and warehousing facilities. Additionally, this will likely create a pumped-up demand for sophisticated office spaces beyond Tier I cities. Such measures also add to the development of new commercial hubs reducing the pressure from the metros and tier-I cities. This rise in demand, fuelled by the positive taxation relief, will increase the disposable income for average investors, thus improving their investible funds. This will have a robust impact on the spur in private investment and commercial real estate being one of the most promising investible avenues and will bolster India’s real estate industry by helping it inch towards its dream of becoming a $ 1 trillion market.”
Anand Kumar Bajaj, Founder, MD & CEO, PayNearby
It is extremely heartening to see ‘inclusive development’ and ‘reaching the last mile’ being amongst the seven pillars for Budget 2023-24, as it will lay the foundation for faster financial inclusion and a more equitable society. The government’s commitment to economically empowering women in rural areas will go a long way in making India an inclusive nation. The National Rural Livelihood Mission has achieved remarkable success by mobilizing rural women into 81 lakh Self Help Groups, and we are committed to take this initiative ahead. Through our association with UPSRLM, we have onboarded 10,000 women as BC-Sakhis and upskilled them to offer financial and digital services to their communities and help bridge the urban-rural divide. We are hoping to accomplish this nation-building initiative through more women members of society.
Additionally, to make MSMEs more resilient and competitive, the ₹9000 crores infusion in the Emergency Credit Line Guarantee Scheme (ECLGS) will help shield them from the rising interest rate burden. This measure will ensure the continued handholding of MSMEs, which account for more than 30% of India’s GDP and remains an important engine of economic growth, job creation, income generation and livelihood support.
The Government’s vision for the Amrit Kaal includes a technology-driven and knowledge-based economy with elements like the Data Governance Policy and Centers of Excellence for Artificial Intelligence. With PAN as a common identifier for all digital systems of specified government agencies, inter-department data sharing between various government organizations will help in better overall administration and ease of doing business. Further, the use of DigiLocker and Aadhaar will help establish personal identities and smoothen current KYC hurdles. With our PAN Card services, we are happy to extend this service to citizens at a nearby store and provide them with a valid proof of identity, thus helping bring all at the last mile into the formal financial fold.
We are happy that over the past few years, we were able to focus on Aspirational Districts and deliver on one of the key aspects of financial inclusion. Going forward, we will continue deepening on the Aspirational Blocks Program to further the Government’s vision of making all financial services accessible to the underserved segments of the society. During Amrit Kaal, in line with our government’s aims to achieve the vision for India@100 with ‘Sabka Saath, Sabka Vikaas’, we at PayNearby, pledge to walk hand-in-hand in making India a digitally and financially inclusive nation with our moto of Zidd Aage Badhne Ki.
Rahul Varma Kalidindi, CEO, Akrivia HCM
“Union budget of 2023 – 24 underpins a fitting way forward for the Indian startups, amidst looming global macro-economic uncertainties. We acclaim the government’s take on the vitality that entrepreneurship holds for our country’s economic development. The announced taxation benefits, credit allowances, and other MSME-centric measures will further simplify the business environment, thus fostering an ‘Amrit-Kaal’ of Bharatpreneur-led innovation. On the other hand, MSMEs will be able to imbibe the talent spree incoming from the government’s welcome move of skilling lakhs of youths in the next 3 years under Pradhan Mantri Kaushal Vikas Yojna 4.0. At Akrivia HCM, we look forward to contributing to the ecosystem with a made in India, AI-enabled, all-comprehensive talent lifecycle management for these growth engines and large industry players for and beyond India.”
Shammi Agarwal, Director, Pansari Group.
“The Union Budget 2023–2024 offers incentives for advances in food infrastructure, research & development, and innovation, which is extremely encouraging for the FMCG sector’s modest growth. The government’s initiative to promote millet for its health benefits would increase consumption and production of millets in the nation. In support of this, the government declared that the Indian Institute of Millet Research in Hyderabad will become a worldwide centre of excellence for the exchange of best practices, knowledge, and innovations.
Being the second-largest millet exporter in the world, India’s government also recognised the efforts made by all its small farmers to the wellbeing of its citizens by growing these wholesome millets.”
Rahul Misra, Founder, Vesta Elder Care
“The budget for the fiscal year 2023 has created opportunities for the health sector. The honourable finance minister announced that 157 additional nursing colleges would be built in addition to the existing 157 medical colleges instituted since 2015. Hence, this is a tremendous step towards India’s goal of providing quality medical care to all citizens. Furthermore, with the funds allocated for this fiscal year, the health sector can help further improve access to medical staff services by training more nurses and medical professionals. Additionally, intending to make India a “health superpower,” the government took the step to make ICMR labs available for research by public and private medical facilities, which is commendable and an essential milestone in the healthcare sector.
The move will not only ensure health security for all Indians but also allow the health sector to step over the threshold of medical innovation and technological advancement. Moreover, to realise a new range of prospects, business models & potential employment, 100 labs for developing apps using 5G services will be set up in engineering institutions to facilitate the healthcare industry leading to improved diagnosis and treatments.The union budget also echoed a new programme encouraging pharmaceutical research, which centres of excellence will implement. The new programme will propel the Indian health sector to new heights and provide a much-needed boost.”
Anil Somani, Chairman of FOSTIIMA Business School
We welcome the Indian government for introducing the Pradhan Mantri Kaushal Vikas Yojana 4.0, which aims to create 30 Skill India International Centers to prepare young people for possibilities overseas. Additionally, the announcement of a “National Digital Library” for students will urge them to keep up the pace of the learning they lacked during the pandemic years by making high-quality books more widely available.
This is a very well balanced budget no matter which side we are on. As far as the education sector is concerned we welcome the greater level of focus on digital literacy in India, we can only hope that the outlay for the education sector further increases.”
“We also appreciate the step toward teacher training programmes that will contribute to raising educational standards from the early stages of a student’s learning process and enhance the standard of teaching in Indian schools, both of which will have a straightforward impact on higher education.”
Rajat Jain, co-founder of Pataa Navigation
“We welcome the Union Budget 2023 by the Indian Government which is positively focused on a tech-driven economy. To begin, setting up 100 labs for effectively developing 5G services will enhance the overall UX of the mobile applications. Also, the initiative of setting up Centers of Excellence for artificial intelligence in top educational institutions will help in conducting interdisciplinary research and creating applications.
Additionally, the National Data Governance Policy unleashes innovation and research by startups and Academia to access anonymized data from both government and private entities for research and innovation in order to boost development in the country. Here at Pataa, we are excited about these developments as with these policies, we can also become an aid for the quest of a Digital India. Our advanced addressing system can complement a few of the services proposed, such as in the 5G sector, intelligent transportation systems can be integrated with our smart addressing system to make it even more efficient and effective. In terms of artificial intelligence, Pataa’s location based predictive proximity location intelligence system can greatly aid agriculture and healthcare services with precision location and digital addresses that can be used to provide services. Additionally, Pataa can be integrated into the advanced digilocker technology for provision of geotagged and verified addresses. We are all set to launch applications for enterprises and organizations based on location intelligence and augmented reality to help in operational efficiency and excellence.”
Nitin Gupta, CEO & Co-Founder, Attero Recycling
“The FM clearly indicated the importance of energy transition, and the budget reflects this priority. In the current budget, there is an emphasis on reducing carbon footprints and creating jobs through green growth initiatives. Union Budget 2023 has removed custom duty on capital goods/machinery to manufacture lithium-ion cells. Allocation of Rs 35,000 crores priority capital for energy transition, viability gap funding for battery storage of 4,000 MwH and tax exemption on lithium batteries from 21% to 13% are all positive indicators for the industry. These steps will help in the further growth of the EV industry to one crore annual sales by 2030 and create five crore direct and indirect jobs.”
Sidhhant Agarwal, Founder, CEO SportVot
“It is great to see a consistent and substantial increase for the sports sector in the budget allocation. It is definitely a boost to sports ecosystem and statrtups that are entering the sports sector. With India’s plans to host the Asian Games and the Olympics, it was about time that we paid serious attention to the sports infrastructure in the country. But, apart from the infrastructure, how the resources are allocated towards discovering and nurturing the talent at the grassroots level will be of utmost importance to achieve India’s global aspirations.”
Ms. Sana Afreen, CCO & Asst. Director -Program Management, Rizzle
The 2023 Union Budget of India is a clear indication of our determination to make AI work for India, by investing in its development and utilizing its power to address the unique challenges facing our nation. We are poised to harness the full potential of AI and create a brighter future for all.
The use of AI has already sparked a revolution. Businesses will increasingly employ AI to improve customer experience and make operational tasks more efficient. On digital platforms, AI-based discussions and other use cases are widely available.
Excited about the new transformations AI will bring and how those will encourage people to upgrade their learnings and skill sets. We see a lot of value in focusing on AI for India, as shared in the Union Budget. As an organization that ‘Makes in India’, we look forward to greater development around AI to enable consumers at multiple levels..The Budget’s announcement of the opening of three artificial intelligence centers puts a spotlight on AI-driven skill development. We fully support the government’s efforts to position India as a global digital power.
Shweta Tanwar Mukherjee, Entrepreneur & Content Creator, Founder, SociallKnot
Budget 2023, presented by FM Nirmala Sitharaman, builds on the momentum of last year’s productive expenditure and reinforces the government’s commitment to supporting India’s growth and development. The Union Budget recognizes the importance of innovation, research, and development, essential to reaching the aspirational goal of becoming a $5 trillion economy and a world-class technology ecosystem.
The addition of cutting-edge technologies such as drones and 3D printing, the establishment of 30 Skill India International centers, and the launch of a unified skill platform demonstrate the government’s commitment to equipping the future workforce with the tools necessary for success in a rapidly changing job market.
The budget includes several initiatives aimed at promoting women’s empowerment, including savings schemes specifically designed to meet their financial needs. These efforts are a critical step towards achieving gender equality and creating a more inclusive and sustainable future for all.
Vivek Banka, Co-Founder – GoalTeller one-app solution to manage your investments, savings, goals, insurance policies
“ Though fairly uneventful as over the past many years, the budget has a few takeaways 1) Increased focus of the government on the new and Simplified tax regime and focus on spending rather than savings, 2) Plugging tax loopholes that especially HNI’s used to exploit loopholes ( Market Linked Debentures and Insurance) and lastly continued focus on infrastructure and agricultural economy. All worries about capital gains turned out to be thankfully a damp squib. All in all an excellent budget with continued focus on what we’ve been seeing last many years
Amandeep Kaur, Founder and CEO, Phoenix TalentX Branding
Budget 2023 is definitely a growth-oriented budget with several sectors gaining in one go and an acute focus on building a tech-driven, green-led and financially independent economy. We are particularly excited about the active role and sponsorship of the government towards Skill India initiatives like the International Skill Centers, Centres for excellence in AI, and 100 labs in engineering colleges to develop 5G apps. It will not only empower the youth of the country, boost our knowledge economy, talent capital but also accelerate India’s role in building cutting-edge and innovative digital technology solutions for the citizens of the planet . This inclusive budget will further consolidate India’s position in the world economic order – our macro-economic and financial stability as ushered by this new budget too will further propel India’s image as a rising economy .
Minal Anand, Founder & CEO, GuruQ
This can be done through collaboration with private education companies and edtech organizations to provide education to the youth in tier one, tier two, and tier three cities, and improve the literacy rate in the country. In conclusion, while the Union Budget 2023 has made significant progress towards promoting AI and innovation in India, there is still a need for greater focus on education and the development of human capital. Only through a comprehensive approach that takes into account the needs of the youth, startups, and the education sector can we truly achieve the goal of making India a digital superpower.
Parry Singh, Founder and CEO, Red Fort Capital.
The finance minister has focused on growth and digitalization, which is the need of the hour. Capital Investment outlay has been increased by 33% to Rs 10 lakh crore, which would have a multiplier effect on the economy. The government has continued its support to MSMEs by announcing 9000 crores for the MSME credit scheme and returning 95% of the forfeited amount for contract failure during Covid-19. Furthermore, the enhancement in DigiLocker will increase the efficiency and reduce TAT for financial institutions and FinTech.
Mrinaal Mittal, Director, BlackTeak Realty
“Based on my preliminary reckonings of the 2023 Budget, the real estate industry has been treated as-is, not much benefit given to real estate sector either developers or customers. The sector is bound to benefit indirectly from the focus on infrastructure development, particularly urban infrastructure. This fraternity also benefits indirectly from the decrease in individual tax outlays. A bigger budget under the PMAY for affordable housing, which is 65% higher than last year, will boost this segment of real estate. The net yield to REIT (Real Estate Investment Trust) investors has decreased as a result of changes to the taxation of REITs and InvITs (Infrastructure Investment Trusts), which include distributions made to repay debt as taxable income. The capital investment outgoing witnesses a sharp incline of 33% up to Rs 10 lakh crore and this will comprise 3.3% of the nation’s GDP. This outlay is three times of the same made in 2019. Overall a rather underwhelming treatment and tepid measures for the real estate fraternity”
Hari Kishan Movva, Senior Vice President, SILA
“My first impressions of the 2023 Budget are that a status quo has been maintained with respect to the Real Estate sector. The focus on infrastructure development, especially urban infrastructure would have an indirect positive impact on the sector. Similarly, the reduction in tax outflow for individuals is also an indirect positive to the sector. Amendments in taxation of REITs / InvITs wherein distributions via repayment of debt have been included in taxable income reduce the net yield to REIT investors. The introduction of a limit of INR 10cr on capital gains exemption for the purchase of residential property under Section 54 & Section 54F is also a marginal negative for the luxury residential sector.”
Rajeev Sinha, Co-Founder, Onlygood – A Unified Sustainability Monitoring & Management Platform
“The Budget 2023 paves an urgent pathway towards a more focused Sustainable Development of the nation & its economy. A welcome and seemingly robust steering of the economy can be expected in the coming years, courtesy wider budget allocations to Sustainability based infrastructure & capacity-building for this year. Better Capacity Battery Energy Storage Systems, Green Credit Programme for intrinsic behavioral change, PM-PRANAM Initiative for Restoration, Conservation & Awareness of Natural Resources, GOBARdhan Scheme to inspire circular economy etc. are some heart-warming additions in the Budget in terms of Green Growth of the Nation.
It would seem very likely that relevant institutions & our government are now motivated with urgency to achieve the promised Net Zero Goals, primarily through Energy Transition Objectives.
In my opinion, this is going to be a very important year from the lens of Sustainability, as the trickle-down effect of this crucial concept has acquired a considerable pace in the last year. In this welcome advance, we shall hope to be an important part of Sustainability’s very own torchbearer community”
Tarun Prajapati, Co-founder and Managing Director, Cultivator Natural Products Pvt. Ltd. said,
“The finance minister has shown solidarity with farmers by announcing that Over the next 3 years, one crore farmers will get assistance to adopt natural farming and 10,000 bio input resource centres will be set up. We also applaud the fact that the Hon’ble Finance Minister has also announced accelerator fund for agriculture startups in ‘Amrit Kaal’ Budget.”
He further added, “India is moving on the right track despite having multiple odds. The government is also increasing digital infrastructure in the rural areas and setting up an accelerator fund for agri-based rural startups. India is primarily an agriculture-based economy and this budget is definitely a pro-farmer one. We also congratulate the government for bringing an agriculture credit target by 20 lakh crores that focuses on empowering every walk of Indian socio-economic strata. We are optimistic about the overall economic growth of the nation.”
Umesh Singh, Director, Tara Candles
Our commitment to making AI work for India by investing in its development and harnessing its power to address the particular problems our country faces is evident in the 2023 Union Budget of India. We are in a position to fully utilise AI’s potential and build a better future for everyone.
A revolution has already been initiated by the usage of AI. Businesses will use AI more and more to enhance customer experience and streamline daily operations. AI-based talks and other application cases are increasingly accessible on digital networks. Excited about the changes AI will bring and how they will motivate individuals to improve their knowledge and skill sets.
Kapil Bhatia, Founder & CEO, UNIREC
The government’s commitment to assisting India’s growth and development is reaffirmed in FM Nirmala Sitharaman’s Budget 2023, which builds on the momentum of the previous year’s productive spending. In order to achieve the ambitious aim of having a $5 trillion economy and a top-tier technological ecosystem, the Union Budget recognises the significance of innovation, research, and development. focuses on “Green Growth” for the first time as a result of India’s goal of achieving net zero emissions by the year 2070. An excellent initiative for implementing several laws for energy efficiency across various economic sectors as well as programmes for green energy, green farming, green mobility, green buildings, and green equipment. These measures to promote green growth reduce the economy’s carbon intensity and create numerous chances for green employment.
Nehal Mota, Co-Founder & CEO, Finnovate
Union Budget 2023-24 was a tightrope walk for the Finance Minister. The GDP growth had to be strong enough to offset the recessionary impact of central bank hawkishness. However, this had to be done with lower fiscal deficit. The FM did just that. She announced a Rs20 trillion allocation for agricultural credit and 33% higher capex guidance at Rs10 trillion or 3.3% of GDP. Effective capex was Rs13.70 trillion or 4.5% of GDP. All this was managed through a sharp 22% cut in subsidies, leading to fiscal deficit lowered by 50 bps to 5.9% for FY24. The gross borrowing target for FY24 was pegged at a tad above Rs15 trillion. On the capital markets front, there were expectations of a macro push, more money in the hands of people and selected sector tweaks. Macros have been managed rather well. The budget refrained from any changes to capital gains tax, dividend tax or STT; which is understandable. However, at the lower end, the budget raised the exemption slabs and at the upper end reduced tax rates. The net result could be a huge surge in purchasing and investing power. This higher spending power is a big advantage for a consumer economy like India.
The legendary George Bernard Shaw called the budget an attempt to equate the earning capacity with yearning capacity. Even the IMF has acknowledged India as the fastest growing large economy in the next 2 years. The gap between government optimism and public scepticism called for a sound budget. The FM provided just that.
Dr Yajulu Medury, Vice Chancellor, Mahindra University
”The budget provides a much-needed impetus towards empowering the education sector and youth towards helping them realize their true potential. The setting up of 100 5G enabled labs to develop apps in engineering institutions and 3 centers of excellence in Artificial Intelligence is a major step towards ‘Make AI in India and Make AI Work for India’ and helps in shaping the new engineer of today. The 30-skill India international centres across states will further promote interdisciplinary research for developing cutting-edge applications to transform critical sectors and provide solutions for sustainable cities. In order to bridge the skill gap in India, the budget is in line with Mahindra University’s focus on integrating critical thinking and problem-solving through a dynamic and diverse curriculum.”
Dr Ashwini Kumar Sharma, Director General, VIPS, Delhi, ( Ex VC, Symbiosis Skills and Professional University, Pune)
“The focus on empowering our youth with skills is the major highlight of this budget and this will be one of the clear distinctions that will define our future. The announcements on spurring innovation through setting up institutions for AI and 5G labs will be immensely helpful in building foundation for a technology and knowledge-based economy”.
Anand Shukla, MD, Ocean Infraheights (Golden I)
‘The announcement for INR 10,000 crore per year for urban infra development fund will provide a major boost to the real estate sector. This will be beneficial for the use of priority sector lending shortfall and will provide robust momentum to the real estate sector. With the enhancement of 66% in the outlay for PM Awaas Yojana, will ensure the protection of housing rights to the grassroot level. Our initiatives in the areas of retail, IT/ITES offices, and residential construction are in line with the goal of promoting sustainable economic development while preserving the environment.
Farhan Pettiwala, Head of Corporate Affairs, Hikal Limited
“Under the provisions of the Union Budget, new programme for research in pharmaceuticals will be formulated that will not only promote R&D investments but also encourage to invest in research would boost pharma sector. The reduction of basic custom duty on acid grade fluorescence from 5% to 2.5% is a big relief for the pharma industry as it will make the domestic fluorochemicals industry Atma-Nirbhar. Similarly, the exemption of denatured alcohol, is used in chemical industry, will support ethanol blending program and facilitate energy transition. Meanwhile, 10000 Bio resource input centres will truly help India create a national-level Bio resource micro fertilizer and pesticide manufacturing network.”
Manoranjan Mohapatra, CEO, Comviva
“With the ongoing 5G rollouts in India, the government’s decision to establish 100 5G application Labs is a timely move to spur innovation in developing the 5G ecosystem and India relevant use cases. There is a great opportunity to combine 5G and AI to improve network speed, responsiveness, and efficiencies. The special emphasis on establishing AI centres of excellence shall help produce specialized talent to enable India preserve its global advantage and leadership. These are extremely positive initiatives and shall bring technological advancements to the country as AI and 5G are the two most critical elements to enable futuristic innovations and developed related 5G ecosystem.”
Matthew Foxton, India Regional President & Executive Vice-President, Branding & Communications · IDEMIA
“I am pleased to see the focus in Union Budget to strengthen the Digital ecosystem, India’s digital advancements in this decade have been remarkable, especially the integration of digital infrastructure and identity framework. Establishing a strong national identity system is crucial as it boosts security, drives economic growth, and strengthens social unity. The adoption of a unified KYC process, utilizing Digilocker and Aadhaar as the primary means of identity verification, is a positive step forward and will increase financial accessibility for marginalized communities”.
Arvind Bali, CEO, Telecom Sector Skill Council
“The government’s focus on the skill development of India’s potential youth talent through initiatives like NEP, PMKVY 4.0 for skilling in niche new-age technologies like 5G, AI, 3D printing, drones, coding, mechatronics, robotics, and IoT draws further impetus to the ongoing efforts. Blue and grey-collar job demand in India grew by up to four-fold in 2022. Annual demand in telecommunications and 5G have increased by 33.7 per cent in September 2022. There was a demand for 1.3 million workers in FY22-23 which is growing each year and. New use-cases including cloud computing, robots, and the Internet of Things (IoT) are also seeing a sharp rise in hiring. We believe the initiatives will be beneficial to close country’s growing demand supply gap of technical talent workforce. With the government’s push to establish 30 Skill India international centres, 100 premier labs for developing applications to use 5G services, and centres of excellence for AI, India has the potential to deliver talent not only across domestic markets but also to the international market. The initiative like the Eklavya Model Residential Schools (EMRS) is also a progressive move by the government to uplift the tribal population and empower the students to take up new job opportunities.”
Rajiv Bhalla, Managing Director, India & Vice President APAC, at Barco
“Indian economy is heading towards a bright future, the ‘Saptrishi’ of the Budget 2023 prioritizes on inclusive development, reaching last mile, unleashing potential, green growth, youth power. Announcement around adding 50 tourist destinations as a whole package and focusing holistically on physical as well as virtual connectivity, tourist guides, high standards for food streets and tourists’ security through an app to enhance tourist experience, is a significant step that will unlock growth and job opportunities in the sector. The Budget is perfectly aligned with Barco’s aim to make India a popular tourist destination with visible impact, allowing people to enjoy compelling entertainment experiences. Further, Budget has focused on overall growth & sustainability as India has the potential to be a world-class infrastructure centre, moving toward net zero carbon emissions by 2070 & setting up the AI based solutions in health, education, and sustainable cities will give additional push towards the extensive use of technology”.
A. Gururaj, MD, Optiemus Electronics
“This year’s budget is a strong effort to consolidate the Indian economy in post-pandemic dynamics, raising the personal tax exemption limit will certainly boost consumption and the electronics industry will surely benefit from it. Continuing the import duty cuts on Camera Lens and batteries for mobile manufacturing is a welcome step and this will continue to fuel the remarkable growth India has witnessed in domestic manufacturing.”
Jagdish Mitra, Chief Strategy Officer & Head of Growth, Tech Mahindra
“It is a very positive budget from a technology sector perspective, as it sets the right message about 5G labs, setting up AI centre of excellence and the focus around skilling, which is absolutely the key need for the country as we live through the Prime Minister’s vision on TechAde and technology being the core enabler. From a business perspective, steps around ease of doing business have been taken and I think that’s commendable. I would like to congratulate the Finance Minister and the government for taking these steps”.
Tarun Sharma, Founder and CEO, Yodda Elder Care
“The budget is inspiring and encouraging for the start-up ecosystem. For the elders and seniors, setting up 157 new nursing colleges is a positive step in increasing the number of caregivers and is in line with the commitment to increasing public health expenditure to reach 2.5% of GDP by 2025. Also, the limit enhancement in the senior citizen savings scheme to Rs 30 lakhs is likely to encourage more savings from seniors.
While this budget is very positive for the masses, it misses the intent and lacks inclusiveness for the senior citizens. With the rise of the ageing population, there is an urgent need for professional at-home care services for elders. While businesses like caregiving or home visits from nurses have been freed of tax burdens, at-home elder care continues to be taxed at a rate of 18% GST – a factor limiting the affordability and reach of such services. We urgently need these services to be tax-exempt or taxed at a lower rate to ease the burden on the senior citizens.”
Neha Bagaria founder & CEO of JobsForHer
“We appreciate the emphasis on training the young population, and the decision to decrease the total tax obligation, which encourages domestic spending. However, we were hoping for a gender-inclusive budget that would offer more chances for women’s career growth, tax incentives to hasten their skills development, lower the cost of higher education for women, and provide support for female entrepreneurs. Hope these are also included in future drafts”.
Dr. Prateek Kanakia, Chairman and Founder, TheGreenBillions
“This budget should be labelled as the first Green Budget as the businesses can now adopt a greener approach and cultivate sustainable solutions practices with the allocation of ₹35,000 for priority capital investment towards energy transition. Launching the national green hydrogen mission is a significant step in moving towards clean & green energy. Further, municipal solid waste can play an important role in achieving a hydrogen production capacity of 5 metric million tonnes by 2030. Given India’s G20 presidency, this budget is a watershed moment in India’s fight towards climate change.”
PREETI MALHOTRA, Chairman, India – Foreign Investors India Forum
Extremely happy to note that the vision of ‘Saptarishi’ outlined in the budget today is a vision for Bharat@100 – a democratic and developed nation by 2047. India’s growth plans are ambitious, ‘unleashing potential’ requires intense capital investment that must be financed by exploring current avenues such as FDI which continues to be a key catalyst for growth. Foreign Investors, especially OCIs, who are more committed to the motherland require certain liberalisation in terms of taxation of global income on extended stays in the country. Several reports and case studies have shown a strong positive correlation between FDI and economic growth and a lot of our Asian neighbours have successfully used FDI to achieve exponential growth. For India too, this must be the next immediate step to direct the nation towards “Amrit Kaal.”
Nilanjan Banik, Economist, Mahindra University
“It is a fantastic budget. It has elements of unleashing purchasing power both from the perspective of consumers and businesses. For the common man, there has been an increase in tax rebates. For businesses and the economy as a whole, there has been an increase in the allocation of capital expenditure. Capital expenditure is hiked to Rs 10 trillion and this money when used for building roads, ports, and airports will lead to a further round of income and employment generation. Additionally, an all-time high allocation towards the railway sector will complement this connectivity pan-India and will make India a better place to do business. And all of this spending towards capital expenditure is undertaken by taking into consideration that the fiscal deficit is kept under control. Money is being spent judiciously and towards the infrastructure sector, keeping in mind the long-term (amrit kaal) growth”.
Mayur Taday, Chief Business Officer, TeamLease Services
“Y23-24 is a good balance between growth and fiscal prudence. What stands out is the high emphasis on digitization and green economy. This budget aims at creating jobs for the youth, giving more money in the hands of low income groups, salaried class and pensioners; thereby driving consumption and demand especially in rural India. Some of the key reforms that will aid employment generation include – increased capital expenditure outlay to Rs 10L Cr for infrastructural development, launch of 50 tourism centers and 03 artificial intelligence centers, 10000 bio input resource centers, tax benefits to startups being extended till March 2024; amongst other initiatives. For the BFSI sector specifically, it would be interesting to see the amendments being introduced to the Banking Regulation Act, The Banking Companies Act and The Reserve Bank Of India Act, and the impact it will have on the economy. Additionally, the refined KYC process will boost the digital public infrastructure and aid FinTechs and the financial sector tremendously. The budget has not only addressed jobs but also taken imperative steps towards augmenting skills of the youth through the various education and skilling focused reforms launched.”
Dr. N.S. Senthil Kumar, PhD (Rehab) – Chief Executive Officer, The Association of People with Disability (APD, India)
The government’s initiative to set up a National Digital Library is a great step to promote education and ensure lifelong learning for children and adolescents. The Union Budget’s announcement to increase investment in healthcare worker infrastructure by setting up more nursing institutions is another positive and welcome move to ensure more job opportunities for the youth.
The budget also focused on the seven important priorities or ‘Saptarishi’ mantras – including inclusive development, reaching the last mile, empowering the youth, unleashing the potential, and boosting overall social welfare infrastructure and investment. However, there is a pressing need for inclusiveness and adequate financial outlays to ensure holistic needs of persons with disability and the sector are met.
Disability inclusion – what more needs to be done?
Tangible incentives for effective implementation of RPWD Act 2016 provisions, training and skilling of PwDs, and building a disability-friendly accessible infrastructure across the country especially for Children with Disability, are priority areas.
On the financial front, GST exemption on assistive aids relaxation on tax ceiling, and aligning medical welfare and insurance for PwDs, would significantly enhance the quality of life for people with disabilities and realise the benefits of an inclusive society.
Akshay Marwah, Mohit Marwah, Co-Founders, AAFT Online, Led by the promoters of AAFT University,
“The honourable Finance Minister’s move to launch a unified Skill India digital platform to empower the youth and focus on job training through the formulation of the National Education Policy in the Budget 2023 is highly commendable. The focus on youth and the future of India by macroeconomic stability and a visionary focus on technology advancement and setting up AI centers in top education centres is a great step forward. The budget sets a hopeful tone for India’s GDP and economic growth with special emphasis on vocational, secondary and specialized higher education, as India’s GDP is projected to grow at a rate of 6-6.8% in the 2023-24 fiscal year. The FM’s allocations is a practical approach in the 2023 budget which aims to boost the country’s economy with focus on Make in India, women and youth empowerment.”
Beas Dev Ralhan, CEO, Next Education
“In its latest budget, the government is emphasising on job creation and training or uplifting the education standard. It further addresses the concern of vocational secondary education and specialized higher education. This sets a hope as our country’s GDP is likely to grow at a rate of 6-6.8 percent. For the 2022-23 financial year, the Eklavya Model Residential Schools (EMRS) budget has been increased by Rs 581.96 crore, from Rs 1418.04 crore in 201-22 to Rs. 2,000 crores. Under the scheme, tribal students will be able to attend residential schools. The budget also promotes the quick implementation of the latest technological advancements in the academic field to build an ecosystem of skilled students. In order to upskill teachers, innovative pedagogies, curriculum transactions, a dipstick survey of continuous professional development and the implementation of ICT will be used. A reduction in the cost of capital for educational loans was hoped for and is to be commended. Inflation and the necessity to adapt to technology remain challenges for the digital education sector with regard to taxation.
Anil Agarwal, CEO & Co-Founder InCruiter (IaaS Firm)
“Economic agenda focuses on three things – facilitating ample opportunity for citizens, especially the youth, providing a strong impetus to growth and job creation and third stabilising the macro economy. Amid job cuts, this budget provides a beacon of hope and is seen as a means of boosting the economy. By emphasizing the use of innovative and advanced technology, the budget creates an environment that promotes specialized growth, encourages experimentation, and leaves room for entrepreneurial ideas. This, in turn, enables HR leaders to better address each employee’s strengths and weaknesses, support their professional development, and maintain their engagement in the workplace.”
Sourabh Deorah, CEO & Co – Founder , Advantage Club
“Budget 2023 was presented with an impressive people-oriented agenda to address global challenges and strengthen the economy. It’s a well-balanced budget focusing on capital formation, green energy and R&D with an increased tax rebate for the middle class. New tax slabs announced by the government for the middle class are a big step in the right direction. Still, as the government has made the new tax regime a default regime, they should have carried deductions like 80c, HRA, and medical insurance premiums from the old regime to the new one. The other sector where the government has made a big announcement is for startups. The tax holiday extension and allowing the carryover of losses from 7 to 10 years and across the change of shareholding pattern is significant on the ground level. While the primary focus was on the core sectors – Agriculture, Infrastructure, Manufacturing & Transportation, entrepreneurs were assured of transparency and support”.
Alagar Samy, Director, Consortium for Technical Education (CTE)
“ In the budget, Economic agenda for our vision focuses on facilitating opportunities for citizens, providing strong impetus to growth and job creation and strengthening macroeconomic stability. A total of 100 labs will be set up in engineering institutions with various authorities, regulators, banks and other businesses for developing applications using 5G services. The budget for self-directed online/offline training programs will enhance job seekers’ soft and digital skills, thereby improving their employment prospects. PM Kaushal Vikaas Yoajna 4.0 launch is a positive move to skill the Indian youth in new age courses for industry 4.0 such as robotics, coding, drones and other soft skills. The budget focuses on improving education quality, strengthening teacher competencies, developing robust infrastructure, promoting skill development, and increasing access to affordable internet services. Prior initiatives like Career Skills and Samagra Shiksha’s online teacher training, focus on research and innovation, e-learning and student financial aid are expected to enhance India’s education system and bridge the gap between education and industry, producing a globally competent workforce. Education moves forward with industry partnerships, data governance policies, and a technology-focused approach with a special emphasis on AI applications.”
Sudhanshu Agarwal, Founder and CEO, Citykart Retail
“”This year’s budget proposal aims to stimulate the consumer sector by simplifying business processes and improving multi-channel retail capabilities. Doing this will enable industry players to operate efficiently and thrive in a rapidly evolving business landscape. The plan also calls for supportive fiscal policies and enhanced infrastructure across tier-I, tier-II, and tier-III cities. These policies will reinforce a robust multi-channel retail system. In a nutshell, by placing more disposable income in the hands of consumers, the demand for goods and services is likely to increase.”
Anil Banchhor, CEO & MD, RDC Concrete
“This budget announcement highlights the government’s intention to invest in the country’s development. With a CapEX plan of 4.5% of GDP, the government aims to modernize urban areas and improve infrastructure. The large capital investment in the Railways and the creation of the Urban Infra Development Fund is expected to bring significant upgrades in these sectors. The approval of 100 key transport projects will increase connectivity and reduce travel time, ultimately boosting the economy. The allocation of INR 79,000 crore for affordable housing addresses the housing shortage and provides shelter to those in need, benefiting the construction and real estate industries by creating jobs and economic opportunities.”
“We are thrilled about the government’s focus on private investment in infrastructure. This presents tremendous opportunities for companies like ours to contribute to the country’s growth and development. The Infrastructure Finance Secretariat and the harmonized Master List of Infrastructure will bring much-needed clarity and structure to the investment process. The increased investment in railways, roads, urban infrastructure and power will result in a more connected and efficient country.”
“The government’s focus on logistics and the identification of 100 critical transport infrastructure projects will provide a significant boost to the economy. The revival of 50 additional airports, heliports, water aerodromes, and advance landing grounds will improve regional connectivity and make it easier for people and businesses to travel. The goal of transforming our cities into ‘sustainable cities of tomorrow’ is ambitious and inspiring. The focus on efficient use of land resources, adequate resources for urban infrastructure, transit-oriented development, and enhanced availability and affordability of urban land will provide new opportunities for growth and innovation in the construction industry.”
“Through property tax governance reforms and ring-fencing user charges on urban infrastructure, cities will be incentivized to improve their creditworthiness for municipal bonds. An Urban Infrastructure Development Fund (UIDF), similar to the RIDF, will be established through the use of the shortfall in priority sector lending. This will be managed by the National Housing Bank, and will be used by public agencies to create urban infrastructure in Tier 2 and Tier 3 cities. States will be encouraged to leverage resources from the grants of the 15th Finance Commission, as well as existing schemes, to adopt appropriate user charges while accessing the UIDF. We expect to make available ` 10,000 crore per annum for this purpose.”
“In conclusion, I am confident that these initiatives will lead to a more prosperous and sustainable future for our country and I am eager to contribute to this vision.”
Kalyan Kumar, Co-founder and CEO, KlugKlug.
The Centre’s capex objective for 2023-24 is Rs 10 lakh crore, which is 33% more than the budget projection of Rs 7.5 lakh crore for 2022-23. The government’s emphasis on capital expenditure to stimulate economic development cannot be contested. What is actually important, though, is the resumption of the private investment cycle. When capacity utilisation exceeds 80% and demand is expected to increase, investments are made. Another significant step forward in data accessibility will be the implementation of a National Data Governance framework that will provide access to anonymized data. Three artificial intelligence excellence centres to allow ‘Make AI for India’ and ‘Make AI work for India’ will be the next great thing in Indian technology.
Nisschal Jaain, Cofounder and CEO, Shypmax in the logistics and supply chain space.
Industry was looking forward to some flexibility in de minimis for e-commerce exports
“Budget 2023 has proposed a sustainable roadmap for the logistics industry by prioritising the improvement of logistics infrastructure across roads, warehouses, and airports. The proposed initiative for the revival of 50 additional airports, helipads, water aero drones, and advanced landing grounds will establish comprehensive air connectivity. This will also enhance the fiscal output while lowering the logistical costs and timeframes. The suggested advancements, like promoting coastal shipping, will strengthen multimodal logistics, thereby giving end users more options for international trade through affordable logistical options.
Understanding the ever-increasing global demand for Indian handicrafts and artisanal products, the newly conceptualised Pradhan Mantri Vishwakarma Kaushal Samman (PM-VIKAS) will create a global stage for Indian small-scale manufacturers, thus increasing their contribution to India’s EXIM dynamics. The onset of 100 critical transport infrastructure projects with an infusion of INR 75,000 through public-private partnership in priority sectors, will provide a much needed momentum to India’s inclusive development by speeding up the manufacturing segment.
The reduction in basic customs duty for goods from 21% to 13% will bolster foreign trade while creating global acceptance for Indian brands. However, the industry was expecting increase in the de minimis for all e-commerce imports as India looks to become a global market place, it needs to also give credence to the world that India is creative a level playing field for its exporters as well as global retailers. Furthermore, this will also channel the growth of Indian MSMEs by increasing their global leverage while curbing increased tariffs on Indian products. Also, increasing bracket of 3 years tax-free profits from seven to 10 years would prove instrumental in encouraging start-ups.”
Dishi Somani, Founder of DishiS Jewels || DishiS Jewels
“The budget for 2023 is neutral for the gem and jewellery sector, and the industry is believed to reap benefits from the fiscal year announcement. Undoubtedly, the jewellery industry will expand, as the sector is a major contributor to India’s economy, making up 7% of India’s GDP. The budget stated that the prices of precious gems and jewellery are set to go up as customs duties are introduced on several key items, from silver, gold, and platinum to imitation jewellery. While the import taxes on silver and platinum have been increased, we remain optimistic and are sticking to the government’s fiscal budget because doing so will spur significant innovation within the sector. In addition, the taxation on silver has increased by 7.5 percent on average, from 7.5 to 15 percent. While the central excise on imitation jewellery has increased by about 50%, it has only increased by about 25% on precious metals like gold and platinum. This is likely to affect the price of luxury goods and jewellery, as well as their production costs.
Additionally, businesses that intend to venture into the lab-grown diamond sector will immensely benefit. This is because the seeds from which they are manufactured have lowered the import duties and will be manufactured indigenously, which will make them more cost-effective and develop the domestic jewelry industry.”
Keshav Chadha, Director and CFO of Milap Cosmetics || Milap Cosmetics
“As our honourable Finance Minister Nirmala Sitaraman quoted, “MSMEs are the growth engines of our economy.” as they play a key role in the country’s economy and contribute 27 percent of its GDP.
According to previous information from the Ministry of Micro, Small, and Medium Enterprises, as of November 25, 2022, the number of microenterprises registered stood at 11,735,117 (96.17%), with small businesses coming in second at 426,864 (3.49%) and midsized businesses coming in third at 39,467 (0.32%). It is very encouraging to see such impressive growth in the MSMEs, and it shows how much of an impact this sector has had on our economy. Hence, the Union budget for 2023 is to allocate more resources to bolstering the competitiveness and independence of micro, small, and medium-sized enterprises, especially this beauty & cosmetic MSME. This will benefit the industry by providing access to credit, training, better technology, and other resources that can help it become more efficient and competitive. Furthermore, the circumspect reduction in customs fees and the facilitation of indirect taxation will encourage MSME exports. As an outcome, this will eventually boost domestic manufacturing and enhance domestic valuation.”
Pankaj Gupta, CEO-Mufin Green Finance
The EV sector is observed as one of the most dynamic segments of the clean energy industry and seeing the govt. setting “Green Energy & Green Growth” as one of the top seven priority sector for Budget 2023-24 makes EV players like us bullish towards the speedy growth of the EV industry. We at Mufin Green Finance work with a vision to drive financial inclusion by providing income-generation loans to end users.
We so far helped moreover 10,000 livelihood of people who are directly or indirectly associate reducing over 100,000 tonnes of carbon emissions through the EV financing and it lies in tandem with government firmly committing towards the goal of “net zero carbon emission by 2070 as part of the “Panchamat Mission”.
With lithium cost soaring up, an exemption on the Lithium- ion battery from Custom duty comes as a major relief. We belief the success of the green growth would be dependent on alternate storage and the Budget announcement of setting up a battery energy storage systems with capacity of 4,000 MWh with aid of viability gap funding would further help in establishing India as an EV hub. But the most needed thing for EV penetration is EV financing which should be moved to priority sector lending.
Gayomard Driver, Group Chief Financial Officer and Board Member, Jeena & Company
“It is a welcome budget as the focus on infrastructure improvement is apparent. Improvement through the revival of airports, helipads, water aero drones, and advanced landing grounds will support quick and efficient logistics. It could also simplify and improve regional air connectivity, further increasing the growth across the logistics sector.
The industry is poised to increase commitment towards developing green logistics infrastructure and an increase in green job avenues as a result of the government’s strong focus on green energy and sustainability in the 2023 budget. Globally, supply chain networks are being improved using AI, and now, with the attention on ‘Make AI for India’ and ‘Make AI work for India’, the Indian logistics sector will be able to do that as well. Sustainable practices paired with improved technology will further improve the establishment of lean operations placing a high priority on process optimization, waste reduction, and raising customer value.”
Manvendra Shukul, CEO, Lakshya Digital
“It is heartening to see Hon’ble Finance Minister’s continued focus on the most crucial building block for every sector – Skilling India. The Pradhan Mantri Kaushal Vikas Yojna 4.0 is a huge step towards boosting and promoting new skills in alignment with the emerging needs of industry 4.0. A wide range of sectors, including the gaming industry, are facing a shortfall of skilled workers. India has a huge opportunity to be a leader in global gaming market. However, for us to compete with entrenched players like China, it is essential to develop a strong pipeline of skilled workforce. Today’s budget has come good on the expectations of our youth in terms of investments in skilling and enhanced opportunities for employment creation. We look forward to an effective implementation of Pradhan Mantri Kaushal Vikas Yojana 4.0 that will allow our youth to upskill and be job ready for the global gaming industry.”
Tushar Chhabhaya, Director, Aarya Automobiles
The budget for 2023 was remarkable in many ways, especially for the automobile sector with a special focus on manufacturing and production in the country to support the idea of Aatma Nirbhar Bharat of our Honorable Prime Minister. The government’s drive for green growth is essential, given the recent rise in carbon intensity the budget facilitates the energy transition and battery storage to become viable, receive funding, and lower customs duties on lithium-ion cells in the upcoming fiscal year is a great move. Additionally, new tax slabs and GST will help people purchase cars by reducing the overall cost, as GST unified the country’s tax structure, making vehicles more affordable by eliminating the cascading effect of multiple taxes.
Dr. Sunil Shekhawat, CEO, Sanchiconnect
We are pleased by the government’s commitment to inclusive development and its emphasis in the 2023-24 budget on reaching the last mile, infrastructure, and investment, as well as releasing the potential of green growth, youth, and the financial industry. Another encouraging step is the government’s adoption of the National Data Governance Policy and the establishment of 100 laboratories for the development of 5G services-based applications. The increase in budget allocation for the Scheme for Faster Adoption and Manufacturing of Electric Cars from Rs. 2,908 crores in 2022-23 to Rs. 5,172 crores in 2023-24 would improve the country’s development of electric vehicles.The significant 33% rise in capital investment outlay to Rs 10 lakh crore, or 3.3% of GDP, is an outstanding performance. Although there are several areas where the budget might have done better for entrepreneurs, such as rationalising capital gains tax to encourage capital flows to the startup ecosystem, which has seen over $100 billion invested in the previous six years. This year, the request was denied, which might be a setback. A tax structure, in my opinion, might have been implemented to attract international investments to Indian entrepreneurs.
Hemant Tiwari, Managing Director, India, Hitachi Vantara.
“This year’s budget spells growth and inclusion overall. The government’s initiative around Fintech services, enhancing the usage of the national level cloud platform DigiLocker, will further boost technology adoption among individuals and MSMEs. The introduction of National Data Governance Policy will enable safe access to anonymized data and increase transparency. Moreover, with the AI revolution happening globally, the AI centres of excellence will provide exciting opportunities for cutting-edge innovations to be deployed across important sectors such as healthcare and sustainable cities, while providing new employment opportunities. Additionally, ‘The Green Credit programme’ as well as the initiatives towards building ‘Sustainable cities of tomorrow’ are strong leaps forward in building India’s green future. These are indicators of our nation’s commitment to climate action and efficient use of resources.”
Imthiaz, Co-Founder and CEO, Raaho
We appreciate the government’s efforts to simplify taxes, reduce compliance and create the Infrastructure Finance Secretariat. These measures will encourage private investment in important areas like railways and roads, and have a positive impact on the economy and job creation.
While we acknowledge the budget’s efforts, we would have liked to see more support for truck drivers, including social security and skills training. We also hope to see more specifics on how the National Logistics Policy will be implemented.
Overall, we believe that this budget lays a strong foundation for the future growth of the logistics sector and are confident that we are moving in the right direction.
Kunal Chandra – Co-Founder of Astro Motors said:
” We are pleased to see the Government’s continuing efforts to stay committed to green energy initiatives, making it one of the key points in this budget. The reduction of duties on lithium-ion cells from 21 percent to 13 percent will further boost the domestic manufacturing in India and make it cheaper for Indian consumers to own electric vehicles. The Monterey support in these growth sectors will definitely increase the adoption of electric vehicles at a faster pace and help us on our journey to achieve carbon neutrality”
Raja Debnath, Co-founder and CEO of Veefin – Post-Budget views on MSME, Fintech and overall budget
The General Budget 2023-24 is clearly a concerted effort to push the Indian economy upwards from its current position of being the 5th largest in the world. And highlighting the role of the financial sector among the seven priorities in achieving this vision shows the government’s resolve in making financial access and inclusion pivotal to our economic growth.
There is a clear commitment towards the needs and priorities of India over the next 5 years with a robust capital investment outlay of Rs.10 lakh crore towards green mobility, financial inclusion, technology innovation, agriculture, education and skill development, public and digital infrastructure.
Aptly termed the backbone of our economy – MSMEs stand to gain from the Rs.9000 crore infusion into the revamped credit guarantee scheme. The new scheme will bring financial relief to MSMEs by incentivising banks to go more aggressive on unsecured and priority sector lending and also provide credit to MSMEs at a lower cost. The current market size for Supply Chain Financing, a major beneficiary of which is the MSME sector, is estimated to be around Rs. 150,000cr. The new scheme effective April 1 2023 is likely to boost public and private sector banks to pursue SCF with vigour and increase access to formal credit channels in the MSME sector, which still averages around 8 per cent.
Additionally, the introduction of Digilocker for MSMEs will support them by easing the process of digital application of credit and digitizing the saving of documents. Some other key measures that will boost the confidence of the financial ecosystem and its players include the setting up of the National Financial Information Registry and the public consultation on regulation making and subsidiary directions.
Not just MSME credit, there is a strong commitment also towards Agri credit target of Rs.20 lakh crore, green credit and infrastructure investment – which creates tremendous opportunities for banks and financial institutions to innovate credit products and solutions through technology and scale financial access to support the socio-economic aspirations of the country.
The budget resonates with the aspirations of the citizens and the new India which is more visionary in its goals both domestically as well as globally.
Mr. Gaurav Dahake, Founder & CEO, Bitbns – Post budget reaction on the startup ecosystem and govt push for the community
The General Budget has been encouraging for the startup community in terms of the government’s vision for the country over the next couple of years. A slew of programs like Startup India, Digital India in the past have championed the startup ecosystem and helped it become the third largest in the world. With this budget, the government has yet again reinforced its commitment towards the startup community through measures like budgetary support for public digital infrastructure to enhance digital payments, extension of Digilocker services for the fintech sector, setting up of a New Financial Repository, Income Tax benefits and extensions and a consultative approach to optimum regulation in the financial sector for making regulations are together going to boost the startup community.
Another initiative to fuel India’s startup ecosystem is the initiative ‘Make AI in India’ and ‘Make AI work for India’. This clearly indicates that the country is committed to being a crucible to spur tech innovation by setting up three Centres of Excellences across the country and bringing the best of talent, industry and academia together. Efforts to build 30 skill India international centers for skill development and bring in new age courses on Coding, Robotics, Soft Skills among others are equally worth appreciating as it powers the youth of the country to be ready for jobs of the future and makes our future tech talent the best in class across the globe.
Moreover, the programs being initiated to increase sustainability and reduce carbon footprints will largely prove beneficial for a green economy in the future.
Mr. Vishnu Prasath Devarajan, Founder, Supercluster Pi – Post budget reaction on ‘Make AI in India’ and ‘Make AI for India’ and startup ecosystem
India is the third largest startup ecosystem in the world and the front-runner in bringing some of the most accessible and affordable technology solutions like UPI to the world. Further, building on India’s technology prowess, the Government of India has yet again taken an audacious resolve to ‘Make AI in India’ and ‘Make AI for India’ by committing to create 3 Centres of Excellence for Artificial Intelligence in top educational institutions in the country. This is a seminal step in bringing academia and industry together to develop and hone India’s tech talent and gear it ahead of its time to build for a rapidly changing world. The budget has also accommodated a long term vision of upskilling the next generation of young talent by aligning school education with the jobs of tomorrow.
The announcement of PM Kaushal Vikas Yojana 4.0 is a step in this direction to skill lakhs of youth within the next 3 years in new age courses like coding, AI, robotics, soft skills as well as the setting up of 30 skill India international centers across different states. This will definitely level up Indian tech talent. Other key initiatives like setting up of Agritech Accelerator to develop technology companies and support techpreneurs reinforce India’s commitment to building its startup ecosystem. The budget has also made considerable room for startups to carry forward losses from seven to 10 years, providing relief for the startup ecosystem that is still emerging from funding winter.
Founder & CEO – Abhishek Banerjee, Lotusdew Wealth and Investment Advisors Pvt Ltd
“Today’s Union budget by India’s honourable finance minister is an inclusive and futuristic budget. With vision for Amrit Kaal which will focus on strong and stable macro-environment, financial sector has been included in the Saptarshi-7 priorities. Reforms in financial sector will lead to financial inclusion at scale, improve allied services and participation in financial markets. Disposable income will also rise as the income limit for rebate of income tax has been increased from Rs 5 Lac to Rs 7 Lac in the new regime reflecting a positive multiplier impact on discretionary spending. The tax exemption will directly benefit consumer discretionary sector and the confluence of focus on railways and tourism, we might see sectors like textiles, QSR, packaged foods, hotels etc benefiting directly. This is also expected to increase participation in the capital market investment products. It is a welcome move that financial sector regulators are requested to carry out a comprehensive review of existing regulations to streamline operations which will help all the players in the eco-system at large.”
Soham Chokshi – CEO and Co-founder, Shipsy
“At Shipsy, we are excited to see the Indian Government’s continued commitment to promoting entrepreneurship and investment in the infrastructure sector through the Union Budget 2023. Extending income tax benefits and other relaxations will further help start-ups drive growth. The allocation of funds for critical transport infrastructure projects and the revival of regional air connectivity will modernize the logistics industry, drive greater adoption of multimodal transportation and improve supply chain efficiency. The push toward enhancing India’s 5G ecosystem will further accelerate digital transformation in the transportation management sector. We look forward to playing our part in making India rank among the top 25 countries by 2030 in the Logistics Performance Index.”
Yulia Aslamova, Head of Asia, DRIM Global
The Budget presented by FM Nirmala Sitharaman builds on the excellent Budget from last year, continuing the trend towards more productive expenditure. Like the rest of India, we welcome Budget 2023 with open arms. With easing capital gain taxation and carry forward of losses on change of shareholding of start-ups from seven years of incorporation to ten years, the country could become an innovation hub to many more startups this year.
Entrepreneurship is vital for a country’s economic development. India is now the third largest ecosystem for start-ups globally, and ranks second in innovation quality among middle-income countries. The several supportive policies for startups in Budget 2023 by the Finance Minister will help to scale up the operations to a greater extent and create a boom for the startup ecosystem across the country.
Vittal Ramakrishna, CEO and Founder, POD World, A full stack fundraising platform
The Union Budget 2023-24 presented by the Finance Minister reiterated the importance of Entrepreneurship for a country’s Economic Development. India still proudly holds the position of the ‘3rd largest ecosystem for startups’ globally and ranks ‘2nd in innovation quality’ among middle income countries. And I positively believe that the ranking for innovation is going to go up in the next few years – thanks to the Pradhan Mantri Kaushal Vikas Yojana 4.0 which seeks to further entrepreneurship in the country by focusing on skilling lakhs of youth in new age courses like Coding, AI, Robotics, Mechatronics, IOT, 3D Printing and Drone technology.
More on the Modi Government embracing technology is the fact that there will be dedicated Centers of Excellence (CoEs) to boost Artificial Intelligence (AI) in India. These centers will be established in top Indian institutions to ensure that ‘we make AI in India’ and ‘make AI work for India’.
Also, there is bound to be a noticeable upsurge in startups focusing on Agri-tech owing to the Agri-Accelerator fund which the Budget has aligned to boost startups contributing to this space. And rightly so, considering that India is a nation of farmers – what better way to create the best of both worlds than to combine the most ancient livelihood in the country with that of emerging, cutting edge technology.
Another need-of-the-hour focus will be on Healthcare with PharmTech taking prominence in the sector and the emerging startups thereupon. Needless to say, there’s good news for MSMEs in the aforementioned and other sectors with the infusion of INR 9,000 Crores in the revamped credit guarantee scheme – effective 1st April this year. Overall, I think Sitharaman has given us a Budget poised to fuel Innovation and Entrepreneurship in India.
Mridul Ranjan Sahu,, Co-founder, CuriousJr
We are pleased with the announcement of the Union Budget 2023. Covid has shown us both reality and opportunity for our education sector. The announcement of the National Digital Library for children at the panchayat and block level is a commendable step. It will help improve the culture of reading among students. In addition, the Indian government has announced plans to encourage students to pursue new age courses such as coding. These soft skills are must-haves for this digital era; this can make a student more efficient and help them in job creation.
Mihir Joshi, CEO, GVFL
The budget supports innovation and entrepreneurship, the key growth drivers of the economy. Extending the tax holiday policy by a year and the benefit of carrying forward losses on change of shareholding of startups to 10 years of incorporation from the current seven years is welcome. The focus on bringing more youth into entrepreneurship will spur the economy. Setting up three Centres of Excellence in AI and 100 labs for developing applications using 5G services will enhance the innovation capacity, fuel deep-tech startups, and help find scalable solutions for many problems.
Kamal Bansal, MD, GVFL
The Finance Minister has achieved a financial balance between increasing capital expenditure and reducing the fiscal deficit from 6.4% to 5.9%. The budget will make the economy more resilient. It also lays out the vision for the next 25 years and focuses on giving ample opportunities to the youth. The National Data Governance Policy will unleash innovation and research by startups and academia. The Agriculture Accelerator Fund will encourage agri startups by young entrepreneurs in rural areas and help in modernising agriculture. The extension of the date of incorporation for income tax benefits to startups by a year will give a boost to the startup ecosystem.
Kshitij Patel, Chairman, Indo-American Chamber of Commerce, Gujarat Branch
Union Budget 2023-24: Boost for infrastructure, energy sector and MSME sector. Strengthening roots for growth of start-ups and manufacturing units by providing substantial tax benefits.
The Budget for 2023-24 kept its focus on expanding Capex showing that the Modi government’s priorities are building roads, highways, and railway lines. The middle class has been given some relief in terms of changes in the new income tax regime clearly pointing out that the government wants a shift towards the new regime from the older one.
Further incentives for International Financial Services Centre (IFSC) to make it a global hub of financial services sector; Proposes to rationalise double taxation on distribution of income to NR ODI holders by providing for exemption to any income distributed on the offshore derivative instruments, entered into with an offshore banking unit of an IFSC (subject to the conditions prescribed); Exempted income shall include only that amount which has been charged to tax in the hands of the IFSC Banking Unit under section 115AD; Also proposes to amend the definition of “Specified Fund”, “Resultant Fund” and “Investment Fund” to include the reference of IFSCA (Fund Management) Regulations, 2022.
Bharat Patel, Chairman and Director at Yudiz Solutions Ltd
The FM has presented a budget that will give impetus to growth and development. Setting up three Centres of Excellence for Artificial Intelligence in top educational institutions will galvanise an effective AI ecosystem and nurture quality human resources. The setting of 100 labs for developing applications using 5G services will help realise new opportunities, business models, and employment potential. The expansion of the digital ecosystem for skilling with a Skill India Digital platform will enable demand-based formal skilling and facilitate access to entrepreneurship schemes. The boost to the startup ecosystem will spur entrepreneurship and contribute to economic development.
Amit Saluja, Centre Head of NASSCOM CoE, Gandhinagar
India has taken rapid strides towards digitalization in recent times and the budget has sought to add pace to the trend. The skill development scheme to cover new-age courses such as coding, AI, robotics, IoT, 3D printing, etc. for Industry 4.0 has been expanded. Setting up 5G labs and three Centre of Excellence for AI, will give a boost to research and innovation in realizing the vision of Make AI in India and Make AI work for India. Public Digital Infrastructure will take open innovation to next level and accelerate tech adoption. All these initiatives will help in making Indian enterprises, especially MSMEs, more competitive. Startups and entrepreneurship are other areas that have received increased attention from the FM. On the whole, it is a very forward looking budget that will promote inclusive growth of industries.
Rajiv Bhatia, Country Head and President , Analytix Solutions
The Finance Minister has delivered a finely balanced budget. There are multiple announcements that will allow the country to benefit from the demographic dividend. There is a clear focus on education, skilling, digitalisation, research, and innovation. The Centres of Excellence for Artificial Intelligence in top educational institutes will help in developing an effective AI ecosystem. The setting up of 100 labs to develop applications using 5G services will help realise new opportunities. The budget also supports the startup ecosystem which will encourage more youngsters to turn entrepreneurs. The boost to the digital payments ecosystem also augurs well for the economy.
Mihir Parikh, CEO, MP Financial Services
The budget is truly a people’s budget with benefits for everyone. It reflects the government’s vision to spur the country’s march as a leading global economy by the year 2047. The budget gives an impetus to infrastructure development, technology, rural economy, as well as financial services. It also gives an impetus to the digital payment ecosystem. The budget has enhanced the maximum deposit limit for senior citizen savings scheme from Rs. 15 lakh to Rs. 30 lakh. The change in the personal income tax slabs and revising the tax exemption limit to Rs. 3 lakh under the new tax regime, and increasing the income limit for rebate from Rs. 5 lakh to Rs. 7 lakh, will leave more money in the hands of people. This will give a push to consumption and spur the economy. Increased allocation in infrastructure spending as well as in railways will have a multiplier effect on job creation as well connectivity.
Nirvaan Birla Founder of Birla Brainiacs
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.
Ritesh Kumar, Country Lead for Wiley in India
“It is encouraging to see the Indian Government’s strong and rounded commitment towards promoting research and innovation, education, literacy, skilling, employability and job creation in the Union Budget 2023. This will truly help leverage India’s demographic dividend and build a strong, competitive, and future-ready youth.
We are particularly excited to see the special focus laid on setting up facilities for research and centers of excellence. The establishment of National Digital Library along with availing non-curricular books in regional languages is another step in the right direction. It will improve literacy among children and adolescents. Aligned with the Government’s vision of ‘Atmanirbhar Bharat’, we are happy to see the government’s continued and strong impetus on skilling, employability, and job creation. It will help our youth unlock their full potential.
At Wiley, we remain committed to supporting academic and scientific research and career-connected education. We look forward to working with the government and other stakeholders to help achieve these goals. We believe that a strong focus on research, education, and skilling will help drive economic growth and social development in India and we are proud to be a part of this journey.”
Anuj Kumbhat, Founder and CEO, WRMS (An Agritech Company)
“The Union Budget 2023 is quite optimistic for the agritech sector. Their contribution to economic growth has been well recognized. Budget 2023 envisages an open-source digital infrastructure for agriculture and an agriculture accelerator fund focused on youth entrepreneurship in the rural area is quite appreciated. It will provide impetus to the nascent agri-tech sector and could help boost the sector which employs nearly half of the country’s workforce.
Moreover, an open-source digital infrastructure will enable inclusive farmer-centric solutions through relevant information services of planning and health, improved access to farm inputs, credit and insurance help for crop estimation, market intelligence, and support for the growth of agritech startups.
Also, digitalizing the field of agriculture with the latest technologies is a need of the hour and very well-focused in the budget 2023. It will boost sustainable agriculture productivity; help farmers deal with the majority of the problems that they face on an everyday basis and in return will enhance profitability. “
Nikhil Goyal, CEO & Founder, Beyond Imagination Technologies (A Blockchain / Web3 Company)
“The Union Budget 2023-24 is applaudable at various levels. The initiative to launch Pradhan Mantri Kaushal Vikas Yojana 4.0 for the skill development and digital skill training of youths on Industry 4.0 courses like coding, AI, robotics, mechatronics, IOT, 3D printing, drones, and soft skill is greatly appreciated. This will unlock significant opportunities for growth and economic development and position India as the world’s tech hub.
While there is no direct mention of the blockchain sector, e-governance is on high priority in this year’s budget. Blockchain technology has the potential to play a crucial role in the e-governance sector. It is commendable to see the government prioritizing e-governance by stretching digital outreach, and data sharing for transparency.
Moreover, this year’s budget focuses on enhancing productivity by incentivizing the use of technology to make India ‘Atmanirbhar’ and future-ready. Technology being the core suite to build on a successful business ecosystem and the honorable Finance Minister has left no stone unturned to give a boost to new age technologies in the budget 2023.”
Prof (Dr) Sanjiv Marwah, Director Maharaja Agrasen Business School, Delhi
“The budget 2023 is a futuristic budget, with digitalization, deep tech, and entrepreneurship as the key economic drivers. The budget 2023 holds the potential to give the necessary push to the vision of Naya Bharat.
The initiative to set up Centres of Excellence for artificial intelligence, push to R&D will take our country a step ahead in realizing the vision of ‘Make AI in India and Make AI Work for India.”
Punit Sindhwani, CEO, Paxcom
“The Union Budget 2023 has opened new growth avenues for the startup sector. The emphasis placed on Deep Tech is greatly appreciated. The idea to launch Pradhan Mantri Kaushal Vikas Yojana 4.0 to skill lakhs of youth within the next three years is a commendable move. This year’s budget includes a significant emphasis on deep technology, which will provide strategic depth to emerging businesses in times to come.
Moreover, the credit guarantee scheme under the Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) will allocate Rs 9000 crore for the MSME sector. Under the new scheme, MSMEs will be given interest at less than 1 percent. This will provide impetus to the MSME sector to the next phase of growth. “
Manish Mehan, CEO and MD of TK Elevator India
“Union Budget 2023-24 has continued the government’s focus on the India growth story. In this year’s budget, the GOI has recognized infrastructure and investment as one of the 7 priorities that the budget is based on. The 33% higher capital outlay of Rs 10 lakh crore on infrastructure development will build a foundation for Tier 2 & Tier 3 cities to transform into centers of economic growth. It will have a multiplier effect on the overall economy including the Realty sector and allied industries. The government’s decision to increase the PMAY Fund by 66% to Rs. 79000 crores will give a big boost to affordable housing and contribute to the overall growth and development of the country. Furthermore, the announcement of 50 tourist destinations to be selected through challenge mode and developed as a whole package for domestic and international tourism is a welcome initiative by the government. This has the potential to transform the area from a tourist destination into a second home or weekend getaway. All these moves will unlock new opportunities for the real estate as well as the elevator industry in the long run.”
Vikas Gupta, The chairman and managing director of Miles Education
“I am pleased to see the focus on education and skilling in the Union Budget ’23. The government’s initiatives, including the setting up of three centres of excellence for Artificial Intelligence in top educational institutions, the launch of Pradhan Mantri Kaushal Vikas Yojana 4.0, and the creation of a unified Skill India Digital platform, will greatly benefit the youth of our nation. These initiatives align with Miles Education’s mission to empower and equip the next generation of professionals with the skills and knowledge they need to succeed in their careers. However, despite all the steps taken to promote the digital ecosystem, the GST rate on educational and training services, which includes PG certifications and executive programs from any institution, private or public remains unchanged. This continues to form an entry barrier for the workforce to become future-ready. All in all, we look forward to supporting the government in realizing its vision of “Make AI in India and Make AI work for India” and helping the youth of India reach their full potential.”
Karan Shaha, Co-founder and CEO, Vahak
“A commendable Budget by the Hon’ble Finance Minister. In line with our expectations, #Budget2023 has focused on incentivising state governments for infrastructure development. The Centre’s support with enhanced outlay of Rs. 1.3 lakh crore will definitely act as the accelerator toward logistics policy creation at the state level. With this in place, we are hoping to see good traction in transportation infra creation, especially related to top freight routes, logistics parks and highways development. Additionally, opening opportunities for private investments in infra will pump in efforts toward roads, urban infrastructure and power sector developments, which are critical for efficient transportation and transition to green mobility.We also welcome the decision to extend the income tax benefits for start-ups and the formation of the National Data Governance Policy. These were much needed given the market dynamics and the fast-emerging start-up ecosystem.”
Kunal Lakhara, CFO, Pocket Aces
“The Union Budget for 2023–24 will be extremely significant for the Indian startup sector. Given its impressive growth trajectory, this business is regarded as the third largest sector in India. This industry will receive a big boost from the additional year-long extension in terms of income tax benefits.
When it comes to the M&E industry, the government’s plan to establish 100 laboratories that would concentrate on creating applications using 5G services will lead to the introduction of seamless streaming and bolstered audio & video services for viewers. The Budget also announced the launch of Pradhan Mantri Kaushal Vikas Yojana 4.0 which will help the youth build new- age skills such as coding, IoT and soft skills amongst much more. With rising demand for such skills especially amongst the startup industry, we are poised to witness increased employment in the country.
Overall, by emphasizing the development of digital infrastructure and youth empowerment initiatives, the much anticipated Union Budget 2023–24 has established a solid base for the economy to expand. We are now anticipating an increased growth rate that will assist India in redefining its place within the global economy.”
Kirti Kabra, Director, RR Kabel
As a woman entrepreneur, I believe that financial independence for women is imperative and the announcement of the Mahila Samman Savings Certificate through the 2023- 24 Union Budget is a step in the right direction. As more women are getting educated, it is imperative for the Government to create job opportunities for rural women. The brand promotion and linkage with local and global markets will uplift women belonging from the economically weaker section and give them a chance to showcase their capabilities and talents, not just nationally, but also at a global front.
N Venu, CEO and Managing Director, Hitachi Energy India
Infrastructure
India needs commensurate infrastructure development to reach its goal of becoming a 5 trillion economy. Over many years, the governments have been investing in capex, pumping the much-needed energy to keep the economy sanguine.
This is well reflected in the Economic Survey of 2022-23; Capital Expenditure (Capex) of the central government increased by 63.4 percent in the first eight months of FY23, which has been 4.5% of GDP.
The recent announcement towards Energy transition with earmarking Rs 35k core for priority capital towards net zero and energy security, is a welcome step. However, there should be at boosting infrastructure investments and incentivize manufacturing to support the Atmanirbhar Bharat campaign while cementing our positing on the global map enabling the country to become a crucial link in the worldwide supply chain.
Renewable
India aims to produce 50% of its energy from renewables by 2030. As per government data, we are already at more than 40% of the defined goal with more than 170 GW of capacity from non-fossil sources, putting us at 4th rank in the world at the close of 2022.
The transition toward renewable energy sources presents a significant opportunity for India to add value. The slew of announcements towards Inter-State Transmission System, energy transition, battery energy storage system of 4000 MWH and extending the support to the states for bringing green growth are encouraging and set ambitious goals for supporting Carbon-neutral future which has been one of the priorities in this budget.
Railway
Electric and smart mobility is the future, and the union budget allocation of Rs 2.40 lakh crore towards capital outlay for Railways, which has been the highest ever outlay, nine times of FY13-14 outlay, will support railways sector to encourage the acceptance of smart technology and further the country’s vision of complete electrification of India Railways.
Overall:
Staying on the green course
This budget outlines an integrated ambition using physical and digital platforms to build on the foundation laid last year and accelerate towards an overall structural transformation. Sizeable government capex commitment – at 4.5% of GDP, including the largest ever allocation to rail – is aimed to crowd in private investments in further strengthening of infrastructure across rural, urban & digital India. This, along with measures towards improving investor confidence, will eventually drive inclusive Green Growth, helping reduce India’s carbon intensity and creating green jobs.
Focus on green energy transition shines through with allocations for green hydrogen, energy storage, building next generation talent, etc. While we await measures towards better managing state-level T&D networks, the government’s vision to develop long-gestation ISTS to evacuate & integrate bulk solar power, before setting up fast turnaround solar power plants is a welcome reaffirmation of India’s energy transition.
Ujjwal Singh, President and CEO, Infinity Learn
“The Indian government’s recent Union Budget for 2023 announced plans for smart infrastructure in schools. This is in line with the government’s vision for a digital India, where technology is leveraged to improve the quality of education and provide students with better access to learning resources. This can include investments in computer labs, digital classrooms, e-learning platforms, and other technology-driven initiatives that can help students keep pace with the rapidly changing digital landscape. For companies like ours, this presents a significant opportunity to offer products and services that can support the government’s efforts to digitize education.”
Prateek Shukla, Co-founder and CEO, Masai School
In the recently announced Union Budget for FY23-24, the growth-oriented approach towards a better-skilled workforce through skill development centers across the country resonates with the most important demand of young India, which is employability.
The government provided a special emphasis on building a digital workforce by announcing the Pradhan Mantri Kaushal Vikas Yojana (PMKVY 4.0) which will entail courses on coding, artificial intelligence, robotics and 3-D printing The focus on pedagogy and curriculum for a digital centred education for teacher training is also a welcomed step.
Last year, I had commented on the underwhelming allocation towards education, and I am happy that there is an increase of Rs 13,018 crore for 23-24. Skill-oriented training and improving digital infrastructure in order to reach the last mile and unleash the full potential of the country’s youth will drive India’s economic growth.
Anitha George, Vice President and India Head, COE
“The digital landscape in South East Asia is maturing at a phenomenal pace, and India is leading the change. Corporates, PSUs, and consumer markets have enabled an increase in demand in the IT sectors. Consequentially, the tech sector has absorbed the ‘upswing’ positively and upped the ante in providing services and meeting the market demand.
In the recent budget presented by the Union government, the announcement focused on investments in technology to position India as a tech hub.
In recent years, we have witnessed how continuous geo-political conflicts have brought in several roadblocks in 2022. However, we are hopeful that in 2023, technology will drive the economic growth of the country, overcome challenges, and ensure a seamless supply chain. Tools like artificial intelligence, automation, process mining, and execution management will emerge as the key pillars of Digital India.”
Tax specific Union Budget Quote –
“With the prevalence of technology in various sectors and the importance it holds for business operations, the Union Budget was highly anticipated. We observed a significant emphasis on startups, the announcement of the extension of tax holidays, a shift toward an economy driven by technology and innovation, and the opening of centres of excellence to realise the goal of producing AI in India and making AI work for India. It is very encouraging to see through government missions, the Center has promoted the application of AI in all fields. Encouragement from bodies like NASSCOM provides an intensified impetus to foreign investment in the country. In order to encourage development, the government is working on a national data governance framework that will allow start-ups access to anonymised data.”
Hemant Sood , Founder at FinDoc
The budget is forward-looking, aiming to cater to the next 25 years, and aims to boost economic growth while covering a wide range of sectors, including agriculture, digitalisation, green energy, and catering to all economic classes.The budget aims to focus on infrastructure development, with 50 new airports, helipads, and aerodromes being the government’s priority.
The government has fixed the fiscal deficit target for 2023-24 at 5.9% of GDP and aims to reduce it further to 4.5% by 2025. There is good news for taxpayers, with a relief on the Income-Tax rebate of up to INR 7,00,000 and a reduction in the processing time for income tax returns.
The budget also caters to the youth, with a plan to launch Vikas Yojana 4.0 that includes setting up 30 skill India International Centers and providing a stipend to 47 lakh youth in three years. The agriculture sector is also given attention, with the allocation of INR 79,000 crore for the Pradhan Mantri Awaas Yojana
In a nutshell, the budget happens to be a comprehensive and well-thought-out strategy for a better India, one catering to all the sectors, assuring collective progress and most importantly it is a people-oriented budget constituting to a better lifestyle for all individuals
Setul Shah , Founder at RunR Mobility
The budget focuses on ‘green growth,’ which includes boosting the use of clean energy, and reducing pollution. This is a crucial step towards a greener and sustainable future for the country and will play a significant role in reducing the carbon footprint. This announcement will accelerate the adoption of EVs in India, boosting the manufacturing of electric vehicles and components, and also supporting the development of charging infrastructure. We are excited to make a difference in our country by promoting green mobility. We aim to make cost-effective EVs while also helping the environment.
Akhilesh Reddy, chairman & MD at Indian Racing League
“We are quite pleased with the variety of steps the government has made to support startups. India currently has the third-largest startup ecosystem in the world and is second among middle-income nations in terms of innovation and quality. As a sports venture, we anticipate government-sponsored sports initiatives like Khelo India. This spending plan will undoubtedly support new businesses in the nation”
Rajesh Subramony, Managing Director, India, at Qualitest Group.
“A forward-looking budget presented by Hon. Minister of Finance, Smt. Nirmala Sitaraman-Ji.
Extended thoughtful prudence on fiscal deficit, while investing in Capex, boosting consumption and spending will set up the pace for inclusive economic growth.Truly visionary investments in education, sustainability in education, sustainability / green energy and Artificial Intelligence (“Make AI in India, Make AI for India”) will support long term growth in the right direction.”
Rohit Pathak, President, IEEMA and CEO, Birla Copper (Hindalco Industries Ltd)
“Overall it is an excellent budget that will accelerate India growth as we start Amrit Kaal. The increase of capital investment outlay by 33% to ₹10 lakh crore for 2023-24 is a bold step. The doubling of spend on Railways, which is all electric now, is heartening to see. The cascading effect of infra spend coupled with reduced individual tax rates, will give a strong boost to consumption, especially for the Electrical & Electronics sector. The extra leeway given to States to encourage their capex, while maintaining link to Power Reforms, is also a great step. The allocation to Green Hydrogen, Ladakh RE infrastructure and Green Economy will accelerate our net zero and Energy self-reliance journey. There was no specific mention on acceleration of the T&D infrastructure, which will also be critical. All in all, an excellent budget that will position India as the fastest growing economy
Yash Jain , Co-Founder and CEO at NimbusPost – India’s second largest tech enabled logistics platform
“This optimistic Union Budget of Amrit kaal is groundbreaking in itself, setting a clear ground for reformation by proposing 100 critical infrastructure projects with an investment of 75,000 crores for last and first-mile connectivity for ports, coal, steel, fertilizer, and the food-gain sector. The government has allocated 2.7 lakh crore to the Ministry of Road Transport and Highway, signifying its focus on extensive connectivity which is going to further boost the logistics industry.”
Deepak Gupta, Managing Director, Treasure Records
The development of 5G services from the budget can help the entertainment and music sector in several ways. The expansion of 5G services in tier 2 and tier 3 towns is only possible because of the strong electric network which compliments the high-speed internet, which will help in giving people access to the online content and will support larger numbers of users. Since entertainment is a great medium to address any issue and to bring awareness, this could result in more people accessing music and entertainment content.
Atul Rai, Co-Founder & CEO, Staqu Technologies
“We solemnly support the Government of India’s aim to establish a strong AI ecosystem in India and utilize potential AI professionals. The government’s centers of excellence for Artificial Intelligence can brilliantly materialize their vision of ‘make AI in India’ and ‘make AI work for India’. The government’s support towards AI and tech advancement in the country can further facilitate the development of the industry by training and incentivizing adequate resources, both human and material. The upcoming opportunities in Industry 4.0 can increase the accessibility of 5G-enabled cutting-edge applications to consumers, subsequently facilitating industry growth. We look forward to a rewarding year ahead with more accessibility for widespread emerging technologies, R&D, and upskilling.”
Kumar Abhishek CEO and Co-founder ToneTag
“The budget announcement seems posed to herald a new age of financial and technological development for the Indian economy. With fiscal support for the digital finance infrastructure, focus on financial stability with technology-driven innovation, and a substantial capital investment of 10 lakh crores in the financial services ecosystem, the fintech sector is sure to experience a phenomenal boost in the coming financial year. This will also further facilitate the other agendas of the budget such as inclusive development and reaching the last mile, while simultaneously creating employment opportunities and pushing India to the forefront of the global economy.”
Chetan Jain, Director, Rajdhani Foods
The Union Budget FY 2023-24, doesn’t announce anything specific to the FMCG business, but an increased focus on improving the technology and agricultural infrastructure will serve as a boon for the industry.
A concentrated focus on the difficulties encountered by farmers, would undoubtedly, assist the agricultural community to achieve more momentum than they are now achieving. The announcement of setting up an agricultural accelerator fund will not only help the agri startups by young entrepreneurs in rural areas, to take concrete initiatives to come up with innovative and affordable solutions, for the challenges faced by the farmers but it will also help bringing in modern technologies to transform agricultural practices to increase both the productivity and profits.
Furthermore, the increase in agriculture credit to Rs. 20 lakhs crore with a focus on animal husbandry, dairy and fisheries will further help in the enhancement of activities.
The decision of the government for an increased focus on promoting the millets globally, for which we are already the largest producer and second-largest exporter, will be a huge welfare to our farmers. Overall, the upcoming year looks promising and we hope for the best.
Saurabh Vohara, Founder & CEO, ALYF
“The budget 2023 had a few but very promising provisions that will deeply impact real estate in the best way possible. As announced by the hon’ble finance minister, the real estate sector welcomes the hike in capital expenditure by 33 per cent to Rs.10 lakh crore for infrastructure development for 2023-24 and will be at 3.3 per cent of the GDP. This will act as a big boost for the real estate sector. This budget has also set high GDP growth expectations and as real estate contributes 18-20% of the country’s GDP, real estate players will look to capture a fair share of this growth percentage. The next thing that was very exciting was the focus on developing 50 destinations for domestic and foreign tourism which will directly amplify the demand for holiday homes and rentals while also creating employment opportunities in these destinations. This budget is set to create a startup-friendly environment in the industry by announcing the benefit of carrying forward losses on a change of shareholding from 7 years of incorporation to 10 years. ”
Kamayani Naresh, Founder and Health expert Zyropathy
We are delighted that the government has decided to restore 95% of the forfeited cash related to bid or performance security for MSMEs that failed to complete contracts during the Covid period, according to Mr. Kamayani Naresh, Founder and Health expert Zyropathy. This is relevant to the MSME sector. Furthermore, the revamped credit guarantee programme will allow for an additional $2 lakh crore in collateral-free guaranteed loans, which will be extremely beneficial to the sector.
Anjenay Aggrawal, founder and director of Royal Bee Naturals Pvt. Ltd
“stated that all players of MSMSs sector are encouraged by the announcement of Finance Minister Nirmala Sitharaman’s. To encourage MSMEs to receive payments on time, the government proposed that expenditure on payments made to them be deducted only when payment is actually received; this would undoubtedly benefit the formalization and expansion of the MSME sector. It was encouraging to learn that for MSMEs to execute contracts during the Covid period, as 95 per cent of the forfeited amount relating to bid or performance security, will be returned to them by government and government undertakings.”
Ashutosh Verma, Founder of Exalta
“I am pleased with our honourable Finance Minister’s initiatives. The announcement that “Battery Energy Storage with a capacity of 400 MWH would be supported by viability gap funding” is a significant step forward in the co-development of the battery swapping and EV charging ecosystem.Given the budget’s stated goal of encouraging more environmentally friendly modes of transportation, the announcement of Rs. 35,000 crores for the energy transition initiative is encouraging news for the EV sector. It demonstrates the government’s intention to prioritise “green growth,” which focuses on new technology development.”
MS Chugh, Founder &Chairman of Aponyx EV
“We welcome the initiatives outlined by the Hon’ble Finance Minister in the Union Budget 2023–24,” Mr. Chugh remarked in response to questions about the next budget. In light of the budget’s stated goal of encouraging more environmentally friendly forms of transportation, the announcement of Rs. 35,000 crores for the energy transition initiative is encouraging news for the EV sector. Although the union budget did not emphasize the traditional auto industry, it did demonstrate the government’s intention to prioritize “green growth,” which emphasizes the development of new technology.
The substantial boost and positive step toward co-development of the battery swapping and EV charging ecosystem provided by the announcement that “Battery Energy Storage with a capacity of 400 MWH would be supported by viability gap funding” is a result of the Finance Minister’s declaration. This kind of action is crucial to bolstering the EV market.
Prayasvin Patel, CMD, Elecon Engineering
“The budget is clearly defined and focuses on the effective transition to the new age, green technology, and ease of doing business. The fact that in spite of the volatile international economic environment, the Indian economy has grown at 7% and stands to be the 5th largest in the world, is a testimony of India being on the fast track to growth! Additionally, with a target to cap fiscal deficit at 5.9%, the capital investment outlay has been an ambitious one, at 10 Lakh Crore, which amounts to 3.3% of GDP, is especially commendable and gives the economy an effective boost! The Rs 35,000 crore priority capital for energy transition and the Rs 19,700 crore to the National Hydrogen Mission will further be instrumental in green manufacturing and production processes! The 2023-24 budget with a clear focus on green practices and the thrust on upskilling, continuous learning, and building strong digital and transport infrastructure, is a well-structured budget that will help empower and build the country from the ground up, true to the ‘Sab ka Saath, Sab ka Vikas’ philosophy and is true to the blueprint drawn for India@100.”
Gaurav Mathur, Director of Lexar Co. Limited.
“The budget of FY 2023-24 focused on reducing basic custom duty (BCD) on import of certain mobile phone parts and inputs like camera lens and as well as continuing the concessional duty on lithium-ion cells for batteries for another year. This will recognise the importance of self sufficiency in the electronics sector. It believes that increasing the production of televisions, mobile phones , and other electronic devices through these initiatives is essential in boosting the economic growth of the country. The promised announcements to encourage manufacturing have given industry a green signal that will boost confidence and encourage additional investments and provide the subsequent industry to grow.’
Ratish Pandey, Business Coach, Ethique Advisory.
“Everyone was hoping for the next step on the Credit Guarantee Scheme, and it’s good to see that the Hon’ble FM lived up to the promise.
As a keen proponent in the learning space, I was delighted with the focus on skill development proposed by the budget and opening up access to entrepreneurship schemes.
Finally, I believe the focus on bringing artisans into a formal business space under the PM Vikas Scheme and encouraging Women’s entrepreneurial spirit is a step in the right direction.”
STARTUP SECTOR
*“The budget should enthuse the start-up sector. While an extension of tax reliefs etc., by a year was expected, the carry forward of losses from 7 to 10 years is a boon. It shows that the government recognises that the last few years have been tough on the start-up sector. *
With funding continuing to be a challenge in the short-term, the increase in carry forwarding of losses from 7 to 10 years is a much-welcomed step.
Focus on Agriculture will fire activity in the Agri-tech start-up space, another welcome step.
Another exciting part of the budget is the policy on data governance and the possibilities it opens up.”
Shri Ashish Kumar Chauhan, MD& CEO, NSE
“This is a growth-oriented budget, one of the best in years, with a focus on both infrastructure and job creation, while reducing income tax for pretty much everyone, and lots of money to states. The fiscal deficit has been reduced from 6.4% to 5.9% of GDP, with a clear path to reach 4.5% in next three years. The focus on infrastructure, as seen in the rising capex outlay from Rs7.5lakh crore to Rs10 lakh crore, combined with PM Gati Shakti and this Government’s ability to execute, would be visible through roads, railways, ports and airports and would translate into demand for basic materials like cement and steel on one hand, and consumption goods from all sections of the society, jobs on the other.
The Budget would support growth and the Indian consumption story, keep us in good stead, given global headwinds in China and developed markets, and until the rest of the world eases.
Before the budget was presented, investors worried about a rise in capital gains. No change there, has also created a positive reaction. Overall this is a very positive budget for the markets, with something for everyone. I give the Budget 10/10.”
Vijay Chandok, MD & CEO – ICICI Securities
The Union Budget is a testament to the government’s vision of achieving a technology-driven and knowledge-based economy, with strong public finances.
The government’s focus on capital allocation is a clear indicator of its intention of bolstering growth and employment in the country. We believe the increment in capital investment outlay for the third year in a row by 33 per cent to 10 lakh crore will empower the government to create an efficient ecosystem that renders extensive growth and prosperity in the country.
The new proposed tax regime will provide major relief to all taxpayers, especially middle class people, providing higher disposable income in their hands. This will enable them to explore more investment avenues and leverage the increasing prowess of the Indian economy. Further, the government’s decision of allowing SEBI to develop, maintain and implement norms and standards for education in the National Institute of Securities Markets (NISM) will enhance the competencies of functionaries and professionals in the securities market.
B Gopkumar, MD & CEO, Axis Securities
An extremely well-balanced budget focussed on growth driven by capital expenditure while giving an adequate push to rural welfare and agriculture. Government borrowing is well-calibrated, and it is a significant positive. The fiscal deficit target of 5.9% indicates a considerable degree of prudence. On top of this, relief to the middle class on the income tax front is the cherry on the cake. At this point, it is difficult to find any shortcomings. The budget has delivered on all the expectations very well. In the short term, we expect the markets to move higher on the back of pro-growth measures announced in the budget and less fear of the government crowding out private investments due to fiscal prudence shown by the government.
Anil G Verma, Executive Director and CEO, Godrej & Boyce
“This is a balanced and inclusive budget which will provide further impetus to growth. The renewed thrust on investment in infrastructure will drive the productivity of our economy and generate employment. Our competitiveness in the global economy will also be improved through the thrust on research in fields like 5G services, AI and agriculture. Together with the initiatives to reduce the compliance burden and de-criminalise several regulatory provisions, it will improve the ease of doing business in India and attract fresh investments.
Measures to improve rural incomes and reduce personal income tax rates will deliver more disposable income in the hands of people, driving consumption. This will likely generate a virtuous cycle of fresh investments leading to higher employment, incomes and productivity, further spurring consumption. The Green growth focus will orient the entire economy towards adopting sustainable practices in all areas and put us in a good position to play our role in the efforts to improve the future of our planet.
The key to realization of the planned outcomes is effective implementation.” – Anil G Verma, Executive Director and CEO, Godrej & Boyce
Gopichand P. Hinduja, Co-Chairman, Hinduja Group Limited
“When India is the lone shining star in the world facing threats of recession, Ms Nirmala Sitaraman has delivered a perfectly focused growth-oriented budget with massive capital investment outlays @ 4.5% of GDP while staying on track with the fiscal deficit reduction plan.
What is remarkable is the holistic, sustainable and inclusive approach taken covering every element of infrastructure and capability building and making the best use of the world-class digital public infrastructure.
The budget clearly reflects PM Modi’s long-term vision for India and it aims to engage with and carry every section of society towards the goal of a self-reliant and strong India.”
Ram Iyer, Founder and CEO, Vayana Network
Consistency is the key theme of Union Budget 2023
“The union budget of 2023 has been exceptionally consistent over the years in focus areas across Infrastructure, Agriculture, MSMEs and ease of doing business.
The capital expenditure has been increased by 33% to a historic high of INR10 lakh crores, showing government’s commitment to creating jobs and stimulating expenditure resulting in a multiplier effect pegging GDP growth at 7%.
Investments in development of public digital infrastructure for agriculture, facilitating data embassies in GIFT City, expanding the use of Digi Locker and setting up National Financial Information repository signal towards the continued focus on digitisation and broadening its access to the public.
Revamped Credit Guarantee Scheme for MSMEs is a significant move to support MSMEs’ who have been battered by Covid related disruptions, the infusion of Rs 9000 crore into the corpus would undoubtedly benefit small business owners.
Concrete actionables towards ease of doing business in the form of PAN being a single identifier, reducing compliances and decriminalizing provisions are legislative steps ensuring ease of doing business.
Overall, it is a promising budget that continues to build on the groundwork laid during the previous budgets.”
Sandip Chhettri, CEO Tradeindia.com
The Union Budget for the fiscal year presents a positive outlook for the MSME sector in India. The allocation of funds for credit support will help MSMEs access finance at lower interest rates and improve their ability to invest in growth. The government’s push towards digitization is also commendable, with a new scheme to provide financial assistance for the adoption of technology and automation. The measures to ease the process of doing business, such as simplifying the tax regime and reducing compliance burdens, will help MSMEs operate more efficiently and effectively. Additionally, the budget focus on skill development and entrepreneurship, with the announcement of new incubation centres and training programs for young entrepreneurs, is a welcome step. The outlook is optimistic for the big picture and the success will now hinge on effective implementation.
Rampraveen Swaminathan, MD and CEO, Mahindra Logistics Ltd
“We welcome this budget as it focuses on sustainable growth and infrastructure development. The announcement of setting up Urban Investment development fund (UIDF) for Tier 2 and Tier 3 cities will provide a much needed boost for smoother and faster logistics transportation and will further ensure greater connectivity in tier-2 and tier-3 cities. Identifying 100 critical transport infrastructure projects will have a positive impact on nation’s last and first mile connectivity. Additionally, the announcement of 50 new airports, helipads, and aerodromes will enhance the regional air connectivity across the country whereas the highest ever allocated capital outlay to Indian Railways will add to the smooth connectivity between different points of country and easy and faster freight movement.”
Ravi Kumar, Founder & CEO, Upstox
“We are thrilled to see this budget’s well-balanced and forward looking approach. From basic infrastructure to environment, from fintech to education and upskilling, the budget covers it all and accelerates efforts to achieve inclusive and sustainable development.
In line with the government’s vision to strengthen financial inclusion, the establishment of the National Financial Information Registry is a welcome move. PAN as a common identifier will simplify the KYC process and also enhance ease of doing business. For individuals, the increase in the income tax rebate from ₹ 5 lakh to ₹ 7 lakh under the new tax regime will leave more disposable income in the hands of individuals, and thus higher investment potential.
To encourage more retail investing and insurance adoption, we wish that the honourable FM would increase tax savings for investments and reconsider the proposal to discontinue the tax SOPs on mutual funds and insurance.
Initiatives for start-ups, technology, upskilling and financial literacy, will undoubtedly catalyse India’s growth. This is India’s moment on the global stage and our government is doing a fantastic job seizing this opportunity and realising our country’s potential.”
Atulya Kaushik, Co-founder & CEO of PrepInsta
The Budget seems to give more push to employability readiness in youths. Direct Benefit Transfer under a pan India national apprenticeship scheme which will impact 47 lakh youths seems promising. Setting up 100 Labs in engineering institutions will help graduates be ready to build applications on India’s 5G stack. Focus on smart classrooms will also help us take advantage of the metaverse and immersive learning. Overall it should help India to release its demographic dividend for inclusive development. We applaud the government’s decision to establish a National Digital Library for Children and Adolescence to facilitate access to high-quality books on any device. The finance minister’s decision to expand Eklavya model schools for tribal students is another step forward in promoting digital literacy. Furthermore, by proposing 30 Skill India International centers across various states, Surely, this year’s budget clearly emphasizes the importance of closing the skill gap in youth across India.
Gaurav VK Singhvi, Co-Founder, We Founder Circle
“For any startup to grow smoothly, easier compliance plays a major role. A lot of decisions of the entrepreneurs and investors depend on the same. In this budget, more than 39,000 compliances have been reduced and more than 3,400 legal provisions have been decriminalized, indicating that even the government sees the startup ecosystem contributing greatly to the future of India. Simultaneously, investors have remained enticed by the agriculture sector in India, and always encourage any innovation that offers support to the largest industry. The announcement of the Agri Accelerator Fund by the government will not only encourage entrepreneurs but also strengthen the agri supply chain which has been struggling for way too long. We have been bullish and investing in Agri startups and have 3 companies in our portfolio, I believe this initiative by the government will see a boost across the entire value chain in the agriculture industry and we definitely see a lot of startups emerging and potentially becoming unicorns from the Agri startup community.
Carrying forward Digital India, and the now renowned IndiaStack or BharatStack of digital solutions for financial inclusion, compliances, governance, and public services, the Honorable FM has announced the launch of various other digital programs such as a digital platform for agriculture, Digital National Library, AI Center for Excellence, extension of eCourts, Unified Skill India Digital Platform, Tourism App, Central Financial Data Repository, Unified Filling Platform, thrust on BharatStack viz. Digilocker, Video KYC, etc.
This is commendable and takes India higher in the tech sphereariousv. Especially, the unified filling platform, if done properly, can simplify the multiple compliances that companies have to currently do for various regulations through a common digital filling of data/forms.”
Kumar Gaurav, Founder & CEO of Cashaa
While many crypto industry leaders had big expectations for the union budget 23-24 and requested some key reforms such as lowering the TDS rate from 1% to 0.01% and providing clarity on taxation, I, as the CEO of Cashaa, a neo-bank that provides services to hundreds of businesses in the crypto industry, honestly did not have lofty hopes from the Indian Government through this budget. I genuinely believe that it is best to wait until the Indian government fully comprehends what cryptocurrency is and the value it can bring to the Indian economy. Overall, this budget is very considerate knowing that the government is still trying to understand the crypto and is not saying anything about the crypto. So I appreciate that.
Sarvagya Mishra, Co-founder & Director of SuperBot (PinnacleWorks)
This Budget is notable for its renewed emphasis on the development of digital infrastructure. The Indian government’s intention to establish three “Centers of Excellence for Artificial Intelligence” in prestigious educational institutions to make “AI Work for India” is a dose of encouragement for entrepreneurs who have been working in the field, hoping to give a new face to sectors and services. These centers will undoubtedly serve as a bridge between educational institutions and leading industries, with the goal of researching and developing practical AI applications across different verticals including agriculture, health, and sustainable cities. Furthermore, the focus on building a strong AI ecosystem in India and training skilled AI professionals will assist new businesses in acquiring the right talent. This also puts a lot of responsibility on education institutes to strengthen the curriculum in the field.
Kushang, Co-founder & CEO of SupplyNote
The food and beverage Industry had high hopes for the Union Budget. In the last year, the sector has faced two major challenges: recovering from the aftereffects of COVID-19 and combating rising inflation and food prices. However, following the announcement, the food and beverage industry had a mixed reaction to whatever little was doled out as part of the Union Budget 23-24. Nonetheless, the industry is optimistic that consistent measures such as skill development and new investments will help the industry recover from the disruptions caused by the Covid-19 pandemic.
Anmol Bohre, Co-founder & Managing Director of Enigma
It is really great to see how environmental sustainability has been one of the top 7 priorities in this budget. The Pro-EV budget focuses on much-needed initiatives such as Customs Duty reduction from 21% to 13% on capital goods and machinery required for Lithium Batteries and an extension of the subsidies on EV batteries for one more year. This will certainly encourage each EV manufacturer to contribute to Government initiatives to achieve mass EV adoption by 2030. This will also encourage investments in the EV sector which help new players to continue with innovation.”
Mridu Mahendra Das, Co-founder & CEO Automovill
Auto and auto service sector have been facing various challenges. In the current scenario when new age entrepreneurs are trying to explore businesses in unorganised sectors like auto services or similar, it becomes difficult to follow procedures of traditional business, as it comes at a cost, and you only have so much bandwidth in terms of resources. Therefore, we value a lot that the budget has taken the same into consideration and by reducing more than 39,000 compliance it has made an effort to add to the ease of doing business in India. Additionally, the tax benefits on their incorporation is being extended by another year and the carry forward of losses to set off against future profits will now be allowed for 10 years instead of 7 years, which is going to provide a lot of relief to startups
Nitish Rai, CEO and Co-Founder, FreightFox.
“The 2023 budget is poised to have a significant impact on the logistics sector. With a focus on modernizing infrastructure and incorporating cutting-edge technology, the budget aims to improve the efficiency and competitiveness of the industry. The allocation of resources toward the development of ports, highways, and other transportation networks will enhance connectivity and promote the seamless movement of goods. Furthermore, the government has increased spending on dedicated freight corridors and logistics infrastructure, which in turn will revolutionize the way goods are moved, tracked, and managed. Also, with decreased excise on compressed biogas (CBG) we can expect to see an increase in CBG production, making transport a lot greener. The 2023 budget, thus presents a unique opportunity for the logistics sector to grow and thrive, positioning it for long-term success.”
Taranjeet Singh Bhamra, CEO & Founder at AgNext Technologies
The government’s focus on bringing modern technologies to Indian farms, increasing productivity & ensuring food security as a constant commitment towards the nation will pave way for comprehensive development and incentivize the growth of all stakeholders including farmers and agribusinesses.
Amith Agarwal, co-founder & CEO, agribazaar
Budget 2023 truly sets the foundation for the ‘Amrit Kaal’ of India’s agriculture sector. Multiple initiatives announced by the government today will contribute to the all-round progress and small farmer prosperity:
The Agriculture Accelerator fund aims to bring modern technology to transform agricultural practices and enhance India’s agri-production. This focused support by the government will further catalyze entrepreneurial & technological interest in the sector and encourage agri-preneurs to design and bring innovative and economical solutions to India’s farmlands.
The government proposes to adopt a cluster-based value chain approach through public-private partnerships. Towards this goal, a National cooperative database will be set up to map decentralized storage capacities across the country. This initiative will create pathways for last-mile linkages farmers to store their produce and earn remunerative prices. It will also open more opportunities for private-sector investments in agri-infrastructure
The government will extend support to develop the Indian Institute of Millet Research as a center of excellence. The focus on millet cultivation will contribute to India’s position as the nutrition hub for the world
Further, the government announced measures to boost farmer income by promoting farm mechanization.
Three centers of excellence for artificial intelligence to be set up where leading tech companies will partner with the government for AI integration in the areas of health and agriculture
Amit Sinha, Co-founder of Unnati
“The most visionary item in the budget is the focus on creating digital public goods in Agriculture. This will help build the bedrock for increasing innovation in the agri sector. This coupled with Agri Accelerator Fund is a smart idea for providing cutting-edge tools and technologies to young entrepreneurs and agritech businesses in rural areas. The government’s support for digital public infrastructure will assist farmers in crop estimation and planning by raising awareness and facilitating higher-quality input. The National Cooperative Database will be established to map the country’s decentralised storage capacities. This initiative will lay the groundwork for last-mile linkage farmers to store their produce and earn fair prices. It will also increase opportunities for private-sector investment in agricultural infrastructure.”
Rajamanohar Somasundaram, CEO & Founder, Aquaconnect
“The recent budget exhibits a strategic and forward-looking approach to advancing innovation in the agriculture and aquaculture sectors. The government’s emphasis on “Make AI in India & Make AI work for India” reflects a clear determination to leverage the power of Artificial Intelligence for maximum impact across various sectors. The integration of AI with satellite remote sensing in Aquaculture holds immense potential for boosting production efficiency, optimizing feed usage, and logistics, and importantly, decarbonizing the seafood value chain by quantifying emissions and implementing countermeasures to drive sustainability and accelerate our efforts towards net zero goals.”
Tarun Arora, Director of Single Family Office at IG International
“Agriculture credit target will be increased by Rs 20 lakh crore, an initiative that will benefit many of our country’s farmers. It will assist them in adopting modern farming techniques. This should help to increase agricultural demand. The government intends to invest Rs 2200 crore in high-value horticulture. This will aid in the growth of the horticulture sector by utilizing technologically advanced methods that result in high-quality produce. Also, Agri-production in India will be improved through the Agriculture Accelerator Fund’s introduction of contemporary technology.
Vijay Yalamanchili, CEO of Keka
Leading HR tech platform for SMEs says,”The budget for 2023 includes an exceptional people-focused agenda for addressing global challenges and fostering the economy. It is a well-balanced budget that also places a strong emphasis on capital formation and increases middle-class tax refunds. If we speak from the individual employee`s standpoint, the decision to raise the income tax slab from 5 lakh to 7 lakh is an excellent initiative. The government also made a significant declaration regarding startups in the industry. On a practical level, the tax holiday extension and permitting the carry forward of losses from 7 to 10 years on change of shareholding structure is a welcome initiative. Entrepreneurs were guaranteed transparency and support even though the main focus was on the key industries of agriculture, infrastructure, manufacturing, and transportation. Another welcome change is MSME to be allowed to make deduction on payment when it is actually made. It is a huge boost to the startup community.”
Dr. Vibha Tripathi, founder of Boon,
“The 2023 Budget focused on a “green growth” plan which prioritizes using green building, energy, and fuel practices to lower carbon intensity and produces new green job prospects. Various startups coming up with innovative ideas will also be a part of the Indian government’s initiative of creating a healthier and wealthier future for all Indians. The government’s focus on promoting environmentally friendly and sustainable economic growth is quite appreciative. This is in line with India’s desire to take the lead in addressing the global climate catastrophe,” days .
Sudhanshu Agarwal, Founder and CEO, Citykart Retail
“This year’s budget proposal aims to stimulate the consumer sector by simplifying business processes and improving multi-channel retail capabilities. Doing this will enable industry players to operate efficiently and thrive in a rapidly evolving business landscape. The plan also calls for supportive fiscal policies and enhanced infrastructure across tier-I, tier-II, and tier-III cities. These policies will reinforce a robust multi-channel retail system. In a nutshell, by placing more disposable income in the hands of consumers, the demand for goods and services is likely to increase.”
B. Santhanam CEO Asia Pacific and India Region, Saint-Gobain and Chairman, Saint-Gobain India
“The Union Budget 2023-24 is a pro-growth budget having a strong focus on green growth that will act as a key motivator for businesses to accelerate their shift towards net-zero goals and boost sustainable growth. There is a significant push to capital expenditure which will further attract private investment. With governments core focus on urban development, infrastructure investment, employment creation and green growth, the intentions have been clear to steer India journey towards sustainable development. The budget has also captured important aspects such as target to reach green hydrogen production of 5MMT by 2030, implementing many programs for green growth across various economic sectors as well as create green jobs, allocation of 10000cr/year investment on urban infrastructure development and Pradhan Mantri Kaushal Vikas Yojana 4.0 that will further fuel economic growth and empower our youth. Overall, in my view the budget will serve as the blueprint to make India self-reliant and drive long-term economic growth with ecological sustainability”
Avinash Ramesh Godkhindi, Managing Director and CEO, Zaggle
The budget proposals aimed at fostering further development of FinTech services in India are indeed commendable. The nation’s digital public infrastructure, including Aadhaar, PM Jan Dhan Yojana, Video KYC, India Stack and UPI, has provided the foundation for FinTech services to thrive. By expanding the scope of documents available in DigiLocker for individuals, the government has taken a good step further towards enabling even more innovative solutions in the FinTech sector.
This move towards digitalization will streamline the process of acquiring necessary documentation for FinTech startups, reducing the time and effort spent on manual processes. This will also enable the FinTech sector to develop new technologies for better data analytics, besides enabling quicker turnaround times in processing data will go a long way in increasing the efficiency of the banking sector.
The Budget 2023-24’s proposals to extend the date of incorporation for income tax benefits and provide the benefit of carrying forward the losses for start-ups are important steps towards supporting entrepreneurship and promoting economic development in India. The extension of the period from 7 to 10 years will provide a huge room for start-ups to make larger investments and also provide time to recoup these investments and get back on a growth trajectory, which will be beneficial for the long-term success of start-ups.
Triveni Rabindraraj, Head of Sales at GoTo, India.
“Union Budget 2023 is a great development and comes with many positives keeping people at the heart of Amrit Kaal vision. With the level of technology disruption and digital adoption witnessed in the last year, it is exciting to see the government’s inclined interest towards a technology-driven and knowledge-based economy. Start-ups and SMEs have the potential to be the key employment generator in the country. The renewed emphasis on growth in the MSME sector, women empowerment, and skilling is a welcome move as it strengthens inclusive and sustainable progress across all industries. The Pradhan Mantri Kaushal Vikas Yojana 4.0, Make AI in India, and increased focus on 5G continuum will prove to be a big push to bridge the talent gap and prepare country’s youth for Industry 4.0 by empowering them with new-age technology skills needed to make India one of the world’s preferred innovation hubs. These initiatives will level the playing field to enable MSMEs to invest in and improve their digital talent, enhance employee value proposition, and drive better business outcomes.”
Uttam Malani, Executive Director, Centuary Mattress
Budget 2023 gets the job done by continuing long term initiatives focused on job & infrastructure creation, continuing India’s push towards digitization & green initiatives. Expansion of the capex program, rationalization of income tax & rebate slabs, boost to growth engines such as railways, agriculture, etc. all stand to steer the nation towards short term growth & long term prosperity.
Aastha Almast, Co-Founder & Chief Business Officer, The New Shop
Entrepreneurship is crucial to a country’s economic prosperity, thus FM Sitharaman’s choice to place a high priority on job creation and youth empowerment is a shrewd decision for the 2023 budget; it will foster the development of young entrepreneurs. Launching a unified Skill India Digital platform would indeed be helpful in shifting focus on digital learning and creating demand-based formal skilling people, which will help with engaging with businesses, particularly in MSMEs.
Sudip Ghose, Founder and CEO, uppercase
We are elated with the Union Budget 2023 and seeing the center’s focus on the green economy, a lot of focus is given to the economy transitioning towards net zero and reducing carbon emissions. Honorable FM has mentioned the launch of Rs 2200 Crore for the Atmanibhar Clean Planet Programme. The initiatives in the sector will surely help businesses dealing in sustainability and working towards reducing their carbon footprints.
While speaking for benefits to the MSME sector, the center has guaranteed the credit for MSME, the revamped scheme will take effect from April 1, 2023, with an infusion of ₹9,000 crore corpus. We are looking forward to these initiatives and benefits being effective for the coming fiscal year.
Sharad Jain, Co-founder, Nutrabay.
As the Finance minister said ”Entrepreneurship is vital for a country’s economic development” India now has the third-largest startup ecosystem in the world. The government has supported startups with policies that have paid off. The government has announced to extend the benefit of carry forward of losses on changes in shareholding of start-ups from seven years of incorporation to ten years along with the extension of the date of incorporation for income tax benefits to start-ups from 31.03.23 to 31.3.24 which will benefit the startup ecosystem. –
