The Union Budget for 2024-25, in my view, has certainly drawn up a detailed roadmap and laid foundations for ‘Amrit Kaal‘ to pursue the goal of a ‘Viksit Bharat’. The government has articulated well its planning to foster long-term growth drivers for sustainable development, improvement in productivity, and creating opportunities for all.

The Budget envisages sustained efforts on the nine priorities for generating ample opportunities for all covering improvement in productivity in agriculture, employment, skilling, manufacturing & services, urban development and infrastructure and energy security, innovation, research, etc.

Although there is nothing much to incentivise the market and investors due to increase in securities transaction tax (STT), additional capital gains tax, buyback taxation, no change in taxation for high income group segment, etc., I do not foresee a big shakeup as there cannot be gains without pains. In earlier Budgets, there were initiatives such as taxing of dividends in the hands of recipients, removal of tax exemption for long-term capital gains.

One other important aspect covering taxation, in my view, could be bringing down of the tax rate for foreign companies to 35% from 40%. The related part to this could be read with the Budget proposal for simplification to improve FDI, nudge prioritisation, and promote opportunities for using Indian rupee as a currency for overseas investments.

The notable provisions cover massive efforts for raising productivity in agriculture sector through research, developing the climate resilient and high-yielding varieties, initiatives to achieve self-sufficiency in pulses and oil seeds, implementation of the Digital Public Infrastructure (DPI) in agriculture for coverage of farmers and their lands in three years. The announcement to bring National Cooperation Policy to foster growth of the rural economy and generation of employment in this segment is also a welcome move. A provision of ₹1.52 lakh crore for these initiatives is significant.

Generation of employment for youth is quite challenging. The Budget has unveiled the initiatives to generate employment opportunities through employment-linked incentives based on enrolment in the EPFO with a focus on recognition of first-time employees, and support to employees and employers. The government is also planning a new centrally-sponsored scheme for skilling in collaboration with State governments and industry.

The Budget measures like Skill Loan Scheme, subsidised education loans of higher amount, supporting economic activities of craftsmen, artisans, SC, ST and woman entrepreneurs, and street vendors will go a long way in improving the all-round , all- pervasive and all-inclusive development of farmers, youth, women and poor.

For supporting promotion of manufacturing and services, the Budget contains proposals to set up industrial parks with complete infrastructure in or near 100 cities, in partnership with the States and private sector, reforms in shipping Industry, Critical Mineral Mission for domestic production, recycling of critical minerals, and overseas acquisition of critical mineral assets, digital public infrastructure.

In the area of urban development, the Budget has planned various initiatives such as creative brownfield redevelopment of existing cities, transit-oriented development for 14 large cities, subsidies for urban housing, bankable project for water supply, sewage treatment and solid waste management projects and services for 100 large cities, development of 100 weekly haats or street food hubs in select cities and lowering duties for properties purchased by women.

Infrastructure development needs significant investment and fiscal support. As announced in the Interim budget, there has been a proposal to provide ₹11.11 lakh crore for capital expenditure that amounts to 3.4% of the country’s GDP.

The Budget includes a proposal to formulate a policy document on appropriate energy transition pathways for resource-efficient economic growth, a policy for promoting pumped storage projects for electricity storage and integration of the growing share of renewable energy, plan to develop newer technologies for nuclear energy. The government will also provide the required fiscal support development of indigenous technology for Advanced Ultra Super Critical (AUSC) thermal power plants.

The most significant aspect of the Budget is fiscal management, which is worth taking into account the deficit placed at 4.9% of GDP for 2024-25 and the aim of the FM to bring it down to 4.5% next fiscal and a commitment to staying the course. Overall, the Budget shows that the government is continuing to pursue the path of fiscal consolidation and prudence while keeping the growth in its line of sight.

(Ashok Hinduja, Chairman, Hinduja Group of Companies (India))

Harsh Goenka, Chairman, RPG Group

The Finance Minister’s speech during the Vote on Account exudes confidence that our economy is on track to achieve the Hon’ble Prime Minister’s vision of becoming a ‘developed nation’ (Viksit Bharat) by 2047. The budget last year had significantly increased infrastructure spending alongside multiple welfare schemes. The results of the reforms and investments are now clearly visible with significant strides in various sectors that bolster the nation’s trajectory towards inclusive growth and sustainable development.

Continued focus on infrastructure, with substantial investments in railways, airports, and highways underscores the government’s commitment to strengthen these sectors which are the backbone for economic growth, job creation, and enhanced quality of life. The budget also continues several social welfare measures, crucial for India’s long-term growth, ensuring that development is inclusive and benefits the most vulnerable sections of society. The healthcare initiatives are particularly noteworthy, reflecting the lessons learned during the pandemic and doubling down on the commitment to building a robust public health system. The decision to extend healthcare coverage under Ayushman Bharat to all ASHA and Anganwadi workers will motivate those working at the grassroots and strengthen the primary healthcare ecosystem. The decision to encourage cervical cancer vaccination for young girls will reduce the risks of developing cervical cancer for the 511.4 million women aged 15 and older.

The foresight shown towards technology is commendable. The 1 lakh crore support for technology investments aligns with the nation’s rapidly growing digital economy, unlocking new growth avenues and fostering innovation to cement India’s position as a global leader in the digital space. Strengthening of deep-tech technology for the defence sector will ensure our defence forces are always equipped with the most advanced technologies to meet any future threat.

The agricultural sector, the backbone of the Indian economy, has been getting due attention with 11.8 cr. farmers having received direct financial assistance from PM-Kisan Samman Nidhi so far. The initiatives to enhance agricultural productivity, improve post-harvest marketing and storage infrastructure and better market access will not only boost the sector but also empower millions of farmers. This will go a long way in elevating the rural economy and ensuring food security for India.

The budget makes a strong case for environmental sustainability, aligning with our Net Zero commitment. Viability gap funding for investments in renewable energy, green initiatives, and sustainable urban planning demonstrate our proactive stance on climate change. The proposed rooftop solar investment of 1 crore households will promote grassroot level energy self-sufficiency and also create multiple economic opportunities.

The budget showed continued commitment to simplifying tax structure and removing irritants eg. withdrawal of old outstanding direct tax demands which will bring relief to around one crore small taxpayers. The government’s approach to fiscal management also deserves an applause. Measures to consistently bring down fiscal deficit, aiming at a below 4.5% number by FY26 will ensure economic stability.

Overall, balancing growth with social welfare, modernisation with sustainability, and fiscal prudence with ambitious development goals, the Interim Budget 2024 has ensured that India’s economic juggernaut continues to roll on as we build a prosperous, resilient, and future-ready nation.