Industry reactions on Union Budget (Part-10)

Nishant Patel, Founder & CTO, Contentstack
"I am grateful that the honorable FM has provided continued attention to greater digital enablement for startups in India. It is heartening to note that entrepreneurship is getting continued attention at the policy level. Among other announcements, I will call out the expansion of scope DigiLocker, which is an excellent initiative toward paperless governance. The expansion in scope will facilitate greater record-keeping and quicker exchange of information with various authorities, regulators, banks, and enterprises as necessary. The objective of eliminating or minimizing the use of physical documents in itself will greatly enhance the effectiveness of service delivery wherever individuals and companies need document-based decision-making and authentication. Esp. for entrepreneurs and startups, it will be a very important initiative so that they could meet compliances and find quick access to financial services."  

Sundararaman Ramamurthy, MD & CEO, BSE.         
“The Budget of 2023 continues from the earlier budgets which successfully guided India during one of the toughest periods for mankind, with a continued focus on Aatmanirbhar Bharat and Amrit Kaal. As a  result of a consultative and inclusive process, suggestions and feedback received from various stakeholders, have been factored in, wherever possible. Various areas of national importance have received their due focus - MSME sector, Infrastructure building which fuels economic development, Ease of doing business which attracts foreign participation and domestic capital creation, Green energy, Tourism, export orientation using custom duty rationalisations, harnessing the power of youth, etc. ‘Shri Anna’ brings a novel concept to food safety, nutrition and self-sufficiency. Personal taxation has received its well-deserved attention too, bringing a smile on the face of the common man. To top it all, strict adherence to prudent fiscal management while keeping the pedal on the accelerator for long-term structural growth initiatives, which in our view, is the hallmark of this Budget.”

Balram Yadav, Managing Director, Godrej Agrovet Ltd. 
“Picking up the strings from the last year’s budget, the Union Budget 2023-24 is a step forward in leveraging technology for improved agriculture in India. Educating farmers on the new-age technology and realigning crop planning based on climatic conditions is a necessity and it is herein that digital open infrastructure will play critical role – improving access to farm inputs as well as intelligence. With our country’s startups playing a critical role in building innovative and affordable solutions for farmers, enhanced collaboration within the eco-system will go a long way in enhancing farmers productivity and profitability. Parallelly, the agriculture credit and insurance initiatives would aid farmers to invest in better techniques while the duty reduction in marine products would motivate shrimp manufactures. With India emerging as a net exporter of agriculture and allied products, this budget can be termed tech-focused-inclusive budget for Indian farmers – the one which focuses on supply and input sides to enable farmers get better price for their produce.” 

Gopichand P. Hinduja, Co-Chairman, Hinduja Group
“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.”

Anil Agarwal, Chairman Vedanta
“This Budget is one of the best budgets ever, truly inclusive and addresses the aspirations of every section of society. It empowers India’s 1.4 billion people as drivers of the India story. I compliment the PM and FM for the long term vision that was laid out in the Budget speech as well as the many progressive announcements, like increased outlay for capital expenditure, incentives for the start-ups and MSMEs, green energy, a lower tax for the middle class and boost to tourism which will create massive jobs and reinforce India’s position as the fastest growing major economy in the world”

Dheeraj Hinduja, Executive Chairman, Ashok Leyland
“Union Budget 2023-24 is aligned with the Prime Minister’s vision of building a competitive and resilient India, with inclusive growth. The budget emphasises comprehensive national infrastructure development and expands on the digitization of the economy. The road transportation sector plays an important role in national development and would have an even more impactful role, going forward, in supporting the Government's vision. The announcement that old vehicles owned by the central government and state governments will be replaced as part of the vehicle scrapping policy presents a significant opportunity for fleet modernisation. This budget also echoes our sentiment and commitment to clean energy vehicles for a cleaner and greener future, as part of a national mission to achieve the net zero carbon emission goal.”

Shenu Agarwal, MD & CEO, Ashok Leyland
“The Finance Minister has presented a Budget for 2023-24 that is pro-growth and pro-development, with a focus on sustainable development, energy transition for a cleaner tomorrow, and inclusive growth through a tech-enabled economy. The budget further reinforces our nation’s ambition to make India "Atmanirbhar." The entire budget for this year addresses a wide range of topics to support the economy, including health, education, infrastructure, and agriculture.”

Prashant Kumar, MD & CEO, YES BANK
“The Union Budget 2023 attempts an inclusive growth structure for the economy through various measures that are expected to reach the last mile. The effective capex of the Central government was enhanced to INR 13.7 Lakh crores, or 4.5% of the GDP was an acknowledgment that capital expenditures are crucial for the economy and could boost the growth. As the efficiency of capital expenditures is higher at the state level, the government once again earmarked INR 1.3 lakh crores as a 50-year loan to States, which would incentivize capital expenditure. ECLGS scheme continues with an additional INR 9000 crore added to the corpus which would boost the fund flow for the MSME sector.”

Ramesh Kalyanaraman, Executive Director – Kalyan Jewellers
"We applaud the government's efforts to boost India’s economy through a structured policy and regulatory-driven framework. The Union Budget 2023 is progressive setting the stage for a more equitable and sustainable future, paving way for rapid digitisation to ensure Indian businesses emerge as a dominant force on the global stage.

We are confident that increased disposable income due to changes in the tax slab will improve spending power, thus benefiting the overall consumer sector including the organised  jewellery retail industry. Initiatives such as PM Vishwa Karma Kaushal Samman programme are a pioneering step towards empowering traditional artisans and craftspeople - the backbone of our industry. This newly-conceptualised assistance package will be a welcome relief to the community and will enable them to equip and upgrade themselves with changing times. The government’s innovation-led and technology-driven approach reflects in its investment towards research on lab-grown diamonds, which will generate new employment opportunities, while resonating with the export as well as urban Indian market. The increase in the import duty of silver will not have a significant impact for us (Kalyan jewellers), as our primary focus is on gold, diamond and other precious stone studded jewellery.

Laying the foundation for India@100, the Union Budget 2023 is truly a testament to the government's commitment and consistent efforts towards holistic and inclusive economic growth and its vision to make India the 3rd largest economy in the world. Overall, the reforms in the budget are mostly aligned towards strengthening Government’s schemes like Make in India, Digital India and ease of doing business in the country. This budget is a step in the right direction towards a bright and prosperous future.”

Venkatraman Venkateswaran, Group President & CFO, Federal Bank
"Budget 2023-24 is an Infrastructure Spending oriented budget with 7 priorities set by the FM. The budget unveiled tax cuts and set the virtuous cycle of job creation. Out of the overall growth agenda, specifically looking at Banking sector, there are two major proposals. Firstly on Agricultural credit, the target is hiked to Rs.20 Lakh crore, which will help drive rural growth. Additionally, the revamped credit guarantee scheme for MSMEs, with infusion of Rs 9000 crore into the corpus, will enable additional collateral free credit guarantee of Rs 2 lakh crore".

Sudhir Pai, CEO Magicbricks
“The Union Budget 2023 is a bonanza for affordable housing, with the strategic decision to increase outlay for Pradhan Mantri Awas Yojana (PMAY) by 66%! This decision provides the much-needed impetus towards the vision of "Housing for all". Further, with a 33% increment in infrastructure outlay, the Government is facilitating economic growth through job creation and investments which have direct and indirect impact on the real-estate sector. It is also heartening to see that the government is maintaining its focus on furthering urbanization initiatives, especially with the outlay of INR 10,000 crores per annum for an Urban Infrastructure Development Fund (UIDF) for tier 2 and tier 3 cities. This would certainly give the required boost to the real-estate markets in these cities, which have emerged as real estate growth engines in the past few years. 2022 saw a year-on-year increase in residential demand in cities like Bhubaneswar (12%), Coimbatore (27%), Jaipur (5%), and Nagpur (66%), amongst others, and this initiative will further elevate the livability index and appeal of these cities. Overall, the Union Budget is definitely positive and growth oriented for the real-estate sector.”

Haribandhu Patra, CFO Lentra
“The Union Budget 2023 is focused on building a strong and resilient Indian economy with a focus on tech-driven development, leading towards a knowledge-based economy with a strong financial sector. The government's focus on simplifying processes, expanding fintech services, and improving bank governance reflects its commitment to economic growth and stability. The announcement of 50-year, interest-free loans for states is expected to drive investment in infrastructure, leading to economic growth and job creation. The increase in the agri credit target to Rs. 20 lakh crore and the computerization of agricultural credit societies are expected to boost the agriculture sector in the future. Under the National Data Governance Policy, simplification of KYC processes, expansion of Digilocker, and proposed framework for credit infrastructure will increase access to financial services for all and foster financial stability. On the youth power front, The Pradhan Mantri Kaushal Vikas Yojana 4.0 will help train lakhs of youth and improve their employability in the fast-changing tech-driven economy. The estimated fiscal deficit of 5.9% of GDP shows the government's responsible approach to fiscal management. We are optimistic about the potential impact of these reforms on the Indian economy and look forward to contributing to its growth. Further, the revision of income tax slabs will empower the middle class by enhancing their spending capacity. This in turn will boost the country's economic activity and gross domestic product (GDP), and ultimately help achieve sustainable economic growth.”