Interim Budget 2024: Industry Reactions (Part-5)

Jayesh Jain, Group CFO, Balanchero India
"The Interim Budget charts a transformative path towards a ‘Viksit Bharat’ by 2047, envisioning India as the world's third-largest economy. The notable 50% rise in average real income signals economic empowerment for millions. 
A Rs 1 lakh crore corpus, paired with a 50-year interest-free loan for tech initiatives, showcases the government's resolute commitment to innovation and digital transformation. Expanded schemes like Mudra Yojana and robust gateways through International Financial Services Centres Authority (IFSCA) boosts our confidence in the sector's potential. Additionally, extending tax benefits until March 31, 2025 for startups, investments by sovereign wealth or pension funds, and certain IFSC unit incomes, reflects the government's promise to fostering entrepreneurial endeavours and promoting sustainable growth. 
This Budget seamlessly aligns with our vision of serving the next billion while creating a digitally inclusive India. We trust our efforts will leverage these opportunities to drive financial inclusion, empower individuals, and propel the nation towards economic prosperity."

Winny Patro, CEO and Co-Founder- Recordent India
"Culturally, we have got habituated to tremendous, transformative announcements during budget sessions. But I strongly believe the budgets are not always about transformation, it should always be in the frame of looking at how financially we have done, take notes and plan measures from it. Budget means plan financially better, see where we stand in terms of deficit and look at bridging gaps. From the interim budget that our honourable Finance Minister has announced today, it is quite a balanced and hopeful one. Specially, about the highlights for businesses particularly MSMEs, I'll like to take note of schemes extended for garment manufacturers which I have been anticipating and "Loan for 50 years" initiative. These would provide quite an impetus for the sector and also a lot of relief for entrepreneurs in the garment manufacturing industry. The struggle of cash-flows for small and medium businesses has been perennial and has troubled entrepreneurs across the country post Co-VID, Loan for 50 years scheme is a welcoming one.”

 

Venkatram Mamillapalle, Country CEO & Managing Director, Renault India Operations
“With the Interim Union Budget 2024 announcement completed, Renault India embraces the transformative vision outlined by Finance Minister Nirmala Sitharaman, steering towards a 'Viksit Bharat' by 2047. As a committed contributor to the nation's progress, we applaud the inclusive approach reflected in initiatives like the Fasal Bima Yojana, benefiting 4 crore farmers, showcasing the government's dedication to rural prosperity.
Renault India enthusiastically supports the impetus on advancing the e-vehicle ecosystem, recognizing its pivotal role in sustainable mobility. The promise of expanded manufacturing and charging infrastructure aligns seamlessly with the commitment to delivering innovative, eco-friendly solutions. Moreover, the emphasis on e-buses for public transport, echoes aspirations for fostering a greener, more sustainable future. Renault India stands poised to actively engage and collaborate in driving positive change and contributing to the realization of a prosperous and sustainable India.”

Dipti Deshpande, Principal Economist, CRISIL Ltd 
“A lower fiscal deficit hinging on moderation in revenue spend and realistic GDP growth and tax collection assumptions were the highlights of this interim budget.
The budget relies on a mix of capex and rural spends to bolster growth. Growth in capex is slower, but its share in GDP is higher on-year, suggesting continued dominant role of government investment.
The return of budgetary support to rural employment and incomes after a brief hiatus will support rural demand, which has turned sluggish of late. Aggregate spending on the four key schemes — NREGA, PMAY-G, PMGSY and PM-Kisan — is budgeted to increase 13.2% on-year in fiscal 2025, after a ~10% drop in each of the previous two fiscals.
Despite the rural focus and a pre-election setting, the budget refrains from being inflationary. This also ensures a favourable setting for monetary policy. In addition, a lower fiscal deficit and lower market borrowings will comfort government bond yields in the coming fiscal.”

 

Thomas Joseph K, Executive Vice President and Chief Business Officer, South Indian Bank
“There is enough evidence that the Government will continue on its promise to deliver economic growth. For starters, the record capex of Rs. 11.1 lakh crore is heartening. The proposed improvements to the transport infrastructure corridor through the Gati Shakti intervention will boost economic activity across the country. The focus on energy will inspire further confidence of industry. Other proposals such as the proposed launch of a housing scheme for the middle class, measures to promote dairy development and enhance oilseeds production, crop insurance, etc., will provide a fillip to the rural economy. Despite the limitations of having to present a budget that’s essentially a vote on account, the Finance Minister has provided enough evidence that India can look forward to a period of continued economic ascendancy.”

 

Priyanka Surana Bardia, Director, Aakash Aath
“The 2024 Union Budget is more focussed on the Holistic development of the Nation. The monetary investments pertaining to the implementation of the Welfare schemes decided for progress of the women, youth and the underprivileged section of the society will hugely benefit in forming an affluent and a steady Country. The Budget aims to equip the citizens with a modern education system where their aspirations will be fulfilled by the maximum utilization of their potentials. However, there are no as such new benefits on Taxation Policies but the Government's focus on the certain new Tax Measures for the Start Ups will assist millions of entrepreneurs to explore and establish to new heights.”

Shaifalika Panda, Trustee & Founder CEO, Bansidhar & Ila Panda Foundation (BIPF); Chief of CSR (Special Initiatives), Indian Metals and Ferro Alloys (IMFA)
“By placing 'Mahila' at the forefront of its agenda, the budget opens numerous opportunities for women, especially in rural regions. The emphasis on Self-Help Groups (SHGs) and the renewed goal to develop 3 crore 'Lakhpati Didi' underscores the importance of SHGs at the grassroots and positions SHGs as a guiding force for women-led development. The provision of 30 crore Mudra Yojana loans plays a crucial role in fueling the entrepreneurial dreams of women. Additionally, the strengthening of Anganwadi centers through initiatives like 'Saksham Anganwadi and Poshan 2.0' establishes a robust base for health and wellness, firmly placing women as integral contributors to the nation's continuous progress.”

 

V. P. Nandakumar, MD & CEO at Manappuram Finance
“By giving a new meaning to GDP – governance, development and performance – the Finance Minister, Nirmala Sitharaman, has laid out the road map for India to become a developed nation (Vikasit Bharat) by 2047. Also commendable is the Government’s resolve to stay on the course of fiscal prudence while taking steps to ensure sustainable growth and development on a durable basis. On the whole, the interim budget has ticked most of the right boxes without straying from the fiscal glidepath, despite impending general elections.”

 

Sohinder Gill, Director General, Society of Manufacturers of Electric Vehicles (SMEV)
“The 2024-2025 Interim Union Budget emphasizes a green public transportation system, prioritizing a strong charging infrastructure for widespread adoption of electric vehicles. India's vast expanse requires a comprehensive network with thousands of installations. This commitment is poised to spur employment growth, benefiting startups and MSMEs, with ongoing service and maintenance creating additional job opportunities.
However, a noticeable gap in the budget is the absence of continued direct customer subsidies, a critical element that played a substantial role in driving the adoption of electric vehicles across various categories over the last two years.
We eagerly await the government's comprehensive strategy and commitment to sustaining the electric vehicle manufacturing ecosystem. It is anticipated that a combination of fiscal and non-fiscal interventions will be outlined, offering crucial support for the industry in the coming years until it achieves a threshold for self-sustained growth.”

 

Rev. Daaji (Kamlesh D. Patel) - Guide of Heartfulness and President of Shri Ram Chandra Mission
“It is heartening to see that spiritual and conference tourism has been on a rise since the last year and that the focus is very much there on this area in this year’s budget too. The Indian Government is making provisions towards spiritual pilgrimage through Pilgrimage Rejuvenation and Spiritual Heritage Augmentation Drive or PRASAD Scheme and I think it is a great milestone. People from around the world are flocking to centres in India like Kanha Shanti Vanam that enable inner transformation. Last year alone Kanha Shanti Vanam had half a million footfalls. There are new airports in the pipeline, better connectivity and accessibility by road, rail or air, better infrastructure and technology connecting cities through tier 1, 2, 3 and 4. It can help generate more livelihoods and create an ecosystem as an economic booster. This is a remarkable time for tourism sector with visitors globally who want to come to India to explore and benefit from spiritual tourism here." 

Dinesh Kumar Poobalan, CEO & CTO, Greatify
"The Interim budget 2024, presented by the Honorable Finance Minister Nirmala Sitharaman, reflects a positive outlook. We applaud the government's dedication to upskilling millions of youths through the Skill India Mission and establishing higher learning institutions. Women's enrollment in higher education has increased by an astounding 28 percent over the last ten years, along with 43 percent of enrollment in STEM courses, a rate among the highest globally. These initiatives are anticipated to elevate the quality of education in India, fostering the development of a more educated workforce. This, in turn, is poised to stimulate increased research and innovation in emerging sectors by the private sector. By harnessing the combined potential of our youth and technology, these efforts aim to propel India forward. 
Additionally, extending tax exemptions for startups is viewed as a positive measure expected to contribute to overall growth and increased investment."