With the announcement of Budget 2024 now behind us, industry experts are sharing their initial thoughts on the proposed economic measures. This year’s budget has generated a spectrum of reactions from leaders across different sectors, each providing valuable viewpoints on its anticipated effects. In this roundup of expert quotes, we highlight their analyses and predictions, offering a glimpse into how the budget might shape the business landscape and economic outlook for the year ahead.
Viswanath PS, MD & CEO, Randstad India:
“The sharp focus on employment in this year’s budget, particularly through the Employment Linked Incentive Schemes, is a transformative step for job creation in our country. By investing in skilling and bridging the talent demand-supply gap, the budget paves the way for a more robust and future-ready workforce. The provision for internships with top 500 companies, coupled with an internship allowance, will empower our youth with the necessary skills and experience for the ever-evolving job market. Furthermore, the creation of industrial parks in 100 new cities along with the establishment of dormitories and women’s hostels will ensure that companies have access to the right talent, while also enhancing women’s participation in the workforce. The decision to allow companies to use their CSR funds for training and internships is a commendable move, reinforcing the commitment to fostering a skilled and employable generation. All in all, there are a lot of positive takeaways for both employers and the talent community from the announcements made in this budget. It is indeed a significant milestone in driving employment-led growth and shaping a prosperous future for India.”
Anirban Aditya, Chairman, Aditya Group:
“The Union Budget 2024 marking a significant step forward for education and skill development, with Rs 1.48 lakh crore allocated for education and a plan to skill 20 lakh youth over the next five years. Initiatives like financial support for higher education, the e-voucher system, and direct benefit transfers for first-time employees enhance accessibility and formal employment opportunities. The Rs 3 lakh crore allocated for women-led schemes, including hostels for working women, is commendable. With a 30% increase in the budget for education, skilling, and employment, we at Aditya Group with Aditya Group of Schools, are enthusiastic about contributing to this transformative journey.”
Mr. Sanjay Dighe, CEO of Krystal Integrated Limited Services:
“The Union Budget 2024 presented by Finance Minister Nirmala Sitharaman outlines a comprehensive vision for India’s growth, with a strong emphasis on job creation, skill development, and social justice. The government’s focus on employment generation and upskilling initiatives is particularly encouraging for the facility management and staffing sector.
The introduction of three key schemes under the Prime Minister’s package is a significant step towards boosting the job market. The government’s commitment to support 210 lakh first-time employees, incentivize job creation in the manufacturing sector, and reimburse employers for additional hires will undoubtedly stimulate employment opportunities. The plans to upgrade 1,000 Industrial Training Institutes and the new centrally sponsored scheme to skill 20 lakh youth over five years are welcome moves. These initiatives, coupled with the focus on women’s participation in the workforce through working women hostels and specific skilling programs, will foster a more inclusive and skilled labour force. These progressive measures lay a strong foundation for building a more prosperous and skilled India.”
Mahankali Srinivas Rao (MSR), CEO, T-Hub:
“Budget 2024 marks a significant milestone for the Indian startup ecosystem, with initiatives that will undeniably foster innovation and growth. The abolition of the Angel Tax for all classes of investors is a pivotal move that will create a more supportive environment for angel investments, ultimately benefiting startups and paving the way for India to become a global innovation hub. The establishment of a ₹1,000 crore venture capital fund dedicated to boosting the space sector is another forward-thinking initiative. This substantial investment will propel growth in the space economy by supporting innovative startups and groundbreaking research, positioning India at the forefront of space technology and exploration.
Moreover, the introduction of the Anusandhan National Research Fund and a financing pool of ₹1 lakh crore to spur private sector-driven research and innovation is a game-changer. This fund will power basic research and prototype development, driving commercial-scale innovation and enabling startups to bring cutting-edge solutions to the market.
At T-Hub, we are excited about these developments and the positive impact they will have on our vibrant startup ecosystem. These initiatives will provide startups with the necessary resources and support to thrive, innovate, and contribute significantly to India’s economic growth and technological advancement.”
Mr. Niranjan Kirloskar, Managing Director, Fleetguard Filters Private Limited:
The Union Budget presented today aligns well with the Government’s vision of a Viksit Bharat. The budget highlights several positives aimed at boosting economic growth, employment, sustainability, and inclusive development.
Special focus and reiteration of skilling, employment, manufacturing, strong infrastructure development, agriculture, and R&D, among other mentions, should positively reassure companies to focus on investing in all levels of its employees – especially newer ones, and also concentrate on becoming future-proof, by investing in rigorous research and development.
In addition to the above, proposing a climate taxonomy or climate finance to encourage greener businesses and, in turn, create a greener economy in the long run, signifies the important role of Indian companies in the fight against global climate change and aligns with global ESG goals which can make Indian companies attractive for FDI. Overall the government aims to balance economic growth with sustainability and inclusivity ensuring long-term benefits across various sectors.“
Mr. Amar Ambani, Executive Director, YES SECURITIES:
“Barring the capital gains tax dampener for the investor community and removal of indexation benefit, the Union Budget was balanced and consistent in policy. Brushing aside concerns around more populism, the target set for the fiscal deficit at 4.9% is a huge positive. Agriculture package of Rs1.5 lakh crores is along expected lines and will help provide a fillip to the rural economy. The slight relaxation in personal income tax slabs helps on the consumption front as well. There has been a material push in uplifting the financial health and borrowing ability of MSMEs. The capital expenditure outlay of the government of 3.4% as a percentage of GDP is also robust and in line with their policy. Notably, the government is focusing on further digitizing the economy with land and house registry. I sense an even better budget next year, with the finance minister mentioning about a comprehensive review of the Income Tax Act to simplify taxation and reduce disputes, as well as a customs duty rate structure overhaul to correct inverted duty structures.”
Mr. Priyam Patel, MD, NK Proteins Pvt Ltd (Tirupati Edible Oils):
“The Union government has maintained a strong focus on enhancing agricultural productivity and resilience. The substantial allocation of Rs 1.52 lakh crore for agriculture and allied sectors underscores this commitment. Initiatives for self-sufficiency in pulses and oilseeds, particularly groundnut, sesame, and sunflower, are pivotal for Atmanirbharta in the edible oil sector. The emphasis on digital crop surveys and strengthening storage and marketing infrastructure will greatly benefit farmers, ensuring a robust and stable agricultural sector. These measures will significantly support the growth and stability of our industry, fostering sustainable development and economic growth.”
Mr. Priyam Patel, MD, NK Proteins Pvt Ltd (Tirupati Edible Oils):
“The Union government has maintained a strong focus on enhancing agricultural productivity and resilience. The substantial allocation of Rs 1.52 lakh crore for agriculture and allied sectors underscores this commitment. Initiatives for self-sufficiency in pulses and oilseeds, particularly groundnut, sesame, and sunflower, are pivotal for Atmanirbharta in the edible oil sector. The emphasis on digital crop surveys and strengthening storage and marketing infrastructure will greatly benefit farmers, ensuring a robust and stable agricultural sector. These measures will significantly support the growth and stability of our industry, fostering sustainable development and economic growth.”
Kaustubh Belapurkar, Director – Manager Research, Morningstar Investment Research India Private Limited.
“Despite the increase in LTCG to 12.5%, equity mutual funds continue to remain great long term investment options for investors. Governments continued focus on fiscal prudence and infrastructure spend bodes well for the economy. Investors are best served by continuing to focus on their asset allocation and investing regularly and not be swayed by short term market movements.”
Mr. V. Raman Kumar, Founder & Chairman CASHe. CASHe is an AI-led, financial wellness platform; a start-up headquartered in Mumbai.
“The Budget brings positive changes in nurturing the talent and digital prowess of our nation. The substantial allocation of education loans is a commendable move that will empower countless students to achieve their academic dreams without financial strain. Moreover, the emphasis on digital infrastructure development is a game-changer, as it will significantly enhance accessibility to online education and resources, bridging the digital divide. The government’s focus on upskilling initiatives is particularly noteworthy, as it aligns perfectly with the needs of a dynamic job market, equipping our workforce with the skills required for the future. Additionally, the abolition of the angel tax is a much-needed relief that will boost investments and foster innovation within the startup ecosystem. These strategic investments are set to create a robust foundation for a more educated, skilled, and digitally advanced India.”
