Interim Budget 2024: Industry Reactions (Part-7)

Chandrajit Banerjee, Director General, CII
"The interim budget consolidates India’s globally acclaimed economic strategy that preps up the economy for the future.
The interim budget, presented by Smt Nirmala Sitharaman, Minister of Finance and Corporate Affairs, Government of India, today, consolidates India’s economic strategy prioritising capex driven growth that boosts demand and improves the competitiveness of industry. The strategy has led to India becoming a bright spot in the midst of a slowing global economy.
CII had suggested continued thrust on capital expenditure which has a high multiplier effect on the economy and welcomes the allocation of Rs 11.1 lakh crores for capex, an increase of 11.1 per cent over the high base of last year.  The interim budget also continues the thrust on state capex, with an allocation of Rs 1.3 lakh crores to be provided as 50-year interest free loans for state capex and Rs 75,000 crores linked to state level reforms.
Programs with thrust on housing for middle class; additional 2 crore houses under PM Awas Yojana (Gramin); a plethora of announcements to boost the rural economy – such as focus on creating post-harvest infrastructure, mission for achieving Atmanirbharta in oilseeds, dairy development, promotion of fishing and aquaculture; creation of an additional 1 lakhpati didis, carry forward India’s new approach to development through inclusion and empowerment.
The measures will provide economic security to the vulnerable sections of the society, raising their standards of living and expanding the rapidly growing Indian consumer market. This expansion has a direct bearing on economic growth for the consumption led Indian economy. Broad basing of consumption also adds to the resilience of consumption driven growth.
Given a world where the future is marred with uncertainties – economic, political and geo-political, India’s continued high growth with inclusion makes the Indian economy resilient, prepping it up for the future and also takes India forward on its journey of becoming a developed nation by 2047.”

Sulajja Firodia Motwani, Founder and CEO of Kinetic Green
"Today's announcements on the interim budget for Viksit Bharat illustrate the government's steadfast commitment to creating a developed India by 2047. The significant progress gained in all aspects of infrastructure physical, digital, and social over the last decade demonstrates our multifaceted economic management, which effortlessly aligns focus on infrastructure building with aggressive capital expenditure; with inclusive and people-centric development.
The allocation of 2.78 lakh crores to the Ministry of Road Transport and Highways is a clear indication of strides toward progress, particularly in fortifying the electric vehicle (EV) ecosystem. The government's commitment to the expansion and fortification of the e-vehicle ecosystem, promote deployment of EVs for the masses, coupled with support for manufacturing and charging infrastructure, marks a pivotal moment.
The government remains resolute in its commitment to expanding and sustaining this ecosystem, fostering entrepreneurial opportunities for vendors engaged in the supply and installation of charging infrastructure. Simultaneously, it aims to create employment opportunities for the youth equipped with technical skills in the manufacturing, installation, and maintenance of these vehicles.
The EV sector was expecting an announcement in the interim budget regarding the continuation of the Fame scheme for demand generation. We are hopeful to have this coming in the weeks ahead.
We receive this budget with great enthusiasm, confidence and hope for the coming Amrit Kaal.”

Dr. Azad Moopen, Founder, Chairman and MD - Aster DM Healthcare
“It is heartening to see that the Interim Union Budget focuses on the upliftment of the masses through a specific focus on the poor, farmers, youth, and women. The allocation of Rs. 1-lakh crore with 50-year interest-free loans will encourage the start-up culture that India is now thriving upon, encouraging the youth of today to become entrepreneurs and focus on their growth as well growth of the nation.
In healthcare we were hoping to see an increase in the GDP allocation of a minimum 5% for the sector, hopefully, this will be addressed in the complete Budget to be announced in July this year, under the new government. We are glad that the government is considering to add more hospitals in all districts in the country, which is essential to meet the rising demand. We would recommend focusing on public-private partnerships (PPP) to address this. With all maternal and child healthcare to be brought under one- scheme, this will be essential.
It is promising to hear that the government plans to open more medical colleges alongside existing hospital infrastructure. There is now an urgent need for comprehensive reform of medical education, to ensure that the medical professionals of tomorrow are trained in the latest medicine and techniques, like their Western counterparts.
The strong impetus on immunization of children under Mission Indradhanush and young girls for cervical cancer will go a long way in strengthening preventive care measures in the country and reduce the burden from communicable and non-communicable diseases.”  

Dilip Modi, Founder, Spice Money and Mr. Rakshit Agarwal, Co-founder, Rupicard
"At Spice Money, we're heartened by the Budget 2024's multifaceted approach to empowering individuals and businesses. Initiatives like the Digital Public Infrastructure (DPI) promoting formalization and financial inclusion, coupled with a strengthened financial sector paint a promising picture for inclusive growth. We're particularly encouraged by the government's focus on MSMEs, the backbone of our economy.
Schemes like PM Mudra Yojana's Rs 22.5 lakh crore sanctions and credit assistance to 78 lakh street vendors under PM-SVANidhi, Fund of Funds, Startup India and Startup Credit Guarantee are commendable steps towards fostering entrepreneurial aspirations. We're further encouraged by the government's priority to adequately finance technology for MSMEs and provide them with global competitiveness training. This aligns perfectly with Spice Money's commitment to equip businesses with digital tools and financial services.
However, skilling and access to capital are just two pieces of the puzzle. We believe real-time data insights are crucial for informed decision-making and growth. Our 12 lakh Adhikari touch points across 600 districts can play a vital role in gathering and analyzing such data, empowering MSMEs and individuals across remote regions. By collaborating with fintech players like Spice Money, the government can ensure these initiatives have a tangible impact on millions, propelling them towards financial inclusion and global competitiveness.
We eagerly await the July budget roadmap, hoping it outlines clear, measurable outcomes for both financial inclusion, MSME growth, and strengthening the financial sector. Together, we can truly create a #ViksitBharat where everyone has the opportunity to thrive."

Sebi Joseph, President, Otis India
“We at Otis India, would like to applaud Finance Minister, Nirmala Sitharaman for presenting a progressive budget accelerating the momentum in infrastructure sector and for the contribution to affordable housing. The thrust on building digital public infrastructure along with the three major economic railway corridor programmes will enable multi-modal connectivity and help grow demand for new elevators. Otis India welcomes this transformative budget recognising its potential to foster holistic urban development.”

Gautam Shahi, Director, CRISIL Ratings Ltd 
“Policy measures announced in the budget such as setting up of a payment security mechanism and emphasis on increasing support to the manufacturing of charging infrastructure are steps in the right directions for improving the adoption of e-buses for public transport networks. CRISIL Ratings’ expects penetration of electric buses to double to ~8% by fiscal 2025, from ~4% in fiscal 2023.”

Param Kannampilly, Executive Chairman, Concept Hospitality Pvt Ltd., The Fern Hotels & Resorts
"In the wake of the recent budget announcement, we applaud the government's foresight in recognizing the immense potential within tourism, particularly the uncharted territory of spiritual tourism as the people of India are now willing to travel and explore more. This visionary approach not only unlocks doors for local entrepreneurship but also serves as a catalyst for employment generation. The emphasis on developing iconic tourist centers and global-scale marketing aligns seamlessly with our commitment to providing unparalleled experiences. This initiative not only enhances our global standing but also signifies a collective effort to harness the untapped potential within our borders. Additionally, our country's economic strength positions it as an attractive destination for business and conference tourism, a trend we are prepared to champion.” 

Suresh Mutha, Managing Director at M20 Urban Spaces
“It is great to hear that our economy is doing well, there is macro-economic stability, including in the external sector and that investments are robust. The mention of the geographical inclusivity through development of all regions of the country is great news for the real estate sector. The ‘housing for all’ scheme has already won the hearts of many in the country and I hope the scheme is continued in all good spirits. I welcome the scheme to help deserving sections of the middle class living in rented houses, or slums, or chawls and unauthorized colonies to buy or build their own houses. We stand with the country in building a modern infrastructure.  Positioning India as an attractive destination for business and conference tourism is a great move which would give huge financial benefits. Promoting iconic tourist centres in the country will create more jobs, as well.”

Umesh Revankar, Executive Vice Chairman, Shriram Finance
“The interim budget aptly focuses on tourism, agri-based industry, infrastructure, research and innovation, and skilling. It encompasses both social and geographical dimensions and will pave the way for sustainable, inclusive growth. We anticipate that the announcements will yield significant advantages in the near future.
The identification of three major economic railway corridors under PM Gati Shakti underscores policymakers' focus on enhancing logistics efficiency, fostering crucial multi-modal connectivity essential for the success of 'Make in India.' These corridors will drive economic growth, and streamline transportation networks.
The announcement of the creation of a corpus of Rs 1 lakh crore, coupled with 50-year interest-free loans for research and innovation in sunrise domains will accelerate the country's digitalization journey, positioning it as a leader among global digital economies and fostering opportunities for emerging entrepreneurs. The policy emphasis on providing training to MSMEs to enable them to compete globally is a promising step. With a capex target of Rs 11.1 lakh crore for FY25, up by 11.1 percent, the budget reaffirms the government's steadfast commitment to economic growth. Further, the focus on the EV ecosystem, in the form of support for manufacturing and charging infrastructure, is set to catalyze business opportunities and significantly contribute to employment generation.”
 

Sahil Saharia, CEO, Shristi Infrastructure Development Corporation Limited
“One notable aspect of the current budget is the government's dedication towards addressing the housing requirements of the middle class. The primary goal of this initiative is to enable these individuals to either buy or construct their own homes. This declaration represents a significant stride in promoting affordable housing and realizing the dream of homeownership for the middle class. By specifically targeting individuals in rented dwellings or informal settlements, the government is recognizing the challenges faced by a substantial portion of the population and is implementing concrete measures to provide them with a viable path to owning a home.”

Arya Sumant, Managing Director, Eden Realty
“We welcome the government’s decision to launch a scheme for deserving sections of the middle class living in rented houses or slums to build or buy their own houses. This will have a long-standing effect on not only the real estate industry but also the related industries like housing finance, construction materials like cement etc. We expect a more robust plan in the final budget to be presented in July.”

Rishi Jain, Managing Director, Jain Group
“There are no unnecessary populist measures, big or structural changes or needless twiddling of tax rates. This is a welcome move since businesses thrive on stability and doling out freebies at tax payers expense is unwelcome.
The move to bolster PMAY - Grameen program and to accelerate the housing for all mission is obviously a cause for celebration . I predict the higher capital outlay towards long term infrastructure will also have a positive effect on Real estate industry.
Domestic Tourism encouragement and financing can also be seen as positive. As with all previous budgets of FM, there is no hype, rather a quite confidence to prioritise India’s finances towards long term solutions. I am confident that the Indian economy will witness optimism going forward.”

Sanjay Jain, MD, Siddha Group
“We extend our heartfelt appreciation for the government's laudable decision to introduce a visionary initiative in the interim budget catering to the deserving segments of the middle class, particularly those residing in rented houses or slums, empowering them to ‘acquire a home of their own’. This judicious move promises not only to boost the real estate sector but also the ancillary industries such as housing finance, material sourcing, architecture and design etc.”

Rajesh Shah, Chairman & MD at EUROBOND
 "Euro Panel Products Limited, agreed wholeheartedly with the vision in the new budget. “The team at Euro Panel Products Limited is enthralled by the new interim budget of 2024-25, specifically in the infrastructure and railways sector. The government’s decision to transform 40,000 railway coaches to suit the specifications of the Vande Bharat Express shows the commitment of the government to take the railways to the next era, something we support wholeheartedly. Added to that, the project to expand the major railways infrastructures including the Metros and Namo Bharat to upcoming metropolitans closely aligns with our mission for comprehensive development in those areas. The capex target of Rs. 11.1 lakh crore for FY25, along with a 11.1% increase shows volumes to the Prime Minister’s dedication towards establishing state-of-the-art infrastructures throughout the country and Eurobond remains steadfast in its commitment to championing the nation's ambitious infrastructure development goals, supporting the burgeoning momentum with unwavering dedication to innovation and cutting-edge technology."