By BFSI Network
The Interim Budget for the fiscal year 2024-25, recently presented by Finance Minister Nirmala Sitharaman, is more than just financial numbers. It's a roadmap designed for inclusive development and economic resilience. Let's break down the key takeaways and gain insights from industry leaders: Sudipta Roy, Abhay Bhutada, and Akash Sinha.
Smart Money Moves
The budget shows a smart move with reduced gross borrowing at ₹14.13 trillion, indicating a commitment to managing finances responsibly. Sitharaman's decision to withdraw outstanding disputed tax demands benefits around 1 crore taxpayers. The aggressive fiscal consolidation target, aiming for a 5.1% fiscal deficit in FY25, reveals a dedication to balancing growth with financial responsibility.
Local is Strong
The focus on indigenous growth, especially in oilseeds, aligns with reducing imports and promoting domestic industries. This move towards self-sufficiency reflects the government's commitment to building a resilient economy.
Tax Talk
While tax slabs remain unchanged, there's good news for startups and specific IFSC units, as benefits and exemptions get extended till March 2025. The commitment to 'Sabka Sath Sabka Vikas' remains strong, emphasizing policies that promote inclusivity and reduce corruption.
Industry Leaders' Perspectives
From Sudipta Roy, L&T Finance Holdings Ltd
Roy believes the budget sets the stage for the private capex cycle's revival, creating favorable conditions. The push towards rural housing is a boon for retail-oriented NBFCs.
From Abhay Bhutada, Poonawalla Fincorp
Abhay Bhutada, MD sees the budget as a decisive step towards economic sustainability. He commends the fiscal responsibility, anticipating positive outcomes for fintech and digital skills.
From Akash Sinha, Cashfree Payments
Sinha highlights the focus on innovation, a booster for entrepreneurs adopting a research-led approach. The Digital Public Infrastructure emphasis aligns with India's global aspirations.
Inclusive Development Initiatives
The budget introduces various inclusive development initiatives, including a substantial Direct Benefit Transfer into PM-Jan Dhan accounts. This underlines the government's commitment to financial inclusion and support for vulnerable sections of society.
Agricultural Triumphs
The agricultural sector witnesses significant achievements, with financial assistance reaching millions of farmers through schemes like PM-Kisan Samman Yojana and PM-Fasal Bima Yojana. The Electronic National Agricultural Market aims to modernize and streamline agricultural practices.
Economic Stability through Governance, Development, and Performance
The budget emphasizes the triad of Governance, Development, and Performance (GDP), focusing on macroeconomic stability, robust investments, and efficient program delivery.
One Nation One Market One Tax
The Goods and Services Tax (GST) takes center stage, simplifying the tax structure and fostering economic growth. Initiatives like GIFT IFSC and Unified Regulatory Authority IFSCA create gateways for global capital, positioning India as an attractive investment destination.
In summary, the Interim Budget 2024-25 isn't just about numbers; it's a strategic plan for India's economic future. The focus on inclusivity, fiscal responsibility, and innovation-led growth resonates with industry leaders. As India strides confidently into the global arena, this budget serves as a guide for long-term development and a resilient, inclusive, and innovative economy.
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