Expected Updates for Budget 2024: As Budget 2024 approaches, expectations are building for major policy shifts and fiscal allocations across sectors. The real estate sector is looking forward to new tax cuts and infrastructure investments, while the finance sector is looking to subsidies for Mitra Bank. Environmental sustainability advocates are calling for significant funding for climate change measures, while the education sector is looking to strengthen teacher training and digital infrastructure. Tax experts are proposing increased personal allowances and simplification of GST, while the banking sector is eyeing privatisation and consumer tax cuts. Budget 2024 is expected to play a key role in sustaining the country's growth trajectory. As this is the first Union Budget after the Lok Sabha elections, it is expected that Sitharaman will introduce income tax relief measures, aiming to increase disposable income of both common citizens and the middle class. The Modi government is also likely to maintain its focus on capital expenditure, with a focus on infrastructure development, to boost GDP growth.
July 16, 2024 2:58:07 PM
Budget 2024 forecast live: Sumit Jain, Managing Director, PLUSS Advanced Technologies comments on manufacturing
Budget 2024 forecast live: “Over the past few years, ministries and the government have placed a lot of emphasis on increasing the adoption of clean technologies and supporting the growth of start-ups and SMEs. None of these will bear fruit unless the government takes drastic steps towards improving infrastructure and reducing the cost of production for SMEs. Power infrastructure needs to be upgraded across all industrial sectors. Labour laws need to be further simplified and compliance costs reduced. Pollution control permits need to be streamlined and made easier for organisations to comply.”
Funds and grants need to be given directly to industry to drive R&D, and not through universities. Industry needs to be able to control and drive new investments in research. Energy circularity needs to be promoted by incentivizing industrial and commercial infrastructure that can prominently demonstrate energy reuse, much like what is being done with water reuse. This will help grow key segments such as thermal energy storage, which is becoming more prevalent in Europe but is yet to become mainstream in India.”
July 16, 2024 12:49:57 PM
Budget 2024 forecast live: Venkat Matera's views on semiconductor industry forecast
Venkat Matera, CEO and Founder, Ceremorphic said, “Looking ahead to Budget 2024, we expect a strong focus on boosting chip manufacturing and positioning India as a global leader in the semiconductor industry. Key expectations include increased budgetary allocations for research and development in hi-tech sectors such as semiconductors, medical devices and clean technology. Leveraging manufacturing for economic growth and job creation is crucial and our partnerships with global leaders in semiconductors and electronics will be crucial in strengthening domestic manufacturing capabilities.”
July 16, 2024 12:30:47 PM
Budget 2024 Predictions Live: Hardika Shah, Founder and CEO, Kinara Capital, Says 'Achieving Vikshit Bharat for MSMEs'
The Interim Budget announced in February 2024 outlined the vision for a separate Indian state and the next budget is expected to build on this foundation with a concrete action plan. India is well positioned to become the world's third largest economy by 2027, but achieving this goal requires strong growth in the MSME sector. As the second largest employer in the world and a significant contributor to the GDP, MSME growth is crucial for India. The government should put in place initiatives and policies that will foster MSME growth and enhance last-mile financial inclusion.
Revised proposal:
1. Extending the timeline for NPA classification to 180 days:
MSMEs often face cash flow issues due to payment delays, seasonal fluctuations, and macroeconomic changes. Extending the deadline for bad loan classification from 90 to 180 days will provide MSMEs with much needed breathing space. This extension will enable MSMEs to better manage their finances and avoid loan defaults as payments from customers will often arrive within this additional period. Additionally, removing the norm that prohibits loan upgrading through partial payments will greatly benefit MSMEs, enabling them to maintain good credit records and access formal sources of financing for growth opportunities.
2. Expansion of Production Linked Incentive (PLI) Scheme:
The PLI scheme has shown great potential with a significant impact on production, sales and employment. It is important to expand the scheme to encompass more industries and tailor it specifically for the MSME sector. MSMEs contribute significantly to India's exports and manufacturing output. Providing the necessary infrastructure and growth impetus can help make them more competitive, especially in Tier 2 and Tier 3 cities. Inclusion of thousands of MSMEs in the PLI scheme can have a transformative impact of boosting domestic manufacturing and creating new demand for goods and services.
July 16, 2024 12:14:19 PM
Budget 2024 Update: Education sector expects big increases in Federal Budget 2024
Prajodh Rajan, Co-Founder and Group CEO, Lighthouse Learning (formerly Eurokids International), expressed excitement over the significant budgetary allocation for the education sector in the upcoming Union Budget 2024. Mr. Rajan stressed that despite progress, a significant increase in education spending is essential to unlock India's true potential and advocated a multi-pronged strategy to achieve this goal.
“Teacher training and development programs need to be prioritized and digital infrastructure strengthened to facilitate a seamless learning experience,” said Rajan. He stressed the importance of investing in upskilling educators with modern pedagogies and technology to deliver quality education.
July 16, 2024 12:13:18 PM
Budget 2024 forecast: Government initiatives and budget increases to strengthen infrastructure and logistics sector
Sandeep Jain, Chief Financial Officer, NDR InvIT Managers, highlighted that the Indian government has made great strides in strengthening infrastructure and the logistics sector. Key initiatives such as the National Logistics Policy (NLP) and Bharatmala Pariyojana have been crucial in increasing connectivity and spurring growth in the logistics industry. “Every kilometre of road constructed improves connectivity and drives growth in the logistics sector. These initiatives are crucial for India to achieve its $5 trillion economic target,” Jain said.
In February, the finance minister announced an 11% increase in capital infrastructure spending for the next fiscal year, taking the outlay to Rs 11.11 trillion. Jain highlighted that the upcoming budget, with its focus on India's independence, will be a key opportunity to further strengthen India's infrastructure sector. He noted that increased investments, especially in renewable energy, transport and logistics infrastructure projects, will boost economic growth, create jobs and improve overall connectivity.
July 16, 2024 12:09:01 PM
Budget 2024 forecast live: Government's investment-led growth strategy to boost infrastructure development and economic growth
“The government has been focused on an investment-led growth strategy in recent years, resulting in quality infrastructure in the country. In Budget 2023-24, the capital expenditure of Rs 1 lakh crore was almost three times the expenditure in 2019-20. Despite fiscal challenges, the government remains focused on infrastructure spending, allocating Rs 1.11 lakh crore in the interim Budget 2024-25, an 11 per cent increase over the previous year. The continued focus on infrastructure and productivity-driven capabilities has had a significant multiplier effect on economic growth and job creation. Given the success of recent years, we expect the government to continue pushing investments in housing, highways and rail corridors. This will drive long-term income growth, sustain demand for housing and building materials in the country and also drive innovation in the industry.” “We strongly believe that this will drive advancements in construction materials, sustainable practices and job creation,” said Akshat Seth, Managing Director and CEO, HIL Ltd.
July 16, 2024 10:49:11 AM
Budget 2024 Forecast Live: Recognizing Hospitality as Infrastructure
The hospitality sector should be recognised as infrastructure, argues Manvir Choudhury, CMD, Jewel Classic Hotels Private Limited. He highlights the hospitality sector's potential to drive economic growth, create jobs and support tourism, and urges the government to change the way it views the industry.
July 16, 2024 9:32:56 AM
Budget 2024 forecast live: Environment and ESG focus in the next Federal Budget
ESG Strategist and ISO Principal Auditor Ankita Sameer Patwa has called for significant funding for sustainability initiatives in the Union Budget. She urged the government to introduce policies that strengthen ESG practices and help small and medium-sized enterprises adopt sustainable technologies and practices.
July 16, 2024 9:32:30 AM
Budget 2024 Predictions Live: Support to Mitras Bank/Business Correspondent in Budget 2024-25
Seema Prem, Co-founder and CEO, FIA Global, has advocated for measures to support Bank Mitras/Business Correspondents in the upcoming Budget. She has suggested setting up an Infrastructure Grant Fund and an India Business Correspondents Equity Fund to boost operational efficiency and financial sustainability.
July 16, 2024 9:32:13 AM
FY2024 Budget Forecast: Expectations for Real Estate Tax Incentives and Infrastructure Development
Heeralal Doshi, founder and chairman of Kinjal Group, expects major policy shifts in the real estate sector under the Modi 3.0 government. He emphasised the importance of tax incentives, infrastructure upgrades and a one-stop approval system to boost growth and efficiency in real estate construction.
July 16, 2024 7:58:43 AM
Budget 2024 Flash Report: Real Estate Sector Outlook for Union Budget 2024-25
Kaushal Agarwal, chairman, Guardians Real Estate Advisory, and Heeralal Doshi, founder and chairman, Kinjal Group, are optimistic about possible policy shifts in the real estate sector. They expect infrastructure investments to continue under the Modi 3.0 government, but highlight the need for tax adjustments and incentives for homeowners and developers.