Archives 2025

Ms. Madhavi Arora, Chief Economist, Emkay Global Financial Services

Capex Budget details

• Centre’s FY26BE capex (Rs11.2tn) stays at 3.1% of GDP – same as FY25RE, vs the ambitious targets of 3.4%. FY24 saw capex/gdp at 3.2%.
• Centre’s FY26 capex growth budgeted higher at 10.1% (vs 7.3% for FY25RE but much lower than 17% in FY25BE).

Defence growth seen highest among core sectors amid tepid performance last yr.

Rail and Roads see 0% and -0.1% growth in FY26BE, after meeting their FY25BE targets.

• New schemes of Dept of Eco affairs again sees massive allocation of Rs417bn in FY26, after heavily undershooting FY25BE allocation of Rs636bn (FY25RE:Rs 91bn only)
• FY26BE PSU – IEBR capex (ex-FCI) at Rs4.3trn) is 1.1% of GDP – again, same as FY25RE, but higher than FY24 (1.0%). PSU capex growth is taken at 12.9% (vs 10.9% for FY25RE)
• As a result,Centre + PSU capex/GDP is marginally higher for FY26 (4.3% vs FY25RE: 4.2%) – with higher PSU capex in the Power and Housing sectors driving overall PSU capex growth.
•  Centre + PSU capex growth is taken mildly higher at 10.8% (vs 9.7% for FY25RE, albeit lower than 15% in FY25BE).
• We have been arguing combined C+PSU capex/GDP has plateaued at 4.2-4.3% since FY24, amidst revex skewness, limited revenue mobilisation and binding absorptive capacity.

Raoul Kapoor, Co-CEO, Andromeda Sales and Distribution Pvt Ltd

We welcome the Union Budget 2025-26, which presents a strategic roadmap for accelerated economic growth while offering much-needed relief to the middle class. The Finance Minister has introduced progressive tax reforms that are set to increase disposable income, fostering both financial stability and consumer spending.

With the revised income tax slabs and reduced tax rates, a rough estimate suggests that taxpayers could save up to ₹10,000 per month, depending on their income bracket. This significant boost in savings will enable individuals to better manage existing loans and enhance their loan eligibility, making homeownership and other large investments more accessible.

The ripple effect of increased disposable income will be felt across the retail loan industry, as more individuals will have the financial confidence to take on new loans, whether for housing, automobiles, or personal financing needs. This policy move is expected to strengthen the banking and NBFC sector, further driving economic momentum.

Vivek Jalan, Partner Tax Connect Advisory Services LLP

As expected income tax TDS/ TCS provisions have been revamped and rationalized. TDS/TCS are merely advance tax, but there are 71 Sections which cover TDS/TCS, multiple thresholds and multiple rates. Industry had pitched in for complete revamp of TDS/TCS provisions and this budget has moved in the direction. For eg. On same goods purchase, there was a TDS u/s 194Q as well as TCS u/s 206C(1H). This created hardship and in this budget TCS has been scrapped to provide much needed relief. Other TDS thresholds and various compliances has also been rationalized.

Customs duty on capital goods and raw material imports have been rationalized to promote manufacturing, especially on manufacturing of lithium Ion batteries. So the message of the Govt. is very clear – import duty-free but make in India and even export from India.

MSMEs have also been a special focus in this budget. Big reforms are there for leather, footwear, toys, food processing and other MSMEs. Start Ups Tax holiday is also extended.

The Biggest big bang change of course is the exemption of Income Tax for middle class with income upto Rs 12 Lakhs. Even upto income limit of Rs.24 Lakhs per annum, there is a saving of up to Rs.1.1 Lakh per annum. This would provide more disposable income in the hands of middle class.

Amit Sharma, Managing Director & CEO, Tata Consulting Engineers

The Union Budget 2025-26 delivers a transformative push across key sectors, reinforcing India’s commitment to sustainable growth and self-reliance. The National Manufacturing Mission’s focus on cleantech industries, including solar PV cells, EV batteries, electrolysers, and grid-scale batteries, will strengthen domestic value addition and position India as a key player in global clean energy supply chains. Investments in power transmission and distribution, along with electricity distribution reforms, will modernise the sector and ensure financial stability for DISCOMs.

Nuclear energy is a key pillar of India’s energy security and self-sufficiency, supporting a steady shift to cleaner power while keeping the grid stable. The goal of reaching 100 GW of nuclear capacity by 2047 is backed by important reforms, including changes to the Atomic Energy Act and the Civil Liability for Nuclear Damage Act, allowing private sector involvement in nuclear projects. The ₹20,000 crore investment in small modular reactors (SMRs) highlights India’s plan to use its rich thorium reserves for long-term energy independence. These advanced nuclear technologies will provide reliable, scalable, and low-carbon energy, strengthening the country’s energy supply. This approach broadens the energy mix and ensures long-term sustainability by reducing dependence on imported fossil fuels.

Infrastructure remains a key driver of economic growth, with ₹1.5 lakh crore in long-term interest-free loans to states and ₹25,000 crore for maritime expansion, strengthening India’s connectivity and trade competitiveness. The extension of the Jal Jeevan Mission, the ₹1 lakh crore Urban Challenge Fund, and affordable housing initiatives will enhance urban living standards. The Critical Minerals Development Policy, alongside customs duty exemptions on essential resources, ensures a secure supply chain for high-tech industries, supporting India’s ambitions in advanced manufacturing and clean energy. Green bonds and hydrogen R&D incentives further reinforce our commitment to a net-zero future. Tata Consulting Engineers stands ready to contribute through innovative engineering solutions, supporting India’s journey towards a resilient and globally competitive economy.

Manish Sharma, Chairman, Panasonic Life Solutions India & SA

“Overall, a progressive and structured budget focusing on India at 2047 to drive the inclusive GDP growth which we need to get there. There has been a clear focus to providing tax relief to provide more money in hands of people thereby driving consumption. Focusing on the ten broad areas aimed at GYAN (Garib, Yuva, Annadata, and Nari Shakti) Union Budget 2025 paves way for the well-being of end-users, leaving more cash at hand thus, helping drive consumption for the Indian economy. Amongst several benefits, one of the most awaited news for the common man, both for middle class and senior citizens, are the income tax reliefs – which will boost consumer spending and reduce the compliance burden for the businesses.

For the industry there have been several key announcements aimed at fostering manufacturing, growth and strengthening the Indian economy.

•Rationalisation of customs tariff structure is yet another welcome move. The approach of aligning inverted duty structure and increase in BCD on interactive flat panel displays from 10% to 20%, will be an enabler for enhancing manufacturing in India. Reduction of duty in components for manufacturing Open Cell is also in the direction towards making a robust manufacturing base for LCD/ LED television panels in India.

•The announcement on BCD exemption for critical minerals like cobalt is a welcome move and will help India overcome disabilities that exist for manufacturing of lithium-ion batteries as compared to other countries. Additionally, exemption of duty on scrap of lithium-ion batteries will fuel the efficiency and capacity utilization of recycling units that are already in abundance in our country and help enable energy security through energy consumption in our country. It will also catalyse journey towards energy security through energy transition.

•Establishment of Bharat Trade Net is a good move as it will bring commerce, MSME and revenue ministries together and build inter-ministerial dialogues – a unified platform to streamline trade documentation, policy interventions, supply chain efficiencies and financing needs for businesses. This is the need of the hour, further easing and enhancing the international trade and exports.

•The industry awaits the National Manufacturing Mission under the Make in India initiative with a focus on cleantech to help diversify manufacturing across states.

•Enhanced investment and turnover limits for MSMEs aimed at empowering MSMEs will help scale up, innovate, and generate more employment opportunities for the Indian talent further bolstering the manufacturing economy.

•Additionally, establishing five National Centres of Excellence for Skilling reflects a full-circle approach to equipping our youth for ‘Make for India, Make for the World’ manufacturing. The continued push for innovation through 50,000 Atal Tinkering Labs is a commendable step in nurturing scientific temper and creativity among young minds.

These initiatives collectively reinforce India’s path toward self-reliance, competitiveness, and long-term economic growth. This budget is a strong step towards an Atmanirbhar Bharat, ensuring sustainable growth, innovation, and long-term economic resilience.”

Vivek Jalan, Partner Tax Connect Advisory Services LLP on the budget

The Union Budget 2025-26 is for three Ms -Manufacturing, Middle Class and MSMEs. Customs duty on capital goods and raw material imports have been rationalised to promote manufacturing, especially on lithium Ion batteries. MSMEs have also been a special focus in this budget. The Biggest big bang change of course is the exemption of Income Tax for middle class with income upto Rs 12 Lakhs. Further, as expected income tax TDS/ TCS provisions have been revamped and rationalised. There are 71 Sections which cover TDS/TCS having multiple thresholds and multiple rates. Industry had pitched in for complete revamp of TDS/TCS provisions and this budget has moved in the direction. For example, on same goods purchase there was a TDS u/s 194Q as well as TCS u/s 206C(1H). This created hardship and in this budget TCS has been scrapped to provide much needed relief.

Manvendra Shukul, Founder and CEO of Lakshya Digital

“The Union Budget 2025’s emphasis on skilling and artificial intelligence (AI) through the establishment of National Centres of Excellence and AI Centres of Excellence is a great move to cultivate globally competitive talent pool. It will significantly benefit tech-based emerging sectors like gaming.

The allocation of ₹91,000 Cr to Alternative Investment Funds (AIFs) for startups is a substantial commitment to encourage innovation. This funding could fuel setting-up of new game development studios and strengthen India’s gaming ecosystem.

Apart from this, the gaming industry continues to advocate for more targeted support to fully harness its potential as a significant contributor to the economy beginning with rationalized taxation.”

Bangalore, 01 February 2025: Toyota Kirloskar Motor (TKM) has registered a double-digit growth of 19% with sales of 29,371 units in the month of January 2025, as compared to 24,609 units sold in January 2024. Riding on its exceptional sales performance from 2024, the continued momentum underscores TKM’s sharp focus on customer centricity, enhancing customer access across the country and increasing emphasis on innovative value-added solutions.

The company sold 26,178 units in the domestic market and exported 3,193 units.

Commenting on the strong performance, Varinder Wadhwa, Vice President, Sales-Service-Used Car Business & Profit Enhancement said, “The New Year has started on a positive note with trends from last year continuing to set the course for us in 2025. I’m grateful to see the positive response from our customers to the balanced and robust product lineup including the newly launched All New Camry Hybrid which continues to enthral the market.

In 2025, our efforts are to further strengthen the company’s foothold in India. We will continue to optimize customer centricity through value added services and seamless after-sales support, all aimed at creating delightful experiences. Our product strategy will be driven by the deep philosophy of multiple pathway approach that strives to offer something to everyone depending on their mobility needs. Additionally, we will continue to strictly follow efficiency measures throughout our company operations as well as processes all aimed at scaling operations and meeting market needs more seamlessly.

We are thrilled with the overwhelming response to our participation at the recently concluded Bharat Mobility Global Expo 2025. In pursuit of achieving carbon neutrality through a multi-pathway approach, the Toyota pavilion demonstrated a holistic outlook under the banner of “Happier Path Together” a vision that aligns with the company’s global commitment to sustainable growth and societal wellbeing. In addition to the good response on products, the high point was the enthusiastic response to the advanced technology, which highlights the willingness of the market to pivot to sustainable mobility.”

Finance Minister Nirmala Sitharaman’s Budget 2025 has sparked a blend of optimism and caution in various industries, as it brings forward several key initiatives aimed at boosting growth while also highlighting some challenges that need attention.

For the real estate sector, the introduction of the ₹1 lakh crore Urban Challenge Fund is seen as a positive step toward transforming cities into growth hubs, potentially unlocking new opportunities for development. Additionally, the ₹1.5 lakh crore interest-free loan for infrastructure projects is expected to fuel urban expansion, benefitting both housing and commercial projects. However, Keventer Realty’s COO, Mr. B.P. Singh Roy, noted, “While these measures aim to boost demand, rising construction costs and regulatory hurdles still pose concerns for developers.”

In the healthcare sector, the budget introduces several measures aimed at making medical treatments more accessible. The decision to exempt 36 life-saving drugs and 37 essential medicines from Basic Customs Duty is being hailed as a breakthrough. Mr. Kanad Maitra, Director at AM Medical Centre, expressed his approval, stating, “This step will make critical treatments more affordable for patients, and the establishment of cancer day care centres will enhance healthcare infrastructure.”

The hospitality and restaurant sectors also saw some relief with the middle-class tax exemption, which could boost consumer spending. Mr. Gautam Purakayasthya, Owner of Tamarind Restaurant, said, “While the tax relief is a welcome move, the hospitality sector still hopes for infrastructure status and GST relief to unlock its full potential.”

The budget also lays out a clear roadmap for long-term growth, with significant investments in MSMEs, agriculture, and innovation. Mr. Ravi Todi, Managing Director at BTL EPC Ltd, shared, “This budget is designed to fuel business growth, create jobs, and strengthen India’s economic foundation.”

However, challenges like rising raw material costs, particularly in industries such as confectionery and interiors, were highlighted by Mr. Ankit Aditya, Vice Chairman of Aditya Group. He noted that strategic financial planning would be necessary to navigate these cost pressures, while also expressing hope for increased support in infrastructure and MSME incentives.

As businesses look toward the future, the success of this budget will depend on its swift and effective implementation, addressing both the opportunities and challenges it presents.

Pinkesh Kotecha, MD & Chairman, Ishan Technologies

“The Union Budget 2025-26 lays a strong foundation for India’s digital-first economy, with a clear emphasis on AI, deep tech, and digital public infrastructure. The introduction of the Deep Tech Fund of Funds is a significant move to accelerate next-generation startups in AI, blockchain, and advanced computing, fostering innovation and global competitiveness. Expanding broadband access under BharatNet to rural schools and health centers is a critical step in bridging the digital divide and enhancing last-mile connectivity.

The establishment of a ₹500 crore Centre of Excellence in AI for Education reinforces India’s commitment to AI-driven learning, ensuring a future-ready workforce. The National Framework for Global Capability Centers (GCCs) will further strengthen IT and outsourcing hubs in Tier-2 cities, driving infrastructure development and talent expansion. Additionally, with increased PPP support for digital infrastructure under the India Infrastructure Project Development Fund (IIPDF), private sector investments in broadband and connectivity are expected to gain momentum. Together, these initiatives position India as a leading player in the global digital economy, accelerating the adoption of AI, deep tech, and emerging technologies. However, areas like data centers required more focused policy support to establish India as a regional digital hub. Clarity in AI regulation and security frameworks is also essential to ensure responsible AI adoption while fostering continued innovation.”

Dr. Sangeeta Chhabra: Co-Founder & Executive Director- AceCloud

“The Union Budget 2025 builds upon the foundation laid in previous years, introducing initiatives and reforms that reinforce India’s growth trajectory. Technology remains a central pillar, with its impact spanning multiple sectors. A key highlight is the launch of the National Manufacturing Mission, a decisive step in advancing the ‘Make in India’ initiative. With a strong emphasis on clean technology and sustainability, coupled with enhanced credit support for SMEs and MSMEs, this initiative is poised to drive investment and innovation.

The budget’s substantial focus on AI, including a ₹500 crore allocation for a Centre of Excellence in AI-driven education, is a transformative step toward positioning India as a global leader in industrial clusters, sustainable urbanization, and long-term economic resilience. The exploration of a Deep Tech Fund of Funds, along with 10,000 fellowships under the PM Research Fellowship Scheme, underscores a progressive vision for fostering research and development in frontier technologies. These initiatives have the potential to propel advancements in AI, machine learning, and other emerging domains.

The proposal to create a national framework for Global Capability Centers (GCCs) in tier 2 cities is another forward-looking move. This initiative builds on India’s success in the GCC space, creating new employment opportunities, reducing urban congestion, and ensuring more balanced regional development.

In essence, this budget continues to unlock India’s immense potential, particularly in the realm of technology, setting the stage for sustained innovation and growth.”

Pankaj Bajaj, Founder & Director, Bajaj Foundation 

“The Union Budget 2025-26 makes notable strides in sustainability, particularly in e-waste management and clean tech manufacturing. The emphasis on recycling critical minerals and promoting circular economy practices is a step in the right direction. Additionally, greater digital access in schools creates opportunities to integrate sustainability education, fostering awareness about responsible e-waste disposal among the next generation. Such measures are essential for building a greener, more responsible future.”

Chandrashekhar Sripada, CEO, Clinical Professor, Indian School of Business 

“The announcement to establish five National Centers of Excellence for skilling is a major highlight of this Union Budget. This is a very welcome move and an important investment for the future of our youth. Execution will be critical. We have to do better than before. While we skill our youth for manufacturing, we must ensure that manufacturing creates enough jobs instead of relying entirely on robots and automation. This initiative sounds very comprehensive since it includes curriculum design, training of trainers, and certification. Appropriate forward linkages with jobs and employment will make this very effective.”

Bimal Khandelwal, CEO,  STT GDC India

Budget 2025-2026 is a great step towards a promising and bountiful future, which emphasizes on India’s commitment towards growth, innovation, and sustainability. The focus on manufacturing, clean tech, and skilling will strengthen our digital and infrastructure backbone, fueling private sector investments and job creation. Moreover, the establishment of Centers of Excellence for AI by the government and significant interest-free financing support for state infrastructure provide a strong basis for digital development.

As a digital infrastructure leader and a leading data center solutions, we welcome the emphasis on AI, deep tech, and climate-friendly development, which aligns with our vision of a smarter and a greener future. These reforms will empower enterprises and ease out business operations propelling India’s digital economy to new heights.”

Tarandeep Singh Sekhon, Chief Business Officer, KidZania India

“The Union Budget 2025 marks a transformative step forward for the education and edutainment sector, reinforcing the importance of experiential learning, skill development, and digital education. The government’s increased allocation for education, focus on vocational training, and push for interactive learning platforms align seamlessly with KidZania India’s mission to empower children through immersive role-playing experiences.
By fostering public-private partnerships, enhancing early childhood education, and promoting digital learning, this budget creates immense opportunities to make learning more engaging, inclusive, and future-ready.
We at KidZania are excited to expand our impact, integrate technology into our offerings, and continue to collaborate with schools to bring experiential learning into mainstream education. This forward-thinking approach validates the growing significance of edutainment in shaping the next generation and paves the way for a more dynamic and innovative learning ecosystem.”

Shekhar Singal, Managing Director, Eastman Auto & Power Ltd.

“The Union Budget 2025 significantly advances India’s renewable energy sector with the launch of the Clean Tech Mission, focusing on Solar PV, EVs, and Batteries, alongside the National Manufacturing Mission. The announcements underscore the government’s dedication to strengthening ‘Make in India’ and becoming Aatmanirbhar in generation as well as storage of clean energy. This approach aims to reduce import reliance and build a robust domestic industry.

From a Solar and Last Mile e-mobility category perspective, the budget with reduction in the BCD for cells and modules prioritizes scaling up of the domestic manufacturing capacities for key components for Solar. The addition of 35 capital goods related to Lithium batteries for EV reduces capital expenditure for setting up manufacturing plants thereby stimulating growth.

These strategic measures set India on a path to achieve its 500 GW renewable energy target by 2030, paving the way for energy independence and a cleaner more sustainable future.”

Venkatesh Gopalakrishnan, Director Group Promoter’s Office, MD – Shapoorji Pallonji Real Estate 

“The Union Budget 2025 introduces strategic measures to strengthen India’s housing and urban development sectors. The sustained support for Pradhan Mantri Awas Yojana, alongside the government maintaining its robust capital expenditure trajectory with an increased allocation of ₹11.21 lakh crore, demonstrates a comprehensive approach to infrastructure development. This consistent capex commitment, coupled with expanded infrastructure investments, creates a strong foundation for real estate growth. The Income Tax reforms, which include relief on incomes up to ₹12 lakhs for the middle class, put more disposable income in the hands of the middle class, enabling them to direct funds toward both housing investments and consumer spending. This increased liquidity naturally stimulates housing demand while generating broader economic activity. Furthermore, the budget’s focus on sustainable construction practices positions the sector for long-term growth by aligning with global environmental standards. These coordinated policy measures enhance market dynamics by expanding participation across income segments while fostering sustainable development practices.”

Masood Mallick, Managing Director & CEO, Re Sustainability Limited 

The removal of custom duty on waste and scrap from critical minerals, including Antimony, Beryllium, Cobalt, and Lithium-Ion batteries, aims to boost recycling and enhance use of circular minerals in manufacturing. A policy for recovery of critical minerals from tailings or by-products of mining can also emerge as a significant enabler for India’s transition to a more circular economy.

Funds have also been allocated to strengthen the domestic manufacturing of clean technologies like solar PV cells, EV batteries, and wind turbines, which will enhance the country’s renewable energy infrastructure.

The ₹1 lakh crore Urban Challenge Fund focuses on sustainable urban development, addressing water management, sanitation, and city redevelopment.

Finally, the commitment to developing 100 GW of nuclear energy by 2047 furthers India’s energy transition strategy, contributing to long-term sustainability.

These measures have the potential to significantly accelerate our sustainability and circular economy journey, towards our shared goal of a Viksit Bharat by 2047.

Dr. Azad Moopen, Founder & Chairman, Aster DM Healthcare

“The Union Budget 2025 strengthens India’s commitment to a more resilient and inclusive healthcare system, ensuring accessibility, affordability, and quality care for all.

The addition of 75,000 new medical seats will address the long-standing healthcare workforce shortage. This effort will help close access gaps in underserved areas, ensuring both the availability and quality of care are improved.
The establishment of 200 cancer daycare centres in district hospitals represents a proactive move towards decentralising cancer treatment, making care more accessible. These centres will not only enhance accessibility but also improve outcomes by enabling timely interventions while customs duty exemptions on cancer drugs and 36 life-saving medicines will make critical treatments more affordable.

Further, the decision to exempt 36 life-saving medicines from basic customs duties, along with reduced duties on six additional medicines, is a decisive action aimed at removing financial barriers to essential treatments. This initiative is particularly beneficial for patients suffering from chronic and rare diseases, reinforcing the government’s commitment to making healthcare more affordable for the most vulnerable.

The e-Shram healthcare insurance for gig workers and increased investment in medical research and genetic studies demonstrate a forward-thinking approach to public health. Additionally, easing visa norms for medical tourism under the ‘Heal in India’ initiative strengthens India’s position as a global healthcare destination, benefiting both patients and the economy.

These initiatives mark a significant step toward building a future-ready healthcare system that prioritizes both immediate needs and long-term advancements.”

Kapal Pansari, Managing Director, Rashi Peripherals Limited

‘’The Union Budget 2025 strengthens India’s commitment to domestic electronics manufacturing and aligns with the vision of ‘Make in India’ and ‘Digital India.’ The increase in the tax-free income threshold to ₹12 lakh under the new tax regime is a welcome step that will raise disposable incomes, driving higher demand for consumer electronics, IT peripherals, and gaming products—key focus areas for RP Tech. Additionally, the government’s support for the electronics industry and rationalization of customs duties on key components will enhance local manufacturing competitiveness, further strengthening India’s position as a global electronics hub.

The push to promote Global Capability Centers (GCCs) in Tier-2 cities will accelerate digital adoption and create new opportunities in emerging markets, supporting the broader goals of the ‘Digital India’ initiative. Policy measures encouraging domestic production of critical electronic components will contribute to a more self-reliant and resilient electronics supply chain. These initiatives collectively will drive the growth of the ICT sector, empower businesses, and ensure that cutting-edge technology reaches every household across the country. Overall this is a progressive budget targeted at inclusive growth.”

Vineet Nanda, Director Sales & Marketing, Krisumi Corporation

The Budget 2025-26 marks a pivotal moment for our economy—a decisive step towards revitalizing demand and strengthening the backbone of our nation, the middle class. The tax exemption on income up to Rs 12 lakh is a welcome relief that will not only stimulate spending but also bolster confidence across various sectors, with real estate poised to be a prime beneficiary.

The launch of SWAMIH Fund 2, with a dedicated corpus of Rs 15,000 crore to complete one lakh stalled housing projects, stands out as a landmark initiative. This measure will accelerate the completion of essential housing projects and restore buyer confidence, laying a strong foundation for a more robust residential market.

Furthermore, the provision allowing the ownership of two self-occupied properties without additional tax conditions is a forward-looking move that will encourage investment in second homes, enhancing the diversity and resilience of the housing sector.

The budget’s strong focus on urban development—evident in the establishment of a Rs 1 lakh crore fund for developing cities as Growth Hubs—signals a clear commitment to transforming our urban centers into engines of economic progress. This initiative is set to drive sustainable urban redevelopment, modernize infrastructure, and unlock new growth opportunities.

At Krisumi Corporation, we see the Budget 2025-26 as a powerful catalyst for change. It aligns with our vision of fostering a dynamic and resilient real estate market that supports sustainable growth. We are ready to embrace these transformative measures and contribute to building a more prosperous future for our nation.

Sahil Agarwal, CEO, Nimbus Group

The Union Budget 2025-26 presents a well-balanced approach, addressing critical sectors of the economy while ensuring sustainable growth. Infrastructure development remains a top priority, with the government introducing various schemes to strengthen both urban and rural infrastructure, enhance connectivity, and drive economic expansion.

A key highlight of the budget is the government’s continued commitment to reviving stalled real estate projects. The Special Window for Affordable and Mid-Income Housing (SWAMIH) scheme, which has already played a pivotal role in unlocking delayed housing projects, is set to receive a major boost. The government has proposed the creation of SWAMIH Fund 2, a blended finance facility with contributions from the government, banks, and private investors. With a ₹15,000 crore corpus, this initiative aims to accelerate the completion of an additional 1 lakh housing units, providing crucial relief to homebuyers and stimulating growth in the real estate sector.

Additionally, tax slab revisions leading to higher disposable income will likely boost housing demand, as increased savings will encourage more individuals to invest in homeownership. By prioritizing infrastructure growth, housing revival, and economic stimulus, the budget lays the groundwork for long-term financial stability and a stronger real estate market.

Pankaj Panjwani, CEO and Founder, KeenSemi

“The Union Budget 2025-26 marks a defining moment for India’s semiconductor ambitions. The expanded PLI scheme of ₹6,200 crores and dedicated R&D fund send a clear signal —India is not just assembling but aiming to lead in design and fabrication of complex systems and chips. However, success hinges on execution of these schemes and lowering barrier for industry to utilize these incentives and schemes.

At KeenSemi, we see this as an opportunity to bridge the gap between India’s Indigenous requirements and skills needed to achieve them. We are ready to contribute, collaborate and deepen our role in India’s semiconductor value chain.

Global competitiveness will require not just financial incentives but also infrastructure readiness, faster approvals, and a seamless supply chain. This budget sets the right intent—what follows next will determine India’s strong trajectory in the global semiconductor supremacy race.”

Debadatta Chand, Managing Director & CEO, Bank of Baroda

“The Budget has reiterated its commitment to fiscal prudence by moving along the FRBM path. From the point of banks, the focus on growth is positive, as this would mean steady growth in credit as the budget has provided the necessary push to MSMEs and industry. There is boost to the corporate bond market including municipal bonds which will have a big role to play in financing investment required in the coming years. The concessions on the income tax front will put more money in the hands of taxpayers and would boost consumption in the economy. The capital expenditure of Rs 11.2 lakh crore announced will encourage investment and also help backward linkages to sectors like steel, cement, machinery etc. Working on the PPP mode across ministries to implement various projects is very progressive and will boost infrastructure capacity in the country.

The budget has also taken a medium term view for the next five years to move faster to the goal of Viksit Bharat and focussed on four major sectors – Agriculture, MSMEs, Investment and Exports thus covering both the objectives of inclusive and accelerating growth to higher levels.”

Daljeet Sandhu, CEO of Daltin AI Portal

 “Setting up Centers of Excellence on AI for education has taken a big step toward preparation of students for skills needed in the future by industries such as agriculture, healthcare, and sustainable cities. With AI-integrated learning, students will gain hands-on experience with current industry needs, preparing them for international careers in these key areas and contributing to the creation of over 11 million jobs in India by 2035. Such projects would foster collaboration between academic institutions and industries to be implanting students with practical AI applications relevant to the industry. However, considering the increasing demand for AI professionals, expanding the number of centres beyond three could better support the growing need for expertise in these critical fields.”

Eswara Rao Nandam, CEO and Founder of Polymatech Electronics

“The Government of India’s commitment to empowering MSMEs and driving technological upgradation is a commendable step towards positioning India as a global manufacturing hub. The enhanced credit facilities and increased investment and turnover limits for MSMEs will provide significant support for businesses, helping them scale efficiently and foster innovation. These initiatives will undoubtedly boost India’s export potential and drive growth in sectors such as opto-semiconductors, 5G, and LED lighting solutions.”

Ravi Goel, CBO RapidShyp

The Union Budget 2025 is a significant step forward for India’s logistics sector, focusing on technology, infrastructure, and efficiency. The transformation of India Post into a next-generation logistics provider highlights the government’s commitment to modernizing last-mile delivery and strengthening the national supply chain. This initiative is going to enhance competition, foster innovation, and improve accessibility, particularly benefiting MSMEs and e-commerce businesses.

Besides, strategic investment in multimodal logistics parks, AI-driven supply chain management, and better infrastructure in terms of roads, warehousing, and connectivity will boost operational efficiency and reduce costs and sustain growth. At RapidShyp, we welcome these reforms and look forward to leveraging this evolving ecosystem to deliver faster, smarter, and more resilient logistics solutions.

Rohit Beri, CEO & CIO ArthAlpha

The Union Budget 2025/26 takes a measured approach to personal income tax, delivering a welcome boost to consumption and much-needed relief for individuals earning up to ₹2.5 million annually. While the tax cuts are meaningful—potentially exceeding 6.5%+ of total personal income tax collections—the expectation was for a more ambitious restructuring to drive broader economic impact.

On the fiscal front, the government has prioritized prudence over expansion, ensuring long-term stability but missing a near-term opportunity to accelerate growth through higher capital expenditure. A more aggressive capex push could have provided the momentum needed to stimulate investment and job creation.

In terms of compliance, marginal adjustments to TDS and TCS offer little more than a gesture. The real test will be in the upcoming tax code—whether it truly simplifies taxation or adds another layer of complexity remains to be seen.

Deepak Chand Thakur, CEO NPST

The Union Budget FY 2025-26 delivers a comprehensive framework to stimulate growth, enhance investment, and provide direct financial relief.

The key highlight—no tax obligation on income up to ₹12.75 lakh—marks a significant shift in personal taxation. By restructuring slabs and rates across the board, this measure is set to increase disposable income, fueling household consumption, savings, and investment.

A direct consequence of increased discretionary spending will be a rise in digital transactions, further accelerating UPI adoption. As UPI cements its role as the dominant digital payment rail, higher transaction volumes are expected to follow.

The revamped PM SVANidhi scheme introduces enhanced micro-loans from banks, UPI-linked credit cards with a ₹30,000 limit, and structured capacity-building initiatives. This policy shift positions UPI beyond a payment rail into a fully integrated digital credit ecosystem, bridging India’s credit gap. With an estimated 10 million street vendors gaining access to formal credit, the initiative strengthens financial inclusion while driving digital-first lending.

The introduction of the Grameen Credit Score Framework will significantly expand rural access to credit, while streamlined KYC processes and a revamped registry by 2025 will enhance financial participation.

The structural reforms establish a robust foundation for inclusive economic growth, ensuring that investment, digital finance, and consumer-driven expansion work in tandem.”

Vineet Nanda, Director Sales & Marketing, Krisumi Corporation

The Budget 2025-26 marks a pivotal moment for our economy—a decisive step towards revitalizing demand and strengthening the backbone of our nation, the middle class. The tax exemption on income up to Rs 12 lakh is a welcome relief that will not only stimulate spending but also bolster confidence across various sectors, with real estate poised to be a prime beneficiary.

The launch of SWAMIH Fund 2, with a dedicated corpus of Rs 15,000 crore to complete one lakh stalled housing projects, stands out as a landmark initiative. This measure will accelerate the completion of essential housing projects and restore buyer confidence, laying a strong foundation for a more robust residential market.

Furthermore, the provision allowing the ownership of two self-occupied properties without additional tax conditions is a forward-looking move that will encourage investment in second homes, enhancing the diversity and resilience of the housing sector.

The budget’s strong focus on urban development—evident in the establishment of a Rs 1 lakh crore fund for developing cities as Growth Hubs—signals a clear commitment to transforming our urban centers into engines of economic progress. This initiative is set to drive sustainable urban redevelopment, modernize infrastructure, and unlock new growth opportunities.

At Krisumi Corporation, we see the Budget 2025-26 as a powerful catalyst for change. It aligns with our vision of fostering a dynamic and resilient real estate market that supports sustainable growth. We are ready to embrace these transformative measures and contribute to building a more prosperous future for our nation.

Sahil Agarwal, CEO, Nimbus Group

The Union Budget 2025-26 presents a well-balanced approach, addressing critical sectors of the economy while ensuring sustainable growth. Infrastructure development remains a top priority, with the government introducing various schemes to strengthen both urban and rural infrastructure, enhance connectivity, and drive economic expansion.

A key highlight of the budget is the government’s continued commitment to reviving stalled real estate projects. The Special Window for Affordable and Mid-Income Housing (SWAMIH) scheme, which has already played a pivotal role in unlocking delayed housing projects, is set to receive a major boost. The government has proposed the creation of SWAMIH Fund 2, a blended finance facility with contributions from the government, banks, and private investors. With a ₹15,000 crore corpus, this initiative aims to accelerate the completion of an additional 1 lakh housing units, providing crucial relief to homebuyers and stimulating growth in the real estate sector.

Additionally, tax slab revisions leading to higher disposable income will likely boost housing demand, as increased savings will encourage more individuals to invest in homeownership. By prioritizing infrastructure growth, housing revival, and economic stimulus, the budget lays the groundwork for long-term financial stability and a stronger real estate market.

Raoul Kapoor, Co-CEO, Andromeda Sales and Distribution Pvt Ltd

We welcome the Union Budget 2025-26, which presents a strategic roadmap for accelerated economic growth while offering much-needed relief to the middle class. The Finance Minister has introduced progressive tax reforms that are set to increase disposable income, fostering both financial stability and consumer spending.

With the revised income tax slabs and reduced tax rates, a rough estimate suggests that taxpayers could save up to ₹10,000 per month, depending on their income bracket. This significant boost in savings will enable individuals to better manage existing loans and enhance their loan eligibility, making homeownership and other large investments more accessible.

The ripple effect of increased disposable income will be felt across the retail loan industry, as more individuals will have the financial confidence to take on new loans, whether for housing, automobiles, or personal financing needs. This policy move is expected to strengthen the banking and NBFC sector, further driving economic momentum.

Debopam Chaudhuri, Chief Economist, Piramal Group

“Debt markets should benefit from the budget’s fiscal management. Despite economic growth falling behind expectations in FY25, Fiscal Deficit of 4.8% was better than targeted 4.9%. Also, though Economic Survey expected growth to remain restricted at or under 6.8% in FY26, central government fiscal deficit has been forecasted to be 4.4%. Another 15-basis point reduction in the 10-year government security is expected after today’s announcements. No other major economy has been able to reduce fiscal deficit at this pace post COVID, bolstering India’s place as an upcoming economic power. The tax cut led additional income available to India’s vast middle class and aspiring population is expected to override the slow public capex in FY26 and provide the Indian economy with the necessary boost to come out of the current slowdown.”

Ankur Jalan, CEO, Golden Growth Fund (GGF)

As India aims to become $30 trillion economy by 2047, the country must embark upon a phase of rapid development in the next two decades.
To this end, the Union Budget by exempting income upto Rs 12 lakh, will boost consumption and enhance savings.
It will also increase investment across all asset classes, including AIFs and real estate, by having a multiplier effect on the economy by boosting incomes and encouraging further investment.
The induced savings will also help government create a larger fund for investment and other capital expenditure.

Garvit Tiwari, Director & Co-Founder, InfraMantra, Gurugram based property consulting firm

The exemption of tax on income up to Rs 12 lakh is not just a welcome move at this juncture considering falling consumption and rising inflation but a revolutionary move for India’s tax paying and consuming class.

The overall impact of this move will be seen in increased consumption, including discretionary and more importantly by increasing demand for homes which off late has been on a declining trend owing to rising prices.

In the last few years, real estate demand has been positively impacted by massive infrastructure development across Indian cities. The greater emphasis in this Budget on urban rejuvenation and infrastructure development will further give a boost to expanding housing supply and sales.

Dhruv Shringi, Co-Founder & CEO, Yatra Online Limited

“The Union Budget 2025 reflects a clear commitment and lays a strong foundation for boosting India’s tourism sector through targeted and impactful initiatives, and we commend the government’s efforts in this area, particularly in making it easier for tourists to visit important religious and cultural sites.

The government has done a great job of allocating more funds towards infrastructure development, and expanding the UDAN scheme to 120 new destinations, including greenfield airports in Bihar. This will significantly improve regional connectivity, unlocking the tourism potential of emerging Tier 2 and 3 cities and driving the next wave of air travel growth. Enhanced infrastructure, including hotel integration in the harmonized scheme and development of top destinations in partnership with states, will further enrich the travel experience.

We applaud the focus on medical tourism, simplified e-visas, and support for homestays, which will create new opportunities for travelers and entrepreneurs. At Yatra, we’re committed to supporting this growth by leveraging our network and technology to offer competitive fares, curated travel packages, and empowered local homestays. We look forward to collaborating with the government and stakeholders to realize the full potential of these initiatives and drive the continued growth of India’s tourism sector.”

Anirudh A. Damani, Managing Partner, Artha Venture Fund

This budget is nothing short of transformative—it covers a wide spectrum of critical areas, from tax simplification to deep-tech investments, infrastructure, and energy expansion. The increase in income tax exemption to ₹12.75 lakh is a bold, economy-igniting move that puts more money in the hands of salaried individuals, fueling consumption and economic momentum. The renewal of the ₹10,000 crore Fund of Funds and the focus on deep-tech funding will provide much-needed capital to early-stage ventures and India’s next wave of innovation. The increased allocation for nuclear and power sectors, alongside massive infrastructure CAPEX, signals that this budget isn’t just about the next year—it is about building a globally competitive India by 2047. This is the first full-fledged budget of the Modi government’s third term, and it has delivered on the needs of the economy, startups, and investors alike. The next big moment to watch will be the income tax bill set to be tabled next week, which could further revolutionize India’s tax system. Overall, this budget sets the foundation for sustained, long-term economic growth, and we at Artha Venture Fund are supremely excited about the future it promises.”

Ravi Kunwar, VP and CEO, HMD India and APAC

The Union Budget 2025-26 presents encouraging prospects for the technology and digital infrastructure sector. We applaud the Indian Government for reinforcing India’s vision for self-reliance and innovation-driven growth in electronics manufacturing. Reducing BCD to 5% on open cell components and including 28 additional capital goods for mobile battery fabrication will strengthen local manufacturing and further generate employment in the sector. The formation of the National Manufacturing Mission and investment in skilling initiatives will contribute to India’s global competitiveness and facilitate the commitment to climate-friendly development. These measures, coupled with tax reforms and incentives, create a strong foundation for sustainable growth in India’s electronics ecosystem.

Manoj Nair, Head of Applications, Fujitsu GDU and Head of Fujitsu India GDC

Today’s Union Budget 2025, themed around transformative growth and a ‘Viksit Bharat,’ offers compelling opportunities for the Indian IT sector. The significant investments in skilling and upskilling are particularly noteworthy. The establishment of five National Centers of Excellence, leveraging global partnerships to deliver cutting-edge curriculum and training, will directly address the burgeoning demand for skilled professionals in areas crucial for ‘Make in India’ and global competitiveness. The expansion of IITs and the new AI Center of Excellence for education will further bolster the talent pipeline, ensuring India possesses the expertise needed to lead in emerging technologies. Beyond education, the budget’s provisions for a Deep Tech Fund of Funds and the PM Research Fellowship scheme are game changers. These initiatives will provide crucial support for next-generation startups and research institutions, fostering a vibrant ecosystem of innovation and attracting top talent. The simplification of merger procedures and the national framework for Global Capability Centers in tier-2 cities will create a more agile and attractive business environment, encouraging both domestic and foreign investment. Finally, the streamlining of GST processes for Health and Wellness startups and improved access to funding are welcome additions, fostering growth in this vital sector. This strategic approach to infrastructure development and regulatory reform will not only accelerate the growth of the IT sector but also contribute significantly to the broader economic transformation of India, ensuring a more inclusive and prosperous future for all.

Aruna Gorur, Head of HR, Fujitsu India GDC

Today’s Union Budget, focused on a ‘rejuvenated and empowered Bharat,’ offers significant advantages to the Indian IT sector. The emphasis on skill development is particularly impactful. The establishment of five National Centers of Excellence, leveraging global partnerships and expertise, will directly address the skills gap, equipping our workforce with the capabilities needed for a robust and resilient future of the workplace. This focus on human capital development is not just about filling immediate needs; it’s about building a future-ready workforce capable of driving innovation and economic growth for decades to come. This is further enhanced by the expansion of IITs and the creation of an AI Center of Excellence for education, ensuring a steady pipeline of highly skilled professionals in cutting-edge technologies. The deep tech fund of funds will act as a powerful catalyst, nurturing next-generation startups and fostering innovation within the industry. Furthermore, the budget’s focus on simplifying merger procedures and providing substantial tax benefits for individuals will stimulate growth and improve employee financial well-being, boosting morale and attracting top talent. The national framework for promoting global capability centers in Tier-2 cities will also be crucial in driving decentralized growth and creating new opportunities. At Fujitsu India GDC, we see this budget as a strong endorsement of the IT sector’s potential and a significant step towards building a vibrant and future-ready workforce, contributing to the vision of a ‘Viksit Bharat’

Priyanka Sharma, Head of MONAKA Software R&D Unit, Fujitsu Research of India

Today’s Union Budget 2025, focused on a ‘Viksit Bharat,’ presents a powerful vision for India’s IT industry and its future workforce. I am particularly excited by the emphasis on skilling and upskilling initiatives. The establishment of five National Centers of Excellence, leveraging global partnerships, will directly address the growing demand for skilled professionals in areas crucial to building a tech-for-good India. The expansion of IITs and the new AI Center of Excellence for education will further strengthen this talent pipeline, ensuring India remains at the forefront of technological innovation. The budget’s commitment to a Deep Tech Fund of Funds and the PM Research Fellowship scheme is equally significant. These initiatives will provide critical support for next-generation startups and research institutions, fostering a vibrant ecosystem of innovation and attracting top talent. The focus on supporting first-time entrepreneurs, particularly women is commendable and will contribute to a more inclusive and equitable growth story. These investments in education, research, and entrepreneurship will not only benefit the IT sector but will drive India’s overall economic transformation, creating a more prosperous and inclusive future for all. This budget signals a clear commitment to building a skilled and empowered workforce, ready to seize the opportunities of the future.

Rajeev Singh, Managing Director, BenQ India and South Asia – Optimism in AI and Made-in-India

“We are encouraged by the government’s announcement of the National Manufacturing Mission, which represents a significant step towards enhancing the ‘Make in India’ initiative. This mission’s focus on supporting small, medium, and large industries, along with its emphasis on clean technology manufacturing, aligns perfectly with our commitment to sustainability and innovation.

Further, the decision to increase the basic customs duty on interactive flat panel displays is a crucial step in addressing the inverted duty structure. This move will foster local manufacturing and support the growing demand for advanced educational technologies, ultimately enhancing innovation in learning environments.

Moreover, the announcement of five National Centers of Excellence for Skilling as well as the setup of 50,000 adult tinkering labs in government schools presents a significant opportunity to integrate advanced technologies, such as interactive flat panel displays (IFP), into the educational framework. These centers will not only equip our youth with essential skills required for manufacturing under the ‘Make in India’ initiative but also leverage global expertise to design curricula that meet industry needs.

The establishment of a Centre of Excellence for AI in education with a ₹500 crore investment is another vital step towards preparing our youth for future challenges. By fostering skills in AI and related technologies, we can enhance employability and drive innovation across various sectors.

Thus, we believe that with the right policy support and a robust ecosystem for electronic components, India can establish itself as a global hub for advanced technologies. We look forward to collaborating with the government and industry stakeholders to capitalize on these opportunities and contribute to India’s digital transformation.”

CP Khandelwal, CEO, PR Innovation, Brand Custodian of Amazfit India

“The Budget 2025’s tech-forward policies signal India’s ambition to dominate the global electronics value chain. Eliminating BCD on open cell components for displays isn’t just a tariff tweak—it’s a strategic unlock. By making India a cost-competitive hub for advanced display manufacturing, we’re poised to cut reliance on imports for LCD/LED panels, which currently account for 80% of the $7 billion display market. This will catalyze local R&D in next-gen technologies like OLED and MicroLED, critical for smartphones, wearables, and smart TVs.

Equally transformative is the lithium-ion battery push. Adding 28 capital goods for mobile batteries will fast-track domestic cell manufacturing, addressing a critical gap where India imports 90% of its lithium-ion needs. For the wearables and smartphone ecosystem, this means shorter supply chains, faster innovation cycles, and sustainable cost efficiencies. India’s future will be driven by innovation, self-reliance, and a bold vision to lead the global tech revolution.”

Vikram Gulati, Country Head and Executive Vice President – Corporate Affairs and Governance, Toyota Kirloskar Motor

“Government’s commitment towards modernising infrastructure through sustained investments has boosted economic growth and helped lower logistic costs. The Production Linked Incentive (PLI) Schemes by the Government have facilitated investments in key sectors and cutting edge technologies. This has helped enhance efficiencies and gain economies of scale thereby contributing to improving Indian industry’s global competitiveness. These measures have been accompanied by continued focus on maintaining prudent fiscal discipline.

In the upcoming budget, we hope for sustained focus on infrastructure spending and enhancing the scope of PLIs. With regards to the automotive sector, India is now on the verge of achieving the target of E20 (20% ethanol blending) in the shortest timeframe, globally. This will substitute significant fossil fuel imports with indigenous Biofuel (Ethanol) sourced from our farmers and result in lower carbon emissions. Further, the sales of electrified technologies are also increasing rapidly. Moving ahead, we request the Government for appropriate merit-based policies that support and help in popularising full range of greener technologies and alternative fuels thereby helping in faster and greater adoption of multiple sustainable mobility solutions. Further, measures to encourage the scrappage of old vehicles through the budget will also boost demand for newer generation vehicles and eliminate the polluting ones.

We also urge the Government to prioritize measures aimed towards enhancing the skilling of youth, supporting MSMEs, promoting R&D and encouraging innovation as well as investing in strengthening the education system for realising the dream of a Viksit Bharat.”

Sandeep Lanjewar, Director, Palladium India 

“The Budget presented by Hon’ble Minister of Finance is clearly focused on accelerated economic growth in the next 3-4 years, while also highlighting sustainability, skill ecosystem and entrepreneurship. The big announcement about MSME investment and turnover limits to be increased is a positive move to include more enterprises in the ambit of MSMEs but will also increase the need for government to closely monitor and handhold nano enterprises in the country. The National Manufacturing Mission to support manufacturing of EV batteries, solar panels etc. is a significant step to boost domestic production in clean tech in India.

The government is clearly looking at increasing employability among youth by strengthening the roots by re-emphasizing the July 2024 announcement on setting up of five National centres of excellence for Skilling including centre for Artificial Intelligence. The budget also announced development for top 50 tourism sites which in turn will promote employment generation in industries related to hospitality, travel and other amenities. Looking at the increasing numbers of gig workers in the country, the budget has also looked into benefits and health insurance of such workers.

Promoting entrepreneurship further, the Hon’ble Minister announced a special scheme for first time women entrepreneurs belonging to SC and ST, in addition to enhancement of credit guarantee scheme cover.”

 Girish Aggarwal, Managing Director of APM Terminals Pipavav

“The Union Budget 2025-26 shows strong support for India’s ports, shipping, and logistics sectors. Extending customs duty exemptions on shipbuilding materials for 10 more years and offering tax benefits to inland vessels will boost local shipbuilding and promote inland water transport. The ₹25,000 crore Maritime Development Fund is a big step towards providing long-term financial support, fostering healthy competition, and encouraging sustainable growth in the maritime industry. This budget is a commendable step towards strengthening India’s position in global trade and logistics.

The government’s focus on boosting exports through measures like the Export Promotion Mission, simplification of customs procedures, and extended export timelines for handicrafts and leather sectors will significantly enhance India’s trade footprint. These steps, coupled with rationalized customs tariffs and reduced duties, will drive both export growth and domestic consumption. Transforming India Post into a large public logistics network with 1.5 lakh rural post offices will improve last-mile delivery and connect rural businesses to broader markets. Providing private companies access to PM Gati Shakti data will simplify project planning and strengthen public-private partnerships. This budget lays a strong, forward-looking foundation for growth in the maritime and logistics sectors.”

Gaurav Baheti, Founder & CEO, Procol

“The Union Budget 2025 demonstrates India’s commitment to becoming a global technology and manufacturing powerhouse. As a company rooted in AI and emerging technologies, we are particularly excited by the announcement of the Centre of Excellence for Artificial Intelligence in Education, with an investment of ₹500 crore. This initiative will undoubtedly fuel India’s AI capabilities, positioning it as a global leader in AI-driven education and creating an ecosystem ripe for talent development and research.

The Government’s focus on MSMEs is equally encouraging. With over 5.7 crore MSMEs playing a crucial role in India’s manufacturing and export sectors, the commitment to improving access to capital through enhanced credit guarantees and increased investment and turnover limits will create an environment where small businesses can scale with confidence and contribute to India’s growth as a manufacturing hub. By fostering technological upgradation and boosting efficiencies of scale, these measures will drive both job creation and economic growth, particularly in emerging sectors like clean tech. All of this is sure to create a fertile ground for AI and deep-tech startups.

This budget most certainly signals a forward-thinking approach that integrates AI, clean tech, and entrepreneurship, positioning India for a prosperous and sustainable future in the global marketplace.”

Jyoti Kapoor, Founder & Director, Manasthali Wellness

“On behalf of the medical health community, I would like to extend our deepest gratitude to the government for its visionary commitment to the healthcare sector. The recent announcement, with a focus on making healthcare more affordable and comprehensive, marks a pivotal moment in our journey towards accessible, high-quality care for all. The establishment of an AI Centre of Excellence for Healthcare will revolutionize patient care, enhancing both diagnosis and treatment through cutting-edge technology. This will also extend to mental health, where AI can help in early detection, personalized care plans, and more efficient management of mental health conditions.

The creation of 10,000 additional seats in medical colleges and hospitals is a crucial step in addressing the growing demand for healthcare professionals, including mental health specialists. This increase will help alleviate the shortage of trained professionals and ensure that mental health services are readily available to those in need. Furthermore, expanding broadband access for telemedicine consultations in rural and underserved villages will bridge the healthcare divide, including mental health support. Telemedicine has already proven to be an invaluable tool for providing mental health care in remote areas, and this expansion will ensure that no one is left behind in accessing the support they deserve. With these initiatives, we are not only advancing physical healthcare but also ensuring that mental health receives the attention, resources, and innovation it so urgently needs. This investment in the future of healthcare will help elevate mental health care to new heights, making it more accessible, effective, and integrated into the broader healthcare ecosystem.”

Riddhi Bhagat, Founder, Binge on Baked (BoB)

 “The Union Budget 2025 is a testament to the government’s recognition of the middle class as the backbone of India’s economy. This is a major positive for FMCG industry, which is mostly dominated by the earnings of the middle class. By reducing the tax burden and exempting income up to ₹12 lakh from taxation, the budget puts more money directly into the hands of consumers. This will undoubtedly boost household consumption, drive demand for essential and aspirational products, and encourage savings and investments. As an FMCG brand, we welcome these measures, which will fuel economic momentum and enhance the overall consumer sentiment in the market.”

Ravi Kunwar, VP and CEO, HMD India and APAC

The Union Budget 2025-26 presents encouraging prospects for the technology and digital infrastructure sector. We applaud the Indian Government for reinforcing India’s vision for self-reliance and innovation-driven growth in electronics manufacturing. Reducing BCD to 5% on open cell components and including 28 additional capital goods for mobile battery fabrication will strengthen local manufacturing and further generate employment in the sector. The formation of the National Manufacturing Mission and investment in skilling initiatives will contribute to India’s global competitiveness and facilitate the commitment to climate-friendly development. These measures, coupled with tax reforms and incentives, create a strong foundation for sustainable growth in India’s electronics ecosystem.

Manoj Nair, Head of Applications, Fujitsu GDU and Head of Fujitsu India GDC

Today’s Union Budget 2025, themed around transformative growth and a ‘Viksit Bharat,’ offers compelling opportunities for the Indian IT sector. The significant investments in skilling and upskilling are particularly noteworthy. The establishment of five National Centers of Excellence, leveraging global partnerships to deliver cutting-edge curriculum and training, will directly address the burgeoning demand for skilled professionals in areas crucial for ‘Make in India’ and global competitiveness. The expansion of IITs and the new AI Center of Excellence for education will further bolster the talent pipeline, ensuring India possesses the expertise needed to lead in emerging technologies. Beyond education, the budget’s provisions for a Deep Tech Fund of Funds and the PM Research Fellowship scheme are game changers. These initiatives will provide crucial support for next-generation startups and research institutions, fostering a vibrant ecosystem of innovation and attracting top talent. The simplification of merger procedures and the national framework for Global Capability Centers in tier-2 cities will create a more agile and attractive business environment, encouraging both domestic and foreign investment. Finally, the streamlining of GST processes for Health and Wellness startups and improved access to funding are welcome additions, fostering growth in this vital sector. This strategic approach to infrastructure development and regulatory reform will not only accelerate the growth of the IT sector but also contribute significantly to the broader economic transformation of India, ensuring a more inclusive and prosperous future for all.

 Aruna Gorur, Head of HR, Fujitsu India GDC

Today’s Union Budget, focused on a ‘rejuvenated and empowered Bharat,’ offers significant advantages to the Indian IT sector. The emphasis on skill development is particularly impactful. The establishment of five National Centers of Excellence, leveraging global partnerships and expertise, will directly address the skills gap, equipping our workforce with the capabilities needed for a robust and resilient future of the workplace. This focus on human capital development is not just about filling immediate needs; it’s about building a future-ready workforce capable of driving innovation and economic growth for decades to come. This is further enhanced by the expansion of IITs and the creation of an AI Center of Excellence for education, ensuring a steady pipeline of highly skilled professionals in cutting-edge technologies. The deep tech fund of funds will act as a powerful catalyst, nurturing next-generation startups and fostering innovation within the industry. Furthermore, the budget’s focus on simplifying merger procedures and providing substantial tax benefits for individuals will stimulate growth and improve employee financial well-being, boosting morale and attracting top talent. The national framework for promoting global capability centers in Tier-2 cities will also be crucial in driving decentralized growth and creating new opportunities. At Fujitsu India GDC, we see this budget as a strong endorsement of the IT sector’s potential and a significant step towards building a vibrant and future-ready workforce, contributing to the vision of a ‘Viksit Bharat’

Priyanka Sharma, Head of MONAKA Software R&D Unit, Fujitsu Research of India

Today’s Union Budget 2025, focused on a ‘Viksit Bharat,’ presents a powerful vision for India’s IT industry and its future workforce. I am particularly excited by the emphasis on skilling and upskilling initiatives. The establishment of five National Centers of Excellence, leveraging global partnerships, will directly address the growing demand for skilled professionals in areas crucial to building a tech-for-good India. The expansion of IITs and the new AI Center of Excellence for education will further strengthen this talent pipeline, ensuring India remains at the forefront of technological innovation. The budget’s commitment to a Deep Tech Fund of Funds and the PM Research Fellowship scheme is equally significant. These initiatives will provide critical support for next-generation startups and research institutions, fostering a vibrant ecosystem of innovation and attracting top talent. The focus on supporting first-time entrepreneurs, particularly women is commendable and will contribute to a more inclusive and equitable growth story. These investments in education, research, and entrepreneurship will not only benefit the IT sector but will drive India’s overall economic transformation, creating a more prosperous and inclusive future for all. This budget signals a clear commitment to building a skilled and empowered workforce, ready to seize the opportunities of the future.

Rajeev Singh, Managing Director, BenQ India and South Asia – Optimism in AI and Made-in-India

“We are encouraged by the government’s announcement of the National Manufacturing Mission, which represents a significant step towards enhancing the ‘Make in India’ initiative. This mission’s focus on supporting small, medium, and large industries, along with its emphasis on clean technology manufacturing, aligns perfectly with our commitment to sustainability and innovation.

Further, the decision to increase the basic customs duty on interactive flat panel displays is a crucial step in addressing the inverted duty structure. This move will foster local manufacturing and support the growing demand for advanced educational technologies, ultimately enhancing innovation in learning environments.

Moreover, the announcement of five National Centers of Excellence for Skilling as well as the setup of 50,000 adult tinkering labs in government schools presents a significant opportunity to integrate advanced technologies, such as interactive flat panel displays (IFP), into the educational framework. These centers will not only equip our youth with essential skills required for manufacturing under the ‘Make in India’ initiative but also leverage global expertise to design curricula that meet industry needs.

The establishment of a Centre of Excellence for AI in education with a ₹500 crore investment is another vital step towards preparing our youth for future challenges. By fostering skills in AI and related technologies, we can enhance employability and drive innovation across various sectors.

Thus, we believe that with the right policy support and a robust ecosystem for electronic components, India can establish itself as a global hub for advanced technologies. We look forward to collaborating with the government and industry stakeholders to capitalize on these opportunities and contribute to India’s digital transformation.”

CP Khandelwal, CEO, PR Innovation, Brand Custodian of Amazfit India

“The Budget 2025’s tech-forward policies signal India’s ambition to dominate the global electronics value chain. Eliminating BCD on open cell components for displays isn’t just a tariff tweak—it’s a strategic unlock. By making India a cost-competitive hub for advanced display manufacturing, we’re poised to cut reliance on imports for LCD/LED panels, which currently account for 80% of the $7 billion display market. This will catalyze local R&D in next-gen technologies like OLED and MicroLED, critical for smartphones, wearables, and smart TVs.

Equally transformative is the lithium-ion battery push. Adding 28 capital goods for mobile batteries will fast-track domestic cell manufacturing, addressing a critical gap where India imports 90% of its lithium-ion needs. For the wearables and smartphone ecosystem, this means shorter supply chains, faster innovation cycles, and sustainable cost efficiencies. India’s future will be driven by innovation, self-reliance, and a bold vision to lead the global tech revolution.”

Sri Charan Lakkaraju, Founder & CEO, Student Tribe

 “The budget announcements by the government are a huge step forward in building a more skilled and inclusive workforce, ready to compete on the global stage. The focus on expanding skilling opportunities and forming global partnerships is exactly what students need to stay ahead in an ever-changing world. With plans to enhance infrastructure at top institutions like IITs, introduce AI-driven learning, and expand Atal Tinkering Labs in government schools, we are equipping students not just for today’s jobs but for leadership roles of tomorrow.

Creation of five National Centres of Excellence for Skilling, across the globe would ensure that learners gain industry-aligned expertise, mostly in high growth sectors. Better technical and vocational training and implementation of the scheme for promoting ‘Bharatiya Bhasha Pustak’ means that learning became more inclusive, more accessible for everybody.

Recognition of gig workers with identity cards, healthcare under PM Jan Arogya Yojana, and financial inclusion through the revamped PM SVANidhi scheme are also important steps to secure their well-being and livelihoods. It not only acknowledges the contribution of the gig economy but also empowers students who take up freelancing and part-time opportunities.

We believe such initiatives at Student Tribe will usher in new horizons of opportunities, allowing the students to positively contribute to industries at the national and global level.”

Mohan Ramaswamy, Co-founder and CEO at Rubix Data Sciences

MSME

“The increase in investment and turnover limits for MSMEs is a game-changer for India’s manufacturing and export sectors. By allowing businesses to scale without losing MSME benefits, this move will drive expansion, enhance credit access, and boost job creation. It strengthens India’s position as a global manufacturing hub while ensuring MSMEs remain the backbone of economic growth”.

KYC

“The introduction of a revamped Central KYC Registry in 2025 is a great step towards enhancing both security and efficiency in India’s financial ecosystem. By implementing measures like masking KYC identifiers and using unique IP-based access, the government is ensuring that sensitive customer data remains secure from unauthorized access. This initiative will help businesses and financial institutions streamline their customer verification processes while safeguarding data integrity, aligning with RBI’s focus on building a more secure and resilient KYC framework. This is a critical move to foster greater trust and compliance across sectors”.

Ease of Doing Business

“India’s business environment has long been burdened by complex regulations and processes that have made it challenging for companies to thrive. However, Budget 2025 marks a pivotal step towards improving the ease of doing business. Simplifying customs procedures, reducing tariff rates, and streamlining the tax filing process will drastically reduce the time and costs businesses incur to navigate regulatory hurdles. The extension of the deadline for filing updated tax returns and the rationalization of the TDS and TCS systems offer greater clarity and reduce the compliance burden for companies of all sizes.

Moreover, the decriminalization of over 100 provisions through the Jan Vishwas 2.0 bill will help create a more supportive environment for businesses, eliminating unnecessary penalties and fostering a culture of innovation and risk-taking. The increased credit guarantee cover for MSMEs and the expanded loan limits under the PM Swanidhi scheme are key steps in improving access to finance for small and medium enterprises, which will help them scale and compete more effectively in both domestic and global markets.

By focusing on reducing regulatory complexity, improving access to capital, and promoting a more transparent business ecosystem, these measures are set to enhance the ease of doing business, empowering companies to grow, innovate, and contribute to India’s economic prosperity”.

Sachidanand Upadhyay, MD, Lord’s Mark Industries Limited

“The government’s focus on strengthening India’s healthcare infrastructure under the Viksit Bharat vision is commendable. The establishment of Day Care Cancer Centres across all district hospitals and 200 cancer centres in FY 2025-26 will significantly improve access to life-saving treatment for patients across the country. Additionally, the exemption and concessional duty on essential medicines and bulk drugs will make critical treatments more affordable, especially for those battling cancer, rare diseases, and chronic conditions. These measures will provide much-needed relief to patients and help build a more resilient healthcare ecosystem. We fully support these initiatives and remain committed to delivering high-quality, cost-effective healthcare solutions to ensure every Indian has access to life-saving treatments.”

Jaya Vaidhyanathan, CEO, BCT Digital

The budget takes a bold, strategic approach to economic growth, balancing fiscal incentives, credit expansion and sustainability to drive long-term resilience and global competitiveness. It boosts disposable income through reduced personal income tax and higher TDS limits for senior citizens and rent, stimulating consumption and economic momentum. Targeted credit expansion for farmers and MSMEs will inject vital liquidity, accelerating sectoral growth, while the transition to cashflow-based lending reinforces financial stability. The Bharat Trade Net and NABFID credit enhancements will sharpen India’s export competitiveness amid global headwinds. Moreover, a strong push for workforce participation, particularly for women, and a firm commitment to green initiatives will drive sustainable, inclusive development. I expect these measures to collectively lay the foundation for long-term economic resilience and nation-wide growth.

Sardar Taranjit Singh, Managing Director, JIS Group

The Union Budget’s allocation of ₹1.48 lakh crore towards education, skilling, and employment is a progressive step towards building a knowledge-driven economy. The emphasis on initiatives like the National Digital University, AI-driven Centres of Excellence, and the PM Internship Scheme aligns with the nation’s vision of cultivating innovation and global competitiveness. As an institution committed to holistic education, JIS Group welcomes this investment in digital learning, technical education, and teacher development, which will empower the youth with future-ready skills and strengthen India’s position as an education leader on the global stage.

Rajiv Gupta, Managing Director, Wave City

“The Union Budget 2025-26 will push the growth trajectory further as it focuses on increasing the income of the middle class by expanding the nil tax limit to Rs 12 lakh, stressing ease of doing business, building urban infrastructure and launching fresh funds for completion of stressed residential projects. There will be accelerated growth in the real estate segment with the Govt. setting up a ₹1 lakh crore Urban Challenge Fund to transform cities into growth hubs, support creative redevelopment, and enhance water and sanitation infrastructure, which in turn boost residential real estate and create more housing and investment demand. “

Bijal Sanghvi, Managing Director, Axis Solutions

 “Union Budget 2025 will drive and strengthen India’s manufacturing and energy transformation with a strong push for “Make in India”. Targeting 100 GW of nuclear energy by 2047 is a welcome move for a sustainable future. With a ₹20,000 crore outlay for small modular reactors in Nuclear Power, the budget accelerates clean energy adoption. Power sector reforms, export promotion, and policy incentives will strengthen industrial growth, ensuring Atma-Nirbharta, innovation, energy security and transition. Investing in people through skill development programme will build a future-ready workforce, positioning India as a global power- house in manufacturing, sustainability, and technological advancement.”

Ajitesh Korupolu, Founder & CEO, ASBL

‘From a personal finance perspective, the budget introduces a significant tax exemption for individuals owning two self-owned properties, easing the financial burden for those looking to expand their real estate holdings. Additionally, the tax relief aimed at the middle class is expected to reduce the overall tax burden, giving individuals more financial flexibility as they consider buying their first home. While these moves aren’t direct incentives for home loan interest, they still play a crucial role in making homeownership more accessible. Reforms in REITs are also anticipated to provide increased liquidity in the market, opening up new investment opportunities.

By focusing on infrastructure and easing the tax burden, the budget is laying the foundation for a more feasible path to homeownership, especially for those in the middle-income bracket looking to step into the real estate market.’

Kamal Bali, President & MD – Volvo Group in India

The Budget’s sustained focus on capex spend & more money in the hands of the middle income group, with tax relief, will provide a fillip to demand growth and employment, while also being fiscally responsible.

The budget is inclusive as every sector of society and economy (including manufacturing, msme’s, agri, startups, tourism, skilling, training in AI), have been thought of and provided some sort of support for growth or transformation.

FDI in insurance, EoDB with rationalization of import duties & other provisions, the nuclear energy mission for 100GW energy, India Post as logistics organization leveraging last mile connectivity, and personal income tax changes are some other highlights.

Sudarshan Lodha, Co-Founder & CEO, Strata SM REIT 

“The Union Budget 2025-26 takes meaningful steps toward strengthening India’s infrastructure landscape, particularly through the expansion of the Public-Private Partnership (PPP) model and the continuation of the Asset Monetisation Plan. The ₹1.5 lakh crore interest-free loan to states for capital expenditure is a welcome move, as it will encourage long-term investments in critical sectors. Also, the ₹10 lakh crore Asset Monetisation Plan provides a much-needed boost to unlock value from existing assets and reinvest in new projects.

The revision in IT slabs is also a positive step, as it will add more liquidity and encourage wider participation in investments, including structured real estate opportunities. The evolving regulatory and fiscal framework will be crucial in ensuring that private capital finds efficient avenues to participate in infrastructure development. A well-defined regulatory framework will be key, and I’m looking forward to seeing how these policies translate into real investment opportunities.”

Harshvardhan Tibrewala, MD, Vida Realty 

The Union Budget 2025-26 explicitly highlights its move for strengthen the real estate sector, infrastructure, and also encourages employment for workers. The incorporation of SWAMIH Fund 2 that allocated ₹15,000 crores, allows stalled housing projects successful. Urban sector reforms are in the spotlight due to a ₹1 lakh crore Urban Challenge Fund on sustainable development and city infrastructure.

Valuation of two self-occupied properties at Nil rather than one can help reduce financial burdens on the owners of such properties and makes homeownership look attractive and cheaper. Income tax relief measures can bring more money to the people’s pockets that would increase the purchasing power, hence increasing the demand in housing sectors. On the demand side, the personal income tax reforms—particularly the increase in the TDS exemption on rental income from ₹2.4 lakh to ₹6 lakh and the higher tax deduction limits for senior citizens—will enhance disposable income and strengthen consumer sentiment.

Expansion of PM SVANidhi and other financial support schemes will scale up employment across real estate and allied industries and strengthen economic resilience. The budget approach to upskilling and social security for the construction workforce, especially in the informal sector, is a welcome step.

It includes ₹1.5 lakh crore worth of interest-free capital expenditure loans to be provided to states, which will hugely benefit large-scale infrastructure projects, from developers to contractors and to the small daily-wage laborers.

Together, these initiatives create a very favorable environment for real estate growth, urban development, and job creation. This is an opportunity for Vida Realty to be part of the rapidly transforming skyline of India while ensuring infrastructure and housing remain accessible and affordable for all.

Badal Yagnik, Chief Executive Officer, Colliers India

“The Union Budget 2025-26 has continued to further the goal of ‘Viksit Bharat’ and ‘Sabka Vikas’ through transformative reforms across six key domains including urban & real estate development, power & mining sectors, financial services and taxation as well regulatory reforms. Balanced regional growth across tier I & II cities will be driven by engines such as agriculture, MSMEs, investments and exports. The National Manufacturing Mission, guidance framework for GCCs, start-up focused AIF, SWAMIH 2 fund and Urban Challenge Fund, all hold potential to significantly accelerate real estate growth across multiple real estate segments. The budget has continued to focus on improving the ease of doing business through innovation, technological upgradation and sharing of data between public & private sector establishments. The extension of the SWAMIH fund is a much-expected move as several real, estate projects continue to reel under stress due to funding constraints, delaying delivery of homes. Additionally, rationalization of taxes and enhancement of exemption limits can boost disposable income spurring consumption levels and real estate investments, particularly in residential real estate and alternate financial instruments such as REITs.”

Shrinivas Rao, FRICS, CEO, Vestian 

“The Union Budget 2025 focuses on employment generation, boosting domestic consumption, and enhancing connectivity by concentrating on the rapid development of physical infrastructure and increasing disposable income of citizens. This will have a positive impact on increasing demand for all real estate asset classes across the country. Furthermore, the budget has an allocation of INR 15,000 Cr under the SWAMIH Fund for addressing liquidity issues of delayed housing projects. This along with the digitization of land records is expected to strengthen homebuyers’ confidence.”

Mr. Rao further added, “Upgradation of infrastructure facilities for air cargo will multiply the demand for warehousing across the country. Focus on setting up GCCs in tier-2 cities will transform the real estate landscape in the emerging cities of India.

Piyush Bothra, Co-Founder and CFO, Square Yards

“The recent budget introduces much-needed relief, particularly with the zero-tax provision on annual incomes up to Rs 12 lakh—a move that enhances disposable income and is expected to support homebuyers. Additionally, the allocation of Rs 15,000 crore under the SWAMIH Fund for completing 1 lakh stalled housing units is a significant intervention, providing relief to buyers impacted by delayed projects and supporting supply-side stakeholders.

However, additional measures could have further strengthened the sector. Increasing home loan deduction limits would have improved financing accessibility, particularly for first-time homebuyers and end-users. This could have enhanced affordability, eased credit constraints, reduced tax liabilities, and contributed towards meeting the projected demand of 93 million housing units by 2036.”

Rahul Mody, Co-Head Investment Banking at Ambit

“The budget has a number of provisions to boost investments significantly across sectors. These include an increase in FDI in the Insurance sector to 100%, increased focus on manufacturing including in CleanTech, extension of the SWF/Pension Funds tax exemption for investments in the Infrastructure sector to 2030, and new initiatives for the Water, Nuclear Power and Urban Development sectors. There is also a signficant Asset Monetisation target set up to 2030. We expect the FDI to go up significantly over the next five years to USD 100-125 bn a year. These provisions also put the country firmly on course to achieving the stated Net Zero target by 2070.”

Vikram Gupta, Founder and Managing Partner, IvyCap Ventures 

Union Budget 2025 takes significant strides toward fostering India’s startup and investment ecosystem, particularly in deep tech, innovation, and entrepreneurship. The government’s announcement of a new ₹10,000 crore Fund of Funds, building on the previous commitment of ₹91,000 crore, will provide much-needed domestic capital, fueling startup growth and reducing dependency on foreign investments. The increased focus on women entrepreneurs under this scheme is a progressive move toward enhancing diversity in India’s startup landscape.

The decision to increase FDI in insurance from 74% to 100%—provided the premium is invested in India —could significantly boost the country’s investment environment. A portion of this capital could potentially flow into AIFs, unlocking further opportunities for startups. Additionally, the much-needed tax clarity on capital gains vs. business income for AIF Category I & II funds aligns Indian AIFs with FPIs, improving tax certainty and encouraging more investments. The removal of Section 206C(1H), which required tax collection at source on the sale of securities, is another positive step, addressing a long-standing industry concern.

Further, the move to prospectively eliminate Tax Deducted at Source on distributed securities returns is a game-changer, likely to encourage more Limited Partner (LP) investments in venture capital firms.

The Budget’s focus on talent and infrastructure development is equally commendable. The expansion of IITs founded after 2014 and increasing the number of seats to 6,500 will significantly contribute to India’s talent pipeline, nurturing the next generation of entrepreneurs and innovators. Strengthening premier institutions like IITs will create a more skilled workforce, directly benefiting India’s startup ecosystem. Additionally, the establishment of Centres of Excellence in AI and deep tech will further accelerate innovation in critical sectors.

The expansion of medical education—adding 10,000 seats in medical colleges and 75,000 more over the next five years—addresses India’s healthcare talent shortage. The announcement of 200 new cancer daycare centers will be instrumental in improving cancer care access, benefiting startups like ICanHeal and strengthening India’s healthcare sector.

For startups, the government’s extension of tax benefits to those incorporated until March 31, 2030, is a crucial step, though more clarity is needed on its implementation. The rationalization of income tax brackets will put more disposable income in the hands of consumers, leading to increased spending—a positive development for startups in the consumer sector and beyond.

In IFSC reforms, the extension of tax exemptions in GIFT City until March 31, 2030, along with the introduction of a simplified regime for fund managers, will encourage more fund management activity in India. The ability of retail funds and ETFs to relocate to GIFT IFSC in a tax-free manner enhances India’s attractiveness as a global financial hub.

Finally, the TCS rationalization for students studying abroad, while only applicable to loans up to ₹10 lakh, will still benefit many aspiring students and edtech platforms like GradRight. From a broader perspective, while the budget makes impactful changes to taxation and indirect taxes, understanding the areas where tax rates have increased will be essential for assessing the overall economic impact.

Overall, this budget brings several progressive measures to support startups, investors, and innovation-led industries. With a strong push toward deep tech, capital access, infrastructure, IIT expansion, and regulatory clarity, it paves the way for a robust and sustainable entrepreneurial ecosystem in India.

Anuj Puri, Chairman – ANAROCK Group

The Union Budget focused on economic expansion, infrastructure development, MSMEs, futuristic cities, and middle-class welfare and brings substantial relief for the middle class. It also aims to stimulate rural consumption – an essential step toward unlocking India’s economic potential.

From a real estate perspective, the budget delivers both direct and indirect benefits, acting as a catalyst for growth. However, a notable shortfall was the absence of major announcements for the affordable housing sector, leaving stakeholders disappointed.

Despite this, the budget overall remains strong and growth-oriented, with a clear focus on economic development and enhanced consumption. Key takeaways for the real estate sector include:

Key Announcements Impacting Real Estate

• Income Tax Relief for the Middle Class – The Finance Minister announced zero income tax for individuals earning up to INR 12 lakh annually, providing a major consumption boost. This move is also expected to strengthen demand for affordable housing. Additionally, the new income tax bill will retain nearly 50% of existing provisions while introducing personal tax reforms and rationalizing TDS and TCS regimes by streamlining rates and thresholds.
• Tax Benefits for Residential Property Investors – Investors can now claim Nil valuation for two self-occupied properties, instead of just one – a positive move for residential real estate investment. The simplified TDS on rent decreases the compliance burden and enhances liquidity for landlords and will positively impact the rental housing market, especially in metro cities. Previously, homeowners could claim only one self-occupied property as tax-free; now, they can claim two – thereby removing taxation on notional rental income from a second home. This step minimizes tax pressures, promotes homeownership, and facilitates real estate investment, especially in second homes and Tier 2 and 3 cities. Middle-class homebuyers, landlords, and investors can now benefit from reduced tax liabilities, better affordability, and less compliance hassles. By simplifying financial constraints and tax rules, the budget has made property ownership and rental housing more accessible. This gives a significant fillip to the real estate sector, specifically to and housing demand.
• INR 1 Lakh Crore Urban Challenge Fund for New-Age Cities – The establishment of this massive urban development fund will enhance infrastructure, unlock real estate potential, and transform cities into major growth hubs.
• SWAMIH Fund Allocation of INR 15,000 Crore – This initiative will facilitate the completion of over 1 lakh stalled residential units, providing much-needed relief to homebuyers, especially in the National Capital Region (NCR).
• Revamped UDAAN Scheme to Improve Connectivity – The restructured UDAAN scheme aims to connect 120 new destinations and serve over 4 crore passengers in the next decade. Greenfield airports in Bihar and other regions will be developed to support this expansion. This enhanced connectivity is expected to boost real estate demand in Tier-II and Tier-III cities.
• PM Gati Shakti Data Access for Private Sector & Tourism & Warehousing Infrastructure Boost – The government will open PM Gati Shakti data to private players, while 50 top tourist destinations will be developed in collaboration with state governments. Additionally, hotels will be included in the harmonized scheme for tourism infrastructure, leading to enhanced real estate opportunities in major tourist hubs. This will also benefit the warehousing sector across the country.
• Support for Global Capability Centres (GCCs) – A national guidance framework will be introduced to help states attract and promote GCCs, strengthening India’s position as a global business hub. Given India’s rising economic influence, this move is expected to fuel office space demand in major metros like Bengaluru, Mumbai, Hyderabad, Pune, and Chennai, as well as Tier-II and Tier-III cities.
• INR 1.5 Lakh Crore Fiscal Support for MSMEs – The allocation of INR 1.5 lakh crore to MSMEs is expected to spur capacity expansion, creating a ripple effect that will positively impact industrial real estate.

Nirav Choksi, CEO and Co-Founder of CredAble

“The Economic Survey has pegged India’s FY26 GDP growth between 6.3% and 6.8%. The route to higher productivity lies in creating a win-win economic fabric for all sectors, especially the MSMEs. We’re seeing a positive shift in India’s financial services ecosystem with bank credit to MSMEs surpassing enterprises with 13% growth. RBI’s ULI is bringing about sweeping changes in the MSME credit ecosystem. With its open architecture and plug-and-play model, ULI is improving the discoverability and deliverability of credit to underserved MSMEs.

FinTechs are also playing their part in democratising financial services by accelerating the deployment of technology-enabled financial inclusion and pay-as-you-use financing solutions. While FinTechs are redefining MSME lending with innovative underwriting approaches, products like ULI can extend their reach and cover more lending use cases and categories to remove structural barriers and improve access to working capital financing for MSMEs.”

Shrinivas Rao, FRICS, CEO Vestian

“The Economic Survey 2025 reaffirms the vision of Viksit Bharat 2047, recognizing that this goal cannot be achieved without the contribution of the real estate sector—the second-largest employment generator in the country. The survey highlights the sector’s strong performance in 2024, driven by economic stability and positive market sentiment. Vestian Research data reinforces this trend, with 2024 recording the highest-ever office absorption at 70.7 million sq. ft.

Vimal Nadar, Senior Director & Head, Research at Colliers India

“The economic survey has highlighted the robustness of the Indian economy driven by calibrated fiscal consolidation and stable private consumption. With upsides in the form of domestic investment & manufacturing output growth, the government expects FY26 GDP growth rate to be in the range of 6.3-6.8%. Real estate will continue to play a pivotal role and demand across asset classes is likely to expand into multiple Tier II & III cities and economic corridors as well. All-time high credit deployment with over INR 28 trillion outstanding housing loans as of October 2024, indicates healthy residential activity. Overall, the economic survey has outlined the need for continued infrastructure push, policy reforms and sector specific business enablers in the upcoming budget, which should help in sustaining the real estate growth momentum over the next few years.”

Sahil Agarwal, CEO, Nimbus Group

The Economic Survey underscores the crucial role of the real estate sector in economic growth and projects sustained demand for both housing and office spaces over the long term. Given its significant contribution to GDP and employment, real estate remains one of the key pillars of India’s economic expansion.

The sector has witnessed renewed confidence following the implementation of RERA (Real Estate Regulatory Authority), which has instilled greater transparency and accountability. As a result, both end-users and investors are now more willing to invest in projects developed by RERA-compliant builders, leading to a healthier and more robust market. Over time, we expect transparency and governance in the sector to improve even further, making it even more attractive for investment.

The Economic Survey rightly predicts that housing demand in India will reach 93 million units by 2036, a figure that underscores the enormous growth potential of the sector. Beyond just real estate, this surge in demand will also benefit auxiliary industries, such as construction materials, home décor, finance, and technology, creating a ripple effect across the economy.

However, to fully capitalize on this demand and drive further growth, we urge the government to grant long-pending industry status to the real estate sector. This will allow developers to access easier financing, lower borrowing costs, and incentives, ultimately enabling the sector to meet housing demand more effectively and contribute even more significantly to India’s economic progress.

Vivek Jalan, Partner Tax Connect Advisory Services LLP

The economic survey emphasizes on deregulation and simplification of business procedures as a compulsion rather than as an option in the current day geo-political environment. This can be done by reducing layers of operational conditions to policies to prevent abuse and making them incomprehensible and complicated. Therefore simplification of TDS/TCS in norms in Income Tax, MOOWR/IGCR Scheme in Customs and of course simplification of GST is what seems on the anvil in the budget going forward among other policy changes.

Due to geo-political conditions India’s export is expected to be tepid and India will have to press the levers on domestic consumption as well as manufacturing for growth. However, India’s manufacturing of raw materials, components, parts, etc is far from self-sufficient and hence its dependence on global supply chains create a road block. Much more push needs to be given to manufacturing raw materials, components, parts, etc. Green mobility should be the focus area.