Budget 2025 Expectations: A Glimpse into India’s Economic Future
As the anticipation builds for the upcoming Union Budget 2025, stakeholders across various sectors are eagerly awaiting the government’s policy decisions that will shape India’s economic landscape for the year ahead. With a focus on simplifying compliance, resolving disputes, and enhancing global competitiveness, the expectations are high for a budget that will set the stage for sustainable growth and development.
Customs Overhaul and Incentives for Exporters
One of the key areas of focus for Budget 2025 is the complete and integrated digital overhaul of Customs processes. Stakeholders are looking forward to a roadmap that will reduce manual errors and delays, streamline operations, and enhance efficiency. Additionally, the introduction of an Amnesty Scheme to address pending Customs disputes and rationalizing tariffs to boost domestic manufacturing under the ‘Make in India’ initiative are critical demands. Stakeholders are also hoping for a reduction in customs duties on renewable energy and EV components to support sustainability goals.
According to Ranjeet Mahtani, Partner at Dhruva Advisors, the clarity on regulations like MOOWR and the extension of RoDTEP incentives are essential to ensure a conducive environment for exporters and drive economic growth.
Transformative Opportunities in the Auto EV Sector
With the automotive sector standing at a transformative juncture, Budget 2025 is expected to provide significant funding for infrastructure supporting the EV ecosystem. Measures supporting upskilling of technicians, digital integration in automotive services, and incentives for startups investing in AI-driven solutions are crucial for the sector’s growth. Himanshu Arora, CEO and Co-Founder of GoMechanic, emphasizes the importance of government interventions in fostering innovation and job creation in the automotive industry.
Innovation in Fintech Lending and MSME Empowerment
The fintech lending space presents an exciting opportunity for innovation in Budget 2025. Policy measures that bolster digital infrastructure, ease access to credit, and encourage sustainable financial practices are anticipated. Jitin Bhasin, CEO and Founder of SaveIN, highlights the potential of embedded finance in driving responsible consumption and transforming the delivery of financial services.
Empowering Education and Bridging Digital Gaps
Budget 2025 is expected to focus on empowering education and bridging digital gaps to prepare India’s youth for emerging opportunities. Key areas of interest include reducing GST on education services, investing in rural internet infrastructure, and incentivizing skill-building platforms. Anthony Fernandes, Founder of Shaalaa.com, advocates for measures that enable youth to be job-ready and contribute to the economy.
Addressing Challenges in the GST System
As India aims to refine its indirect tax regulations, Budget 2025 presents an opportunity to simplify the GST system and reduce compliance costs for businesses. Kulraj Ashpnani, Partner at Dhruva Advisors, emphasizes the need for consolidating tax brackets, establishing a unified authority, and ensuring timely processing of refund claims to enhance the tax experience for businesses.
As Budget 2025 approaches, the expectations are high for a comprehensive reform agenda that will drive economic growth, innovation, and inclusivity across various sectors. With a focus on empowering education, fostering innovation, and addressing challenges in the tax system, the budget is poised to shape India’s economic future for the fiscal year 2025-26.