Following the Budget 2024, Indian tech companies and leaders hailed it as a landmark moment and praised the new measures that were announced. Here’s what tech leaders said on the Union Budget 2024.
Big push for tech innovation
Puneet Chandok, president, Microsoft India & South Asia, while talking about the Budget 2024, emphasised on the priorities across employment, skilling, innovation, research & development, productivity & resilience. “The Union Budget’s emphasis on technological innovation and digitisation sets India on the fast track to becoming an ‘AI-first nation,’ opening new opportunities for collective and inclusive progress from commerce to communities. Leveraging a digitised economy and an AI-ready workforce aligns well with the budget’s priorities towards employment & skilling, innovation, research & development, and productivity & resilience in agriculture,” said Chandok.
According to Chandok, with its diffusion rate surpassing that of any previous technology, India leads in AI skill penetration and talent concentration rates. “This progress is remarkable, with human capital, businesses, and public sector organisations rapidly adopting new technologies,” he said. Chandok went on to underscore Microsoft’s commitment towards skilling, training, and development initiatives.
A step in the right direction
Arundhati Bhattacharya, chairperson & CEO of Salesforce India, said that the Budget 2024-25 has been a balanced one with a distinct focus on women, youth, and job creation, emphasising the sustained efforts to generate opportunities for all. “As the honourable Finance Minister mentioned, India’s economic growth continues to be the shining exception despite global uncertainties and will remain so in years ahead. Initiatives towards skilling, boosting the participation of women in the workforce, driving the use of technology in agriculture and supporting SMEs that are the greatest employment generators are particularly notable. These measures provide the much-needed fuel to drive India’s economic growth,” said Bhattacharya.
The Salesforce executive asserted that the budget is a step in the right direction, especially driving job creation which is the need of the hour. “India has proven itself as a global hub for technology talent and emerged as a preferred destination for global capacity centres (GCCs). Taking steps to smoothen the path and also ensure ease of doing business will drive innovation from India,” she added.
Realising the vision of development
Siddartha Tipnis, partner & technology sector leader, Deloitte India, believes that India’s growth narrative of ‘Amrit Kaal’ and realising the vision of a developed nation by 2047 is centred on India’s demographic dividend. “As such this year’s budget announcement of investment in the nation’s human capital through Rs two trillion is of significant importance. The technology sector is particularly expected to benefit through the infusion of fresh talent via programmes such as skilling loans, educational loans, internships and participation of women in the workforce,” said Tipnis.
He added that it was heartening to see policy continuity to the government’s continued focus on digital public infrastructure. Sustenance of fiscal support for current and upcoming DPI programmes around agriculture, credit, e-commerce, education, health amongst many others is expected to continue.
More impetus for startup ecosystem
Varun Gupta, co-founder of BOULT, calls it a big win for the Indian startup ecosystem and he is confident that this will bring more investment, drive innovation, and boost growth. He also hailed the removal of the angel tax terming it beneficial for early-stage startups and shows the government’s support for startup funding. The focus on creating jobs, developing skills, supporting MSMEs, and boosting manufacturing is setting the stage for a better India.
“The new Credit Guarantee Scheme for MSMEs, along with the push for skill development and easier FDI regulations, is a solid approach to promoting growth and making us more competitive globally. Plus, the government’s focus on upskilling the youth and embracing advanced manufacturing and digital tech is giving us a competitive edge,” said Gupta.
The key to India’s success
There was a stronger emphasis on inclusive growth in Budget 2024. Sitharaman highlighted steps towards growth in areas like manufacturing, upskilling, and women empowerment. The announcement of internship opportunities to 1 crore youth in top 500 companies has also been welcomed by many from the tech sector.
Talking about the Budget, Amit Khatri, co-founder of Noise, said that youth and participation of women in the workforce hold the key to India’s success. “To this end, the focus on extensive training and skill development initiatives demonstrates a clear commitment to boosting employability and productivity. By linking job creation in manufacturing to first-time workers and offering EPFO incentives, the government is paving the way for a robust manufacturing ecosystem, creating 4 crore jobs over the next five years. It is certainly a commendable initiative to boost local manufacturing,” said Khatri.
Move to foster a future-ready workforce
Ashish Saraf, VP and country director, Thales, in India, while talking about Budget 2024 said that the government’s emphasis on skilling, research, and innovation complemented the Viksit Bharat 2047 vision.
“The Budget’s commitment to skilling 20 lakh youth over the next five years through centrally sponsored schemes and the provision of skilling loans will pave the way for cultivating a strong and future-ready workforce. These measures will create pathways for youth to gain essential skills, enhancing employability,” said Saraf, adding that the proposed steps are committed to supporting India in nurturing a highly skilled workforce and deep-tech innovations by leveraging local and global expertise.
Fintech, e-commerce, agri tech players
IT leaders are largely of the opinion that the Budget 2024 has been progressive in accelerating progress in India. Fintech sector too is anticipating growth. “The Union Budget demonstrates a forward-thinking approach that will significantly boost India’s digital economy. The focus on simplifying FDI rules and promoting using the Rupee for overseas investments is a strategic move that will attract more international capital, fostering innovation and growth in the fintech sector,” said Rayan Malhotra, founder and CEO of NeoFinity.
Malhotra feels that the budget will lead to the development of new technologies and services, thereby enhancing the digital economy. “The most significant relief comes from abolishing the angel tax, which paves the way for increased entrepreneurial activity and innovation. This measure alone is a beacon of hope for startups, promising a brighter future for entrepreneurship in India,” he said.
The budget which has announced Rs 1.48 lakh crore for education, jobs, and skill development sectors is also finding resonance across industries. Many feel that this allocation is a reflection of the government’s strong commitment to fostering growth and development in these crucial areas. “Looking ahead, we hope for increased funding for initiatives that directly benefit students and the broader community. Key priorities include enhancing digital infrastructure to prepare students for the digital era, fostering vocational training and skill development programs, and investing in teacher professional development,” said Piyush Goel, CEO of Beyond Key.
Goel feels forging robust partnerships with local industries will be crucial as such collaborations can bridge the gap between education and employment, ensuring that students are well-prepared for the job market.
On Tuesday, the finance minister also announced an allocation of Rs 1.52 lakh for agriculture and allied sectors. This is also seen as an encouragement for those in the agri-tech sector. “The emphasis on increasing MSP for all major crops and prioritizing productivity and resilience in agriculture is a significant step towards securing farmers’ livelihoods. The introduction of 109 climate-resilient crop varieties and the mission for self-sufficiency in pulses and oilseeds will greatly benefit farmers,” said Vidur Varma, CEO of Agri Wings.
Tech leaders have unanimously agreed that the Budget 2024 is a progressive step towards the development of India. (Image: Pixabay)
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