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Post-Budget 2025: Comments by Experts

Sanjeev Dasgupta, CEO, CapitaLand Investment (India)

“The Union Budget 2025 charts a decisive path for India’s next phase of economic growth, reinforcing its position as a global investment and business powerhouse. The introduction of a model Bilateral Investment Treaty (BIT) is a welcome step towards providing greater clarity and confidence to global investors. By fostering a more predictable and investor-friendly environment, India is sending a strong message that it is open to sustained long-term capital.

The government’s commitment to infrastructure development through a structured three-year PPP pipeline, backed by a ₹1.5 lakh crore interest-free loan outlay, is a bold and forward-looking move. This will not only accelerate urban transformation but also unlock new opportunities for private-sector collaboration in building future-ready cities.

The national guidance framework for Global Capability Centres (GCCs) is another step in the right direction. As India cements its position as a preferred destination for high-value global operations, this initiative will help states attract and scale GCCs by strengthening talent pipelines and infrastructure.

Equally significant is the establishment of five National Centres of Excellence for skilling. By integrating global expertise in training and certification, India is ensuring that its workforce is equipped for the industries of the future, reinforcing the ‘Make for India, Make for the World’ vision.

Furthermore, the budget’s focus on fostering artificial intelligence research through the establishment of a Centre of Excellence in AI for education, with a ₹500 crore outlay, demonstrates India’s commitment to becoming a leader in the digital economy. The provision of broadband connectivity to all government secondary schools under the BharatNet project is set to bridge the digital divide, fostering inclusive growth by empowering the youth in rural areas with access to quality education and digital resources.

Additionally, the development of the top 50 tourist destinations in partnership with states will catalyze employment-led growth, enhancing India’s appeal as a global tourism hub while generating significant economic opportunities for local communities.

The government’s increased focus on manufacturing, warehousing, clean tech, and nuclear energy will serve as pivotal drivers of growth and transformation, making India a formidable force in the global economy.

At CapitaLand Investment, we see these announcements as important steps to drive sustainable growth, innovation, and long-term value creation in India.”

Mr. Masood Mallick, Managing Director & CEO, Re Sustainability Limited (ReSL)

The budget outlines key initiatives to support sustainability and circularity in India.

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.

Mr. Amarendra Vummidi, Managing Partner, Vummidi Bangaru Jewellers 

“We welcome and commend the government’s efforts to reduce income tax for the middle-class households which would facilitate more savings and also increase their purchasing power. This step will make a positive impact on several industries. The reduction of the Basic Customs Duty on Platinum findings from 25 per cent to 6.4 per cent is a welcome step for the jewellery industry resulting in a drop in the overall cost of platinum while attracting more customers. This inclusive budget with special focus on investing in people by setting up National Centres of Excellence for skilling with global expertise and partnership will strengthen many industries including gems and jewellery industry. This initiative of the government is anticipated to strengthen the industry by fostering a skilled workforce equipped with global competencies.”

Mr Utsav Verma, Head of Research – Institutional Equities, Choice International Limited.Budgets are always a tight rope walk for the government and this government has commendably balanced fiscal prudence (fiscal deficit target reduced sharply to 4.4% of GDP compared to 4.8% last year), provided consumption boost (income tax relief with no income tax up to income of 12L under new regime), fine-tuned public capex (revised to INR10.18T from INR11.1T due to spending delays) and leaned on private capex to pick up. No negative surprises or imaginative ways to fund deficit is a big plus.

We expect budget to be positive for consumption oriented sectors such as private sector banks, FMCG and consumer discretionaries such as autos, hotels, food, textiles, leather goods and retail. RBI had already taken liquidity measure last month and now the path seems set for interest rate cut which should further be positive for the outlined sectors. Capex plays such as infra, defense and railways haven’t been ignored given the current capex allocation will be difficult to spend this fiscal. .

Choice Institutional Equities believes that right stock selection across market caps remains very important given global geopolitics, strong dollar index and higher US bond yields and its impact on FII flows along with pockets of over valuation across sectors.

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

“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.”

Praveena Rai, MD & CEO, MCX

The Union Budget 2025 reflects the Government’s vision for moving towards a stronger and more resilient economy. The focus on tax rationalization and people skilling will spur consumption and economic growth. We appreciate the Government’s commitment to enhance productivity in agriculture, support MSMEs, boost manufacturing and secure energy supplies. Specifically, the announcement made on removal of Basic Customs Duty on waste and scrap of metal commodities like Copper, Lead, Zinc and others has the potential to boost the circular economy, enhance raw material supplies and support domestic manufacturing.”

Vamsi Krishna UV, CEO, StoxBox

Given the current market conditions and the government’s strong push for economic growth, the Union Budget 2025 brings a renewed sense of optimism for the stock market. The focus on infrastructure, innovation, and fiscal prudence will not only drive domestic consumption but also attract significant foreign investment. As we enter an era of digitisation and sustainable growth, this budget positions the Indian capital market as an increasingly lucrative space for both investors and businesses alike.”

Yuvraj Thakker, Managing Director, StoxBox

“Union Budget 2025 brings significant relief to the middle class, with the bold move of exempting incomes up to ₹12 lakh from income tax. This will have a positive impact on the retail investor segment, boosting household savings and investments. With the government focusing on infrastructure development and expanding FDI in the insurance sector, we can expect a strong push for growth in financial markets and a more investor-friendly environment. As a stock broking platform, we are excited about the potential of this budget to foster a more robust investment culture in India.”

Ramadass Selvaraj, Chief Operating Officer, Pathfinder Global

Ramadass Selvaraj, Chief Operating Officer at Pathfinder Global said, The Union Budget 2025 brings growth opportunities to the retail sector. The exemption of annual income up to Rs 12 lakh from income tax, along with the rejigged tax slabs, will significantly boost disposable income for consumers. This is set to increase consumer spending, especially in retail and e-commerce. We at Pathfinder are excited by the potential of these measures, as they lay the foundation for an even more vibrant, digitally-driven retail landscape. The future of Indian retail is brighter than ever!

Navneet Munot, MD & CEO, HDFC Asset Management Co. Ltd.

Budget walked the talk on fiscal consolidation without losing sight of the much-needed consumption boost needed to stimulate economic growth. Government has been doing heavy lifting on public capex. Now, spurring consumption by putting more money in the hands of taxpayers is a step in the right direction. Government’s intention of investing in economy, people and innovation was the need of the hour to harness India’s demographic edge. Set-up of Fund of Fund aimed at start-ups, along with a focus on MSMEs fosters entrepreneurship and could transform India from a nation of job-seekers to job-creators. Simplification of tax structure and ease of compliance should aid in investor confidence and stimulate both, domestic and foreign investments. While short-term volatility could be par for the course due to the current global economic backdrop, the long-term direction rooted in policy prudence and support for growth should bolster Destination India’s credentials for foreign and domestic investors alike.

Harpreet Oberoi, Partner at Jotwani Associates

“Multiple tax reform measures within the Union Budget 2025-26 seek to both increase economic growth and ease business operations throughout India. Under the new tax system, all people earning less than ₹12 lakh per year will not need to pay income tax. The tax exemption policy for middle-class citizens will generate increased financial reserves to boost economic activity in all sectors.

Welcoming the new TDS and TCS relaxation policies will help businesses, together with individuals, reduce their tax compliance responsibilities. Simplification of tax compliance takes place when TDS rates get rationalized and thresholds are adjusted together with interest deduction limits for senior citizens and rental income TDS exemption limits are increased. This creates an efficient, business-friendly tax structure.

Taxpayers will experience simpler financial operations because the government has eliminated TCS on education loan remittances and optimized international transactions tax rules.The government should formally eliminate specific tax provisions from criminal penalties while simultaneously making tax legislation more straightforward. The reforms eliminate unnecessary penalties and legal hurdles that develop and improve relationships between taxpayers and the government based on transparency and trust. Startups alongside MSMEs will reduce their regulatory exposure through minimized litigation risks, thus they can pursue expansion opportunities without anxiety about uneconomical monitoring.

The Indian budget aims to achieve long-term economic targets through its main objectives, which combine investment promotion and financial system enhancement for sustainable development. The government, through these tax reforms, demonstrates its dedication to simplifying business processes and increasing consumption while developing a growth-oriented economic infrastructure.Jotwani Associates considers these developments to be modern enhancements that yield benefits to people and enterprises and investors while accelerating India’s economic progress”.

Jasdeep Singh, Group CEO, CARE Hospitals

“The Union Budget 2025-26 marks a transformative step forward for India’s healthcare sector. The establishment of daycare cancer centres in all district hospitals, with 200 centres operational this year, will significantly enhance cancer care accessibility. This aligns with the mission to provide equitable healthcare solutions to all sections of society. Additionally, the expansion of medical education by adding 10,000 seats this year and 75,000 seats over the next five years addresses the critical shortage of healthcare professionals, strengthening infrastructure and meeting growing healthcare needs.

The introduction of health insurance for 1 crore gig workers and concessions on critical medicines underscores the government’s focus on safeguarding vulnerable groups and reducing financial burdens on patients. Notably, the exemption of 36 life-saving drugs for cancer, rare diseases, and chronic severe ailments from basic customs duties, along with concessional duties on 6 additional life-saving medicines and bulk drugs, will make treatment more affordable and accessible. Furthermore, the expansion of patient assistance programs, exempt from basic customs duties, will provide much-needed support to those battling severe illnesses.

Key initiatives include broadband connectivity to all Primary Health Centres (PHCs) in rural areas, enabling telemedicine and remote healthcare delivery. The promotion of Medical Tourism and Heal in India, in partnership with the private sector, aims to position India as a global healthcare hub. The extension of the potable tap water mission to 2028, with 100% coverage and an increased budget, ensures access to clean drinking water, a vital determinant of public health. Nutritional support through Saksham Anganwadi aims to combat malnutrition among women and children, fostering a healthier future generation.

Furthermore, raising the FDI limit in the insurance sector from 75% to 100% for companies investing premiums in India will boost investment and innovation, driving growth in the sector.

These initiatives reflect a strong commitment to building a healthier, more resilient India, with a positive impact on the nation’s healthcare landscape.”

Sunil Gupta, Co-founder, CEO & MD, Yotta Data Services

“The Union Budget 2024 reinforces India’s ambition to emerge as a global technology powerhouse by driving AI, deep tech, and cutting-edge research. The ₹500 crore investment outlay for a Centre of Excellence for AI in education is a big step towards making AI-led learning mainstream. This will not only help in upskilling the AI talent pool in India and preparing the youth for the jobs of the future but also democratize access to high-quality education by enabling AI-driven solutions such as real-time language translation and personalized learning pathways. This is especially critical in a country where millions of students receive their education in their native languages and aspire to careers in sectors that primarily operate in these languages.

Additionally, measures like the Deeptech Fund of Funds and the 10,000 fellowships for tech research at IITs and IIScs under the PM Research Fellowship Scheme will help bridge the gap between education and employability while creating a robust pipeline for homegrown AI-led technological breakthroughs. By integrating AI into education at scale, India is not only addressing existing challenges in the education system but also equipping students with the digital and analytical skills necessary for the modern economy.

Just as the IT boom positioned India as a global tech hub, this budget lays the foundation for long-term AI leadership by prioritizing talent development. By fostering AI-driven learning, removing financial and linguistic barriers, and enabling large-scale skill-building, India is not just preparing for the future but actively shaping it—taking a decisive step toward global digital leadership.”

Saransh Chaudhary, President, Global Critical Care, Venus Remedies Ltd and CEO, Venus Medicine Research Centre

“The Union Budget 2025 has brought several positive developments for the pharma industry, including full exemption from basic customs duty on 36 lifesaving drugs and concessional duty of 5% on 6 more. The government’s decision to fully exempt specified drugs under Patient Assistance Programmes (PAPs) and add 37 new medicines along with 13 additional PAPs will significantly improve access to critical medicines and reduce treatment costs for patients in need.

The announcement to set up Day Care Cancer Centres in all district hospitals over the next three years—starting with 200 in 2025-26—is a commendable step in strengthening cancer care infrastructure. This initiative will provide patients with first-hand assistance from healthcare professionals while easing the burden on tertiary hospitals and ensuring timely treatment closer to home.

While these are welcome steps, we had hoped for a stronger push towards pharmaceutical R&D. Increasing allocation beyond the current 1% of GDP, raising the weighted tax deduction for R&D expenditure from 100% to 200%, and swiftly rolling out the Research Linked Incentive scheme remain critical to fostering drug innovation. We urge the government to consider these priorities to further bolster research in India’s pharma industry and healthcare ecosystem.”

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. Further, budget continues to build on the skills advantage India enjoys, with several focal points. The establishment of the five National Centres of Excellence and the focus on increasing the student pool at five IITs is focussed on top of the line skills availability in the medium term, while the Atal Tinkering Labs initiative in Government schools across the country is focussed on skills availability in the longer term.

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.

A key development that will spur employment in the smaller companies especially in todays’ hybrid world of work is the inclusion of gig workers in social security schemes and healthcare coverage under the PM-Jan Aarogya Yojana.

Devndra Chawla – CEO & MD – GreenCell Mobility

GreenCell Mobility applauds the Government of India for its steadfast commitment to advancing the EV sector and fostering a sustainable future. The set up of National Manufacturing Mission and exemption on capital goods will accelerate domestic clean tech manufacturing, enhance EV battery production, and strengthen India’s renewable energy ecosystem. A robust EV infrastructure is crucial for industry growth and seamless integration of electric mass mobility. Additionally, the government’s focus on connectivity and tourism infrastructure, along with income tax relief, will boost economic activity by increasing disposable income for the middle class. These initiatives will encourage more people to explore new destinations while choosing sustainable and eco-friendly transportation options like our NueGo service. At GreenCell Mobility, we remain committed to supporting India’s sustainable development goals by driving the future of electric mass mobility and contributing to a greener, more connected nation.

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