Read some of the industry reactions to Union Budget 2025
Union Finance Minister Nirmala Sitharaman presented the budget for 2024-25 for the eighth time in a row. Industry leaders have reacted to the budget.
Lucas Ramos, Senior Director, Travel & Membership – Asia, Pacific & India, RCI
Punit Pandey, Founder, AstroSage AI
The government's commitment to deeptech and startups is a transformative step toward making India a global hub for innovation. By fostering AI-driven enterprises and ensuring access to capital, we are creating an ecosystem where cutting-edge technology can thrive and shape the future. By investing in deeptech and startups, the government is fueling India’s transition from a tech consumer to a tech creator. This is a defining moment for AI-driven innovation. The Union Budget 2025 marks a defining moment for AI and deeptech in India. With the Centre of Excellence for AI, we are paving the way for a smarter, AI-driven future in education and innovation.The Union Budget 2025 marks a transformative era for AI and deeptech startups in India. With dedicated funding, tax incentives, and reduced import duties on AI hardware, the government has laid a strong foundation for innovation-driven growth. These initiatives will enable startups to scale faster, invest in cutting-edge R&D, and contribute to India's vision of becoming a global AI powerhouse. As a deeptech entrepreneur, I see this as a decisive step towards making India not just a consumer of AI but a creator of groundbreaking AI technologies.
Churchil Bhatt, Executive Vice President, Investments – Kotak Life Insurance, on the Budget for FY26
Union Budget for FY26 has managed to deliver the goods on multiple counts. Fiscal Consolidation remains on track with the FY26 budget deficit pegged at 4.4% against 4.8% for FY25. Net government borrowing remains in line with bond market expectations at ~11.5 Lac Crs. The government remains committed to fiscal consolidation with the intention to bring down the central government debt to GDP ratio from the current 57% to around 50% by FY2031. With a 10.1% increase in Capital Expenditure, the government has continued to focus on asset building. Middle-class tax payers get a bonanza with income tax exemption for up to INR 12 Lacs of personal income (excluding capital gains etc.). In our view, this should give the required consumption boost to the economy. The insurance sector in particular stands to benefit from an increase in the FDI limit from 74% to 100%.
Amit Goyal, Regional Managing Director, South Asia – Project Management Institute (PMI)
The Union Budget for 2025-26, presented by the Finance Minister, lays a visionary roadmap for India's growth and resilience, embodying the spirit of Atmanirbharta (self-reliance). With a strong emphasis on education and skill development, the budget aims to achieve 100% literacy and enhance the quality of education. Initiatives such as the expansion of the PM Research Fellowship program, and the establishment of three AI Centres of Excellence with an allocation of ₹500 crore. The enhanced allocation to medical education reflects a robust focus on strengthening India’s healthcare infrastructure, addressing both immediate needs and long-term capacity building and also highlights India’s investment in its human capital.
The budget also prioritizes infrastructure development, aviation expansion, and innovation, positioning India as a global hub for large-scale projects. This creates significant demand for skilled project management professionals who will be pivotal in executing these ambitious ventures, especially critical ones like the advancement of foundational geospatial infra and data under the PM Gati Shakti Scheme. Moreover, the emphasis on sustainability, through initiatives like Clean Tech, ensures that India’s growth trajectory aligns with global environmental goals, fostering a greener and more sustainable future. In essence, the 2025-26 budget is a forward-looking blueprint that empowers the youth, strengthens the nation's infrastructure, and champions innovation, laying the groundwork for a prosperous and self-reliant Viksit Bharat.
Saugata Gupta, MD & CEO, Marico Limited
The Union Budget 2025-26 is a bold and forward-looking plan that places the middle class at its core while ensuring inclusive and sustainable growth across all sectors. By prioritizing, agricultural reforms, health & nutrition, education, middle class consumption and economic acceleration, this budget aligns with government’s vision of 'Viksit Bharat' by 2047.
Yash Kela, Founder, Singularity Ventures
The Union Budget 2025-26 reinforces India's commitment to startups, deeptech, and sustainable innovation. The ₹10,000 crore Fund of Funds for Startups and the proposed Deeptech Fund will provide vital financial backing, while 10,000 research fellowships at IITs and IISc will strengthen the design first , product + service export ecosystem we want to build in the country. The focus on clean tech manufacturing—spanning solar PV cells, EV batteries, electrolyzers, and wind turbines—positions India as a global leader in climate-friendly industrial growth. Additionally, the ₹2 crore funding scheme for first-time women entrepreneurs is a significant step toward fostering inclusive business leadership.At Singularity , we believe these bold initiatives that will accelerate startup growth, drive deeptech breakthroughs, and propel India toward global innovation leadership.
Krishna Rathi, Senior Country Director, India Subcontinent and MEA at Agoda
Agoda acknowledges and celebrates India's exciting potential as a top travel destination and is enthusiastic about the tourism plans announced in this year's Union Budget. The investment in recent years in infrastructure enhancements and destination marketing is undeniably paying off. At Agoda, we see this reflected in a 22% year-on-year increase in inbound accommodation searches to India. With this year's announced investments in the expansion of the UDAN scheme to connect 120 new destinations, enhanced support for homestays, and the development of top tourist destinations in collaboration with state governments, we're hopeful that India will be able to sustain this momentum. Especially as this comes on top of continuing positive trends like visa easements and inspirational destination marketing campaigns promoting India's diverse experiences and attractions.
Mihir V Shah, Executive Director, Vipul Organics Limited. Vipul Organics Limited
It is a fabulous budget with the focus on meeting the aspirations of the booming middle class. The Manufacturing Mission that the Hon’ble minister has set up will further the cause of Make in India and boost domestic manufacturing. Extending the Credit Guarantee Scheme for facilitating term loans for purchase of machinery and equipment without collateral or third party guarantee, to the MSMEs for up to ₹100 crore, is a welcome step and will ease the credit requirements of the sector. Structural reforms that focus on ease of doing business, especially with regards to time limit for Provisional assessments and TCS/TDS compliances are also a welcome step.
Prabhdeep Singh, Founder & CEO, RED.Health
We applaud the Union Budget 2025 for its focus on strengthening India’s healthcare system, particularly the 'Heal in India' initiative. This is an exciting opportunity for India to position itself as a global leader in healthcare, bringing in international patients and driving advancements in medical technology.We are excited about the government's plans to expand medical education with 10,000 new seats in the coming year, rising to 75,000 over the next five years. This will significantly address the shortage of healthcare professionals and strengthen the overall healthcare infrastructure.
Chandrakant Agarwal - President - Thalassemia & Sickle Cell Society
TSCS welcomes Union Budget allocation of ₹98,311 crore for healthcare sector; hopeful for better focus towards blood disorders like Thalassemia.
Avinash G Singh, Head - Investment Research and Analytics, Aranca
This year’s Union Budget takes a balanced approach, with a fiscal deficit estimate of 4.4% for FY26 signaling prudence. However, its true impact will depend on the revival of the public capex cycle and potential income tax reforms. The extension of the asset monetization scheme until 2030 underscores a clear intent to unlock value from public assets, while the INR 1.5 trillion, 50-year funding support for states is a critical step toward ensuring sustained development. A significant highlight is the big boost for salaried taxpayers, with new tax slabs potentially allowing zero tax liability on incomes up to INR 12 lakh after standard deductions. Additionally, the expansion of the UDAAN scheme is a welcome move, strengthening regional air connectivity and fostering economic growth in underserved areas.
Masood Mallick, Managing Director & CEO, Re Sustainability Limited (ReSL).
The budget outlines key initiatives to support sustainability and circularity in India.
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.
Gaurav Gupta, Founder, MD and CEO, Tyger Capital
A major highlight is the increase in income tax exemption limit, making this a ‘consumption-driven’ budget that aims to boost spending. The Union Budget 2025 continues India’s fiscal consolidation journey with a commendable reduction in the proposed fiscal deficit target of 4.4% for FY26, reinforcing fiscal prudence and economic stability. There remains a continued focus on ‘simplification’ - new tax bill, TDS amendments, tariff rationalization, these measures further enhance ease of doing business.
Chandrashekhar Sripada, Clinical Professor (OB), Indian School of Business ( ISB).
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.
Niranjan Nayak, MD, Delta Electronics India
The Union Budget 2025-26 lays down a strong foundation for India to transition towards becoming a sustainable, technology-driven, and self-reliant economy. The emphasis of the government on green energy, EV infrastructure, AI-led innovation, and digital transformation closely resonates with Delta's aim to deliver energy-efficient, smart solutions that power the future.
Gautam Singhania, Chairman & Managing Director, Raymond Group
The decision to exempt income tax up to ₹12 lakh is a game-changing reform that boosts India's middle class by increasing disposable income. This is expected to drive household spending—an essential growth engine for sectors like retail and real estate. Higher discretionary spending signals economic vitality, fueling consumption-led growth and strengthening market dynamics. The Union Budget 2025-26 builds on this reform with targeted measures to fortify manufacturing, MSMEs, and domestic consumption. Enhanced credit access, sector-specific incentives for textiles and apparel, and streamlined compliance are set to boost industrial output. With the middle class now driving nearly 60% of domestic consumption, rising purchasing power is likely to accelerate demand for aspirational and premium products. This holistic strategy positions the economy for sustained expansion by creating a strong synergy between consumer spending, industrial growth, and workforce empowerment.
Dr. K.P. Vunnam,Chairman and MD of Ankura Hospital for Women and Children
The significant allocation of ₹98,311 crore for healthcare, reflects the government's commitment to strengthening healthcare infrastructure across the country. The expansion of medical education, increased funding for the AYUSH Ministry, and the provision of tax exemptions on lifesaving drugs will significantly enhance healthcare accessibility. The proposal to establish daycare cancer centres in district hospitals and improve broadband connectivity in rural healthcare centres will further bridge the gap in healthcare services across the nation.Furthermore, the emphasis on medical tourism will position India as a global healthcare hub, attracting international patients and boosting the sector. Additionally, the focus on nutrition through programs like SakshamAnganwadi and Poshan 2.0 will address the nutritional needs of underserved populations, contributing to a healthier future.
Rajiv Kumar,Vice Chairman,DS Group
With the Union Budget 2025-2026, the Government has taken strides towards realizing the Viksit Bharat vision by 2047. The agenda laid out by the FM will address and uplift several economic and social reforms in India. The forgoing of ₹1 lakh crore in direct taxes and full tax exemption up to ₹12 lakh income under the new regime is expected to boost consumer spending, benefiting sectors such as FMCG, automobiles, and retail. The middle class and salaried professionals will have more disposable income, driving demand in these areas. It is a balanced budget for corporates as well as individuals and will have a multi-year effect going forward, supporting overall growth and encouraging inclusive development and private investment. Emphasis on digital infrastructure and connectivity enhancement is another key positive. Increasing foreign direct investment (FDI) in the insurance sector from 74% to 100% will boost the sector's growth by stimulating investment across the board.
Vikram Subburaj, CEO, Giottus Crypto Platform
In the Union Budget 2025, Virtual Digital Assets are not discussed directly, there is an encouragement for accelerated economic activity through the promotion of start-ups, industrial development and individual tax benefits. This will have a cascading effect that will most likely benefit new asset classes such as crypto within the investment ecosystem.
Munjal Shah, MD of Paras Defence & Space Technologies
The healthcare infrastructure push, particularly in cancer care, comes at a crucial juncture. As insurers, we see this as an opportunity to design specialized health coverage products that can complement the expanding medical infrastructure. This, combined with India's emerging position as a medical tourism hub, allows us to create comprehensive cross-border health insurance solutions.
The transformative personal tax reforms will boost individual’s disposable incomes. This increased financial capacity, coupled with growing awareness of protection needs, presents a unique opportunity for the insurance sector. We anticipate a fundamental shift in financial planning behaviors, where insurance moves from being an afterthought to becoming a core element of household financial security.
Yashraj Vakil, CEO, CaptainBiz
The initiative encourages micro-enterprises to invest in technical upgrades and increase operational efficiency by increasing finance access. This move not only addresses the core issue of credit accessibility but also paves the way for a more inclusive growth trajectory for the sector. We believe that these steps will enhance the MSME sector, resulting in increased efficiency, technical advancement, and improved access to finance, thereby resolving the central issue of credit availability.
Prakash Sankaran, MD & CEO, Invoicemart
Mr. Murali Bukkapatnam, Chair, TiE Global Board of Trustees 2025
The Budget is an affirmation of India’s commitment to fostering entrepreneurship and innovation. The extension of tax benefits under Section 80-IAC for startups for another five years is a huge relief—it reassures founders that the government is invested in their long-term success. I hoped for the central government’s support to states in establishing Fund of Funds initiatives to boost their local startup ecosystems. So, the expansion of the Fund of Funds with a fresh ₹10,000 crore commitment is a welcome step, aligning with our long-standing advocacy for increased financial support and simplified access to government-backed funding mechanisms.
What truly stands out is the new scheme for first-time entrepreneurs, particularly women and those from Scheduled Castes and Scheduled Tribes. This isn’t just about funding—it’s about building confidence, breaking barriers, and giving more people a seat at the table. At TiE, we’ve always believed that entrepreneurship should be for everyone, and this move takes us a step closer to that vision.
India is on the right trajectory for startup growth. One initiative that I personally believe could be a game-changer is a Global Startup Exchange Program—a platform where Indian startups can collaborate with international counterparts for market expansion and knowledge sharing. At TiE, we’re ready to work with the government to make this a reality. 2025 budget reflects a strong and growing commitment to entrepreneurs, and that’s something to celebrate. We look forward to supporting the government in implementing these forward-looking initiatives and strengthening India’s entrepreneurial landscape.
Sriram Iyer - CEO, HDFC Pension on the Union Budget
Chandan Barve, VP and Chief Administrative Officer, Sun Life Global Solutions
Upasna Bhardwaj, Chief Economist, Kotak Mahindra Bank
Shanti Ekambaram , Deputy Managing Director, Kotak Mahindra Bank
Manish Kothari, Head – Commercial Banking, Kotak Mahindra Bank
Dr. Anish Shah, Group CEO & MD, Mahindra Group
Ashishkumar Chauhan, MD and CEO NSE
The budget builds on India’s growth momentum with strong development measures, continued fiscal prudence, increased capex and reduced tax burden. Increase in disposable income enhances consumption growth and provides further wealth creation opportunities to Indian households through the markets. More and more people will join the pool of current 11 crore unique investors and will become stakeholders and beneficiaries of India’s growth journey thereby supporting a virtuous cycle of economic growth, capital formation and job creation. Through a slew of social welfare measures on employment, education, healthcare, women empowerment and with special support to youth, farmers, MSMEs and start-ups - the budget focuses on India’s most important resource - its people.
Dr. Pawan Munjal, Executive Chairman, Hero MotoCorp.
“The Union Budget 2025 fuels India's growth engines with a bold push for manufacturing, green mobility, and rural empowerment—driving innovation, job creation, and global leadership.
The Union Budget 2025 outlines a bold vision for Viksit Bharat, focused on eradication of poverty, quality education, affordable healthcare, and women’s empowerment. By prioritizing rural prosperity and establishing India as a global agricultural powerhouse, the budget fosters inclusive growth that reaches all corners of the nation. A bold push towards manufacturing excellence, supported by strategic investments in infrastructure, EV technology, and MSME growth, strengthens India’s industrial backbone. This people-centric vision strikes a perfect balance between fiscal discipline and sustainable economic growth.
The elimination of income tax for individuals earning up to ₹12 lakh will spur economic activity and unlock consumer potential, while simplified tax regulations foster ease of doing business. Meanwhile, green energy investments and EV policy support accelerate India’s shift to a clean, sustainable economy, positioning it as a leader in innovative mobility.
The automobile sector stands poised for a significant leap forward, with substantial investments in green energy and a clear policy framework to support energy storage solutions. These measures will accelerate India’s transition to a clean mobility future, reinforcing its commitment to sustainability and technological innovation.
In essence, this budget is a bold fusion of foresight, strategy, and ambition, perfectly aligned with Prime Minister Modi’s vision for a developed India by 2047—a nation leading in innovation, inclusive growth, and global influence. It’s not just a financial plan, but a transformative blueprint for national progress and the empowerment of every citizen.”
Saurabh Bothra, CEO, Habuild
Preventive Healthcare for Gig Workers is a Necessity - By including gig workers under the Ayushman Bharat health insurance scheme and issuing identity cards, the government is providing much-needed social security to a segment that plays a vital role in today’s economy.
Preventive healthcare is especially crucial for gig workers, who often work long hours in physically demanding jobs while struggling with financial insecurity. Without regular check-ups and wellness support, small health issues can turn into major problems, impacting both their well-being and ability to earn. Ensuring access to preventive care - such as health screenings, lifestyle awareness, and wellness programmes - can reduce long-term medical costs and improve their quality of life.
Therefore, a strong, accessible preventive healthcare system will not only support gig workers but also contribute to a healthier, more productive workforce - ultimately strengthening India’s economy. It’s time to prioritise their health and recognise their invaluable contribution to our daily lives.
Mr. Shashank Noronha, Founder of TABBSZ
The Union Budget 2025-26 gives a significant boost to the FMCG and retail sector, especially for startups focused on sustainability and innovation. The ₹10,000 crore Fund of Funds for startups in the D2C and retail sector emphasize the government’s focus on supporting emerging businesses, with funding aimed at innovation, R&D, and manufacturing.
The change in income tax slabs, which now ensures no tax for incomes up to ₹12 lakh, will help increase disposable income. With consumers having more money to spend, household consumption is expected to rise, benefiting the FMCG and retail sectors. Additionally, the ₹1.5 lakh crore allocated for interest-free loans to states for infrastructure will improve logistics and supply chains, making the retail sector more efficient. By making it easier to access capital, creating more jobs, and boosting consumer confidence, this budget sets the stage for long-term industry growth, supporting both economic progress and sustainability.
Professor Sarang Deo, ISB, Max Institute of Healthcare Management
The focus on healthcare infrastructure delivery is certainly becoming more prevalent in the Union Budget. While broadband connectivity in primary health centres in rural areas will pave the way for the expansion of telemedicine, it will also create more opportunities for online training of healthcare workers, as well as, transfer of real-time data and analytics.
By increasing the number of medical seats, the government is also looking to address the need for building the human workforce, i.e., more doctors in the country to reduce the rural vs. urban disparity. To strengthen the primary and preventive care system, rather than further crowding the speciality clinical services, it is important to create policies that will encourage new doctors to become general practitioners, family practitioners, etc. Additionally, to combat this shortage, the healthcare industry must also learn about the best practices from other emerging economies that rely far more on ancillary health workers/paramedics, etc.
The setting up of Day Care Cancer Centres in all district hospitals is much needed due to the rising cancer burden in the country. These physical centres should be linked with strong referral systems supported by technology to ensure high-quality care to patients. A bigger need is to scale up cancer screening and diagnosis, the lack of which is resulting in patients being diagnosed at late stages with poor predicted outcome.
Ms. Manjusha Singh, CEO of Siegwerk India
"The Union Budget 2025 presents a promising vision for India’s manufacturing sector, reinforcing the nation’s commitment to self-reliance through the National Manufacturing Mission.
Government’s continued momentum towards food processing, with an establishment of a National Institute of Food Technology, Entrepreneurship and Management in Bihar, will promote efficiency and innovation in the sector. We perceive this development as an opportunity to contribute through cutting-edge, safe, and environmentally friendly packaging ink solutions for specific requirements of changing times in the FMCG sector. With an additional momentum towards India becoming a global hub for toys, it is in tune with a larger purpose of localized development of manufacturing that opens an opportunity for packaging and product innovation.
Overall, these actions make India’s manufacturing ecosystem supportive for growth, innovation, and sustainability. Siegwerk continues to stand with the sector with its expertise, and packaging and printing solutions will resonate with India’s changing industrial scenario.”
K.Kranti Kiran Reddy, Managing Director - Janapriya Upscale
The lowering of taxes by Madam Nirmala lowering the tax rates and liability for AY 2026-27. It will improve the purchase power of the people by upto Rs 110k p.a., greatly helpful in buying their dream home. It will boost the home buying sector as well as investment in stock market.
Dr. Mallikarjuna, Managing Director, Asian Institute of Nephrology & Urology
"I am happy and congratulate the government for announcing to start cancer centres in rural areas, which would help the needy in the non-metro regions. Adding 75,000 medical seats over the next five years is a great move too, and will help as many children to not leave the country to study medicine. Strengthening the Anganwadi sector too is a great initiative announced by the government."
Dr Gayatri Kamineni, COO, Kamineni Hospital
I am delighted to applaud our Finance Minister's visionary budget, which catapults India to the forefront of global medical tourism through the 'Heal in India' initiative. This collaborative effort with the private sector will not only boost our economy but also provide world-class healthcare services to patients worldwide.
The strategic emphasis on capacity building, streamlined visa norms, and ease of travel will unlock the vast potential of medical tourism, creating new avenues for growth. This initiative will also foster opportunities for healthcare professionals, hospitals, and related industries, thereby stimulating employment and economic growth.
Kamineni Hospitals as a part of the healthcare industry for more than 3 decades, we are eager to contribute to India's transformation into a premier medical tourism hub. Our Finance Minister's pragmatic and forward-thinking approach will undoubtedly elevate India's healthcare sector to unprecedented heights, cementing its position on the global healthcare map.
Dr. Kishore B Reddy, Managing Director, Amor Hospital
Setting up 200 daycare cancer centres in the rural parts of India is a good initiative announced by the finance minister today. This will help enhance awareness of cancer ailments and could even help arrest the spread of certain types of cancers. A strong push towards healthcare innovation, medical research, and digital health transformation reflects a forward-thinking approach aimed at enhancing accessibility, affordability, and quality of healthcare services across the nation.
Mr. Mahendra Pala, Group COO, Omega Hospitals
The decision to impose no tax on annual income up to INR 12 lakhs is a hugely welcome move. This will put additional money in the hands of people, which they could use on their personal needs, including healthcare. This money in hands could enable those in need to undergo elective procedures which could help improve their quality of life. Overall, I am happy with the budget presented by the finance minister today.
Mr. Sai D Prasad, Chairman, CII Telangana & Executive Director, Bharat Biotech International Ltd
The Union Budget 2025-26 will accelerate India’s economic growth will strengthen labour intensive economy. He also said that decreasing the tax burden on middle class will increase the consumption, increased expenditure on urban infrastructure will attract more investments. He also termed the budget as agriculture and MSMEs friendly budget and many proposed interventions will give a fillip to entrepreneurial ecosystem in the country.
Mr. Anil Epur, Past Chairman, CII Southern Region
I appreciate the launch of the Prime Minister Dhan-Dhaanya Krishi Yojana, which be executed in collaboration with state governments and covering 100 districts. It is a significant step forward in ensuring the long-term prosperity of our farmers and achieving growth in Agriculture sector. By addressing critical areas such as productivity, crop diversification, storage, irrigation, and credit, the scheme provides a comprehensive solution to the challenges facing Indian farmers today. CII is confident that this initiative will lead to enhanced farmer welfare, stronger rural economies, and a more resilient agricultural sector for India.
Mr. RS Reddy, Vice Chairman, CII Telangana and MD, Rachamallu Forgings
Social welfare interventions for gig workers is a good move. Enhanced credit limits, Streamlined Compliance and Regulatory Ease, Capacity Building and Skill Development, Support for exports for MSMEs, are poised to strengthen the ecosystem, make it more competitive and contribute to India's economic growth.
Mr. Y Harish Chandra Prasad, Past Chairman, CII AP (erstwhile) & Chairman, Malaxmi Group
As the world moves towards a greener, more sustainable future, India’s commitment to driving environmental stewardship and advancing clean technologies is commendable. Strengthening Clean Tech Manufacturing in the sectors such as Solar EV Cells, EV Batteries , Wind Turbines etc will add value. He also mentioned that Nuclear Energy Mission will be zero emissions intervention however more technological developments are required.
Mr. C Shekar Reddy, Immediate Past Chairman, CII Telangana
Appreciated the budget allocations for infrastructure sector and the priority given for strengthening Skill development through establishment of CoE on Skills in Artificial Intelligence. He praised Union Government’s move to 10,000 more seats in medical education and for promoting medical tourism and Heal in India interventions.
Kamineni Shashidhar, MD, Kamineni Hospitals
In Budget 2025 Honourable Finance Minister has announced increase in 75000 seats in next five years and 10000 seats in the upcoming year.
It is a welcome decision on the part of improving countries Health care professional gap.
At the same time it has been observed that, sudden increase in medical colleges in the past two to three years has created a significant vacuum related to good teaching and infrastructure in new colleges which is affecting the quality training of students being trained.
It would be pertinent to say that we need to focus on budgeting on Research & infrastructure development in medical education and health care, so that our students are well equipped with skills and knowledge required to provide quality health care. Only then we can truly reap the benefits of increased medical seats.
Dr. Prathap C. Reddy, Chairman Apollo Hospitals
“From the 1980s, when our healthcare system grappled with limited infrastructure and resource constraints, we have made significant strides in expanding access to quality care. Over the last decade, we have laid a robust foundation, bringing modern diagnostics, preventive healthcare, and cutting-edge developments in medical technology to patients across India. Now, Budget 2025 serves as a visionary launchpad for ‘Heal in India,’ creating the roadmap to establish India as a global center for advanced healthcare and medical innovation.
The expansion of medical education with 75,000 additional medical seats over the next five years, coupled with the launch of Centers of Excellence in AI, will foster innovation in health-tech and expand R&D investments. The announcement to promote medical tourism through private sector partnerships will enhance our capacity to attract global patients and position India as the go-to destination for affordable, world-class medical care under the ‘Heal in India’ mission. With support for capacity building and streamlined visa processes, this initiative will ensure India not only heals its citizens but also helps heal the world.
The setting up of 200 Daycare Cancer Centers in district hospitals and the inclusion of critical medicines for rare diseases, cancer, and severe chronic conditions under custom duty exemptions are commendable steps. These measures will reinforce our national efforts in fighting non-communicable diseases and reducing out-of-pocket expenses for patients.
The focus on skilling healthcare professionals in emerging technologies through the establishment of National Centers of Excellence and 50,000 Atal Tinkering Labs will empower the next generation of medical innovators and startups. Simplified compliance processes for startups will also boost health-tech innovation, enhancing our ability to develop cutting-edge solutions for patient care.
This is not just a budget for the year ahead—it is a launchpad for India’s healthcare system to emerge as a global leader. The synergy of initiatives under ‘Heal in India,’ ‘Heal by India,’ and innovation-driven care will redefine how India delivers healthcare and sets benchmarks for the world.”
Mr Sharan Alla, Regional Head, Ramky Estates and Farms
'The Union Budget 2025 introduces several promising measures to create a more dynamic and investment-friendly urban landscape. Key priorities include city redevelopment, infrastructure expansion, and tax relief measures. The push for sustainable urban growth and enhanced connectivity, coupled with tax restructuring, is expected to have a notable impact on the real estate industry.
The Budget introduced a new Urban Challenge Fund with a corpus of ₹1 lakh crore, aimed at the creative redevelopment of cities, leveraging a PPP model. The National Geospatial Mission, which is revolutionizing land records and infrastructure planning, will assist the real estate industry by streamlining processes.
On the personal finance front, the Budget has increased the NIL taxable income threshold to ₹12 lakh and introduced a major tax exemption, allowing individuals to declare two self-occupied properties without conditions, thereby removing notional rent taxation. These measures provide financial flexibility for homeowners, making multiple property ownership more viable.
By focusing on structured urban redevelopment, strategic infrastructure investment, and tax relief, the Budget is shaping the real estate industry to be more future-ready, offering new opportunities for homeowners and investors alike.'
Mr. N S (Satya Narayana) Rao, Group CFO, Ramky Group
The Budget 2025 outlines a promising approach to driving sustainable growth, with a particular focus on Infrastructure. Finance Minister Smt. Nirmala Sitharaman's fiscal consolidation strategy, with a projected fiscal deficit of 4.4% of GDP for FY25-26, sets the stage for a steady transition towards a Viksit Bharat.
While the capital expenditure outlay has been reduced, there is a clear shift towards innovative financing mechanisms. The increased focus on Public-Private Partnerships (PPPs) signals a more collaborative approach to infrastructure development, leveraging private sector expertise and investment.
Additionally, the emphasis on supporting states with interest-free loans for capital expenditure and incentivizing reforms will help strengthen regional infrastructure. The planned asset monetization strategy is another key development, with the potential to reinvest significant capital into new projects, fueling long-term growth.
Collectively, these initiatives reflect a forward-thinking approach that prioritizes sustainable infrastructure development and quality growth.
Mr. Ajitesh Korupolu, Founder & CEO of 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.
Mr. Anant Bengani, Co - Founder & Director - Zell Education
"The Union Budget 2025-26 presents a transformative vision for financial education and technology integration. The establishment of AI Centre of Excellence with ₹500 crore outlay and the proposed Deeptech Fund of Funds will significantly enhance the quality of financial technology education. The allocation for research fellowships and skilling centers will create a robust ecosystem for developing future-ready financial professionals. These initiatives align perfectly with our mission of delivering cutting-edge financial education,"
Sanket S, Co - founder of Scandalous foods
"We appreciate the government’s progressive budget, which prioritizes ease of doing business, economic growth, and social security. The simplification of tax structures and the increased income tax slab to ₹12 lakh reflect a modern approach to redefining the middle class, boosting disposable income and economic participation.
The introduction of health provisions for gig economy workers is a crucial step in ensuring long-term stability for India’s evolving workforce. Additionally, the focus on tourism is a strategic move, catering to the rising demand for domestic travel and driving consumer spending across multiple sectors.
A particularly forward-looking measure is the push to make India self-reliant in pulses. As the world’s largest consumer, yet dependent on imports, this initiative will strengthen food security, reduce dependency, and support farmers.
Further, agriculture-focused initiatives and support for medical tourism will boost rural and healthcare sectors. This well-structured budget lays a strong foundation for long-term growth and self-sufficiency."
CA Aashish Joshi, Aashish Joshi & Co.,
Budget 2025 brings significant relief to salaried individuals and middle-class taxpayers through a revision in tax slabs under the new regime and an increase in the rebate limit effectively making Nil tax for income up to ₹12 lakh, ensuring many taxpayers pay zero tax. However, the old tax regime remains unchanged, providing no additional benefits to those relying on deductions and exemptions.
For MSMEs, the government has increased threshold limits for classification, enabling more businesses to qualify for priority sector benefits and government schemes. Additionally, rationalization of TDS compliance will reduce operational burdens on small businesses, making tax filing smoother. The time limit for filing updated tax returns has been extended from 2 years to 4 years, allowing more flexibility for rectifications.
Startups also get a boost, as the tax exemption period under Section 80-IAC is extended until March 2030, ensuring continued support for entrepreneurship and innovation.
Furthermore, Budget 2025 introduces several initiatives to promote economic growth, including:
- Enhanced credit through Kisan Credit Cards (KCC) to support farmers
- Credit cards for micro-enterprises to facilitate easy access to credit
- Schemes for first-time entrepreneurs to encourage startup growth
- Focus on tourism for employment-led growth, recognizing its potential to create jobs and stimulate local economies
The most awaited announcement, however, is the New Income Tax Bill, expected to be presented within a week. This could mark a historic overhaul of the tax system, and its details are eagerly anticipated.
Overall, Budget 2025 is a well-balanced financial plan, providing tax relief, boosting MSMEs, and fostering economic growth.
Rahul Jain, India Head - Boston Consulting Group
Budget 2025 has announced multiple measures covering supply-side reforms along with strong demand-side stimulus. The income tax exemptions are expected to accelerate consumption.
Reforms in sectors with high job creation potential such as toys, sunrise sectors like EV / battery manufacturing as well as core manufacturing sectors such as shipping are expected to accelerate private sector investments. The improved access to funds for start-ups and MSMEs will boost the bottom of the pyramid of Indian manufacturing.
Further, the Jan Vishwas Bill and focus on enhancing investment friendliness for States are expected to improve the ease of doing business. The National Manufacturing Mission will bring increased focus on skill development in manufacturing with the new excellence centres and an AI-focussed education hub. Focus on increased R&D funding is expected to drive innovation and enhance manufacturing competitiveness.
This budget is a step in the right direction to address some of the structural unlocks for the manufacturing sector with an inclusive approach towards investment, workforce development, and support for the MSMEs & start-up ecosystem towards our ambitious target of a $30 trillion economy by 2047 says Rahul Jain, India Head - Boston Consulting Group.
MSME Sector: Hardik Shah, Managing Director & Partner, BCG
“The FM has unlocked both entrepreneurial growth and job creation with Budget 2025 ! Credit guarantee limit for MSMEs doubled from ₹5 crore to ₹10 crore enabling more collateral free formalized funding, turnover and investment limits for MSME classification has been enhanced by 2 and 2.5 times to increase coverage of benefits to more businesses and the guarantee fee down to 1 per cent for loans in 27 focus sectors. These moves will be a game changer. The 5.7 crore MSMEs, India's second growth engine, have been the focus of FM’s push given that they generate 36 per cent of India's manufacturing and 45 per cent of exports.”, said Hardik Shah, Managing Director & Partner, BCG
Technology: Deep Narayan Mukherjee, Partner, BCG
“While the limelight with be taken by the increase in tax slab and tax benefit, even without that this budget had lot of high points. Arguably, no budget post 2000 has had such a significant focus on making India a technocratic nation for the AI era while keeping an eye of geopolitical risks that are emerging. The focus starts from School level with 50,000 Atal Tinkering Lab emphasising functional STEM (Science , technology, Engineering and Maths) education and broadband to government secondary schools which possibly would link up to AI Centre of excellence in education.
Further the Centre of Excellence (CoE) for AI in Education, where INR 500 crore has been allocated, is a very good start. Add to this the five National Skilling CoEs plus previous three CoEs for AI. While the above initiates the cause of developing a large future labor force with STEM orientation and skilled in AI; the AI companies too will get a boost with the reinvigorated fund-of-funds for deep tech. Other major wins include the establishing of the National Geospatial Mission, focus on developing maritime and shipping capabilities, reinvigoration of the nuclear mission and further boost to startups by enhancing credit guarantee from INR 10 Crore to INR 20 Crore”., said Deep Narayan Mukherjee, Partner, BCG
Insurance: Pallavi Malani, India Leader-Insurance Practice, BCG
“The Union Budget announcement regarding the Insurance sector has come as a welcome move for the industry. The increment of FDI limit to 100% from 74% will prove to be a significant shift for the Indian Insurance Sector. Increasing the FDI limit will attract global insurers driving capital infusion, fostering product innovation and bringing in advanced risk management practices. It is also in alignment with the government's vision of 'Insurance for All' by 2047, ensuring deeper penetration and financial security for Indians at large. While global insurers will need to adapt their operations to very specific and nuanced Indian market dynamics, in the coming months, we expect to see heightened investment and M&A activities.”, said Pallavi Malani, India Leader-Insurance Practice, BCG
Infrastructure, Real Estate and Tourism: Neetu Vasanta, India Leader - Travel, Cities & Infrastructure Practice, BCG
“The Union Budget for 2025-26 has set a promising tone for key sectors such as Infrastructure, Real Estate, and Tourism, overall offering a welcome outlook. A key highlight is the allocation of INR 11.1 lakh crore for the infrastructure industry, which is poised to create a strong foundation for sustainable development and long-term sectoral growth. In addition, the increased funding for the swift completion of 1 lakh affordable and mid-income housing units under the SWAMIH fund is expected to give a significant boost to the real estate sector. The budget also targets growth in tourism, with special emphasis on medical and religious tourism, opening up lucrative opportunities for the tourism and allied industries. Furthermore, the continued expansion of the UDAN scheme, alongside the development of greenfield airports, will enhance connectivity and support the growth of the tourism sector.”, said Neetu Vasanta, India Leader - Travel, Cities & Infrastructure Practice, BCG
Global Capability Centers: Sreyssha George, Managing Director & Partner, BCG
“India has emerged as a global hub for GCCs, driven by a diverse talent pool, strong digital infrastructure, and an evolving ecosystem that supports innovation and efficiency. The Union Budget of 2025-26 will further boost India’s commitment to boost the industry as the government plans to formulate a national framework for promoting GCCs in emerging tier-2 cities. This will unlock new growth opportunities, driving job creation and economic resilience.”, said Sreyssha George, Managing Director & Partner, BCG
Startups: Shaleen Sinha, Head, Growth Tech, BCG
“The Union Budget 2025-26 shows a strong commitment towards strengthening the Indian startup ecosystem. The increase in loan limit from ₹10 crore to ₹20 crore, under Atmanirbhar Bharat, will empower startups with greater financial support and growth opportunities. Additionally, the finance minister has announced an Alternate Investment Funds (AIFs) for startups with commitments of more than 91,000 crore along with the expansion of the fund of funds with a fresh ₹10,000 crore contribution will catalyze investments, enabling startups to scale and innovate. These transformative measures by the government enhance India's viability as a global startup hub, driving job creation, technological advancements, and long-term economic growth.”, said Shaleen Sinha, Head, Growth Tech, BCG
Artificial Intelligence: Nipun Kalra, India Leader, BCG X
“The race for AI dominance is increasingly a matter of national strategy, with each country charting its own course. In India, the 2025 Union Budget has given a significant push to this effort, with Finance Minister Nirmala Sitharaman announcing a ₹500 crore capital outlay for the establishment of a Centre of Excellence in AI. This investment is expected to drive skill development, personalized learning, and academic transformation, ultimately preparing India's workforce for an AI-driven future. Complementing this initiative, the government has also allocated ₹10,000 crore to a new Startup Fund of Funds, which could help turn AI advancements into thriving businesses that shape India's AI landscape. Further bolstering this momentum, IndiaAI has invited proposals from startups, researchers, and entrepreneurs to develop foundational AI models trained on Indian datasets. This initiative presents an opportunity to create indigenous AI solutions that meet global standards while addressing India's unique challenges and opportunities. With these measures, the government is signaling a strong commitment to AI as a pillar of India's technological and economic future.”, said Nipun Kalra, India Leader, BCG X
Public Sector: Mario Gonsalves, India Leader, Public Sector Practice, BCG
"The FM has laid out a comprehensive framework of reforms across six major domains including taxation, power sector, urban development, mining, and the financial sector. Investments by the government in the public sector will be the fulcrum of this growth, guiding investments and unlocking the potential of the private sector in turn. The three game changers are
The national UDAN scheme will serve as a fillip to underserved populations. It will connect 120 new destinations and serve over 4 crore passengers in the next decade. These greenfield airports will improve connectivity and decongest traffic at existing airports.
The Government will boost India's non-fossil fuel power by setting up 100 gigawatts (GW) of nuclear power capacity with focus on developing small modular reactors.
There's big news is in the annexures too- viz. extending the date of making investments in Sovereign Wealth Funds and Pension Funds by five more years, to 31st March, 2030, to promote funding from them to the infrastructure sector.
Other major announcements have been around support to agriculture, MSMEs, investment and exports as major engines of growth., Says Mario Gonsalves, India Leader, Public Sector Practice, BCG
Vishal Mehta Indian Leader, Energy Practice (BCG)
The Union Budget's focus on energy transition is notable, particularly the push for energy security through alternative energy sources, distribution reforms and intra-state transmission augmentation. Incentivizing states with additional borrowing linked to these reforms is a smart way to drive adoption. The ₹81,174 crore energy sector allocation, along with the Nuclear Energy Mission's 100 GW by 2047 goal, in addition to last year's focus on solar energy demonstrates a strong drive towards a cleaner, more resilient energy mix for a developed India. The amendments to the Atomic Energy Act and the Civil Liability for Nuclear Damage Act, along with the focus on public-private partnerships, are important steps towards unlocking benefits of nuclear energy while safeguarding public interest. The allocation of ₹20,000 crore for Small Modular Reactor (SMR) development with intent to operationalize at least five indigenous Small Modular Reactors (SMRs) by 2033 is an ambitious yet achievable target, provided there is a clear roadmap and efficient execution. These measures demonstrate a clear vision for a sustainable and energy-secure future, aligning with the broader goals of Viksit Bharat., says Vishal Mehta Indian Leader, Energy Practice (BCG)
Priyanka Aggarwal, Managing Director and Senior Partner & India and South East Asia Leader, Healthcare Practice, BCG.
The continued investment of government in growing medical education and healthcare infrastructure is a notable step toward strengthening India's healthcare ecosystem. With the addition of 10,000 medical seats in the coming year and the broader goal of 75,000 seats over five years will help bridge the doctor-patient ratio gap. The establishment of daycare cancer centers in all district hospitals over the next three years will enhance cancer care accessibility. Also, the exemption of Basic Customs Duty (BCD) on lifesaving medicines will provide financial relief to patients battling severe diseases, ensuring affordability of essential treatments.
However there continues to be a need for stronger push towards incentivizing domestic Medical Device Manufacturing as well as greater support for innovation through R&D incentives and promoting preventive healthcare
IG: Vikram Janakiraman, India Leader, Industrial Goods Practice, BCG
This Union Budget outlines a clear vision for India’s manufacturing future, fostering an ecosystem that supports growth, sustainability, and the empowerment of youth with future-ready skills. By prioritizing clean tech, electronics, and supply chain integration, the government is driving India’s ambition to become a global manufacturing hub. With a strong emphasis on Make in India and the adoption of Industry 4.0 solutions, new opportunities are being unlocked, particularly for electric vehicle (EV) and mobile phone manufacturing sectors through reduction in duties on components. The focus on sustainable technologies strengthens India's green manufacturing. Additionally, the increase in investment and turnover limits for MSMEs strengthens the sector, enabling smaller enterprises to contribute significantly to economic growth and global competitiveness. Through these initiatives, India is advancing its manufacturing capabilities while building a skilled workforce ready to thrive in a technology-driven world, said Vikram Janakiraman, India Leader, Industrial Goods Practice, BCG
Aparna Bijapurkar, Managing Director & Partner, BCG
It’s encouraging to see the budget’s focus on building rural prosperity and resilience through a multi-sectoral approach, particularly with the initiative for 100 districts under the Prime Minister Dhan - Dhaanya Krishi Yojana. Addressing underemployment and own-account work in the rural economy is crucial, as is creating place-based opportunities by diversifying beyond agriculture. Emerging sectors like renewable energy, logistics, and tourism hold great potential to benefit the rural economy. Additionally, many corporates are exploring rural micro-franchising and distribution models. By driving a targeted investment strategy in the rural economy, we can significantly unlock opportunities for enterprise creation and job growth. For this to succeed, a cohesive implementation framework is essential, one that ensures physical last-mile support for counseling, skilling, and credit access, all underpinned by a strong digital infrastructure. Aparna Bijapurkar, Managing Director & Partner, BCG
Shivam Puri, MD & CEO, Cipla Health Limited.
“The increase in the tax-free income limit is a significant relief for the middle class, putting more money in the hands of consumers. This boost is expected to drive overall consumption, benefiting essential categories, including health and wellness products.
It’s also encouraging to see the government’s focus on nutrition through targeted programs. As awareness of health and well-being grows, higher incomes will naturally lead to increased demand for wellness products.”
Tarun Chugh, MD & CEO, Bajaj Allianz Life Insurance
"The Union Budget has clearly focussed on driving consumption led growth and foster inclusive development. A key highlight is the increase in the FDI limit in the insurance sector from 74% to 100%, a move set to bring in fresh capital and bolster the industry's financial strength. The decision reflects the government’s continued commitment to making India a prime investment hub for stable, long-term capital.
Greater foreign participation, will accelerate the adoption of global best practices, introduce innovative products, and elevate customer service standards. Additionally, the mandate to invest premiums within India ensures that these funds contribute to domestic economic growth and infrastructure development.
The next five years present a significant and an exciting opportunity to propel the industry forward onto greater heights."
Mr. Sai D Prasad, Chairman, CII Telangana
Mr. Sai D Prasad, Chairman, CII Telangana & Executive Director, Bharat Biotech International Ltd. said the Union Budget 2025-26 will accelerate India’s economic growth will strengthen labour intensive economy. He also said that decreasing the tax burden on middle class will increase the consumption, increased expenditure on urban infrastructure will attract more investments. He also termed the budget as agriculture and MSMEs friendly budget and many proposed interventions will give a fillip to entrepreneurial ecosystem in the country.
Mr. Anil Epur, Past Chairman, CII Southern Region appreciated the launch of the Prime Minister Dhan-Dhaanya Krishi Yojana, which be executed in collaboration with state governments and covering 100 districts. He also said that it is a significant step forward in ensuring the long-term prosperity of our farmers and achieving growth in Agriculture sector. By addressing critical areas such as productivity, crop diversification, storage, irrigation, and credit, the scheme provides a comprehensive solution to the challenges facing Indian farmers today. CII is confident that this initiative will lead to enhanced farmer welfare, stronger rural economies, and a more resilient agricultural sector for India.
Mr. RS Reddy, Vice Chairman, CII Telangana and MD, Rachamallu Forgings opined that social welfare interventions for gig workers is a good move. Enhanced credit limits, Streamlined Compliance and Regulatory Ease, Capacity Building and Skill Development, Support for exports for MSMEs, are poised to strengthen the ecosystem, make it more competitive and contribute to India's economic growth.
Mr. Y Harish Chandra Prasad, Past Chairman, CII AP (erstwhile) & Chairman, Malaxmi Group mentioned that as the world towards a greener, more sustainable future, India’s commitment to driving environmental stewardship and advancing clean technologies is commendable. Strengthening Clean Tech Manufacturing in the sectors such as Solar EV Cells, EV Batteries , Wind Turbines etc will add value. He also mentioned that Nuclear Energy Mission will be zero emissions intervention however more technological developments are required.
Mr. C Shekar Reddy, Immediate Past Chairman, CII Telangana appreciated the budget allocations for infrastructure sector and hailed the priority given for strengthening Skill development through establishment of CoE on Skills in Artificial Intelligence. He also praised Union Government’s move to 10,000 more seats in medical education and for promoting medical tourism and Heal in India interventions.
Nishant Malhotra, Founder & CEO of WeaverStory
