Budget 2024 Highlights: FM disappoints investors, rewards (some) taxpayers

Budget 2024 LIVE Updates: Supriya Paul, CEO & Co- Founder, Josh Talks, said, “The Union Budget 2024-25 represents a significant stride towards Bharat's development. The abolition of the Angel Tax for all investors is a substantial advancement, ensuring that startups remain within India and flourish domestically. The allocation of ₹1.48 lakh crore towards education, employment, and skills development is a substantial investment. By enhancing the quality of education and training, we are equipping our youth with the necessary skills to thrive.”

Ravi Goel, Chief Business Officer, RapidShyp, said, “The budget announcement by the Hon’ble Finance Minister Smt Nirmala Sitharaman is extremely progressive. The government has continued focusing on steps to help the economy by prioritizing infrastructure development and fiscal discipline. The allocation of ₹11.1 lakh crore, representing 3.4% of GDP, is a significant leap towards transforming India's infrastructure landscape. We are hopeful that this budget will greatly enhance infrastructure investments, especially in multi-modal transport and state-of-the-art warehousing.”

Budget 2024 LIVE Updates: Nilesh Shah, Managing Director, Kotak Mahindra AMC, said, “This budget has achieved the trinity of impossible. Fiscal Prudence, Investment and Growth momentum. Fiscal Prudence of 4.9 % for FY 24 will pave the way for Rating upgrade. Support to employment generation will boost growth. Infrastructure investment at 3.4 % of GDP is elevated yet not crowding out others.”

Budget 2024 LIVE Updates: Amit Kishore Prasad, Founder & MD, SatNav Group, said, “Women in workforce will get a major boost with the FM's assurance that Creches will be set up to help them, this is already a part of the Maternity Act 2017, just needs to be implemented with a sense of much greater urgency in Government Departments, PSUs and Private Companies.”

Budget 2024 LIVE Updates: Saurav Kasera, Co-Founder and CEO, Clirnet and DocTube, said, “The Union Budget 2024-25 presents several promising initiatives for the digital sector. The abolition of the angel tax is a significant step that will foster innovation and support start-ups. The emphasis on research and development, particularly through the Anusandhan National Research Fund, will drive technological advancements. The government's commitment to developing Digital Public Infrastructure (DPI) will enhance service delivery and support the integration of healthcare.”

Manish Aggarwal, Director, Bikano, Bikanervala Foods Pvt Ltd, said, “I am heartened by the Union Budget 2024's comprehensive approach towards agriculture and rural development. The allocation of INR 1.52 lakh crore for agriculture and allied sectors, alongside the release of 109 high-yielding and climate-resilient crop varieties, marks a significant advancement. This initiative will undoubtedly enhance supply chain efficiencies and reduce agricultural wastage, which are critical for our sector. The plan to initiate 1 crore farmers into natural farming with support for certification and branding is another commendable step.”

Budget 2024 LIVE Updates: George Alexander Muthoot, MD, Muthoot Finance, said, “The Union Budget 2024 focuses on the comprehensive development of the economy by adhering to fiscal prudence, boosting infrastructure growth, and through continued emphasis on four major pillars of society - the poor, women, youth and the farmers. The massive impetus on capex expenditure outlay of ₹11.11 lakh crore is a testimony to the government's focus on boosting investment activity and further strengthening fiscal health of the economy.”

Budget 2024 LIVE Updates: Prabhat Srivastava, Co-Founder and Director, VitusCare Medlife pvt ltd, said, “The abolition of the angel tax will simplify fundraising, attract diverse investors, and enable startups to access more funds leading to better growth. The better accessibility of funds will allow more investment in growth, R&D, and market expansion. This change is vital for creating a supportive ecosystem, driving innovation, and boosting economic growth. It demonstrates a strong commitment to fostering entrepreneurship and supporting the startup community.”

Budget 2024 LIVE Updates: Supriya Paul, CEO & Co- Founder, Josh Talks, said, “The Union Budget 2024-25 represents a significant stride towards Bharat's development. The abolition of the Angel Tax for all investors is a substantial advancement, ensuring that startups remain within India and flourish domestically. The allocation of ₹1.48 lakh crore towards education, employment, and skills development is a substantial investment.”

Budget 2024 LIVE Updates: Ranen Banerjee - Partner and Leader Economic Advisory, PwC India, said, “Fiscal prudence is the highlight of the full Union Budget 2024-25. The government has gone with realistic projections on its revenue and expenditure estimates and refrained from announcing overly populist measures. The majority of the allocations, including the capex allocation, are as outlined in the interim budget, thus providing continuity.”

Budget 2024 LIVE Updates: Amar Ambani, Executive Director, YES SECURITIES, said, “Barring the capital gains tax dampener for the investor community and removal of indexation benefit, the Union Budget was balanced and consistent in policy. Brushing aside concerns around more populism, the target set for the fiscal deficit at 4.9% is a huge positive. Agriculture package of Rs1.5 lakh crores is along expected lines and will help provide a fillip to the rural economy."

Budget 2024 LIVE Updates: Akshay Sarma, Chief Financial Officer, Axio, said,

“The budget announcements mark a continuous effort to help India achieve its economic dream of reaching a USD 5 trillion economy by 2024-25. Addressing key challenges in the startup ecosystem, the abolition of the Angel Tax for all investors will boost startups and attract diverse investments. Simplifying FDI and promoting the Indian Rupee for international investments enhance India's global economic standing."

Budget 2024 LIVE Updates: Rumki Majumdar, Economist, Deloitte India, said, “Measures to improve ease of doing business have been addressed, with proposed reforms to improve law and justice and corporate governance. To make IBC more effective, announcements were made to integrate technology system for IBC for better outcomes and establish additional tribunals.”

Budget 2024 LIVE Updates: Achala Jethmalani, Economist, RBL Bank. said, “From a macroeconomic standpoint, the increased revenue receipts led fiscal consolidation augments well for the economy at large. The social sector spending and the focus on extending loans under several schemes implies increased financial intermediation. The land related reforms proposed in the budget if gets implemented would help facilitating credit flow and other agricultural services to the end-user.”

Budget 2024 LIVE Updates: Pranav Haridasan, MD & CEO, Axis Securities, said, “The Union Budget 2024-25 has presented short-term challenges for the markets. The rise in capital gains tax rates and the increased STT are a short term negative. The capital expenditure allocation, unchanged at ₹11.1 lakh crore, fell short of the expected ₹11.5-12 lakh crore. However, the budget does have its positives.”

Budget 2024 LIVE Updates: Manish Jain, Managing Director, Bajaj Broking, said, “The Union Budget 2024 balances well between fiscal responsibility and growth. Fiscal deficit at 4.9% is in line with market expectations, and points the government is on the path of fiscal discipline. For the capital markets, the increase in capital gains tax does hurt investors. Short-term gains on financial assets will now be taxed at 20%, compared with 15% earlier while long-term gains on all assets face a 12.5% tax, from 10% earlier. This change, coupled with an increased exemption limit of ₹1.25 lakh per year for capital gains on financial assets, could reshape investor behaviour.”

Budget 2024 LIVE Updates: A.P. Hinduja, Chairman, Hinduja Group of Companies (India), said, “The budget shows Modi 3.0 is all about continuing the path to Fiscal Consolidation with the Fiscal Deficit target of 4.9% this year and 4.5% the next while maintaining the Capex figure at 3.6%. The focus on the agri sector and housing infrastructure - affordable and urban - is substantive and augurs well. Quite a few changes in taxation have been announced which needs a detailed study. Higher FDI is expected with a reduction in tax on Foreign Companies from 40 to 35%. Overall, a good budget for the macro Indian Investment Climate but could have been better for Indian Investors.”

Budget 2024 LIVE Updates: Ruhie Pande, Group CHRO & Head of Marketing & Communications, Sterlite Power, said, “The 2024 budget's focus on social justice, energy, and employment is pivotal for India's vision of 'Viksit Bharat' by 2047. By ensuring equitable access to resources, promoting sustainable energy solutions through initiatives like the PM Surya Ghar Muft Bijli Yojana, and generating ample employment opportunities with comprehensive internship schemes and incentives, the budget paves the way for inclusive growth and economic stability.”

Budget 2024 LIVE Updates: Venkat Chalasani, Chief Executive, AMFI, said, “The Finance Minister presented a growth-oriented budget today. The focus on fiscal consolidation without cutting down on capital expenditure with clear roadmap for “Viksit Bharat” is extremely positive. The emphasis on job creation, skilling, a boost to the MSME sector as well as tax relief to the middle classes will add more income in the hands of the people.”

Budget 2024 LIVE Updates: Rajesh Magow, Co-Founder & Group CEO, MakeMyTrip, for your editorial consideration, “The government's continued emphasis on infrastructure development is commendable. Enhanced road infrastructure will bolster the travel and tourism sector. We also welcome the initiatives to develop iconic spiritual and cultural sites into world class tourist hotspots."

Budget 2024 LIVE Updates: Angshu Mallick- MD & CEO of Adani Wilmar said, “I see great potential in the ₹1.52 lakh crore allocation in the 2024 Union Budget for revolutionizing India's agriculture sector. This strategic investment will significantly enhance productivity, resilience, and sustainability. Key initiatives like innovative crop research, high-yielding varieties, and natural farming practices will directly benefit 1 crore farmers, supported by the establishment of bio-input centres.”

Budget 2024 LIVE Updates: Nitin Gupta, Co-Founder & CEO of Attero, said, “The announcement of the Critical Mineral Mission by the Finance Minister is expected to provide a significant impetus to the industry. This mission's comprehensive mandate, including domestic production, recycling, and overseas acquisition of critical mineral assets, will help make India self-sufficient in critical minerals. In addition, the exemption of customs duties on 25 critical minerals provides a major fillip to the processing and refining sectors. These measures will significantly boost the processing and recycling industries, enabling India to become the recycling and critical minerals hub in the world."

Budget 2024 LIVE Updates: Parimal Heda, Chief Investment Officer, Go Digit General Insurance, said, “The Union Budget 2024 has maintained its commitment to fiscal prudence yet announced various tax-friendly measures for the Indian taxpayers. From the perspective of the Insurance Sector, amendment made by the government to clarify various activities in insurance sector as neither a supply of goods nor a supply of services is an extremely positive measure for the sector. This will immensely reduce compliance and ongoing litigation burden and provide overall stability to the sector.”

Budget 2024 LIVE Updates: Shanti Ekambaram, Deputy Managing Director, Kotak Mahindra Bank said, “The finance minister prioritized nine key areas, aiming to benefit the poor, women, youth, and farmers. These areas include agriculture, employment, skilling, and manufacturing. The infrastructure outlay remained at 11 lakh crores, with a focus on housing. The fiscal deficit target of 4.9% is commendable, and the emphasis on the fiscal consolidation path is positive. However, the surprise twist was the Capital Gains tax: short-term capital gains at 20% and long-term gains at 12.5%. While this may impact sentiment in the short term, the overall focus on employment, development, and infrastructure promises long-term benefits. In summary, it’s a sensible budget that addresses key segments, sectors, and states while maintaining fiscal discipline.”

Budget 2024 LIVE Updates: Praveen Raju, Partner, Spice Route Legal, “A most needed change the industry has been incessantly seeking since its inception. Intended to probably curb some illegitimate transactions, but affected all forms of equity funding. Not just that, it was in conflict with the spirit of valuation norms for foreign equity funding. While this may not necessarily have a direct impact on increase in funding, but would surely eliminate the unnecessary need to align valuation reports and price negotiation.”

Budget 2024 LIVE Updates: Abhishek KG, Co-founder, Clapingo, said, “We are pleased to see a strong emphasis on job creation and upskilling in the Union Budget 2024. The significant allocation of INR 1.48 lakh crore towards education, skilling, and employment aligns perfectly with our mission to empower young professionals and students with English speaking skills across the country. More and more investors will be encouraged to invest in young startups, and entrepreneurs will have a confidence boost to start their own ventures, with the proposal to abolish angel tax.”