Union Budget 2024 Tech Industry’s Wishlist

Exploring the Impacts of Union Budget 2024-25 on the Technology and Digital Industry

The Union Budget for 2024-25 signals a significant shift placing emphasis on fostering the technology and digital industry. With a pronounced commitment to AI integration and the fortification of digital infrastructure, the budget signals a favorable environment for technological advancements. Increased financial allocations for AI research and incentivizing AI adoption across industries reflect a proactive approach to propel technological innovation. Furthermore, the emphasis on nationwide improvements in digital connectivity suggests a comprehensive strategy to create an ecosystem where the technology and digital industry can flourish, setting the stage for a future marked by innovation and interconnected success across various sectors.

The anticipation surrounding the Union Budget 2024 aligns seamlessly with India's ambitious journey towards establishing tech supremacy over the past two decades. The nation's thriving digital economy, poised for continuous expansion, is deemed essential for contributing significantly to the government's ambitious target of achieving a US$5 trillion GDP by 2025. As the finance minister, Nirmala Sitharaman is set to announce the budget, the tech industry is optimistic and hopeful for a substantial boost from the government. The expectations are high for policies and allocations that will further nurture and favor the technology and digital industry, aligning with the nation's trajectory towards technological excellence and economic growth.

Forecasts from the Experts: Anticipations for the Upcoming Budget 2024-2025

Ms. Kajal Malik, Co-founder and CBO at PickMyWork said, "At PickMyWork, we are excited about the upcoming Budget 2024 and hope it will have policies that support the gig economy. Gig platforms do well when there is financial support available, which is crucial for companies like ours to grow and come up with new ideas. We believe that focusing on improving cash flow for small businesses will make our economy stronger and help platforms like ours succeed. We also think it's important for the government to continue its commitment to digital transformation. We expect them to take steps that make it easier for technology to be integrated seamlessly, which will help our gig workers and digital companies adapt to the changing landscape. Overall, we want policies that encourage economic growth and support the ambitions of our young workforce."

Mr. Sarvagya Mishra, Co-founder & Director at SuperBot said, "As we stand at the crossroads of innovation with Union Budget 2024 on the horizon, our anticipation at SuperBot goes beyond fiscal measures. We envision a budget that transcends traditional boundaries, streamlining Ease of Investing, catalyzing a robust Startup Funding Scenario, and laying the foundation for profound Digital Transformation within the startup landscape. We look to this budget not just for resource allocation but as a strategic path towards a future where Artificial Intelligence (AI) seamlessly integrates into our startup ecosystem. We anticipate targeted initiatives that propel AI research, development, and adoption, fostering innovation and ensuring global competitiveness."

Mr. Sumit, CEO and Co-founder at DashLoc said, "As we eagerly await the Finance Budget 2024, DashLoc envisions a budget that champions startups, fostering Artificial Intelligence (AI) research and innovation for resource generation and employment opportunities. Expecting initiatives promoting tailored upskilling programs in AI, we look forward to partnerships between educational institutions and the industry, ensuring a steady pipeline of skilled professionals for the tech sector. In India's retail-dominated market, the government's ONDC platform is set to transform purchasing patterns over the next five years. Finance Budget 2024 therefore also presents an opportunity to enhance innovation and community-centric solutions, strengthening the role of startups like ours in reshaping hyperlocal discovery with a keen emphasis on personalization and precision."

Mr. Atul Gupta- Co-founder & Director at e-Sprinto said, "We at e-Sprinto eagerly anticipate Union Budget 2024, recognizing the undeniable surge in electric vehicle (EV) demand in India. With EV sales doubling from 2022 to 2023, reaching 89,137 units, the momentum is clear. To complement this growth, we urge a reduction in GST on lithium-ion battery packs and cells from 18% to 5%. Such a move will incentivize OEMs, fostering innovation and affordability in the sector. Additionally, the continuation of the FAME II Subsidy beyond its March 2024 expiration is crucial to sustain customer acceptance and support OEMs. Moreover, compulsory adoption of global ISO norms for battery swapping should be mandated by integrating voluntary IS standards into the Central Motor Vehicle Rules. This step will ensure quality assurance and uniformity in the EV industry, elevating standards for all stakeholders involved in the electric vehicle ecosystem. A forward-looking budget will not only propel the EV revolution but also solidify India's position as a leader in sustainable mobility."

Mr. Alok Kashyap, Founder and CEO at Yatiken Software Solutions, "At Yatiken Software Solutions, our expectations for Union Budget 2024 align with key areas crucial for the IT sector's growth. We look forward to potential allocations for EV infrastructure development, presenting exciting opportunities in software for EV systems, IoT integration for smart charging, and data analytics for EV performance optimization. Additionally, we hope for a significant GST relaxation for the service sector, leading to a reduction in the 18% GST rate. This move would alleviate operational costs for IT firms, enhancing global competitiveness and providing resources for further innovation and talent development. Besides that, initiatives for upskilling programs in emerging technologies such as AI, blockchain, and cybersecurity are critical for the continuous growth of the tech industry. Collaborative efforts between educational institutions and industry partnerships can ensure a skilled workforce. Likewise, the establishment of tech-focused Special Economic Zones (SEZs) holds promise, offering tax benefits and infrastructure support to attract foreign investments and foster innovation in the IT sector. Moreover, investments in internet adoption and 5G deployment, especially in healthcare, could create opportunities for developing applications in telemedicine, remote monitoring, and data-driven healthcare solutions. These expectations, if addressed in the Union Budget, have the potential to remarkably shape the trajectory of the IT sector by fostering innovation, supporting infrastructure development, and enhancing skills in emerging technologies."