Indian budget 2025: Business leaders urge policy reforms

As the Union Budget 2025-26 looms, there is heightened anticipation among various business sectors in India. Leaders from technology, cybersecurity, and urban infrastructure are outlining their hopes and recommendations for this fiscal policy, highlighting the need for reforms that could drive growth, innovation, and sustainability.

Rajarshi Bhattacharyya, Co-Founder and Managing Director of ProcessIT Global, emphasises the importance of facilitating the growth of Micro, Small and Medium Enterprises (MSMEs), a sector he describes as the backbone of India's economy. Bhattacharyya suggests that easing access to credit, reducing high-interest rates on loans, and simplifying collateral requirements could help these enterprises thrive. Moreover, he advocates for government initiatives that focus on skill development and fostering entrepreneurship within the MSME sector.

Echoing the priorities of a digital era, Bhattacharyya also underlines the necessity for robust policies in cybersecurity and data privacy. He calls for significant budget allocations towards developing strong digital infrastructure and enhancing cybersecurity frameworks across government bodies, healthcare, and financial institutions. The encouragement of investments in research, development, and the adoption of cutting-edge technologies is seen as crucial to fortifying India's digital defences.

Chetan Jain, Managing Director of Inspira Enterprise, shares similar sentiments about the cybersecurity landscape, particularly stressing the need for innovation. Jain proposes that the budget should introduce incentives to bolster the adoption of secure artificial intelligence solutions. He also draws attention to the rising threat of cyberbullying, advocating for dedicated funds to raise awareness and improve prevention mechanisms for online safety, especially for vulnerable groups like senior citizens and young adults. Jain believes these measures will pave the way for a more secure digital environment.

Meanwhile, Chinmay Hegde, CEO of Astrikos.ai, shifts focus to the urban infrastructure sector, highlighting India's rapid urbanization and its need for sustainable development. He urges the government to increase funding for the Smart Cities Mission and invest in AI-driven infrastructure management. Hegde envisions a future where sustainable urban mobility is supported by technologies such as artificial intelligence, Internet of Things (IoT), and automation, all of which aim to enhance operations, energy conservation, and waste management.

Hegde also emphasises the need for skill development programmes in AI and machine learning, suggesting public-private partnerships as a means to equip the workforce with necessary skills. He advocates for increased research funding and the establishment of advanced data centres to reinforce India's position as a leader in AI and analytics.

Addressing the challenges faced by startups, Hegde calls for reducing bureaucratic hurdles, particularly in taxation. Noting the issues within the 'Startup India' income tax rebate eligibility scheme, he points out that excessive red tape often deters eligible startups from benefiting from government initiatives aimed at fostering innovation.

These varied insights from industry leaders underscore a collective call for policy reforms and investments that could propel India towards becoming a more innovative, secure, and sustainable economy. As the union budget is set for announcement, stakeholders across these sectors are eager to see if their expectations will be met, potentially unlocking new avenues for growth and development.