Mr. Prashant Kumar, MD & CEO, YES BANK

Quote: This Budget gets full marks for the choice of areas that the government would want to support in its effort to gradually move India towards its ultimate Viksit stage. This Amrit Kaal has come to India due to its strong demographic dividend and the large number of youths joining the employment force. This needed interventions on all aspects – not only to provide formal education to the youth, but also to encourage the perfect skill mapping. Of note is the support being provided in the budget to MSMEs to scale up and compete with the world by enabling funding to the segment. Doubling the limit for Mudra loans also need to be called out as this will enable small businesses to develop.

 
 Mr. Rajan Pental, Executive Director, YES BANK

Quote: "We welcome the significant measures introduced in the Union Budget, by the Honourable Finance Minister, to bolster MSMEs and the manufacturing sector, enhancing their growth prospects and global competitiveness. The launch of the Credit Guarantee Scheme, which provides term loans up to ₹100 crore without requiring collateral, will notably reduce risk for banks and expand their lending opportunities, facilitating greater investment in essential machinery and equipment.

 
The new credit assessment model, which leverages digital footprints, represents a transformative shift in evaluating MSME creditworthiness. This innovation will streamline the credit process and extend support to MSMEs that lack formal accounting systems, making credit access more inclusive and efficient. Additionally, the enhancement of Mudra loan limits to ₹20 lakh and the provision for continued credit support during periods of stress are designed to stabilize borrowers and reduce the likelihood of non-performing assets. These measures will help maintain operational continuity and foster growth.

 
The reduction of the TReDS onboarding threshold to Rs.250 crore will significantly improve MSME liquidity by facilitating the conversion of trade receivables into cash. Meanwhile, SIDBI's expansion to cover 168 major MSME clusters will broaden credit access and strengthen financial inclusion. Overall, these strategic measures are expected to drive substantial MSME growth, spur innovation, and fortify India's economic resilience. For the banking sector, these changes present valuable opportunities for increased engagement with MSMEs, while mitigating risk and enhancing financial stability."

 Mr. Indranil Pan, Chief Economist, YES BANK

The Budget takes a leaf out of the strategic direction to sustainable growth that has been penned by the Economic Survey. Thus, even with one eye on the fiscal consolidation, the government announced structural measures to boost employment – not only in terms of numbers but also quality, addressed the need to scale up MSMEs through credit facilitation to the sector – even for MSMEs that do not strictly have a formal accounting system. To aid small business, the mudra loan limits have also been enhanced. We believe that this is a budget for the longer term while near term consumption boost comes through providing benefits to income taxpayers. The Budget also promises structural reforms in the factors of production and use market forces to boost the growth story. Equity market participants may not have been happy with the Budget as the STT, LTCG tax rates go up. However, this was government’s way of casting its tax net wider. We see a reduction in the market borrowing programme by Rs 120 bn while net T-bill issuance is lowered by Rs 1 tn over the interim Budget. The reduction in the net T-bill issuance may aid domestic liquidity and push down short-term rates while long tenor rates may remain sticky.

Mr. Vikas Bhasin, Chairman & MD, Saya Group

The 2024 Union Budget's allocation of Rs 10 lakh crore for urban housing is a major boost for the real estate sector. This investment will significantly address the housing needs of urban families and spur growth. The PM 'Surya Ghar Muft Bijli Yojana' for rooftop solar installations is a commendable step towards sustainable living. The positive trends in housing loans reflect a balanced and encouraging outlook for the market. Saya Group looks forward to contributing to the urban development landscape with innovative and luxurious homes.



Mr. Mohit Goel, Managing Director of Omaxe Group
 

The Union Budget 2024-25 has introduced pivotal changes and strategic investments that promise to significantly impact the real estate sector. While the removal of indexation benefits for properties purchased after 2001 signals higher tax burdens for property sellers, the budget simultaneously unveils substantial allocations and reforms aimed at fostering growth and development within the industry.


The budget has notably allocated Rs. 10 lakh crore under the PM Awas Yojana-Urban 2.0, targeting the housing needs of 1 crore poor and middle-class families. This landmark allocation is expected to boost the affordable housing segment and create millions of jobs. Additionally, Rs. 11.11 lakh crore has been earmarked for infrastructural development, with a focus on transit-oriented development and the innovative PPP model for rental housing in urban centers.



Rajjath Goel, Managing Director, MRG Group, highlighted the sustainability focus: "The Union Budget has made an unequivocal statement about its commitment to sustainable urban development, with a sharp increase in finances for projects aimed at improving connectivity and the quality of life in cities. There is a robust framework brought out in the new budget for integrating renewable sources of energy into housing projects in urban areas towards modernizing cities and accommodating the growing urban population effectively."

Mr. Harinder Singh Hora, Founder Chairman of Reach Group, reflected on the past year's success and future opportunities: "The real estate sector witnessed a phenomenal year in 2024. Stable interest rates, ample supply, strong economic growth, and the government's focus on infrastructure development all contributed to a significant boom. As we look towards the future, particularly with the retail sector poised for rapid expansion, ensuring commercial real estate policies that accelerate demand and growth which is further aligned with the government's commendable goal of promoting entrepreneurship is crucial. Reducing GST on construction materials and implementing a single-window clearance system would be a significant step forward."

Uddhav Poddar, MD, Bhumika Group, emphasized the impact on commercial real estate: "The emphasis on infrastructural development by allocating Rs. 11.1 lakh crores along with employment generation and skill development will boost real estate development and provide a fillip to the commercial segment. The promulgation of the PPP model for rental housing in urban centres, along with transit-oriented development (TOD), will also promote real estate development."

Prasoon Chauhan, Founder & CEO, Aurika Homes, focused on affordable housing and infrastructure: "A key highlight of the Union Budget 2024 is the allocation of ₹10 lakh crore to urban housing, which will significantly advance affordable housing and address the needs of middle-class homebuyers. Additionally, the recommendation for state governments to reduce stamp duty is commendable, providing substantial relief to millions of buyers by lowering registry costs."

Gurpal Singh Chawla, Managing Director, TREVOC, praised the budget's vision: "The budget embodies a powerful vision for India’s future growth, and we are thrilled to see the government's strategic focus on infrastructure development, job creation, youth skilling, MSME support, and urban housing. The government's proposal to reduce stamp duty is a game-changer, offering significant relief to millions of buyers by reducing registration costs. This important move will undoubtedly fuel demand and invigorate the sector, sparking a new wave of growth."

 While the removal of indexation benefits for properties purchased after 2001 introduces higher taxes for sellers, the Union Budget 2024-25 provides a balanced approach with substantial investments in affordable housing, infrastructure, and sustainable urban development. The strategic initiatives outlined in the budget promise to drive growth, create jobs, and enhance the overall real estate landscape, fostering a resilient and inclusive market for the future.



 Harry Bajaj, Founder and CEO, Mobec on the EV Sector

Union Budget 2024, presented by Finance Minister Nirmala Sitharaman, demonstrates a strong commitment to India's energy transition and sustainable development. The introduction of the PM Surya Ghar Muft Yojana, providing rooftop solar panels and up to 300 units of free electricity to 1 crore households, is a significant step towards democratizing access to clean energy. Additionally, the focus on advanced ultra-supercritical thermal power plants and critical mineral recycling will bolster our green infrastructure. The energy audit and financial support for MSMEs will drive the adoption of cleaner energy sources in key industrial clusters. These initiatives not only align with Mobec’s vision of a sustainable future but also create a robust ecosystem for green innovation and energy efficiency in India.


Jaya Vaidhyanathan, CEO, BCT Digital

 
Budget 2024 has introduced nine main priorities to boost the economy, including notable rewards for taxpayers who have opted for the new regime. From a banking and fintech perspective, it has tabled several positives:

 The emphasis on Digital Public Infrastructure for applications, including credit, is welcome. It will help formalize lending processes, thereby expanding the market share for banks and fintech players. A vision for the financial sector has been announced to enable our country to become a fintech powerhouse. The success of UPI and the JAM trinity needs to be monetized at a global level. While it's still early days, this is good news. The announcements regarding taxonomy for climate risk are welcome, as it is important to have a homegrown framework for climate risk rather than adopting those from countries with different climate and industry conditions to ours.

 Overall budget 2024 has brought forth some interesting perspectives, setting the stage for a transformative financial landscape ahead, focused on growth and development.