Budget 2025 LIVE: FM bets on tax cuts to spur growth; Oppn calls it 'election package for Bihar'

Union budget 2025-26 Live Updates: Modi govt has made some big announcements including changes in the new tax regime with taxpayers not having to pay any income tax on earnings up to Rs 12 lpa

6:06 PM

'Tax waivers, deductions on certain essential drugs are a welcome step'

Speaking on the Budget, VP Chandrasekaran, COO,  SRM Global Hospitals, said, "The Union Budget 2025 has made some positive moves in the healthcare sector... The tax waivers and deductions on certain essential drugs are a welcome step. However, a more impactful reform would be a complete tax exemption on all healthcare-related products, making medical care more affordable for the public."

 

6:04 PM

'Welcome the strong push to energise consumption'

According to Akshat Seth, MD & CEO of HIL Limited, a part of CK Birla Group, "The Union Budget 2025-26 underscores the government’s strong push for infrastructure-led growth together with the themes of innovation and global competitiveness. The Rs 1.5 trillion allocation for 50-year interest-free loans to states, enhanced outlay for the Jal Jeevan Mission to achieve 100 per cent household water supply, and the introduction of public-private partnership plans can be pivotal for strengthening India’s infrastructure."

 

He added, "We welcome the strong push to energise consumption by putting more money in the hands of people, coupled with a forward looking investment push in infrastructure, nuclear power, artificial intelligence and geo-spatial missions. We are confident that this one-two punch will drive economic expansion, create employment and boost demand for home and building solutions – a segment that we are deeply interested in."

6:03 PM

'Budget underscores strong commitment to research, development and innovation'

According to Kunal Patni, Executive Director and Country Head, Natural8 India, "The Union Budget 2025 underscores a strong commitment to research, development, and innovation, which will be instrumental in driving India's technological leadership on the global stage. The ₹20,000 crore allocation for private-sector-led R&D, along with the exploration of a Deep Tech Fund, presents a significant opportunity for startups and innovators to push boundaries in next-gen technology."

 

He added, "Encouraging collaboration between academia and the private sector through initiatives like the PM Research Fellowship Scheme will further accelerate breakthroughs in AI, blockchain, and other emerging fields. For industries like ours, which thrive on continuous innovation, these measures will create a more dynamic ecosystem for technological advancement. The focus now should be on efficient execution to ensure that these funds and opportunities translate into real, transformative impact."

5:28 PM

Rationalisation of slabs in new tax scheme to stipulate demand'

According to Nishant Arya, Vice Chairman & MD, JBM Auto Ltd, "The Union Budget 2025 prioritises private sector investment, MSME growth, and a strong domestic EV manufacturing ecosystem. A push for CleanTech manufacturing, including duty exemptions on EV battery production and critical minerals, aligns with the Prime Minister’s E-Drive scheme to accelerate green mobility and will further boost India’s mission to promote cells and battery manufacturing capacity."

 

He added, "This will not only lower production costs but also incentivize companies to scale up operations, drive technological advancements, and create high-value job opportunities for India’s youth alongwith setting up of 5 National Centres of Excellence. The addition of 120 new regional airports will increase demand for electric tarmac buses, further supporting sustainable transit."

 

5:25 PM

'Budget takes proactive approach to strengthen India’s financial markets'

According to Nikhil Aggarwal, Founder & Group CEO, Grip Invest, "The Union Budget 2025-26 takes a proactive approach to strengthen India’s financial markets by reducing the TDS on securitisation trusts from 25 per cent to 10 per cent and bringing it in line with other fixed income instruments like corporate bonds. This $20 billion a year market will now see great participation from all investor segments. Over the last 2 years retail investors have also started investing in this asset class and creating additional pool of capital for the Indian economy's growth."

 

He added, "Additionally, the introduction of the Partial Credit Enhancement Facility by NaBFID is a strategic move to support corporate bond issuances. By reducing credit risk for issuers, this initiative should encourage more corporations to tap the bond market for funding. Together, these measures are expected to broaden capital access, lower financing costs, and promote long-term stability in India’s credit and bond markets."

5:20 PM

'Budget will augment business growth and nation building'

According to PV Murthy, Head of Labour & Employment at Economic Laws Practice, "Finance Minister Nirmala Sitharaman’s measures to promote employment and entrepreneurship are in the right direction and would not only address the issue of unemployment but also will augment business growth and nation building. As part of the initiatives announced in the last budget, Corporates like TATAs have already started working actively towards internships which is gaining great traction. Announcing further measures in this budget will  build a sustainable momentum in the right direction!"

5:17 PM

Mandaviya hails Budget for transformative steps for gig workers

Union Labour & Employment Minister Mansukh Mandaviya on Sunday hailed the budgetary allocation for labour welfare, saying social security for gig workers is a transformative step. Finance Minister Nirmala Sitharaman on Saturday announced a social security scheme for one crore gig workers engaged with online platforms and said the government will provide them identity cards and facilitate their registration on the e-Shram portal. The move will help these platform workers get benefits of social welfare schemes run by various government agencies.

5:06 PM

'Budget provisions to reduce compliance burden'

Speaking on the Budget, Mitesh Jain, Partner, Economic Laws Practice, "In order to reduce the compliance burden on the assessee and administrative burden on the Transfer Pricing Officer, it is proposed that the assessee can exercise an option (to be validated by TPO) wherein the ALP determined by TPO for a particular year shall apply to similar transaction for following two consecutive years. The proposed provision is intended to reduce the compliance burden on the assessee and administrative burden on the TPO by avoiding the same transfer pricing analysis repeatedly every year for similar transactions. It may be noted that the proposed provision of block TP assessment will not be applicable for search cases."

5:03 PM

'Focus on nuclear energy a significant highlight of the Budget'

According to Satyadarshi Kunal, Partner at Saraf and Partners, "A significant highlight of the Budget is the focus on nuclear energy. The government has allocated substantial funds to develop and enhance nuclear energy infrastructure, aiming to increase the share of nuclear power in the country's energy mix. This includes investments in new reactor technologies, research and development activities, and the establishment of new testing facilities at national labs."

 

He added, "Further, the government's support for Small Modular Reactors (SMRs) development is expected to drive innovation and attract private investments in this emerging technology. The Budget underscores the need for amendments to the Atomic Energy Act to facilitate private sector participation in nuclear energy projects. These amendments are expected to streamline regulatory processes, enhance transparency, and provide a robust legal framework for the safe and secure development of nuclear energy infrastructure. The budget also addresses the Civil Liability for Nuclear Damage Act, emphasising the need for a balanced approach that protects public interests while encouraging private investments in the nuclear sector. The government has proposed measures to clarify liability provisions and ensure adequate compensation mechanisms for nuclear damage."

5:01 PM

'Budget will provide a major fillip in overcoming maritime sector constraints'

According to Nishant Shah, Partner at Economic Laws Practice, "The growth of Indian International Trade and considering the government's ambition to reach higher trade quantum, there is a concurrent need for strengthening the shipping sector. Currently, the Indian shipping sector is facing significant constraints from global competition as well as internal constraints arising on account of country's regulatory regime."

 

He added, "The current focus on the maritime sector and allocation of Rs 25,000 crores to this sector will provide a major fillip in overcoming these constraints and cater to growing Indian International trade, major portion of which is currently catered to buy foreign shipping companies. This is resulting in outflow of critical foreign exchange from the country."

4:55 PM

'Budget 2025 delivers a significant boost to India's startup ecosystem'

According to Joji Varghese, Founder and CEO, Print2Block, "The Union Budget 2025 delivers a significant boost to India's startup ecosystem, particularly in deep tech and innovation-driven sectors. The increase in loan limits from Rs 10 crore to Rs 20 crore, coupled with a moderated guarantee fee, will provide critical financial support to startups in key sectors under Atmanirbhar Bharat. This initiative will enable entrepreneurs to scale their ventures more effectively while reducing financial constraints."

 

He added, "One of the most notable announcements is the introduction of a Deep Tech Fund of Funds, a potential game-changer for India's next-generation startups. By fostering investment in AI, blockchain, and other cutting-edge technologies, this initiative positions India as a global leader in deep-tech innovation."

4:45 PM

'Budget to give a strong push to retail consumption'

Speaking on the Budget, Achint Setia, CEO Snapdeal, said, "This budget is welcome news for crores of Indians in the middle and lower income brackets. By leaving more money in their hands and encouraging savings and investments, the budget is likely to add a strong push to retail consumption and economic growth.”

4:34 PM

FM cites India's fiscal discipline as key to Moody's unchanged ratings

Finance Minister Nirmala Sitharaman on Sunday flaunted India's unblemished track record of not faltering on any of its fiscal consolidation or debt reduction targets as she seemed to shrug off the passiveness of agencies like Moody's which have not upgraded India's ratings.

4:29 PM

Budget 2025: ME-Card announced for credit access to MSMEs; key features

Union Finance Minister Nirmala Sitharaman, while presenting the 2025-26 Budget on February 1, announced significant reforms aimed at strengthening Micro, Small, and Medium Enterprises (MSMEs) and start-ups. To facilitate credit accessibility, the finance minister introduced a customised credit card scheme for micro enterprises (ME-Card) registered on the Udyam portal.

 

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4:25 PM

'Welcome the expansion of medical education'

According to Smeet Patel, Director, Mayflower Women’s Hospital, Ahmedabad, "The budget introduces key healthcare reforms, and I welcome the expansion of medical education, with 10,000 new seats this year and a plan to add 75,000 over five years. This will help address the doctor shortage, particularly in women’s healthcare."

 

He added, "Setting up daycare cancer centres in every district hospital is a crucial move towards improving access to cancer treatment, particularly for patients with cervical and ovarian cancers. Furthermore, the exemption of customs duties on 36 essential medications, along with Patient Assistance Programs, will help alleviate the financial strain on those fighting chronic and rare illnesses. A great move is the government’s push to strengthen urban healthcare—this will help women in low-income groups access better treatment options."