New Delhi: The focus on Public-Private Partnerships (PPP) in infrastructure, along with 50-year interest-free loans for state projects, is expected to create a multiplier effect not only boosting India’s GDP but also strengthening the states’ economy, observed Hemant Jain, President, PHDCCI while articulating his views on Union Budget 2025-26.
He noted that with a historic high of Rs. 50.65 lakh crore, the Union Budget 2025-26 prioritized agriculture, the middle class citizenry, manufacturing, MSMEs, women empowerment, and job creation,
“PHDCCI projects that its strategic focus will contribute over 1% (100 bps) to India’s GDP growth in 2025-26, creating lakhs of new employment opportunities in the country. This budget is in line with PHDCCI’s expectations, the budget has surpassed the Rs. 50 lakh crore mark for the first time,” he highlighted.
The increased budget allocation is set to foster substantial growth across various sectors.
A significant reform in income tax, including the exemption for incomes up to Rs. 12 lakh and a 30% tax rate on incomes above Rs. 24 lakh, will stimulate consumption demand and expand industrial production.
The rise in disposable incomes will drive consumer spending, subsequently encouraging businesses to scale operations, increase investments, and expand production.
The Dhan Dhanya Krishi Yojna, benefiting 1.7 crore farmers in 100 districts, will significantly boost rural development, agricultural productivity, and farm incomes.
Moreover, the mission for self-reliance in pulses is set to reduce food inflation and curb dependence on imports, while a dedicated Makhana Board in Bihar will enhance processing and value addition, further benefiting farmers.
The transformative initiatives would empower the MSMEs and bolster the Make in India manufacturing mission. Enhanced focus on MSMEs will generate employment, accelerate economic growth, and strengthen India’s journey towards Viksit Bharat, concluded Jain.
