Enabling Growth:
As the fastest growing economy in the world, our GDP growth at 7% has shown incredible momentum. Around ₹10 lakh cr investment in infrastructure (amounting to 3.3% of GDP) will help setup a strong platform for growth for today and the future.
The government’s continued intent to increase GDP spend on healthcare (around 2.1% of GDP) combined with efforts from the Centre and states will likely bring the spends up to 2.5% of GDP, enabling solid improvement on core Sustainable Development Goals (SDGs) on health. Allocation of ₹90,000 cr for health represents a 12% jump over last year, and is a recognition of the fact that health is vital to economic growth.
The government’s focus on infrastructure development, digitization, and reforms in the education and healthcare sectors, will create a more favourable environment for businesses to operate and grow. This, in turn, will drive job creation and stimulate economic activity.
Environment for Everyone:
This was truly a green budget – there was sustained focus on green energy, green mobility, green funds and a resolute commitment to net zero. Encouraging green behaviour through credits for individuals and enterprises will create a climate of awareness and desirable long-term effects. The National Recycling Fund, will help in creating a circular economy, where waste is treated as a resource.
Equity:
Focused on empowering women, developing the skills of the youth, providing funds for developing tribal infrastructure and improving employment opportunities – the budget did a lot to promote the notion of equity, and to give every Indian the opportunity to reach their full potential. To upskill the country’s youth for domestic and international opportunities, 30 advanced skilling centres are envisaged – this will unlock highly skilled jobs for our young demographic. Addressing the need for trained healthcare talent, the proposal for 157 new nursing colleges co-located with the existing medical colleges will help bridge the gap and provide a trained pool of nurses for the growing healthcare infrastructure in the country. This is a much-needed step towards strengthening our healthcare system, which was put to the test during the pandemic.
The building blocks are beginning to come together to position India as a leader in futuristic medical tech, devices and high-end manufacturing and research, including building the skill sets that are required.
Additionally, efforts and incentives to make AI in India and make AI work for India is an exponential approach. The benefits of encouraging AI in healthcare via Centres of Excellence, coupled with firm actions to support ICMR labs to expand R&D gamut will enable us to find path-breaking solutions that re-imagine healthcare delivery for the future.
The aspirations of India’s salaried class people were well-addressed. With more retained earnings, they now have the flexibility to spend, save and build security for their future.
Overall, this budget was anchored in reality, transparency and achievable goals. It was not about statements of largesse or relief, but about reducing the burden of compliance and of doing business, about transparency, and building synchrony with what’s emerging – technology, digital pathways, sustainable cities, and behaviours. While many may see the budget as a roadmap, it was a compass.