Finance Minister Nirmala Sitharaman presented the 2023 Union Budget on February 1 and in her post-budget press conference the minister said women empowerment, emphasis on tourism, empowerment of Vishakarmas (artisans) and green growth are the four key focus areas of this year’s budget. While taxpayers were overjoyed with the Rs7 lakh tax free income limit, businesses across sectors did a deep dive of the budget that went beyond what got cheaper and what became more expensive. Read on.
A higher disposable income should lead to a greater propensity to spend and that should also prove to be positive for the auto industry. The third point, which is important for the auto industry, is the scrapping of nine lakh old vehicles which should fuel replacement demand and encourage biofuels in order to maintain carbon neutrality. This would help specific projects which Maruti Suzuki is doing. Overall, Budget 2023 seems very favorable and positive.
There’s much to rejoice for salaried individuals too. I believe that the relief provided by the government’s direct tax proposals will ultimately drive greater demand for consumer goods, as the disposable income surges. This, in turn, will provide a strong impetus for businesses across sectors.
As an entrepreneur, I have always been a fervent advocate of education and employment for all. The Finance Minister’s proposal of setting up a National Digital Library for children and adolescents is truly commendable. As is the decision to set up 30 Skill India International Centres for the youth across different states. These initiatives will, certainly, pave the way for a stronger economic outlook for our country.
While focusing on new pillars of growth, the budget has also given start-ups their due credit. Establishing a National Data Governance Policy to enable access to anonymized data and extending the date of incorporation for income tax benefits to start-ups will be a game changer. In addition, removing the minimum threshold of Rs 10,000/- for TDS and clarifying taxability relating to online gaming is one of the key takeaways.
The proposed Union Budget also reflects the proactive approach by the government in streamlining the tax system and promoting fairness in the industry.
As companies earmark their Capex, advertisers will have their eyes set on these new policies and go forth with buoyancy in their minds. As a result, AdEx too is expected to do well for the year.
In conclusion, the overall budget is a progressive one to widen the country"s horizons and further strengthen India’s economic order on the global stage.
The centres of excellence for AI will aid research, innovation and digital transformation journey of the country. As a marketer I see this a leapfrog move to accelerate the implementation of technology and digital tools by brands in the coming years. Overall, this is a pro-growth and pro-people budget, which will be instrumental towards the Digital India goal and achieving the country"s net zero targets.
This is a progressive and inclusive budget, one that is especially favorable towards new-age industries like the video games industry and the esports sector. It is also a favorable budget to realize the vision of Digital India and the spirit of entrepreneurship and innovation. Today, 1 in 10 people in the world is an Indian under the age of 25. These young guns or Gen Zs are looking at a budget that will empower them not only to be able to improve their livelihood but to also help them get skilled better and build capacity to unlock their true potential.
Today’s budget had 3 focus areas that promise a great year ahead for the video games and esports industry. The first being boosting emerging tech. The focus on new-age skills like Coding, AI, Robotics, Mechatronics, 3D, printing, Drones, IoT, and the setting up of dedicated centers of excellence for Artificial Intelligence in top educational institutions to realize the vision of “Make AI in India’ and to ‘Make AI work for India", bodes well for video gaming and esports since the next stage of growth will be unlocked on the back of emerging tech. This is followed by infrastructural support with the boost in the production of mobile phones and the launch of 100 labs to effectively develop 5G services.
Lastly, skilling, job creation, and boosting entrepreneurship. The PM Kaushal Vikaas Yoajna 4.0 to skill Indian youth in new-age courses for Industry 4.0 is great news, not just for our young population but also for all enterprises in the digital and emerging tech space. With the launch of the National Skill Development Mission, the National Policy on Skill Development and Entrepreneurship, and the setting up of 30 Skill India International Centres, the future is indeed promising and bright for billions. Additionally, the launch of the unified "Skill India" platform to enable demand-based formal skilling, linking with employers (including MSMEs), and facilitating access to entrepreneurial schemes is an overall strong step forward in building and promoting the spirit of entrepreneurship in the country
Video games and e-sports have the power to add incremental value to India’s GDP and the policies and measures announced in today’s budget will propel India towards the goal of being a USD 1 trillion digital economy as part of USD 5 Trillion economy over the next few years.
First Published: Feb 03, 2023, 17:20
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