Budget 2025-26 : Industry Reaction

0

Budget 2025 – Defence Manufacturing
The budget has proposed some effective measures to build self-reliance in defence manufacturing. Earmarking a sizable part of the modernisation outlay for procurement through domestic sources and domestic private industries is a move in the right direction to boost bolster capacity and capability. It will also pave the way for a stronger private sector’s participation in the country’s defence ecosystem. The focus on AI and deep tech innovation also augurs well for the defence and precision engineering domain as it will lead to the development of a future-ready talent pipeline. In a way, new-age tech interventions will also bolster defence manufacturing capabilities. From a holistic perspective, the budget has set the progress path to drive defence exports to attain the defence exports target of ₹50,000 crore by 2029.

  • Mr. Jaikaran Chandock, Director, Balu Forge Industries Ltd.

The Union Budget sets a bold vision for Viksit Bharat, fostering an ecosystem where innovation thrives, capital flows seamlessly, and businesses—smart-sized like ours—scale with agility. The establishment of five National Centers of Excellence for skilling, coupled with a ₹20,000 crore innovation push—including a Deep Tech Fund and ₹500 crore for AI CoEs in Education—strengthens India’s position as a leader in AI and emerging technologies. The focus on Global Capability Centres (GCCs) in Tier-II cities is a pivotal move in India’s journey to becoming a strategic hub for digital engineering. At Xoriant, we are excited to contribute to this vision—leveraging skilled talent and innovative tech to accelerate platform-led growth and drive transformative advancements.

  • Mr. Sourabh Jalan, Chief Financial Officer, Xoriant

Budget 2025 : Infrastructure / Logistics

”The budget has laid the framework for long-term economic growth while fuelling all the key drivers – consumption, manufacturing, infrastructure, innovation, employment, private investment etc. At the same time, the government has demonstrated fiscal prudence by staying on the fiscal glide path. The personal tax reform will offer strong impetus to urban consumption, thus driving demand. The continued emphasis on infrastructure development will further enhance efficiency in the logistics operations – be it storage, transport and distribution. The focus on ease of doing business and regulatory reforms will further improve the investment climate and strengthen private investment in various sectors. The proposal to transform India Post into a large public logistics organization will boost the logistics capacity nationwide. The budget also reflects the government’s vision to turbocharge the development with new-age technology interventions through AI and deep tech innovation. All in all, the budget will act as a force-multiplier and will further strengthen macroeconomic stability while building resilience.”

– Deepal Shah, Group CFO, Allcargo Group

“The Union Budget 2025-26 focuses on inclusive growth, infrastructure development, MSME support, and strengthening manufacturing and trade. The continued push for infrastructure will drive demand in the commercial vehicle sector, positively impacting financing needs. Additionally, the emphasis on affordable housing will provide momentum to the sector, creating opportunities for housing finance companies. Focusing on manufacturing and trade will further stimulate transportation, leading to an incremental increase in vehicle finance. The budget takes a balanced approach to growth and financial stability, fostering long-term development across key sectors.”

  • Mr. Sachin Pillai, Managing Director & Chief Executive Officer, Hinduja Leyland Finance Ltd

“The Union Budget 2025 highlights a decisive push towards financial empowerment and inclusion and a digitally-driven economy. The government’s vision to expand access to formal credit, strengthen the digital financial literacy, and enable a thriving fintech ecosystem aligns well with our mission at Home Credit India. We welcome the budget’s provisions aimed at supporting the Middle and Lower-income groups, enhancing consumer protection, and fostering responsible lending practices. The focus on ease of compliance and ease of doing business, rationalisation of customs duties, widening the scope of MSMEs and the sustained emphasis on agrarian economy are all positive steps, reinforcing the core growth elements. As a responsible lender, we remain committed to driving financial inclusion by offering simple, transparent, and accessible credit solutions to underserved communities. By leveraging technology and innovation, we will continue to support India’s vision of a financially resilient and digitally empowered nation, ensuring that millions of consumers can achieve their financial aspirations with confidence.”

  • Ondrej Kubik, CEO, Home Credit India on Union Budget 2025

Leave A Reply

Your email address will not be published.