Boosting India’s Economy: Key Proposals from Industry Leaders
New Delhi: As India prepares for its Union budget presentation on 1 February 2025, industry leaders recently met with Finance Minister Nirmala Sitharaman to discuss crucial measures necessary for economic growth. Their focus centered on enhancing investment in education, healthcare, and vital sectors, especially MSMEs and emerging technologies.
Expanding Presumptive Taxation
One of the key proposals from industry bodies like CII and ASSOCHAM is to expand presumptive taxation to Micro, Small, and Medium Enterprises (MSMEs) and sectors such as data centres and cloud computing. This initiative aims to simplify compliance, reduce tax disputes, and promote financial planning. Sanjay Nayar, president of ASSOCHAM, highlighted how this approach creates a win-win situation for both taxpayers and the government.
Fostering Job Creation and Consumption
The discussion also emphasized the need for measures that boost domestic consumption, aiming to integrate India into global value chains and create jobs. CII president Sanjiv Puri pointed out the potential of labour-intensive sectors like ready-made garments and tourism, advocating for targeted interventions to unlock their growth.
Addressing Economic Challenges
With India’s real GDP growth slipping to 5.4% in the September quarter, stakeholders stressed the urgency of implementing policies that stimulate economic activity. The CII proposed prioritizing employment generation, fiscal consolidation, and augmenting central government revenue through strategic divestments.
Promoting Sustainable Growth
In light of extreme climate events, the discussions also called for rationalizing subsidies and introducing comprehensive reforms, particularly in labour laws. These measures are essential to ensure sustainable growth and resilience in the face of global challenges.
As the country gears up for the budget, the collective voices from various sectors underscore the importance of collaborative efforts to foster a robust and inclusive economy. For more insights and updates, visit Looffers.com.
