The upcoming Union Budget for FY25-26, set for February 1st, is drawing keen attention from all corners of India’s economy. Industries spanning infrastructure, IT, telecom, agriculture, healthcare, human resources, and education are on high alert, anticipating how the government’s fiscal strategy will shape their futures. This piece examines the central hopes and forecasts of industry leaders across various sectors for Budget 2025-26, drawing insights from pre-budget discussions, industry reports, and expert evaluations.
- Ravi Kunwar, Mr. Ravi Kunwar, Vice President- India & APAC, HMD says, “As we approach the Union Budget 2025, we see immense potential for policies that could strengthen India’s position in the global mobile manufacturing landscape. The Production Linked Incentive (PLI) scheme has been a game-changer for domestic manufacturing and, we believe providing a boost to the PLI scheme with a focus on increasing local value addition to more than 18% is indispensable. Simultaneously, initiatives like these could support the localization of critical smartphone and feature phone components, as this aligns with both our business strategy and India’s vision of technological self-reliance is something we as a brand are anticipating. The upcoming budget has the potential to strengthen domestic component manufacturing, particularly in the mobile segment. We look forward to policies that will boost indigenous production and create a more robust supply chain. Our commitment to ‘Make in India’ remains firm, and we look forward to policy frameworks that could help us to deepen our manufacturing footprint in the country. We are optimistic that the budget will introduce measures to support technological innovation and sustainable growth in the mobile manufacturing sector.”
- Mr. Bimal Khandelwal, CEO- STT GDC India says, “The Union Budget 2024 was a significant step forward for India’s digital future, demonstrating the government’s commitment to infrastructure, including digital and AI development. The focus on infrastructure, energy security, manufacturing & services along with a special onus on AI, building on India’s world leading DPI and key initiatives around bolstering innovation highlights the government’s forward-thinking approach. Furthermore, the emphasis on skill development and fostering a talent pool for the tech sector sets a solid foundation for growth. Looking ahead to the 2025 Budget, we expect the budget to build on the strong structural fundamentals of the economy to unlock a higher growth trajectory. We anticipate continued support for building sustainable digital infrastructure at scale in India to support the digital ambitions of the industry, the government and an increasingly digitally penetrated population of 1.45 billion. We look forward to enhanced support for deployment of data centres that support and enable the technologies of the future in terms of strengthening of the incentives for green data centres, competitive power availability, enabling tax reliefs for infrastructure investments particularly digital and bolstering R&D in AI and cloud supporting technologies, increased avenues of Government’s economic collaboration with the industry and incentivisation of joint skill development efforts. We believe these will be pivotal for accelerating digital transformation. STT GDC India remains completely committed to supporting the nation’s long term sustainable and innovative growth in line with the government’s vision of Viksit Bharat.”
- Rajeev Singh, Managing Director, BenQ India and South Asia says, “As we approach the Union Budget 2025, targeted investments in emerging technologies such as artificial intelligence (AI) should remain a key area of focus. With India’s AI market projected to reach $17 billion by 2025, there is a strong call for enhanced government support in AI research and innovation. This includes the need for research grants, tax incentives, and public-private partnership frameworks to make long-term AI research commercially viable. We also strongly anticipate enhancements in digital infrastructure, particularly in rural areas, to improve financial inclusion and integrate underserved communities into the economy. The budget should also consider the necessity of high-performance computing resources, data centers, and specialized AI hardware to support innovation. Government support through shared infrastructure models could democratize access to these essential resources and facilitate the growth of AI capabilities across the nation.
In addition, the establishment of India’s first private semiconductor facility in Andhra Pradesh is expected to receive support in the upcoming budget. This initiative will bolster local manufacturing capabilities and reduce dependency on foreign imports, which is vital for the tech sector’s growth. With the manufacturing sector being a critical driver of economic growth, we also hope for expanded Production Linked Incentive (PLI) schemes that could create millions of jobs while enhancing India’s manufacturing exports.”
- Gerald Jaideep, CEO, Medvarsity says, “As we anticipate the 2025 Union Budget, there is a strong need for policies that support the growth of digital healthcare education and skilling in India. Initiatives such as tax incentives for organizations investing in healthcare upskilling, funding for digital learning infrastructure, and promoting public-private partnerships can play a transformative role. Additionally, prioritizing innovation and technology in healthcare education will help bridge skill gaps and ensure a future-ready workforce. We hope for a budget that empowers the healthcare ed-tech sector to drive meaningful and scalable impact across the nation.”
- Srividya Kannan, Founder and CEO, Avaali Solutions says, “The 2025 Union Budget should focus on creating a robust ecosystem that incentivizes the adoption and development of AI across industries while empowering the tech workforce through structured learning initiatives. It is vital for the government to support R&D and innovation in AI so that India solidifies its position as a global leader in technology innovation. I’m keen to see the government allocate subsidies, incentives, or grants specifically for developing AI-driven solutions. Policies supporting R&D in AI applications, particularly for enhancing automation, improving efficiencies, and enabling data-driven decision-making, will give Indian businesses a competitive edge in global markets. An emphasis on building cybersecurity infrastructure and policies that encourage the adoption of digital and AI workflows will play a pivotal role as well. Grants or tax breaks to promote AI-enhanced automation platforms will help organizations streamline their processes while staying globally competitive.
Moreover, for India to retain its status as the digital talent powerhouse of the world, upskilling and reskilling the workforce should be a priority. The budget should allocate increased funding toward government-sponsored training programs in AI, machine learning, and cybersecurity. Partnerships between academia and industry to create advanced certification programs could further prepare the workforce for the demands of enterprises undergoing digital transformation. Special focus on women’s participation in tech through scholarships or incentives would also ensure a more inclusive ecosystem.”