Budget 2023: The Modi government has made encouraging start-ups its top priority since they bring in much-needed private investment and give the nation’s bright young people jobs. The establishment of the Start-up India and Stand-up India programmes demonstrates the government of India’s genuine commitment to supporting startups throughout the nation. By 2022, DPIIT had granted official recognition to 80,152 startups.
Our economy depends on the MSME sectors because they provide auxiliary services that enable our industries to operate at full capacity. In actuality, MSMEs are the backbone of the Indian economy. It contributes to the GDP growing by roughly 29%. About 49% of exports come from the MSME sector. Furthermore, MSME has created 11.1 crore employment.
India’s big corporates represents the prestige of our nation and they symbolize the pinnacle of Entrepreneurial acumen of India’s business entities. They are India’s Brand Ambassadors in the countries in which they have diversified.
Also Read: Budget 2023: Rise in inflation major concern for housewives, say ‘middle-class is always neglected’
Expectations from Start-ups
- Tax breaks for venture capitalists and angel investors to promote funding for early-stage businesses
- Regulations and compliance requirements for new businesses should be streamlined to make it simpler for business owners to launch and operate their ventures.
- Access to funding opportunities for startups, such as Increased government funding and venture capital
- Promotion of cutting-edge technology research and development to promote innovation and technological development
- Support for incubation and acceleration facilities, mentoring, and networking opportunities for entrepreneurs
- A favourable regulatory environment that makes it simple to comply with regulations, do business, and simplify tax laws
- Increased regulation on corporate governance of startups
- Encouraging ESG: This could involve taking steps like offering tax breaks to businesses that adopt sustainable practises, setting up a framework for the development of sustainable infrastructure, promoting sustainable agriculture, and encouraging investment in renewable energy sources.
- Increased attention to tier-II and tier-III startup ecosystem development
Expectations from MSME’s
- The primary expectation of the MSME Budget of 2023-24 is to get enhanced access to working capital.
- India has to increase the flow of financing to small businesses if it is to reach its goal of having a $5 trillion economy by 2025, as the MSME sector has been a major contributor to the country’s rise to the fifth largest economy in the world.
- Revisions in MSME Act 2006
- Tax relaxation from capital gains
- Shift to online loan applications
- Cut out balance sheet-based funding
- Expand women’s entrepreneurship policy.
Expectations from Big Corporates
- Focus of the budget should be to continue promote growth with a focus on local manufacturing and exports, keeping in sync with the ‘Make-in-India’ agenda.
- Regulation on Cryptocurrencies
- Expansion of the PLI Scheme
- Tax Incentives for Industry
- Implement National Logistics Policy (NLP)
- Simplification of Advance Pricing Agreement and Safe Harbour Rules
- Mechanism to Adopt Labour Codes
- Measures to Boost Imports and Exports
- Boost to EV Vehicles
Also Read: Budget 2023: Ed-tech industry looks for reforms to make India an education hub
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