Budget 2016 is finally out. Finance Minister Arun Jaitley presented the budget third time. This time industry and startups were expecting it to be a bold budget. However, most of them are disappointed. FM Arun Jaitley tried to make a budget which is development oriented and also fiscally prudent. He has been able to maintain the fiscal target of 3.5 percent.
It offered a fine blueprint of a series of small steps for Indian rural sector, but failed to take bold reform measures on the front of ease of doing business and especially banking sector reforms. The infrastructure spending is also not huge. Read what Indian startups giants have to say about the budget 2016.
Ravi Gururaj,Chair – Product Council & Member – Executive Council, NASSCOM and the founder & CEO of QikPod
The budget 2016 disappointed me. In his January speech, Prime Minister had set high expectations by rolling out a series of policy –related reforms. The budget talked about 3-year income tax holiday, but MAT has been imposed which will take away the benefits from the nascent companies.
Shailesh Vikram Singh, executive director, Seedfund Investment Advisory Company
We expected it to be a bold budget as our economy is in midst of crisis. There is no focus on removing red tapism. Multiple cess has been imposed that will increase the paperwork. I will just give it 3.5 out of 10.
Vijay Shekhar Sharma, founder and CEO, Paytm
I am really happy with the budget for measures like Aadhar and IndiaStack. The government has finally provided the much-needed legislative banking that will help harnessing the full-impact of such an incredible platform. This budget creates a strong platform for rural India. However, further steps needs to be taken for ease of doing business.
Ashwini Asokan, co-founder & CEO, Mad Street Den
The ability to register in one day, 100% deduction for the first three years and tax breaks for patent research are good measures. In times to come, government will take a few more measures.
Govind Rajan, Chief Operating Officer, FreeCharge
Fair price shops are lifeline of India. Government has proposed to automate 3 lakh Fair Price shops . It’s a welcome step towards the overall Digital India agenda. This will streamline the processes within these shops.
Waiving off surcharge and convenience fee will also boost embracing of digital payment wallets. 80% discount on filing patent applications by startups will further boost home-grown innovation.
So the views on the street is mixed with a negative undertone. One of the major problem of this budget is lack of reform measures and no move for ease of doing business.