With the bid to boost the economy through the multiple investment announcements in the different sectors like health, rural, education, startups, agriculture and Infrastructure, The Finance Minister Nirmala Sitharaman on Saturday tabled the Union budget for the fiscal year 2020-2021.

Here are some reactions from Indian businesses, Startup founders, Investors and Analysts:

International Bullion Exchange at GIFT IFSC will lead to better price discovery of gold: Tapan Ray, MD & Group CEO, GIFT City

“We welcome the announcement in today’s Union Budget on setting up of an International Bullion Exchange at GIFT IFSC. This will lead to better price discovery of gold, create more jobs and further enhance India’s position in the bullion market. This announcement is in line with Honourable Prime Minister Shri Narendra Modi’s vision that GIFT City would become a price setter in some of the world’s largest traded instruments in the next 10 years. Hon’ble Finance Minister has re-emphasised the importance of GIFT IFSC as an emerging global financial services hub. The policy pronouncement regarding GIFT IFSC gives a tremendous boost to investor confidence both in India and abroad. We thank the Ministry of Finance, Government of Gujarat and all related institutions for their support in creating a Vibrant Global Financial Hub.”

Improving animal health will lead to better healthcare of human beings: Rajiv Gandhi, CEO & MD, Hester Biosciences.

We welcome the announcement of the Government of India in today’s Union Budget to work towards the elimination of Foot-and-Mouth-Disease (FMD), Brucellosis disease & PPR disease by 2025, in cattle, sheep and goat in India.  Better health of cattle, sheep, and goats in rural India, where human beings live within proximity of these animals, indirectly leads to better health of human beings. It also improves the economic status of farmers due to productivity improvement from these animals in terms of milk and wool production.     The announcement to increase coverage of artificial insemination from 30% to 70% is also a positive step. Hester Biosciences manufactures Brucellosis & PPR vaccines. We have been and would continue contributing to this initiative of the Government through our vaccines which are available across the country. This initiative by the Government of India goes in line with Hester’s objective of “Better health for human beings through healthier animals”.

It will give a big impetus on enhanced digital connectivity: Jaimin Shah, MD & CEO, DEV IT & Board Member Nasscom Foundation.

“This is a disruptive budget in recent years. It will give a big impetus on enhanced digital connectivity and decrease the skill gap. Data Centres creation, specialized smart cities, and Bharatnet connectivity until the village level will give a big opportunity to the Indian IT industry to grow their domestic market. The budget is hitting the right notes as far as the digital economy is concerned”.

Cut in withholding tax from 5 pc to 4 pc for IFSC Exchange-listed bonds will be an immense boost to all issuers: V Balasubramaniam, MD & CEO, India International Exchange (India INX)

India INX is fully geared up and ready to launch Rupee-Dollar Futures and Options contracts trading as soon as approvals are received from regulators. Further, he said that we will also be keen to set up the International Bullion Exchange at GIFT IFSC. The budget announcement by Honorable FM to reduce the withholding tax from 5 percent to 4 percent for IFSC Exchange-listed bonds will be an immense boost to all issuers and will immensely help them in attracting more international investors. Índia INX has already listed MTN programmes worth 47 billion dollars with a drawdown of 18.5 billion dollars to date. This announcement should greatly incentivize issuers to choose Índia INX as the preferred platform for listing their international bonds and masala bonds.

The listing of LIC is a good move that will bring focus on the life insurance sector: Kamlesh Rao, MD & CEO, Aditya Birla Sun Life Insurance.

“The Finance Minister has announced a balanced budget in spite of existing challenges in hand. It has focused on the generation of employment and inclusive growth through increased expenditure on the rural economy, infrastructure, MSME and healthcare. Abolition of DDT, tax relief to the middle-class and lower-middle-class segments along with simplification of the tax regime will improve public sentiment and augur well for the economy. While, the listing of LIC is a good move that will bring focus on the life insurance sector, other expectations of the sector could have been met better. The insurance industry will be watchful of the implication of the direct tax changes in the new tax regime.”

The budget has no direct impact on Real Estate: Ramesh Nair CEO & Country Head, JLL India.

The Union Budget announcement today continues to focus on affordable housing and infrastructure, more specifically, urban infrastructure and logistics. However, we do not see a significant impact on the realty sector. Keeping in mind the limited fiscal room available to the Government, the focus of the Budget is to increase liquidity and enhance consumer demand through the extension of benefits and simplification of personal income tax.