Union Finances 2025 to behave as catalyst for India's $5 trillion economic system aim, ETCFO

New Delhi, Jan 29 (IANS) India’s aim of turning into a $5 trillion economic system requires insurance policies that promote sustainable and inclusive progress and the Union Finances 2025-26 can act as a catalyst for progress whereas making certain fairness and effectivity within the economic system, a pre-budget survey confirmed on Wednesday.

New Delhi, India’s aim of turning into a $5 trillion economic system requires insurance policies that promote sustainable and inclusive progress and the Union Finances 2025-26 can act as a catalyst for progress whereas making certain fairness and effectivity within the economic system, a pre-budget survey confirmed on Wednesday.

As India prepares for the Finances, the financial outlook stays constructive, reflecting a shared confidence amongst companies within the nation’s progress trajectory.

Grant Thornton Bharat’s pre-budget survey confirmed that India is on monitor to change into the fourth-largest world economic system by 2026.

Nearly all of survey respondents anticipate financial progress between 6-6.9 per cent in FY 2025-26, whereas 22 per cent anticipate a stronger progress fee of 7-7.9 per cent.

Important progress drivers embody ease of doing enterprise reforms (68 per cent), inflation and financial coverage administration (57 per cent), enhance in FDI and powerful commerce agreements with main world economies (54 per cent), authorities incentives and subsidies to spice up home consumption (51 per cent), and technological developments (49 per cent).

Amongst company tax priorities, the Finances ought to streamline GST compliance procedures (44 per cent), cut back company tax charges for small and medium enterprises (30 per cent), enhanced measures for resolving tax disputes (15 per cent), introduction of extra tax incentives for startups (14 per cent), and introduction of recent tax incentives for analysis and growth (13 per cent).

The survey highlighted key industries that would be the progress drivers, together with agriculture and meals processing, automotive, shopper and retail, healthcare and prescription drugs, know-how, monetary providers, actual property, and power and renewables.

The agriculture sector is a cornerstone of India’s financial progress. The earlier Union Finances 2024-25, with a Rs 1.52 lakh crore allocation in the direction of the sector, made vital strides in productiveness, analysis, and resilience.

“To ascertain India as a world chief in agriculture, the upcoming finances might want to deal with a number of key areas, comparable to streamlining exports, enhancing provide chains, increasing entry to credit score, empowering ladies in agriculture and selling sustainable practices,” stated the report.

The Union Finances 2025 presents a chance to implement transformative reforms throughout industries. Strengthening fiscal insurance policies, incentivising innovation, and enhancing regulatory effectivity will likely be essential for sustained financial progress, the report emphasised.

–IANS

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