Budget reaction quote by Jaya Vaidhyanathan, CEO, BCT Digital around Financial services/ Green growth(ESG)/ Taxation.

Jaya Vaidhyanathan, CEO, BCT Digital

The budget was an excellent opportunity for the Finance Minister to take advantage of India’s pole position globally, and she has done justice to it.

With finances bolstered by recent oil gains related to events across Europe and clean PSB balance sheets, the government had decided to spend on infrastructure in a big way, while still maintaining the controlled fiscal deficit path. The focus on refining the banking and financial markets through technology-led initiatives, such as the National Financial Information Registry and unified KYC; replacing the tedious process of document submission with DigiLocker storage; result-based financing, and reforms to develop the municipal bond market will pave way for the maturity of our markets to global benchmarks.

By recognizing Green growth as an important pillar in the budget, the FM has laid the path toward economic development that is sustainable and in line with global efforts to tackle climate change. Green growth includes initiatives such as the promotion of renewable energy sources and the adoption of more sustainable practices which in turn, will promote broader Environmental, Social, and Governance (ESG) initiatives by companies.

On the other hand, the rationalization of tax slabs, simplification of compliances for small businesses, and most importantly, the reduction in personal income taxes would put more money in the hands of the public, thereby boosting the economy after the pandemic-induced slowdown over the last couple of years.