Union Budget 2024: Wishes and Expectations

Team L&M

Waiting for the upcoming Union Budget with bated breath, various industry leaders share their expectations from it. Read on:

Shashank Avadhani Co-founder & CEO, Alyve Health
The Budget should focus on preventive healthcare initiatives to ease the burden on the healthcare system. While the health budget has increased 12 per cent to ₹86,175 crore in 2023-24, there is a significant disparity in healthcare services available in rural and urban India. Moreover, the rise in outpatient care costs, especially for lifestyle diseases such as diabetes, heart disease, and cancer, is straining the healthcare system. It makes a case for lifestyle management and preventive healthcare initiatives. Given India’s vast population, prioritising preventive healthcare is essential.

Dr Ishan Shivanand, Mental Health Researcher and Founder, Yoga of Immortals
The government must recognise the growing need for robust mental healthcare policies that integrate traditional Indian knowledge systems with scientifically validated methodologies. India’s mental health budget has stagnated at around 1 per cent of the total health budget, and most of these funds are centralised to a few premier institutes, limiting accessibility. There is a need to prioritize community-based mental healthcare services and ensure transparent financial monitoring to guarantee full utilization of funds. The government’s emphasis on digital mental health interventions is promising, yet, they must also address data privacy and accessibility issues. Additionally, substantial investments are needed for the effective implementation of the Mental Healthcare Act 2017 and the National Suicide Prevention Policy. To truly support mental health, we need a holistic approach that includes education, employment, and healthcare opportunities, making comprehensive mental health support a reality for all.

Abhay Agarwal, Founder and CEO, Clinics on Cloud
It is crucial to take a holistic approach to healthcare that encompasses prevention, diagnostics, treatment, and medical device manufacturing. Upgrading PHCs with Health ATMs, kiosks, and lounges will enhance last-mile connectivity and real-time disease surveillance, leading to better-informed budget allocations. Expanding free diagnostics nationwide and increasing insurance coverage under Ayushman Bharat can significantly reduce out-of-pocket expenses and improve access to care. Investing in medical device manufacturing will reduce our dependency on imports and lower treatment costs. Additionally, digitizing health records and expanding the reach of generic medicine stores will make healthcare more accessible and affordable. Embracing public-private partnerships will drive the next wave of transformation in our healthcare infrastructure.

Rohan Bhargava, Co-founder, CashKaro
The current tax rate for earnings above ₹15 lakh stands at 30 per cent which is quite steep. The significant jump in tax rates from ₹3 lakh to ₹15 lakh highlights the need for a more gradual increase. Raising the income threshold before any tax is levied from ₹3 lakh to ₹5 lakh would provide individuals, especially those in the lower earning bracket, with more disposable income. This change would boost consumption, increase savings for the middle class, and provide positive momentum for the e-commerce industry.
From an entrepreneurial perspective, the upcoming end of the Startup India Seed Fund scheme in 2025 highlights the need for a new initiative to continue supporting the growth of the startup sector. Startups are also calling for the complete removal of angel tax regulations to foster a more conducive investment environment. Furthermore, AI-related regulations should be addressed at the earliest to ensure that as a country, we don’t hit bottlenecks in innovation and growth. Startups prefer self-regulation over stringent guidelines, which can stifle creativity and rapid development in this crucial sector.
Pro-MSME policies are also vital. Simplifying the regulatory framework, providing tax benefits, and creating infrastructure for logistics and digital payments are necessary steps. Overall, keeping operational costs low for MSMEs through such measures will support their sustainability and growth.

Aditi Balbir, Co-founder, EcoRatings
The Union Budget 2024 should prioritise investments in sustainable infrastructure projects and clean energy solutions as 70 per cent of greenhouse gas emissions stem from energy, industry, and buildings . This will create a future-proof foundation for economic growth and help in achieving netzero targets. Infrastructure is crucial in addressing climate change and meeting diverse societal needs. A transformative overhaul of our current and future infrastructure assets is essential.
Globally, 85 per cent of institutional investors incorporate ESG factors into their investment decisions, making ESG investments the emerging norm. The Union Budget should extend industry recognition programs to companies excelling in sustainability. This will encourage wider adoption and foster a more responsible business landscape beyond the financial sector.
The budget should introduce financial incentives, such as lower interest rates on loans and dedicated grants, for companies committed to ESG compliance. This will create a clear link between sustainability efforts and economic benefits.
The implementation of mandatory BRSR (Business Responsibility and Sustainability Report) for all companies will ensure consistent reporting on sustainability initiatives, promoting transparency and accountability.