Industry and academic experts have shared their perspectives on the Union Budget 2025, highlighting its focus on consumption revival, artificial intelligence (AI) in education, and fiscal discipline.
Manish Jain, Director – Institutional Business, Mirae Asset Capital Markets, noted that the budget is positive for FMCG, consumption, retail, realty, auto, and new-age companies. However, he expressed concerns over the rise in gross borrowings, which could impact bank yields and treasury income. Jain highlighted the fiscal deficit targets of 4.8% for FY25 and 4.4% for FY26, along with measures to boost consumer electronics, shipbuilding, and logistics. He also pointed out the benefits for EV battery manufacturing and regional diagnostics companies.
Manish Chowdhury, Head of Research, StoxBox, described the budget as a consumption-driven initiative aimed at reviving economic growth. He praised the tax relief for the middle class, increased capex allocation of Rs 11.21 lakh crore for FY26, and efforts to simplify ease of doing business. Chowdhury emphasised the budget’s focus on infrastructure, insurance, and shipping as key drivers for long-term growth.
Dr. Koteswararao Anne, Dean of MPSTME, NMIMS Mumbai, highlighted the establishment of a Centre of Excellence in AI for Education as a transformative step. He stated that the Rs 500 crore investment would revolutionise rural education through AI-driven tutoring systems and vernacular language processing. Dr. Anne emphasised the initiative’s alignment with the National Education Policy 2020 and its potential to create a future-ready educational framework.
Dr. Sagnik Bagchi, Assistant Professor, NMIMS Mumbai, observed a mixed response from the stock market. While initial reactions were positive, indices like NIFTY50 and NIFTY Bank showed fluctuations of 2-3%. He noted that the focus on capital expenditure and tax relief measures had a cautious but positive impact on sectors like infrastructure, insurance, and FMCG.
Prakarsh Gagdani, CEO, Torus Digital, stated that increased disposable income from tax relief would drive consumption but may not significantly boost capital markets. He highlighted that retail participation in markets is already at an all-time high, with growth likely driven by corporate earnings and overall economic expansion.
Dr. Neha Chhabra, Associate Professor, NMIMS Bengaluru, praised the budget’s focus on Viksit Bharat, emphasising its strategic measures for agriculture, MSMEs, investment, and exports. She highlighted the Critical Minerals Development Scheme, personal income tax relief, and customs duty reductions as key drivers for economic growth. Dr. Chhabra also noted the budget’s support for MSMEs through credit guarantees and innovation-led initiatives, which are crucial for job creation and economic diversification.
Overall, the Union Budget 2025 has been viewed as a balanced approach to fostering economic growth, technological advancement, and fiscal discipline, with a strong emphasis on consumption and sector-specific reforms.
