Budget opens new opportunities for M&E sector, especially in digitalisation, say experts

Finance Minister Nirmala Sitharaman presented the last Budget before the country goes to the polls. Being the Interim Budget, there were no major announcements, however, there was still much cheer, with Agriculture, Infrastructure (including housing) and Green ecosystem as the key thrust areas. The Finance Minister also provided growth impetus for the EV sector, as well as for the start-up, Digital, AI, new-age technology sectors. During her Budget speech, Sitharaman stated, “Digital India is key to formalising the Indian economy”, thus emphasising the Government’s commitment to put Digital on the fast track of growth.

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Bhavesh Talreja, Founder and CEO, Globale Media:

“The interim budget by Mrs Nirmala Sitharaman sparks optimism, aligning with India’s growth vision and emphasising inclusive development. The significant reduction in the corporate tax rate to 22% for domestic companies strategically stimulates business growth. The budget’s focus on modern infrastructure development, covering digital, social, and physical aspects, opens new opportunities for the Media and Entertainment sector, especially in digitalisation. This budget not only propels a tech-driven economy but also heralds a golden era for companies operating at the intersection of AI and market technology. We eagerly look forward to contributing to this transformative journey and commend the government’s vision for a tech-empowered, inclusive growth trajectory. Moreover, maintaining existing tax rates in the retail sector stabilizes the business atmosphere, fostering expansion.

The emphasis on supporting MSMEs, offering financial aid and initiatives like Fund of Funds and Startup Credit Guarantee Schemes, supercharges entrepreneurship, setting the stage for a collaborative and thriving ecosystem. With revised estimates at 5.8% of GDP, this budget sets the stage for a collaborative and thriving ecosystem, fueling entrepreneurial spirit and propelling industries towards unprecedented growth and success.”

Sushant S Mohan Editor & CEO, DNAIndia.com:

“In my opinion, Finance Minister Nirmala Sitharaman’s presentation of the Interim Budget reflects a perspective on the remarkable transformation of the Indian economy over the past decade. Emphasising the Modi Government’s commitment to structural reforms and pro-people programmes, Sitharaman highlighted the substantial changes witnessed in the economic landscape.

One key aspect outlined in her speech is the Government’s dedication to fiscal consolidation, aiming to reduce the fiscal deficit to 4.5% by 2025-26. This signals a continued focus on financial prudence and stability in the coming years.

Interestingly, FM Nirmala Sitharaman maintained the status quo on taxation, choosing not to propose any changes. Her announcement to keep tax rates for both direct and indirect taxes, including import duties, unchanged suggests a commitment to providing stability and predictability to businesses and taxpayers. This decision aligns with the Government’s strategy to promote economic resilience and certainty.

Overall, the Budget speech reflects a strategic approach to economic management, emphasising continuity, stability, and a commitment to fiscal responsibility.

For our tech savvy generation, the “Interest free loans & corpus for R&D” will work like a boon. It is great and need of the hour that we innovate the way digital media is functioning. We need to break out of the monotony of usual business and find new ways of engaging audience of this ‘Reel’-era.”

Kunal Lakhara, CFO, Pocket Aces:

“As the Union Finance Minister highlighted, the Skill India Mission’s achievements are a testament to our nation’s commitment to nurturing talent and fostering growth. The training of 1.4 crore youth, along with the upskilling and re-skilling of 54 lakh individuals, demonstrates a profound investment in our human capital. Looking ahead, the next five years present an unprecedented opportunity for development. As we strive to realise our vision of becoming a developed country by 2047, these initiatives will play a pivotal role in shaping the future of our workforce and advancing our nation’s prosperity. In our dynamic landscape of media and entertainment, these advancements herald a wave of talent and innovation. As we harness the potential of our skilled workforce and cutting-edge educational institutions, we pave the way for a vibrant and thriving entertainment sector that mirrors the aspirations of our evolving society.”

Rohit Jain, President, Lionsgate Play (India & Emerging Markets Asia) & Chair - IAMAI Digital Entertainment Committee:

“We applaud the government’s forward-looking approach in the interim budget 2024, recognising the pivotal role of innovation and technology in shaping the future economy. The allocation of resources towards technology and innovation is a positive step and resonates profoundly with the entertainment sector, where creativity thrives on cutting-edge advancements. The government’s commitment to fostering an environment conducive to growth and evolution is deeply appreciated.”

Naveen Tewari, Founder & CEO, InMobi Group:

“We commend the government for its forward-looking budget, especially the emphasis on research and innovation, infrastructure development, and the support for sustainable technology. The allocation of a one lakh crore corpus for long-term financing in innovation is a significant step, aligning with our commitment to developing cutting-edge technologies in India through InMobi and Glance, the world’s leading smart lock screen platform. With the introduction of 50-year interest-free loans, it is indeed the golden era for tech-savvy youth. This has laid down the foundation for more targeted measures for consumer-tech, semicon design and production, quantum computing and emerging technologies like AI, especially its development and research for future budgets.

Almost midway through India’s Techade, we are excited to see the continued focus on infrastructure development and increased focus on research and innovation through forward looking schemes like PLI, NEP and skilling initiatives reaching critical mass. This is certainly India’s statement of intent, announcing itself as the new and upcoming leader of manufacturing and innovation in the world. The next step has to be creating software in India, for the world and with Glance, we have already put it in motion. This budget has definitely set us on the path for continual growth and development - the pursuit of ‘Viksit Bharat’ - as we look to become the third largest economy in the world in the next 5 years.”

Sarvesh Shashi, Partner, The Artist Representation Company:

“In light of the Finance Minister’s recognition of the strides made, particularly in sports, as outlined in the Union Budget 2024, it is heartening to see India’s acknowledgment of its immense talent pool. This emphasis on identifying and empowering talent is pivotal in fostering a culture of excellence. However, in a country abundant with talent coordinators, the need for more talent enablers becomes evident. Entities like TARC play a crucial role in guiding artists, celebrities, sportspersons, and digital creators through their growth journeys, contributing significantly to the cultural enrichment of the nation. Yet, to further bolster this landscape, we need more policies and platforms that protect our sportsmen, musicians, creators, and actors. Financing solutions must be devised to ensure that even individuals in the remotest parts of India have equal opportunities. Such initiatives will ensure that talent can thrive irrespective of geographical or economic constraints, thereby contributing to the overall growth and development of the nation.”