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ICC Welcomes Union Budget 2025-26 as a Progressive and Inclusive Growth Blueprint

National Age by National Age
February 3, 2025
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ICC Welcomes Union Budget 2025-26 as a Progressive and Inclusive Growth Blueprint
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New Delhi, February 3, 2025: The Indian Chamber of Commerce (ICC) has welcomed the Union Budget 2025-26 presented by Finance Minister Nirmala Sitharaman, calling it a visionary roadmap for economic expansion and social welfare. Rajiv Singh, Secretary General of ICC, said the budget’s focus on agriculture, MSMEs, investments, and exports lays a strong foundation for India’s long-term growth.

“This budget reflects a well-thought-out strategy to drive India’s economic trajectory upward. The emphasis on four key engines—agriculture, MSMEs, investments, and exports—ensures a balanced and inclusive approach to development,” Singh said.

The Dhan Dhanya Krishi Yojna, aimed at covering 100 low-productivity districts and benefiting 1.7 crore farmers, is expected to boost agricultural productivity and enhance storage infrastructure at the panchayat level. The focus on self-sufficiency in pulses production and credit enhancement under the Interest Subvention Scheme marks a decisive step toward a second Green Revolution. Singh said, “Agriculture remains the backbone of our economy, and these measures will provide much-needed support to farmers. A robust rural sector will also strengthen overall consumption and economic stability.”

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To empower MSMEs, the government has increased investment and turnover limits by 2.5 and 2 times, respectively, and enhanced the credit guarantee cover from ₹5 crore to ₹20 crore. An official ICC statement noted, “Indian MSMEs have long struggled with access to credit and scalability. These reforms will enable them to modernize, expand, and compete in both domestic and international markets.”

A significant push for infrastructure development has also been announced, including ₹1.5 lakh crore in 50-year interest-free loans to states for capital expenditure and a ₹1 lakh crore Urban Challenge Fund for projects like ‘Cities as Growth Hubs’ and ‘Water & Sanitation.’ The nuclear energy sector will see a ₹20,000 crore investment in the development of Small Modular Reactors (SMRs), while shipbuilding, marine, and fisheries have been allocated over ₹25,000 crore to encourage private sector participation. Singh remarked, “The scale of infrastructure spending is commendable. The government’s proactive steps in sustainable energy, urban redevelopment, and transport infrastructure will yield long-term economic benefits and job creation.”

To strengthen exports, the government has proposed BharatTradeNet, a unified digital platform for international trade documentation and financing solutions, along with policies for deeper global supply chain integration and a national framework for Global Capability Centers (GCCs). ICC’s statement noted, “Streamlining trade processes and improving supply chain linkages will enhance India’s export competitiveness. These reforms align with the vision of making India a global manufacturing and trade hub.”

Healthcare has been a key focus, with customs duty exemptions on 36 life-saving drugs, including those for cancer and rare diseases, making essential medicines more affordable. Additionally, 10,000 new medical seats will be introduced, and all district hospitals will have day-care cancer centers within three years. Gig workers will now receive healthcare coverage under PM Jan Arogya Yojana. Singh said, “The inclusion of gig workers in healthcare schemes is a landmark decision. It acknowledges their growing role in the economy and ensures their well-being.”

In taxation, individuals earning up to ₹12 lakh annually will now have zero income tax liability, providing significant relief to the middle class. The announcement of a new Income Tax Bill aims to simplify and modernize the taxation system. Singh added, “This budget will boost disposable income, drive consumption, and create a business-friendly environment. It is a progressive step toward realizing the vision of Viksit Bharat.”

The ICC statement further emphasized, “The Union Budget 2025-26 balances economic expansion with social welfare, making it a pro-business and inclusive blueprint for the future. We look forward to collaborating with the government and industry stakeholders to implement these transformative measures successfully.”

Tags: ICCRajiv SinghThe Dhan Dhanya Krishi YojnaThe Indian Chamber of CommerceUnion Budget 2025-26
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