Hospitality- Positive Impact.
With a focus on certain tourism segments and smart partnerships with states, the Budget is laying a solid basis for growing India’s tourism and hospitality industries. The government is fostering a more varied and rich travel experience and enhancing infrastructure by creating the top 50 tourist sites. To promote more sustainable and well-chosen tourism options and strengthen the hospitality industry, the PLI will push governments to be more proactive in destination management.
Tourism can be made more accessible by enhancing port infrastructure and regional connectivity, which will boost the hospitality industry by drawing more visitors to even lesser-known locations.
Healthcare and Pharma- Neutral Impact.
The much-needed rural and semi-urban health infrastructure, including the modernization of current hospitals, the construction of new hospitals, and the expansion of physician strength, would be strengthened and improved by a 12% increase in budgetary allocation to health. An increase in funding for PMJAY would enable hospitals to serve patients covered by the program more quickly.
BFSI–Neutral Impact.
More businesses will benefit from MSME benefits and be able to access finance for working capital and capital expenditures at competitive rates thanks to increased investment and turnover limits for MSMEs and a double credit guarantee cover. More financial support for agricultural production would result from Kisan Credit Cards (KCC) facilitating short-term loans and raising the loan limit to Rs 5 lakh.
Non-Ferrous Metals–Neutral Impact.
Now that the basic customs duty (BCD) on waste and scrap of non-ferrous metals (NFM) like copper, zinc, and lead is completely exempt (2.5–5% to nil), the move will primarily benefit import-dependent secondary/recycling players by lowering the cost of key inputs and lessening the impact of currency fluctuations on small and mid-sized players, primarily MSMEs. The decrease in the cost of essential inputs is expected to boost secondary NFM producers’ competitiveness and result in higher output from these companies.
Real Estate- Positive Impact.
To expedite the completion of affordable and mid-income housing projects that have stalled, SWAMIH Fund 2.0 seeks to increase liquidity. While tax simplifications for self-occupied and rental houses may encourage residential investment, revised tax slabs, and higher rebates are anticipated to promote housing demand. It is anticipated that the establishment of new leasing hubs and the growth of commercial parks will be fueled by the government’s goal to implement a National Framework for Global Capability Centers (GCC), which will serve as a guide for states in encouraging GCC expansion in tier 2 cities.
For Grade A warehouse leasing, concentrating on enhancing India’s standing as a global manufacturing powerhouse is probably going to be beneficial.
Transport Infrastructure – Roads, Air and Shipping–– Positive Impact.
Roads and railroads will continue to get capital expenditures, while airports and shipping will see increases. Project award momentum will be supported by the anticipated switch in road sector projects from EPC to PPP versions. The development of a maritime fund and participation in HML would provide long-term lending options for the shipping industry at competitive rates, while the Revamped Shipbuilding Financial Assistance (SFA) Scheme will draw private sector investments in shipbuilding businesses. Regional air connection will be improved by a greater emphasis on airport infrastructure through modified Udaan 2.0. In addition to greater budgetary support for governmental capital expenditures, urban infrastructure development also gains prominence thanks to specific funds.
