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Below the Quote on Budget by Mr. Thomas John Muthoot, Chairman & MD of Muthoot FinCorp Ltd

The Union Budget 2025-26 presents a forward-looking and balanced strategy to drive economic growth, job creation, financial inclusion, and private sector investment. With a strong focus on infrastructure, MSMEs, agriculture, tourism, and financial empowerment, this Budget lays a solid foundation for long-term economic resilience and inclusive development.

The Rs 10.18 lakh crore capital expenditure outlay is a significant step in boosting infrastructure and job creation. Increased public investment in roads, railways, and logistics will not only enhance connectivity but also attract private investment, generate millions of jobs, and drive economic activity across industries.

The emphasis on agriculture through initiatives like the PM Dhan-Dhaanya Krishi Yojana and the Mission for Aatmanirbharta in Pulses is a welcome move for farmer welfare and food security. By improving productivity, ensuring better market access, and reducing import dependence, these programs will strengthen the rural economy and stabilize incomes.

The MSME sector, a key driver of employment and economic activity, will benefit from higher investment limits, enhanced credit guarantees, and improved financing access. These measures will help small businesses scale, drive entrepreneurship, and create jobs, strengthening India’s manufacturing and service sectors.

The Budget also provides a boost to the tourism sector, with streamlined e-visa facilities, the Tourism Development Fund, and improved travel infrastructure. These steps will enhance India’s attractiveness as a global tourist destination, generate millions of direct and indirect jobs, and contribute to foreign exchange earnings.

The individual tax rate cuts will lead to higher disposable income, increasing domestic consumption, which in turn will stimulate demand across industries and encourage private sector capital expenditure—a crucial factor for sustained economic expansion.

The Rs 860 billion rural employment allocation will provide job security and income stability for millions of workers, strengthening rural livelihoods and ensuring economic participation from the grassroots level.

The Rs 10 lakh crore Asset Monetization Plan is a transformative initiative that will unlock capital for new infrastructure projects, encourage private sector participation, and optimize the use of public assets—driving long-term economic efficiency.

Recognizing the critical role of NBFCs in financial inclusion, the Budget proposes liquidity support and regulatory enhancements to expand credit access for MSMEs and underserved communities. This will enhance financial penetration and empower small businesses and individuals, fostering a more inclusive financial ecosystem.

Overall, this Budget lays a strong foundation for a self-reliant, resilient, and high-growth India. By prioritizing investment, employment, financial inclusion, and private sector participation, it paves the way for a prosperous and developed economy. The focus on sustainable and inclusive growth will ensure that India remains on track to achieving the vision of ‘Viksit Bharat’.

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