Corporate India welcomes Narendra Modi-led NDA's re-election; seeks more corrective measures to accelerate growth
Harsh Goenka, Chairman, RPG Enterprises, said that the election results show that PM Modi is India’s captain, as state after state shows thumping victories for the NDA.
Anil Agarwal said that democracy has won and people voted for development
Adi Godrej said the new government is expected to take steps to improve India's GDP growth
Uday Kotak, MD, Kotak Mahindra Bank, said that it is time for transformation of India
Corporate India welcomed the mandate given by the voters to the Narendra Modi-led National Democratic Alliance (NDA) for the second time in the Lok Sabha elections held in April and May this year. Most of the corporate honchos expected that the new government would carry forward the growth momentum besides bringing down corporate tax and generating more employment opportunities to bring down the unemployment rate.
Harsh Goenka, Chairman, RPG Enterprises
The election results show that PM Modi is India’s captain, as state after state shows thumping victories for the NDA. Very few bastions remain where the NDA has not been able to establish its impressive record. It is a thumbs up for the economy which needs the unity, stability and leadership that only the Modi-led NDA is presently qualified to provide.
Uday Kotak, MD, Kotak Mahindra Bank
Time for transformation of India. Time for deep reform. I dream of us as a global superpower in my lifetime. Heartiest congratulations to @narendramodi, the BJP, and the NDA," he said.
Time for transformation of India. Time for deep reform. I dream of us as a global superpower in my lifetime. Heartiest congratulations to @narendramodi , the BJP, and the NDA. — Uday Kotak (@udaykotak) May 23, 2019
Anil Agarwal, Chairman, Vedanta Resources A Democracy has won and I congratulate the people, who have voted for development.
Heartening trends. Democracy wins. Kudos to people who have voted for development. Congratulations PM Modi. Look forward to his next progressive innings. His vision will help India take a leap in her growth journey. @PMOIndia @PetroleumMin @dpradhanbjp @MinesMinIndia — Anil Agarwal (@AnilAgarwal_Ved) May 23, 2019
As Modi takes another step toward next progressive innings, ...his vision will help India take a leap in its journey of growth".
Baba Kalyani, Chairman and MD, Bharat Forge
I congratulate Prime Minister Shri Narendra Modi for a historic win and a strong mandate! People have reposed faith in his visionary leadership and have voted wisely for a stable government. The win is also a testament to his government’s continued efforts to drive inclusive growth and development - Sabka Saath, Sabka Vikas!
Adi Godrej, Chairman, Godrej Group
The new government is expected to take steps to ensure that India's gross domestic product (GDP) growth improves. He explained that one such step should be for corporate tax.
Anand Mahindra, Chairman, Mahindra Group
Size of the country (Land mass+population) X Size of the Economy X Size of the election mandate = Leader’s Power Quotient. By the measure of this crude formula, @narendramodi is about to become the most powerful, democratically elected leader in the world today...
— anand mahindra (@anandmahindra) May 23, 2019
As I watch the counting, I get the unmistakeable feeling that a turning point in history is unfolding before my eyes. Two new power blocs are overthrowing the establishment. Not talking about political parties but women and young, new voters. Increasingly, they will shape India's future.
Nilesh Shah, MD and CEO, Kotak Mutual Fund
The market is looking at the second term of Modi sarkar to build on the foundation laid in the last term. India has good macros in the form of low inflation, better tax compliance, fiscal prudence, high FDI and manageable current account deficit if oil remains at current levels.
Our corporate tax rates are some of the highest in the world, they need to be brought down. The government here, in fact, had promised that corporate tax would be brought down to 25 percent. They have done it for smaller companies but they haven't done it for larger companies. I think that is a very important move and there will be many other moves that will help revive growth.
Anuj Puri, Chairman, ANAROCK Property Consultants
With Modi 2.0, we can expect the steady momentum that the real estate sector has been regaining in recent times to not only maintain its pace but pick up speed. Some of this government's initiatives will now doubtlessly sail through to the final stage of their journey.
Surendra Hiranandani, Founder and Director at House of Hiranandani
We hope that the new government demonstrates concrete action to push investments, increase growth and generate employment.
Anand Kripalu, Managing Director and CEO, Diageo India
A stable government is indeed welcome for the nation and economy. We hope that the new government will reinforce its progressive policies towards industry, and usher in the next phase of reforms to promote ease of doing business and ‘Making in India’. We also look towards the federal government to encourage states to urgently bring comprehensive regulatory reform into key state—GDP contributing sectors such as alcoholic beverages.
Suman Reddy, MD, Pegasystems India
The government, through a range of forward-looking policies has a track record being a catalyst to the IT sector in India. This growth has, in turn increased the industry's share in the country’s GDP. The results give us hope that the groundwork laid during the previous regime will translate to an improved policy environment and faster industry growth over the next five years. Every player in the industry is looking to operate in a competitive environment, find market opportunities to grow, and create jobs. Companies have seen the fruits of a favorable business climate created and are working towards the united goal of creating a trillion dollars of economic value through the digital economy by 2025. They also look forward to adequate levels of protection to maintain India’s competitive advantage over other regional tech hubs and respect the interest of consumers using their services.
Mahesh Iyer, Executive Director & Chief Executive Officer, Thomas Cook (India)
With the travel industry being a crucial contributor to the Indian economy’s employment and growth curve, we are confident that the newly-elected government will strengthen the industry with continuity of its tourism friendly policies. We see the opportunity for increased focus on initiatives like UDAN aimed at enhancing the regional connectivity and affordable air travel, Heritage City Development and Augmentation Yojana (HRIDAY); integrated development of pilgrimage destinations through Pilgrimage Rejuvenation and Spirituality Augmentation Drive (PRASAD), increased allocation towards enhancement of the e-Visa initiative to include additional countries, development of new tourism circuits and attractions for the inbound traveller, along with a strong focus on infrastructure – roads, railways, cruises, waterways and sanitation.
Siddhartha Gupta, CEO, Mercer (Mettl)
India has once again given a clear mandate instead of a fractured one, It should bear fruit for us in the coming years. My advise to the new Government would be to press the pedal on growth enabling measures both social and capital. Higher targets on being a conducive business environment with abundant talent available should be the mission & vision for India. Policy and infrastructure for up-skilling, re-skilling, and improving the ground-level education in consonance with building capability on disruptive technologies like AI, ML, and data science have to be developed. The government needs to author a more transparent and accurate measure of Job creation and well being to ensure we can pursue progressive milestones.
Radhika Rao, economist, and Eugene Leow, Rates Strategist
The 10-year yield is likely to ease to the weaker end of the 7.25-7.35 percent range, if results mirror the exit poll. On the contrary, weak support for the ruling regime will be construed as a negative risk event, sending yields towards 7.4 percent. The ability of markets to sustain gains, thereafter, hinges on the direction of global catalysts, particularly oil prices and US-China trade dispute, as these weigh on regional flows and markets
Political considerations aside, subdued sentiments in the domestic credit markets are likely to take precedence for the central bank. A rating downgrade and resultant surge in bond yields of a non-bank mortgage lender fuelled worries over the creditworthiness of weaker players in the sector. Respite is not in the offing as the RBI dismissed the need for a dedicated credit line to struggling entities, where problems are seen as solvency driven, rather than due to a shortage of liquidity. Separately, NBFCs with more than Rs 5,000 crore in assets had been asked to appoint a chief risk officer to tighten risk management plans. Concurrently, a new operational framework is in the works for non-banks to improve on their asset-liability mix. Focus is also on the RBI’s revised circular to replace the February 2018 version, which had placed stringent course-correction steps for banks to deal with stressed assets.
Chandrajit Banerjee, Director General, Confederation of Indian Industry
At the global high table, this is truly India’s moment. Under Prime Minister Modi’s decisive leadership, India has captured the attention of the world and its brand image will only strengthen in coming days. The election results will reinvigorate the strong and constructive Government-industry partnership and dialogue for growth built by the Government in its previous term and CII pledges to reinforce its policy advocacy and growth initiatives.
Vijay Kalantri, President, All India Association of Industries
The key policy priority of the new government should be to revive private investment and kickstart private consumption. In the rural sector, there is a need to promote farm investment such as irrigation, rural infrastructure and creating a sustainable farm value chain. The government must provide renewed emphasis on creating a common, online market for farm produce. Another area of concern is the sluggish growth in exports in the last few months. The government must improve the competitiveness of the manufacturing sector to improve India’s exports. In order to attract foreign investment, the government must further improve the ease of doing business (EoDB), simplify labour and tax laws.
N Chandraouli, CEO, TRA Research
Winning the mandate of India carries with it a great responsibility to uphold the trust the citizens have placed in it. Raj Dharma, said Atal Bihari Vajpaee once, is the way to govern it's people, without distinction or bias, and such a direction will set India in the right path. After years of reeling under subdued demand and new tax regimes, businesses need relief and succor. The small and medium businesses need to grow and generate employment, and rather than its big business focus, the govt should put their complete energy on rejuvenating this important segment.
Sanjay Chaturvedi, CEO, Shubham Housing Finance
The markets have already reacted positively in anticipation of the current government retaining power with its strong policies to promote growth. We believe that this is immensely positive for the housing finance and housing market. As the current government has shown its commitment to housing for all and we expect it to only continue and accelerate in the next 5 years.
Startups' expectation from the new government
Ronnie Screwvala’s, Co-founder and Chairman, upGrad
Under Prime Minister Modi’s leadership, the government has a proven track record on strong execution and reviewing its impact. Now it’s time to move towards taking bold steps to overhaul our systems at the grass root level especially vis-à-vis education and training for innovation more than just skills, in order to ensure our position as one of the top three economies in the world. The country now needs to move away from a cost-based arbitrage global label we have to an innovation-led economy. As the next step, I also urge the government to fix the sharp divide amongst the rural and urban India & Rich and Poor with a focus on skilling and self-sustenance. In the coming years, India needs to move towards a post arbitrage model where the focus lies in home grown companies & a massive entrepreneurship wave v/s an outsourcing model- that has been the bedrock of Indian economy so far. It’s time for Make In India 2.0 – with a focus on innovation and creativity!
Bhavin Turakhia, CEO & Co-Founder, Zeta & Flock
In the last four years, Indian B2B startups have more than tripled. Our country is now taking giant strides towards becoming one of the fastest growing startup hubs globally. To make this a reality and accelerate their growth, the government must put in place measures such as training hubs for entrepreneurs across India to ease the flow of capital, regulatory compliance and more.’
Satyam Kumar, CEO & Co-Founder, LoanTap Financial Technologies
Currently, a startup needs to follow a number of compliance laid down by various regulatory bodies as well as there is a knowledge gap because of multiple points of contact. Expectations from the government is to make the process simpler to comply with - A single clearance window - which ensures end to end solution or procedure to be followed by a start-up that enables pro-active compliance as well as helps to avoid unnecessary costs.
Krishna Kumar, CEO & Founder, Simplilearn
The newly elected government, in their previous term had introduced several initiatives to bridge the gap of supply and demand of talent by launching the Skill India Initiative in 2015 to train about 400 million people by 2022. We can expect the Skill India initiative to be taken to a newer level. With the need and demand for digital skilling going high, we want the government to encourage public-private partnership model with ed-tech companies at a national and state level with a larger agenda of making Indian IT workforce skill and job-ready.
Javed Tapia, Founder, Slonkit
The current government has given a fillip to startups with initiatives such as Startup India which enables self-certification, rebate in filing patents, income tax exemptions, easier public procurement norms etc. I think the new government should further enhance the vibrant startup ecosystem wherein startups can collaborate seamlessly and share knowledge and technical expertise. This will help India to leverage it's entrepreneurial potential and become a hotbed of unicorn start-ups across different sectors.
Parth Mehta, Managing Director, Paradigm Realty
The NDA-led government did stringent changes in their last tenure which impacted the real estate market severely of which real estate is yet to recover overall. Recent GST implementation at 5 percent with the abolishment of input tax credit again was detrimental for developers as the cost side GST is still exorbitant and not yet lowered in tandem. The government shall revise down input side GST rates to restore shrinking margins of developers.
Jitendra Chaturvedi, Director and Co-founder, Batooni Mobile Advertising
The government had started smoothening the tax issues in start-up funding. Continuation of the regime will hopefully hasten the change in the procedures and laws helping startup funding. BJP’s known penchant for advertising is very good news for adtech startups”
Garima Kapoor, economist, Elara Capital
If the first five years of the government were dominated by housing, roads and toilets, the next five would have to be dominated by investment, jobs and nursing of the dislocated financial sector. Among immediate priorities we expect the Modi-led government to take measures to revive consumption, address financial sector dislocation by recapitalizing PSU banks, boost manufacturing sector to ensure job creation and solve the conundrum of skill shortage in the country to ensure employability.
Rajesh Cheruvu, Chief Investment Officer, WGC Wealth
The watershed 2019 Indian election has thrown a decisive mandate yet again in favour of the incumbent. The new government will have the ability to pursue the economic reforms initiated in the past five years. Such a strong mandate should ensure continuity of policy, undertake further structural reforms and likely boost business and consumer sentiment and in turn to revive economic growth yet again.
Farshid Cooper, Managing Director, Spenta Corporation
We are hopeful to see a new wave of transformation in the realty sector. In the long-run, we expect the sector to grow in terms of earnings and homes delivered. We hope that policies introduced in the previous term like from GST and RERA are seen through and implemented smoothly in this term.
Ashok Mohanani, Chairman, Ekta World and Vice-President, NAREDCO Maharashtra
The win of BJP is a reflection of India wanting sustenance, accountability and growth. Given the massive development that the country witnessed in the last five years, global positioning and international presence; we were always a name to reckon with. This win reinforces the belief that India is on the Global map and citizens of India want this transformation. Policy changes and reforms like the Benami Act, Housing for All and infrastructural status for affordable housing, introduction of RERA are moves that was overdue for the industry to help bring order and benefit housing in India all its stakeholders. GST uniformity was another step in the right direction for the country. With the same government in power we expect further consolidation and in the realty industry and possibility of better business and progress. Also, many infrastructure projects went live in their tenure of which are living up to the promise of well-connected and developed nation. We are therefore happy with this decision and are positive about further growth in the real estate industry.
Rudra Chatterjee, President, Indian Chamber of Commerce
With a big mandate comes big responsibility to meet the expectations of people across the nation from the new government. In our view, the immediate priority should be given to propelling the Indian economy including enhancing investment expenditure, creation of jobs through the private sector, addressing rural issues, and in keeping fiscal deficit under control. We hope that the government will immediately start in implementing more reforms like increasing liquidity to the financial sector, reducing the GST slabs, undertaking land and labour reforms, continue major infrastructure projects, and encourage more private sector investment in the economy.
Lav Kumar, Head — Product & Business Development, LIC Mutual Fund
The pace of much the needed reforms in various sectors will gain pace and the growth rate will accelerate. We believe the economy in 2019 will keep growing faster than 2018 due to the demographic young population and their demand for better lifestyle, goods and services.
Navtej Singh, CEO Digital Business, Hitachi Payment Services
It is our belief that the (new) government will take steps to further strengthen the fintech ecosystem in India. With the consumer in mind, the government should introduce regulations that are flexible in nature and benefit multiple stakeholders.
Himanshu Pujara, Managing Director, Euronet Services India
A right mix of policies, regulation and incentives are required to further expand the fintech space. The government thus far has been extremely supportive by promoting the platform for real-time and faster payments, creating an environment that has let to huge investments in the fintech space which has allowed mushrooming of several hundreds of start-ups who are enabling innovation.
Abhishek Sharma, Partner, Cyril Amarchand Mangaldas
The reals estatee sector is facing a challenging time andWith the same government in power we expect further consolidation and in the realty industry and possibility of better business and progress. Also, many infrastructure projects went live in their tenure of which are living up to the promise of well-connected and developed nation. We are therefore happy with this decision and are positive about further growth in the real estate industry is under tremendous pressure despite the measures taken by the government so far. The sector per se is under immense stress due to high unsold inventory and drying up of refinancing options for developers due to recent liquidity crunch faced by NBFC’s. In order to improve the market sentiment, the government needs to take immediate actions.
Achin Bhattacharyya, Founder & CEO, Notebook
I really look forward to a path of peace and progress, wherein public discourse on important national issues will be based on sound logical debate between a stable answerable government and a responsible and alert opposition.
Abhimanyu Sofat, Head of Research, IIFL Securities
Though the current index level already captures this outcome, any further trend in creating a more stable government will be considered positive by the market. Once the new government is sworn in, the focus needs to shift to arrest the recent slowdown in consumption and improve investment climate so that the GDP growth rate is sustained above 7.5 percent.
Rohit Poddar, Managing Director, Poddar Housing and Development ltd and Joint Secretary, NAREDCO West
The sector expects the new government to emphasise more on re-energising the reforms related to infrastructure investment, land acquisition reforms and speeding up the regulatory functions of the state. The sector had slowed down a bit since the sequential jolt of GST and demonetization but the new GST regime for the sector was a big relief.
We expect the government would take measures to expedite and streamline the environment clearances for the new projects which is a 2 stage process and takes 2 to 3 years. A better clarity over the norms for infrastructure projects which involve diversion of forest land for non-forestry purposes is recommended. The sector hopes better stability in the regulatory norms without too many changes.
Aditya Ghosh, CEO, India & South Asia, OYO Hotels and Homes
The Indian general elections is the biggest testament to the power of democracy in the world. Irrespective of the political divide, we hope for a new beginning of inclusive growth, which helps the common man; renewed vigour in creating more opportunities for all; progressive thought and reforms that enable growth and entrepreneurship; and, drive maximum participation of young people.
Sampad Swain, CEO & Co-founder, Instamojo
We hope that the new government will introduce measures to streamline taxes and ease regulatory policies for the MSMEs of the country which would further the impetus of the sector and ease of doing business. Also, we believe that the government should address the major challenges faced by MSMEs, primarily the absence of adequate financial options and skilled labor which is a significant deterrent to the progress of the sector.
Javed Tapia, Founder & MD, Clover Infotech
India is all set to become a $5 trillion economy. The new government should enable creation of technology hubs and allied training centres across major cities and towns in India. In addition to bridging the skill gap of graduates, this will also accelerate the adoption of new-age technologies such as AI, data analytics and cloud. These disruptive technologies coupled with a young population can foster enhanced levels of growth through entrepreneurship and innovation and significantly augment India’s competitive edge globally.
Kishan Jain, Director, Goldmedal Electricals
The rapid proliferation of new technologies such as internet of things, artificial intelligence, connected devices & home automation, have provided FMEG companies tremendous opportunities to grow, flourish and expand into newer industry segments. Additionally, the past few years have seen the Government of India having a keen focus on the promotion of energy efficient solutions such as LED lighting. With the current Government all set for a second term in office, we hope that this trend continues as it would give further fillip not only to the manufacture of such products but also to the Government’s ‘Make in India’ and ‘Smart Cities’ initiative.
Ashish Sharma, CEO, InnoVen Capital
The last government has been very supportive towards the startup ecosystem and with continuity, we hope that this will remain a priority area for the new government. There is a clear recognition that the centre of gravity continues to move towards new economy business models, which are starting to become a meaningful contributor to economic growth and generating employment.
Indians are at the forefront of driving the global digital revolution, the number of internet users in India is growing at an enormous rate with close to 500 million internet users today. With government’s robust efforts of providing platform for digital marketplace, it becomes imperative for the fintech firms to focus on safe and secure transactions, fraud prevention and ensuring privacy of personal information. In addition, a serious and continued emphasis on cyber security, financial inclusion, customer protection and education, and free market competition will help empower the entire population with exceptional payment experience that matches with best in developed countries.
Punit Shah, Partner, Dhruva Advisors
The business community in India as well as Foreign investors will certainly have a very high expectation from the new government. The current NDA government had commenced and implemented several reforms such as GST, IBC etc., however there have been several issues and hurdles in implementing these reforms such as complexity of GST regime, multiplicity of GST rates etc. Similarly under IBC reforms, the experience has not been fully satisfactory in terms of the speed and the manner of the resolution of the cases. It would be an expectation that these difficulties are addressed under the current regime of the NDA government.
Sashi Kumar, Managing Director, Indeed India
The need of the hour is to formulate and implement a comprehensive national employment policy that will not only address concerns around employment generation but also touch upon the need to map the same across all levels of job creation. We look forward to working in line with the government to help people get jobs, an integral part of Indeed’s mission.
Mahendra Singhi, President, Cement Manufacturers Association; MD and CEO, Dalmia Cement (Bharat)
We are confident that in the second phase of Prime Minister’s leadership, infrastructure initiatives will gain further momentum and the decisive policy reforms will promote overall economic growth. The cement sector is inclined to “Build India” with the new initiatives of new government. We would like to work with the government on important national initiatives like focus on sustainability and quality Housing for All by 2022, renewed emphasis on Smart Cities mission together with traditional projects like building new airports, roads and bridges. This will be a ‘game changer’ for the cement sector.
Abhishek Jain, Tax Partner, EY India
With the NDA back in power, the businesses would expect continued proactiveness of this government to resolve and iron out GST issues of businesses. Another prospect being looked forward to by most would be inclusion of the excluded sectors like oil and gas, real estate (constructed properties) and electricity under GST.
Saurabh Srivasatava, Chairman, Indian Angel Network
I sincerely hope the new government will continue the focus on and support to the startup ecosystem to sustain and accelerate the momentum built up over the last five years; continue with the Fund of Funds initiative and enhance the allocation, especially for women entrepreneurship, healthcare and biotech, agritech and education focussed startups
and abolish Sec 56 completely as Sec 68 and GAAR are fully adequate to address the concerns for which Sec 56 was designed.
Deepak Gupta, CTO & Co-Founder, LoginRadius
The new government should focus on data privacy and the security of Indian identities. As India will have 50 billion identities to manage in the next 5 years including identities being also managed via IOT, AI and other technological platforms. The government should provide emphasis and regulate data privacy with the usage of advanced platforms that provide user consent management, best in class user experience and data security.
Swetabh Pathak, Co-Founder, Elucidata
Just as the policy changes in 1990s helped India become the IT services hub of the world; India now has a similar opportunity to become a global leader in big data and AI application in pharma and healthcare. We hope the government should create helpful policy frameworks and incentivise start-ups in this niche.
We expect the government to help small traders and businessmen by further simplifying GST. It will also be helpful if the GST returns are allowed to be filed on a quarterly basis. In terms of other policies, we expect more incentives for the setup of new food processing plants. We would also ask the government to consider increasing direct FDI in the food processing industry. Additional incentives to promote the Make in India campaign should also be a prime area of focus, as it can help create more job opportunities for the country's youth.
Prashan Agarwal, CEO, Gaana.com
The ongoing 4G revolution is a result of the favorable business environment created by the government's progressive policies. The rapid increase in the country’s internet population over the past few years has aided digital-first businesses like ours and triggered a widespread rise in customer-centric product development out of India. As the country’s leading music app, we are hopeful the newly appointed leadership will help establish a more favorable business environment that cements our country’s status as a global innovation hub.
Erik Hon, Managing Director, iFAST Financial India
I wish that India would open up more to the world and let the man-in-the-street have access to more global investment opportunities, whether through mutual funds, ETFs or direct access to equities in the key exchanges such as the US, the UK, and Hong Kong, and also make it easy for foreign retail investors, especially of non-Indian origin, to invest directly in Indian equities and bonds. I think that a unified or single regulator in the financial services industry can offer better protection of the consumers, with no regulatory arbitrage and a level playing field for all service providers. The man-in-the-street also deserves to get better, more qualified investment advice so that he can profit from India's exciting growth over the next few decades. Overall, I believe that the average Indian can look forward to many exciting opportunities ahead, and I wish that they have every ability to take advantage of them.
Saurabh Arora, Founder & CEO, Lybrate
It is a massive victory for Prime Minister Narendra Modi. In the last five years, his regime successfully created a conducive atmosphere for startups, encouraging many to take calculated risks and tread the path of entrepreneurship. We hope in this tenure too, the Government will continue working in this direction to boost the entire startup ecosystem. Globally, India has gained the recognition of a start-up hub. And a lot of credit goes to the government for having in place start-up friendly policies and regulations that let them not only sustain themselves but also thrive. Now is the time, when those policies are strengthened as entrepreneurial ventures have the capacity to contribute a lot to the economy by way of job creation and employment.
Sanjay Lakhotia, Co-Founder, Noble House Consulting
The Startup India initiative was great in intent but very poor in execution. The government should identify the address the issues under the program and address them. This will enable people to reap the benefits of the policies and programs that were announced by the government in their previous term. One of the most important aspects that the government needs to address with respect to the startup sector is a reduction in interest rates. If we look at the case of any other country in the world, we will find that their interest rates are less than half or one-third of ours. Business credit has to be at par with international interest rates otherwise running businesses becomes very difficult. Skill development is another area which is very critical and should be a focus to help develop a more employable workforce. The government needs to create a mechanism by which more people can be trained and re-trained to adapt to new skills. Today a lot of time is spent on training people rather than focussing on growing the market. Lastly, it is important that some of the tax laws relating to employee stock options, equity, valuations, the problem of angel tax are relooked and structured better.
Sharan Grandigae, Founder & CEO, Redd Experience Design
While a lot of things have become better for startups over the past few years, I think a lot more work remains to be done. If India wants to compete with Silicon Valley or with Israel, we need to understand one truth about start-ups - that they don’t have a lot of time or resources at hand to do everything. The city of Shenzhen in China is equipped to allow a start-up to go from idea to production in six months’ time. For something like that to happen in India, we need some fundamental changes in our society. We need support from the government and other bodies involved in order to achieve this. If a start-up founder cannot simply go to a website and get their company registered and started and instead has to hire someone to help them navigate the various processes and steps involved in order to get started, we’ve already lost the initiative. There is a need to streamline the process to help reduce the compliance hurdles that startups currently face.
Rekuram Varadharaj, Co-Founder and COO, healthi
To accelerate the growth in the startup domain, the Government of India must take measures such as easing the flow of capital, regulatory compliance and creating training hubs for entrepreneurs across India. The new government should focus on inclusive development and creating a supportive environment for entrepreneurs which will aid in more job creation and growth. Efforts need to be taken towards making health a pivotal aspect. Going beyond the existing national health programmes to create a comprehensive policy is the need of the hour.
Mandar Agashe, Founder, Sarvatra Technologies
The new government is definitely welcomed by the fintech industry as well as startups due to their ambitious and enterprising vision for a Digital India. The government has taken up various initiatives to encourage e-payments in India and has worked towards improving digital literacy in the country by improving upon convenience, cost and instilling confidence within the people towards digital transactions. We expect the new government to take forward the Digital India vision to the next level in the coming five years. We should aim to record ourselves as at least in the top ten list of digitally advanced nations. We hope to see favourable policies by the government which will help the startups to flourish in our country.
Hardika Shah, Founder and CEO of Kinara Capital
The upside of the current administration winning the majority vote and coming back to office for five more years signals political stability, especially important for foreign investors to continue to confidently invest in India via debt or equity structures. It also signals a vote of confidence by the people on the many policy decisions made by the current government such as GST, skills development, and focus on the MSME sector. NBFCs are critical for the growth of the country and easing of stringent rules around co-investment by foreign entities by the new government will provide them with much-needed funding.
Saahil Goel, CEO & Co-founder, Shiprocket
We expect that with the continuing mandate of the NDA government and Narendra Modi, the momentum of economic reforms initiated in the last five years will continue. The last five years were about structural reforms and the MSME segment went through a tough phase with the introduction of GST and demonetization. The credit crunch has been somewhat eased and loans are now readily available for MSMEs thereby, creating a conducive environment for their growth. However, we expect that the positive outcome of these reforms will be seen in the next five years with more businesses entering the formal economy. For startups, we hope that this government will give more incentives to new businesses being set up either in the way of tax incentives or business support. Startups will be the new industries of tomorrow and it is important to nurture them today for generating superior employment in the country.
Anil Nagar, Founder & CEO, Adda247
As the new government takes charge, we expect the momentum of reforms and policy for startups and education continue to flourish. As per the interim budget to invest about 38.57 crore in National Education Mission, we hope to see a positive and fruitful development of the education sector in India. Initiatives for the Teacher Training Institutes and School Assessment Programs and support towards new age technologies should still continue to help the education and technology sector in particular.
Saania Singh, Co-Founder, Zero Gravity Aesthetics
It is no secret that GST has led to extreme shortage of working capital, to combat which there is no backup plan in place. This has translated into a major hurdle for numerous startups and entrepreneurs. Due to this, carrying out business operations is a challenge. Now with the same government back in majority, we expect it to act on the issue and make working capital available through banks or reasonable interest rates. We would also want the government to rework on import/ export policies. The government should make them more transparent for the ease of doing business, if it wants to see us scale heights and help us prepare better for the globally competitive market.
Juergen Hase, CEO, Unlimit
The Indian startup sector have already been ignited in the past five years with favourable policies around taxation, investments, ease of doing business, incubation, foreign capital, cross border, startup lobby groups, industry associations. The foundation of the of the ecosystem is already in place with India being the third largest hub for start-ups globally. Active government involvement is the need of the hour to resolve challenges such as unemployment, and funding for the growth of the industry and the economy at large. For start-ups to flourish it is imperative to create an environment that is conducive to physical, offline small businesses and hardware product firms operating locally. The new government should continue with initiatives such as Make in India and Digital India to aid the growth of the start-up industry and also work towards a digital economy by installing proportionate methods to tackle policy challenges.<
Alok Mittal, Founder & CEO, Indifi Technologies
We expect the new government to define concrete steps to mobilise access to financial services and empower the fintech companies that facilitate them. For instance, extending credit guarantee schemes such as MUDRA and facilitating better data access to alternate lending companies can help in bolstering the impact and reach of these initiatives. Doing so can ensure a step closer to financial inclusion and high growth potential for MSMEs in India.
Saurabh Saxena, Country Director, Micro Focus India
The need of the hour is to pursue with more vigour important initiatives like deregulation and privatisation of state-owned companies along with reforms to modernise labour markets to uplift the job scenario in the country. There are mounting possibilities and expectations for the Government, we look forward to the Centre to now lead us into a better-connected world.
Devendra Parulekar, Founder, SaffronStays
We hope to see the elected government work on rationalising the GST rates as the top end of the customer segments are choosing to holiday abroad, with the current GST bracket ultimately impacting the domestic travel economy. This in turn creates a ripple effect on the employment rates as well. The hospitality industry is a big contributor when it comes to providing employment and need to be actively encouraged and one of the ways of doing so is ensuring that domestic travel becomes an affordable option for the Indian traveler.
Ajay Adiseshann, Founder and CEO, PayMate
Our expectations from the new government is to ensure we have policies to encourage and support startups along with transparent investment policies coupled with adequate but minimum regulations to foster innovation. Startups are making a positive contribution to employment and over the next 10 years can potentially be one of the largest employers of both blue and white collar workers. Startups are critical to the nation's future.
K R Naik, Chairman, Digisol Systems
We have seen enormous growth opportunities in the past five years with the introduction of schemes like ‘Make In India’, ‘Digital India’ and ‘Smart Cities’. With the continuation of the regime, we hope to see a new wave of transformation in the IT networking Industry. We are excited about the opportunities coming in the next few years as supportive government regulations will help accelerate the business growth and would support companies like us who have been manufacturing products in India.
Subramanian NN, Director-Delivery and Co-Founder, Maveric Systems
Technology plays a major role in raising productivity and innovation. We sincerely believe that technology can become an important driver for our country’s economic growth and social development. However, to begin with, the government should push more on the impact of AI/IOT, data science and analytics network which is beneficial for the IT industry. Digitisation and faster web will also continue to encourage the technology industry in India. Implementing these dealings can also improve access to data and will enable India’s transformation into a data-driven economy. Another major challenge in our country is job creation and therefore this sector should be vigorously promoted in order to facilitate the generation of employment and envision a digital world with plenty of options for the youth of tomorrow.
Rashie Jain, Co-founder & CEO, Onco.com
The new government should look at creating an ecosystem which should focus more technology-enabled solutions not just for metro cities but also in tier-2/3 cities to educate people on the new developments. This can solve the access problem tremendously in healthcare. The government being pro-tech is a positive sign towards New Bharat.
Ankit Agarwal, Managing Director, Alankit
There are high expectations from the government in terms of bringing concrete results to build a ‘new India’ that treads on the path to a digital world. Moreover, policy implementation regarding dematerialisation of investments in the real estate domain is eagerly awaited as that would certainly be seen as a noteworthy development, paving way for secure dealings for investors. We are also hopeful that there would be increased push on implementing affordable digital payment solutions that is vital for fast-paced transactions across sectors.
Gaurav Chopra, Founder & CEO, IndiaLends
The Modi government being re-elected will bring about stability which is conducive to business as it will increase foreign fund flow in the country. We are positive that the government will continue its focus and provide support to the start-up and fin-tech ecosystem in the country. Thanks to the overall Digital India program there have been innumerable benefits which have driven the digital economy and led to fin-tech growth. We are hoping more initiatives will be given impetus under the umbrella program of Digital India 2.0. We are also looking forward for a push towards financial inclusion and adoption of technology.
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