IT industry seeks clarity on Rs 10,000 cr startup fund from last Budget

Hyderabad: The local IT and ITeS industry has sought more clarity on the Rs 10,000 crore startup initiative announced by the Centre in last Budget. The industry here is also keen on tapping the potential of ‘Make in India’ initiative. “Hyderabad is very well positioned for the ‘Make in India’ initiative as the city has a strong presence in defence and aerospace besides pharma & lifesciences,” said Ramesh Loganathan, vice president and MD, Progress Software and President of Hyderabad Software Enterprises Association. [caption id=“attachment_246087” align=“alignleft” width=“380”]  AFP[/caption] From the IT industry perspective, the long elusive transfer pricing clarity tops the expectation list from this Budget. Apart from this, various skill development initiatives getting into mainstream operational mode is also on the wish-list. BVR Mohan Reddy, executive chairman, Cyient Ltd said the IT industry expects that Digital India, Make in India and Smart Cities programmes hold tremendous potential to transform the country as the future lies in digital world. “For the startup ecosystem, clarity in operationalising the Rs 10,000 cr startup fund will be great. The implementation will boost growth, thereby enabling startups,” Mr Loganthan added. According to Mr Reddy, ease of doing business, correction to inverted duty structure and streamlining of procurement processes are some of the areas where the industry expects key announcements. Y Guru, chairman and managing director Celkon Mobiles said the intrinsic strength of the country on its own cannot be the drivers of growth and the government needs to really create hard and soft business friendly environment. “Investments in terms of technology and infrastructure should be given more weightage when formulating incentives. The government should redefine the policies related to investments and provide for rebates or incentives accordingly,” Mr Guru added. Suman Reddy, managing director, Pegasystems India said the industry is certainly keen to see some tangible initiatives from Finance Minister Arun Jaitley as it is going to be the first full-fledged Budget by the Narendra Modi-led government. PTI