'Extremely encouraging for startups'

The Union budget's elaborate focus on building a digital economy and technology-enabled development is extremely encouraging for tech startups. As mentioned during the budget, startups have emerged as growth drivers for our economy showcasing the immense potential of India's startup ecosystem. It's evident from the extension of the date of incorporation for income tax benefits to March 31, 2024.

Ameen Khwaja, Founder & CEO, pTron said: "The Budget is a progressive and far-sighted one that lays significant emphasis on supporting the growth of startups and proposes several measures aimed at fostering a favourable environment for startups to thrive. While there is no big-ticket announcement for the FMCE sector as a whole, there are still a few indirect positive impacts on the industry."

Volga Benjamin, Director, eye square, India says, "FM announced implementation of AI for three centers of excellence which includes health for artificial intelligence to enable 'Make AI for India' and 'Make AI work for India' and the further enhancement of new age skills like robotics, AI, and IoT will accelerate the emergence of end to end 360-degree technology service providers in the country."

Sadgun Patha, Founder & M.D Platform 65 on Startup and F&B Industry, said: "As an entrepreneur, I am thrilled to hear about the government's commitment to supporting the growth of MSMEs through the revamped credit guarantee scheme. The infusion of funds and additional collateral-free credit will provide much-needed relief to businesses still recovering from the pandemic."

Prem Kumar Vislawath, Co-founder, Marut Drones, said: "With the announcement of Agricultural Accelerator Fund and focus on bringing technology to agriculture it will promote agricultural startups in the country and benefit the drone industry that is working on making agriculture more sustainable, cost effective, efficient and increase the yield for the farmers."

"And launching revamped credit guarantee scheme through infusion of Rs 9,000 crore from April 1, we believe that the Budget was very beneficial for startups as it introduced tax benefits on their incorporation which is extended by year and the carry forward of losses to set off against future profits will now be allowed for 10 years instead of 7 years previously," he added.