Union Budget 2024 |Budget should allocate funding for upskilling and reskilling programs, said Mukul Goyal, Co-Founder of Stratefix Consulting

"We anticipate that the Union Budget 2024 will introduce significant initiatives to assist workforce development and job creation for MSMEs in India," he added.

Finance Minister Nirmala Sitharaman will present the Union Budget on July 23. News emerged that Prime Minister Narendra Modi may face troubles this time, to accommodate the wishes of his alliance partners JD(U) chief Nitish Kumar and TDP supremo Chandrababu Naidu. However, it is more likely that the Budget will be a feel-good one, coming on the back of the Rs 2.11 lakh crore record dividend to the union government from the RBI.

"We anticipate that the Union Budget 2024 will introduce significant initiatives to assist workforce development and job creation for MSMEs in India. One crucial area is improved skill development. The budget should allocate significant funding for upskilling and reskilling programs, particularly in automation, artificial intelligence, and data analytics. Providing future-ready skills will enhance employability and foster creativity in MSME workforces," Mukul Goyal said

"According to the National Skill Development Corporation (NSDC), only 10 per cent of Indian workers receive formal training compared to 60-90 per cent in wealthy nations. Closing this gap should be a primary concern. The government should also offer tax breaks and subsidies to MSMEs investing in staff training and development to promote ongoing learning and adaptability," he added.

He further stated, "Obtaining timely and reasonably priced financing has been a persistent issue for India's MSME sector. We hope the budget will further support programs like the Emergency Credit Line Guarantee Scheme (ECLGS) and the Partial Credit Guarantee Scheme (PCGS) to improve credit availability. The Reserve Bank of India has estimated a credit gap of ₹20 to ₹25 trillion in the MSME sector, highlighting the need for better financing accessibility."

"To improve the regulatory environment for MSMEs, it is crucial to implement policies that simplify compliance requirements, reduce paperwork, and expedite approval processes. This would make doing business easier and allow businesses to concentrate on their core competencies. According to the World Bank's Ease of Doing Business report, India is ranked 63rd globally, underscoring the need for further changes," Goyal said

"Equally important is strong support for MSMEs' digital transformation. We expect the budget to include specific funding for initiatives that encourage the adoption of cutting-edge technologies. Providing MSMEs with the tools they need to embrace digitalization will help them reach their full potential and become more competitive internationally," he added.

Union Budget 2024 | Making a record for any Finance Minister, Nirmala Sitharaman will be presenting her 7th Union Budget on July 23, 2024 under the Modi 3.0 government. While inflation has burnt a hole in the pockets of 'aam janata', will this Budget spell relief for Indians? Track the latest coverage, live news, in-depth opinions, and analysis only on Deccan Herald. Also follow us on WhatsApp, LinkedIn, X, Facebook, YouTube, and Instagram.