Budget helps IT, ITeS Sectors Compete Globally

For businesses, professionals, and entrepreneurs, this budget lays the groundwork for a more dynamic and competitive India. It speaks to the aspirations of women in leadership, mid-level professionals striving for growth, and the ever-evolving digital economy that is shaping the nation’s future. - Lakshmi Mukkavilli, ITAAP president

Visakhapatnam: The Union Budget 2025-26 presented by Finance Minister Nirmala Sitharaman has come as a big relief for industries like IT/ITeS and digital services, as it promises more funding, better infrastructure, and an opportunity to compete on a global scale, said IT Association president Lakshmi Mukkavilli.

Laksmi, a prominent face in business world presently serving as Managing Director of Patra India BPO Services, told Bizz Buzz in an exclusive interview that a welcome feature is to offer national guidance framework to help States to promote Global Capability Centers (GCC) and enhance their growth as India is positioning itself as a hub for innovation, and this budget fuels that ambition to empower the middle class, fuel business expression and build a resilient economy.

She said the Union Budget is not just a financial roadmap, it is a reflection of India’s ambitions, a declaration of intent, and a powerful commitment to inclusive and sustainable economic growth. "For businesses, professionals, and entrepreneurs, this budget lays the groundwork for a more dynamic and competitive India. It speaks to the aspirations of women in leadership, mid-level professionals striving for growth, and the ever-evolving digital economy that is shaping the nation’s future. Here’s how it impacts us all," she stated.

On the announcement of the middle class windfall strengthening India’s economic backbone, Lakshmi said a thriving middle class is the foundation of any strong economy. With the increase in the tax-free income limit to Rs12.75 lakh, this budget ensures that hard-working professionals and families have more disposable income.

"Why does this matter? More spending power fuels demand across industries—real estate, retail, healthcare, and beyond. When the middle class thrives, businesses flourish, jobs are created, and the entire economy gains momentum. For mid-level leadership in India’s corporate landscape, this change translates into greater financial stability and investment opportunities. It’s not just about tax relief; it’s about economic empowerment," the ITAAP president said.

On the efforts to give a fillip to MSMEs and startups as the driving force of India's digital economy, she said India’s startup ecosystem is one of the fastest-growing in the world.

"This budget recognises that by introducing tailored credit cards for Udyam-registered MSMEs and a Rs.10,000 crore startup fund. These initiatives will help entrepreneurs scale faster, adopt new technologies, and create high-value jobs. The initiative to provide five lakh first-time women entrepreneurs term loans of Rs2 crore over the next five years will empower women and encourage more female-led startups. Women & Social Development: Enabling True Economic Inclusion," she said, expressing the hope that this will further strengthen the efforts for women empowerment.

Lakshmi felt that a nation cannot progress without empowering its women. This budget goes beyond policy announcements—it calls for real action: More investment in female-led MSMEs, Enhanced access to skilling and digital literacy and Job creation in STEM, manufacturing, and financial services.

Asked about AI, digital transformation and education as Future-Proofing India, she said the world is in an AI-driven era, and India is ensuring its workforce is future-ready. This budget earmarks Rs500 crore for AI-based education programs and nationwide broadband access for secondary schools. "This isn’t just about education—it’s about equipping students and young professionals with cutting-edge digital skills. coding, AI, cybersecurity—these are the skills of the future. Expanding Skill India initiatives will bridge industry gaps, ensuring India’s workforce is among the best in the world. For corporate professionals and aspiring leaders, this means more learning opportunities, better career prospects, and a stronger knowledge economy," she said.

Lakshmi felt that unlike previous budgets that made broad promises, this one is action-oriented and forward-thinking. It is built on a foundation of innovation, inclusivity, sustainability, and economic momentum. For professionals, businesses, and entrepreneurs, this is a budget that truly works for the people—by increasing disposable incomes, supporting business expansion, and creating a digitally empowered and sustainable India. As India moves forward, this budget is not just a policy document it’s a commitment to the nation’s future.