12, Jan 2024
Azhar Iqubal, Co-founder and CEO of Inshorts
Get ready for the most anticipated return of Shark Tank India, back with a bang for its third season exclusively on Sony LIV, starting January 22. This season boasts an even grander spectacle with a panel of 12 Sharks, each a titan in their respective industries. Among them, adding a fresh perspective to the tank, is Azhar Iqubal, the Co-founder and CEO of Inshorts. And here is a fascinating tidbit about the Shark – for almost a decade, people from Azhar’s hometown, a small village in Bihar, were not much aware of his successful entrepreneurial journey.
In his own words, Azhar Iqubal recently revealed, “For the past 10 years, people in my village were unaware of my work. The details about me remained a mystery to most of them. It wasn’t until the release of the first picture and shark reveal video for Shark Tank India 3 that my entire village discovered me and my work. When I called my mom after the promo went live, she was in joy and uttered, “People hardly knew about you before but after today, everyone knows you.” She added her phone kept ringing for over 24 hours after the promo went live with wishes pouring in from every corner. People were proud that a boy from a small village in Bihar could dream big and disrupt the Indian digital media landscape. It was truly a touching moment for me.
This season’s powerhouse panel is a stellar lineup of business luminaries, ready to dissect, invest, and mentor the next wave of Indian entrepreneurs. Joining Azhar Iqubal are Aman Gupta (Co-Founder and CMO of boAt), Amit Jain (CEO and Co-founder of CarDekho Group, InsuranceDekho.com), Anupam Mittal (Founder and CEO of Shaadi.com – People Group), Namita Thapar (Executive Director of Emcure Pharmaceuticals LTD), Vineeta Singh (Co-Founder and CEO of SUGAR Cosmetics), Peyush Bansal (Co-founder and CEO of Lenskart.com), Ritesh Agarwal (Founder and CEO of OYO Rooms), Deepinder Goyal (Founder and CEO of Zomato), Radhika Gupta (MD & CEO of Edelweiss Mutual Fund), Varun Dua (Founder and CEO of Acko), and Ronnie Screwvala (Co-Founder & Chairperson of UpGrad).
Don’t forget to tune in to Shark Tank India 3, starting 22nd January from 10 pm onwards only on Sony LIV!
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- By Rabindra
12, Jan 2024
Dedication of Spoorthi Sthal and 82nd Birth Anniversary of late Shri Jaipal Reddy, former Union Minister
Hyderabad, January 12, 2024..….Former Union Minister Jaipal Reddy’s 82nd Birth Anniversary will be celebrated on 16th January at Spoorthi Sthal. Jaipal Reddy Memorial Place, PVR Marg ( Necklace Road ), near Sanjeevaiah Park, Hyderabad from 9 AM onwards.
On the occasion of the dedication of Spoorthi Sthal, a memorial built to honour his indelible legacy and lifetime spent in service of the people will be held. A floral tribute will be held.
Several politicians are expected to pay Floral Tributes to Late Sri S. Jaipal Reddy, Former Union Minister, and an “Outstanding Parliamentarian”, disclosed a press note issued by S. Jaipal Reddy Memorial Foundation in the city today.
The Indian Society of Landscape Architects, on behalf of the S Jaipal Reddy Memorial Foundation, organized a Memorial Landscape Design Competition. It sought designs through the contest from Landscape Architect design teams and sought proposals that demonstrate excellence in the role of landscape features and their interrelation in the design of the Memorial named Spoorthi Sthal. The best design is adopted and developed accordingly keeping in mind about local environment and the same is being dedicated on the occasion of his birth anniversary. It is meant for general public utility apart from Memorial That memorial will be rededicated on January 16.
Jaipal Reddy is widely regarded for his Liberal, progressive and democratic values. He has been an ardent proponent of Democracy and a Representative Form of Government. His thoughts and ideas were penned in his book “Ten Ideologies: The Great Asymmetry between Agrarianism and Industrialism”. Democracy is included in it as a separate chapter.
Democracy is a system of government where citizens hold power. They can impact important decisions, either directly or through the people they elect. Democracy is based on freedom and equality between all people. Jaipal Reddy dedicated his life to upholding the democratic values in the Indian Political System.
The moral, social, and political philosophies of the Upanishads, Buddha, Plato, Gandhi, Vivekananda, Nehru, Ambedkar and Bertrand Russell inspired and guided him. His speeches and writings were wise, insightful, incisive, eloquent, and laced with wit.
He shepherded the passage of the bill for the formation of Telangana in 2014.
A politician par excellence, Sri Reddy was a Member of the Legislative Assembly for four consecutive times. He was a Member of Parliament seven times and Union Cabinet Minister for more than 10 years. He had a political career spanning over 50 years. He was a brilliant parliamentarian known for his oratorical skills and political acumen. His speeches were packed with knowledge, information, criticism and wit. He passed away on July 28th 2019 at the age of 77 years, and despite his physical disability carried on his journey with grit, and determination and stood as an inspiration to many.
Reddy was an elected representative for nearly 45 years and his contribution to the discussions in Parliament earned him, “The Outstanding Parliamentarian Award, 1998”.
Shri Reddy worked relentlessly all his life for the strengthening of Democratic Ideals and in service of the underprivileged and the marginalized. The world misses his reassuring presence and uncommon sagacity.
12, Jan 2024
Indian Street Premier League (ISPL) announces Key Leadership Appointments
Bengaluru, January 12, 2024: The Indian Street Premier League (ISPL), India’s pioneering tennis ball T10 cricket tournament to be played inside a stadium, today announced two key senior-level appointments to strengthen the leadership team. The appointments are Shri Dhananjay Kamlakar as Head of the Anti-Corruption Unit at ISPL and Shri Jiten Doshi who comes on board as a Strategic and Financial Advisor.
Shri Dhananjay Kamlakar, a former IPS officer who has held many important posts in his career, will take charge as Head of the Anti-Corruption Unit of ISPL. He will ensure the highest standards of ethical conduct and integrity in the league.
Shri Dhanajay Kamlakar, Head – Anti-Corruption Unit, ISPL, said, “Integrity and fair play are the cornerstones of competitive sport and I am committed to upholding these values within the league. I look forward to ensuring a clean and transparent environment where a spirit of fair play prevails.”
Shri Jiten Doshi, Co-Founder and CIO at ENAM AMC is a finance and strategy expert with over three decades of experience in areas of corporate governance, transparency and disclosure standards, and effective interface with stakeholders. He brings his expertise to ISPL as an Honorary Strategic and Financial Advisor.
Shri Jiten Doshi, Honorary Strategic and Financial Advisor, ISPL, said, “I hope to contribute positively to the sustainable growth and success of ISPL. I look forward to supporting the league as it moves forward in its mission to help aspirants from across the country find a platform to display their cricketing talent.”
Ashish Shelar, Core Committee Member, ISPL said, “We are happy to welcome Shri Dhananjay Kamlakar and Shri Jiten Doshi to the leadership team of ISPL. Their expertise will help in creating a robust foundation for the future growth of the league.”
Amol Kale, Core Committee Member, ISPL said, “At ISPL, we prioritize transparency and excellence. While Shri Dhananjay Kamlakar’s appointment reaffirms our dedication to fair play, Shri Jiten Doshi’s financial acumen will support our vision for sustained growth.”
Suraj Samat, Commissioner, ISPL said, “The strengthening of the ISPL leadership team with these esteemed leaders to our team demonstrates our commitment to a professionally run ISPL. The expertise of Shri Dhanajay Kamlakar and Shri Jiten Doshi will set the stage for a promising future for the league.”
Scheduled to kick off from 6th March to 15th March 2024 in Mumbai, the inaugural edition of ISPL promises an exciting roster of matches, featuring six competitive teams – Hyderabad, Mumbai, Bengaluru, Chennai, Kolkata, and Srinagar (Jammu and Kashmir). Indian Street Premier League (ISPL) has also recently announced the Invitation to Bid for the co-ownership across the six teams, Hyderabad, Mumbai, Bengaluru, Chennai, Kolkata, and Srinagar, with bids starting at INR 10 Lakhs.
12, Jan 2024
Mahindra Introduces All-Electric XUV400 Pro Range
Bengaluru, January 12, 2024: Mahindra & Mahindra Ltd., India’s leading SUV manufacturer, today announced the launch of the XUV400 Pro Range, at an introductory price starting at 15.49 Lakh. The latest Pro range introduces three new variants: EC Pro (34.5 kWh battery, 3.3 kW AC Charger), EL Pro (34.5 kWh battery, 7.2 kW AC charger), and EL Pro (39.4 kWh battery, 7.2 kW AC charger), each offering advanced features and enhanced comfort.
Advanced Technology and Enhanced Comfort:
The cockpit of the XUV400 Pro Range is equipped with advanced technology, including a 26.04 cm infotainment system and a 26.04 cm instrument cluster, designed for modern connectivity and ease of use. Adding to this, the Adrenox connected car system: offering over 50 connected features will further enhance driving safety, ownership experience, and overall vehicle functionality.
Additionally, the Pro range will offer an elevated cabin experience with Dual-zone Automatic Temperature Control, complemented by dedicated rear air vents, to ensure a consistently comfortable environment for all passengers. The convenience of wireless charger and a rear USB port will help the passengers remain connected on the move.
The all-electric SUV will further enhance its technological capabilities with the introduction of wireless Android Auto and Apple CarPlay features, which will be made available through over-the-air firmware updates in the next few months. This enhancement, along with Alexa compatibility, promises to offer effortless navigation and a user-friendly driving experience.
Sophisticated Design:
The XUV400 Pro Range makes a bold statement with its exhilarating new Nebula Blue colour option, complemented by a sleek Shark Fin Antenna, that enhances the all-electric SUV’s overall aesthetic. The inside space balances comfort and style, featuring modern & premium dual-tone interiors. The core interior is an airy light-grey colour complemented with a mild-black for rich contrast. Satin-copper accents on control knobs, shift lever, and vent bezels, along with Blue backlighting, highlight the presence of the electric powertrain. The sporty, comfortable seats are wrapped in natural-grain, perforated leatherette with subtle Copper decorative stitching, presenting a unified, harmonious and plush interior design.
Introductory Ex-showroom prices of the XUV400 Pro Range:
| Variant | Battery Size | Charger Type | Ex-Showroom Price |
| XUV400 EC Pro | 34.5 kWh | 3.3 kW AC Charger | INR 1549000/- |
| XUV400 EL Pro | 34.5 kWh | 7.2 kW AC Charger | INR 1674000/- |
| XUV400 EL Pro | 39.4 kWh | 7.2 kW AC Charger | INR 1749000/- |
Social Media addresses for XUV400:
· Brand website: http://mahindraelectricautomobile.com/xuv400
· Twitter: https://twitter.com/Mahindra_XUV400
· YouTube: https://www.youtube.com/@mahindra_esuv_xuv400
· Instagram: https://www.instagram.com/mahindraxuv400
· Facebook: https://www.facebook.com/XUV400/
· LinkedIn: https://www.linkedin.com/company/mahindra-xuv400
· Hashtag: #XUV400
12, Jan 2024
ACC’s Lifesaving Water Project Transforms Dhakori Village’s Agriculture
Bengaluru, 12th January 2024: ACC, the cement and building material company of the diversified Adani Group, has achieved a milestone in its extensive community development efforts by effectively combating water scarcity in Dhakori village of Wani Taluka, Yavatmal District. ACC along with Adani Foundation has enabled sustainable irrigation solutions for the local farmers to improve the overall water conservation efforts in the region. Since lift irrigation schemes (LIS) are one of the most effective solution to provide water for drinking and irrigation, many places are adopting it to solve water crisis in the rural areas.
In fact, the feat that the Company achieved at Dhakori comes on the heels of successful completion of four LIS by ACC’s Chanda Cement Works in Usgaon and Paramdoh village over last five years. The LIS initiative undertaken in Dhakori village has not only been a success but has also significantly impacted over 100-acres of arable land. Before this initiative, the village which received an average annual rainfall of 911.34 mm, faced several challenges due to limited water conservation infrastructure. These challenges resulted in crop failures during the kharif season, creating employment challenges for the community.
ACC’s implementation of LIS in Dhakori village started with a rapid baseline survey to establish rapport with the primary stakeholders and necessary permissions were obtained for excavation work and electricity supply. The company also adopted advanced lift irrigation technology, which included a detailed GPS survey to determine the shortest path and static level difference. The pumping unit, supply pipeline, protection valves, and distribution lines in the field were all designed to ensure efficient water management and irrigation.
While the implementation of LIS has resulted in the irrigation of more than 100-acres of land, over 10 farming families in Dhakori village have directly benefited from this initiative. With the LIS in place, farmers are now able to cultivate a wider variety of crops including cotton, soyabean, red gram, gram (chana), and vegetables throughout the year.
Mr. Ajay Kapur, CEO, Cement Business, said. “The successful realization of the Lift Irrigation Scheme in Dhakori village fills us with a sense of accomplishment. This project not only tackles the urgent problem of water scarcity but also enhances the livelihoods of the farming families. The village community can depend on this scheme for assistance during emergencies. The evident improvements in crop diversity, quality, and income stand as proof of the transformative influence of accessible water. ACC’s support has played a crucial role in making water accessible to the Dhakori village community.”
Water availability stands as the paramount factor influencing the success of any water resource-centric project. Acknowledging its utmost importance, particularly in the context of diminishing groundwater levels that have adverse effects on ecosystems nationwide, ACC and Adani Foundation has embarked on various water resources projects as part of its CSR initiatives. It exemplifies their commitment to addressing critical issues like water scarcity and supporting sustainable development in the communities it operates.
12, Jan 2024
IDA Ireland reports strong annual results for 2023 – increased number of investments
Performance:
· 248 investments won in 2023 for Ireland – up 2.5%, enabling the creation of almost 19,000 jobs
· Over 1,800 IDA client companies directly employing more than 300,000 in Ireland for the second consecutive year, reflecting mature, stable, resilient FDI sector
· Continued strong regional performance in 2023 – 132 investments outside of Dublin, representing 54% of total investments
· Performance reflects commitment by FDI sector to transformation across research development & innovation, sustainability, digitalisation, & talent development
Bengaluru 12 January 2024 – IDA Ireland today reported strong annual results for 2023 showing an increased number of investments, steady levels of employment across the FDI sector, robust regional investment and strong performance across key transformation areas of research development and innovation, sustainability, digitalisation and talent development.
The organisation reported an increase in the number of investments into Ireland during 2023 totalling 248 and which are expected to deliver almost 19,000 jobs to the economy. A third of investments won, 83, were greenfield or first-time investments.
IDA Ireland has over 1,800 client companies within its portfolio employing 300,583 in 2023, holding above 300,000 jobs for the second consecutive year. Accounting for 11.3% of national employment, this represents a slight decrease in client employment of just 0.3%, despite a slowdown in Information and Communications Services (down 2.9%). Job growth was recorded across all other sectors with Modern Manufacturing up 1.8%, Traditional Manufacturing up 0.2% and in Business, Financial and Other Services up 0.8%.
Michael Lohan, CEO IDA Ireland said, With 248 investments won by IDA Ireland this year, the strength of today’s results speaks to the continued attractiveness of Ireland as a location for FDI. The results also reflect an enduring commitment amongst FDI companies, supported by IDA Ireland, who continue to show confidence in Ireland as a location in which to make complex, innovative, and impactful investments at scale.
IDA Ireland continues to work with our client companies to support their drive for competitiveness as they move through the twin transition. Transformation focused on research development and innovation, sustainability, digitalisation and talent development is critical to remaining competitive, reflected in our partnerships and conversations with client companies and our stakeholders.
As we move into 2024, it is important to recognise that we continue to face domestic as well as global challenges. It’s acknowledged that Ireland’s carrying capacity and infrastructural development, particularly in housing and energy supply, needs to be accelerated. Under IDA Ireland’s current strategy, Driving Recovery and Sustainable Growth 2021-2024, our focus remains on winning investment for Ireland and sustained regional development.
Tanaz Buhariwalla, India Director, IDA Ireland said, “In 2023, for IDA Ireland, the dialogue with innovative Indian companies has been wholesome and enriching. Ireland remains steadfast, with an increased number of investments and a steady level of employment. While the focus on Lifesciences and tech companies persist, we aim to actively support companies in their transformation journey, emphasizing sustainability, enhanced automation, and value chain development. Ireland’s pro-business environment is poised to facilitate and encourage companies to expand their operations in Europe and embrace green initiatives. As we move forward, the collaborative spirit between India and Ireland remains positive in terms of innovation and progress, reflecting the commitment to excellence in the global business landscape.”
12, Jan 2024
Major UPI Apps Enabled to Receive Remittances from Singapore via UPI-PayNow Linkage
Bangalore, 12 January 2024: The cross-border linkage between Unified Payments Interface (UPI) & PayNow is enabling Indians to receive instant, secure, and cost-effective remittances from Singapore-based Indian diaspora directly into their bank accounts. This facility can be accessed by users of BHIM, PhonePe, and Paytm apps. Additionally, banks such as Axis Bank, DBS Bank India, ICICI Bank, Indian Bank, Indian Overseas Bank, and State Bank of India provide this functionality through their respective apps.
More Third-Party Application Providers (TPAPs) and bank apps such as Bank of Baroda, Bank of India, Canara Bank, Central Bank of India, Federal Bank, HDFC Bank, IDFC First Bank, IndusInd Bank, Karur Vysya Bank, Kotak Mahindra Bank, Punjab National Bank, South Indian Bank, and UCO Bank are expected to be added to the linkage soon. This expansion will broaden the range of choices offered to customers.
Key benefits of receiving funds via UPI-PayNow:
- Instant: Funds are transferred in real-time, reaching the recipient’s bank account within seconds.
- Secure: The linkage utilizes robust security protocols to ensure safe and reliable transactions.
- Cost-effective: Transaction fees are competitive, making the service ideal for small and frequent remittances.
- Convenient: The facility is available 24/7, 365 days a year
This interoperability milestone is the result of close collaboration between the Reserve Bank of India (RBI) and Monetary Authority of Singapore (MAS). The increasing adoption of UPI in cross-border transactions not only amplifies financial inclusion and convenience but also plays a pivotal role in fostering the overall growth of India’s dynamic digital payment ecosystem.
12, Jan 2024
Illuminate brilliance: Goldmedal Electricals launches Jugnoo LED downlights
Bangalore, 12 January 2024: Goldmedal Electricals, one of India’s leading Fast Moving Electrical Goods (FMEG) companies, announced the launch of its Jugnoo LED Downlight. It features 3-in-1 colour temperatures: Warm White, Neutral White, and Cool Daylight. This downlight is easy to install and use, allowing users to simply switch between three colours by turning the light ON and OFF.
Jugnoo, featuring a high-quality luminaire, boasts an aesthetically pleasing design with a transparent acrylic cover. This cover not only enhances the light dispersion but also elevates the overall look of the ceiling. The anti-glare diffuser in Jugnoo creates soothing light making it an ideal choice for homes, offices, shops, restaurants, and hotels. Its in-built independent driver provides electrical protection against high and low voltages.
Other features:
1. Polycarbonate housing with transparent optical acrylic cover
2. Equipped with a separate driver to ensure ease of installation and use.
3. Surge protection up to 2.5Kv
4. Total lumen efficacy: 75lm/W
5. LED life: 25000 burning hours
Speaking about the product, Bishan Jain, Director, Goldmedal Electricals said, “At Goldmedal, our commitment is to elevate the ambiance of every home, shop, or restaurant. The introduction of Jugnoo LED Downlight is a great addition to our contemporary lighting segment. It combines comfort with aesthetic appeal in a seamless manner. Its sleek design allows for effortless integration into any setting, offering ideal lighting solutions.”
Jugnoo LED Downlight is available both online and in retail stores for Rs. 310. It comes with a warranty of 2 years.
12, Jan 2024
90% MSMEs confident about India’s economy in 2024, reveals NeoGrowth Study
Bengaluru, January 12th, 2024: 90% MSMEs are confident that India’s economy will be resilient or will further improve in 2024, creating an enabling environment to conduct business. Further, supported by government initiatives to enhance ease of doing business and a strong consumer demand, 91% expect their profits to increase in 2024. These insights were revealed in the second edition of the NeoInsights study – ‘MSME Business Confidence Study’ for the year 2024 – released today by NeoGrowth, the MSME-focused NBFC in India, leveraging the digital ecosystem.
The study, which has analyzed responses from nearly 3,000 MSMEs from 25+ top cities in India, highlighted the continued confidence of small businesses in India’s economy, their preparedness to meet consumer demand, and the strategies they planned to implement in 2024 to drive business growth.
Arun Nayyar, Managing Director and CEO of NeoGrowth said: “Similar to 2023, MSMEs have continued to radiate optimism in India’s business environment. From steady growth in profits to expansion plans, their confidence portrays a vibrant picture of prospects for the country’s economic growth in 2024. India’s small businesses will continue to take center-stage in India’s growth story, and we are thrilled to be part of their journey by providing them timely credit to meet their evolving business needs.”
The Year That Was: A 2023 Lookback
In the first edition of the MSME Business Confidence Study conducted with ~3,000 MSMEs to understand their 2023 business expectations, 96% MSME owners expected their profits to increase in 2023 and 75% were optimistic of India’s economy to conduct business. In this survey conducted for the MSME Business Confidence Study 2024, despite the volatile global environment, 3 in 5 MSMEs mentioned that they have met their 2023 business targets. ~80% of women-led MSMEs achieved their business targets set for 2023.
MSMEs Thrive with Government Support in 2023
Over 40% of Micro, Small, and Medium Enterprises (MSMEs) across India experienced a major boost in 2023 with the support of diverse government schemes tailored to their needs. Notably, the manufacturing and wholesale/trade sectors emerged as the biggest beneficiaries, reaping significant benefits from these initiatives. Delhi-based MSMEs availed the benefits from government schemes the most, followed by MSMEs from Pune and Hyderabad.
Optimism Shines for India’s Economy in 2024
Overall, 90% MSMEs are confident of India’s economy in 2024. MSMEs in the wholesale/trading sector are leading the charge on economic optimism, with a resounding 95% expressing confidence in India’s robust growth trajectory for 2024. Supportive government policies and regulations coupled with robust domestic and global demand further fuel this sector’s unwavering optimism.
Retail MSMEs are very optimistic as 94% of MSME retailers expect an increase in profits in 2024. Also, 58% of MSMEs in the Trading/Wholesale segment expect their profits to increase by over 30%.
Consumer Demand Set to Surge in 2024
75% of Wholesale and Trader segment MSMEs remain bullish on consumer demand in 2024, echoing the optimism expressed in 2023. With respect to locations, Delhi is most optimistic where a whopping 87% of surveyed MSMEs anticipate a surge in consumer spending. Bangalore and Pune follow suit with impressive levels of confidence.
Strong credit requirement to continue in 2024
Nearly 60% of businesses across all sectors anticipate the need for credit in 2024. The Wholesale/Trading and Services sectors anticipate the highest demand, with a whopping 64% of businesses seeking credit to boost their operations. Notably, the appetite for loans seems strongest in metropolitan hubs such as Bangalore (88%), Pune (87%), and Delhi (84%).
MSMEs demand convenience from their lender
The top three factors for consideration while choosing a loan provider in 2024 would be quick disbursals, digitally enabled loan journey, and deal terms.
The highest number of MSMEs in Delhi would choose a lender with a digital loan process, whereas MSMEs in Pune prefer loan providers with fast approvals and disbursals.
Expansion spree expected in 2024
~60% of MSMEs plan to open new stores and offer new products or services to their customers in 2024. MSMEs in Bangalore, Delhi, and Pune have shown willingness to expand their presence in 2024. The highest number of MSMEs in the Wholesale/ Trading sector expects business and store expansion in 2024.
Positive sentiment for hiring
44% of MSMEs plan to hire more employees in 2024. Maximum hiring in 2024 is expected by MSMEs in Bangalore and Pune. Some of the focus areas for MSMEs while hiring in 2024 would be creating job opportunities for people with disabilities/ special needs, hiring from smaller towns, and increased share of women in their workforce.
MSMEs going eco-friendly
81% of MSMEs plan to adopt sustainable and eco-friendly practices in 2024. Similar to 2023, MSMEs have rated ‘going plastic-free’ as a key environment-friendly initiative of their business for 2024. In recent times, there has been a notable shift towards sustainability awareness and proactive measures to safeguard the planet.
Digital, the path ahead for MSMEs
In 2024, Indian MSMEs are gearing up for a digital revolution, with 82% planning to harness the power of online tools. This focus goes beyond just “going digital” and delves into five key areas: digital discovery (online selling), digital fulfilment (delivery partnerships and online marketplaces), digital transactions (cashless payments), digital operations (streamlining tasks like bookkeeping and ordering), and digital engagement (through google, social media and customer feedback).
“In all, this optimism across various areas of MSMEs’ businesses starting from digitization to support from government schemes is not only a mere trend but also a powerful engine for the nation’s economic ascent. The fast-evolving digital ecosystem is providing fuel for this engine, with accessible and streamlined credit options unshackling MSMEs from traditional hurdles. 2024 is poised to be a landmark year for these entrepreneurial heroes, propelling India towards its $5 trillion dream,” added Arun Nayyar, Managing Director and CEO of NeoGrowth.
12, Jan 2024
Even an Interim Budget Can Help Real Estate
– By Akash Pharande, Managing Director – Pharande Spaces
The Indian real estate sector, particularly housing, is at a critical juncture as we approach the Union Budget for 2024-2025. Considering the forward momentum seen in 2023, alongside global economic challenges and the stagnation in affordable housing, there are several key areas the sector should focus on in its demands from the upcoming budget.
Though this is an interim budget, traditionally viewed as a stop-gap arrangement before a full-fledged budget post-general elections, it still holds significant potential for addressing immediate concerns and laying groundwork for future policies.
An interim budget, typically presented in an election year, is meant to cover the government’s expenditure for a part of the year until a new government presents the full budget. However, it is not necessarily just a stop-gap arrangement but also an opportunity for the incumbent government to outline its vision and set the tone for future policies.
Real estate stakeholders therefore look to it as an opportunity to introduce critical reforms or support measures, even if they are to be fully fleshed out in the full budget.
1. Addressing the Affordable Housing Challenge
The stagnation in affordable housing has been a critical issue over the past few years. The sector requires:
Enhanced budget allocations for existing affordable housing schemes.
Streamlining of approvals and clearances for affordable housing projects to expedite development.
Tax incentives for developers focusing on affordable housing segments.
2. Tackling Funding Issues
Liquidity crunch has been a significant challenge for real estate developers, especially post the NBFC crisis. The budget should focus on:
Measures to ease liquidity for real estate projects, possibly through dedicated funds or special windows under institutions like National Housing Bank (NHB).
Reforms or relaxations in external commercial borrowing (ECB) norms to allow more foreign capital in real estate.
Strengthening REITs (Real Estate Investment Trusts) framework to attract more investment.
3. Taxation Reforms
- Taxation remains a critical aspect of real estate investment and development. The sector’s demands include:
- Rationalization of GST rates on real estate projects. This is important. While GST aimed to simplify taxes, its structure for real estate has been complex, with issues like input tax credit causing concerns among developers.
- Rationalizing GST rates for raw materials used in affordable housing or providing input tax credit benefits can reduce the overall cost of construction, indirectly benefiting buyers.
- Additional tax deductions for homebuyers, particularly in the affordable and mid-income segments. Currently, under Section 24(b) of the Income Tax Act, taxpayers can claim a deduction on home loan interest. Increasing this limit, especially for affordable housing, would make buying homes more attractive for the lower and middle-income groups. Under Section 80C, there is a deduction for the repayment of the principal amount of home loans. Increasing this limit for affordable housing can be another incentive.
- Enhancing additional tax deductions for first-time homebuyers in the affordable housing segment can also incentivize more people to invest in property.
- Incentives for sustainable and green building practices through tax rebates.
- Providing tax deductions to those offering rental properties in the affordable segment can promote rental housing, which is a critical need in urban areas.
4. Regulatory and Policy Reforms
Policy reforms are essential for sustained growth. The sector needs:
Streamlining RERA (Real Estate Regulation Act) across states for uniformity and better compliance.
Policies promoting rental housing as a viable option, which is critical for urban areas with migrant populations.
Clarity and support for digitization in land records and transactions.
5. Focus on Infrastructure and Urban Development
- Infrastructure is the backbone of real estate growth. The budget should consider:
- Increased spending on infrastructure, particularly in tier 2 and tier 3 cities.
Policies to integrate urban development with transportation, like Transit-Oriented Development (TOD)
6. Encourage Foreign Direct Investment (FDI)
To attract more foreign investment, the budget could:
- Relax FDI norms in certain real estate segments.
- Provide clarity and stability in policies to build investor confidence.
7. Boost Sustainable Development
- With increasing focus on sustainability, the sector requires:
- Incentives for projects adhering to green building norms.
Support for innovation in sustainable materials and construction technologies.
8. Support Technology Adoption
Technology is already revolutionizing real estate. The budget should focus on:
- Incentives for adopting technology in construction and property management.
- Support for PropTech startups through funding and policy initiatives.
Without a doubt, of all the above-mentioned points, affordable housing is the segment which most needs an immediate shot in the arm. The government had set a very high expectations benchmark for it with its Housing for All target. It can go a long way in using this interim budget to set the stage for a robust comeback of this critically important segment.
