Ritesh Agarwal
It is no coincidence that India has been an outlier amid global economic uncertainty. A stable political environment, significant investments in public infrastructure and a growing population have set it apart. This year’s budget is an opportunity to build on that momentum, and Finance Minister Nirmala Sitharaman has taken the right course.
Infrastructure remains a priority, with allocations aimed at improving connectivity and supporting regional growth. The tourism sector also features prominently, highlighting plans to promote India as a leading global tourist destination. The Economic Survey highlights a surge in foreign tourist arrivals in 2023, with total visitor numbers rising 43.5% year-on-year to 9.2 million.
While this bodes well for India’s global standing, the real opportunity lies at home, particularly with a growing middle class that is ready to spend money on travel. Indians are seeking new experiences beyond their well-traveled destinations, opening up even more potential for domestic tourism.
Infrastructure will continue to be key to tourism growth. The Finance Minister’s decision to keep infrastructure spending flat underscores the commitment to spur growth and create jobs. This sustained push for infrastructure development will boost tourism and lead to the emergence of new destinations, especially in rural and semi-urban India.
Religious tourism has been gaining momentum in recent years, and it is encouraging to see the government maintaining that focus with plans to build corridors at Vishnupad and Mahabodhi temples modelled on the scheme of the Kashi Vishwanath temple. Apart from cultural preservation, infrastructure projects in religious cities often lead to wider local development, and both Varanasi and Ayodhya are good examples of such an approach.With the growing popularity of religious travel, especially amongst the youth, there are several religious sites waiting to be transformed.
Personally, it was heartening to see my home state of Odisha being given a prominent place in the state government’s plans to develop the state’s myriad temples, beautiful coastline and natural landscapes. The focus on Nalanda, a site of great historical importance, was equally noteworthy.
It has been a tough year for startups as many have struggled with a slowdown in fundraising. Only two startups have been certified as unicorns in 2023, a significant drop from 23 and 39 respectively in the previous year. The repeal of angel tax for all investor classes could be a major catalyst for the startup ecosystem.
“This has been a long-standing demand from early-stage startups and the decision marks a significant step towards India positioning itself as a global innovation hub. With more Indian startups having international ambitions, the abolition of angel tax will ease the financial burden on young startups and help them attract funding from outside India.”
The push towards startups is commendable. It is also a testament that startups are no longer remaining peripheral to India’s growth story. The past few years have democratized entrepreneurship across India, igniting the entrepreneurial spirit among thousands of young people. From e-commerce to space technology, modern Indian startups have emerged as pioneers, spearheading innovation and problem-solving at scale. They are poised to drive the next wave of economic growth.
As we aspire to become the world’s third largest economy, it is noteworthy that a country with a highly skilled workforce is better positioned in a competitive global economy to attract investments, foster innovation and engage in lucrative international trade. India’s workforce is reported to have one of the largest skills gaps in the world, an issue that is further exacerbated by socio-economic disparities and constant movement of workforce from one sector to another.
A new Central Skill Development Scheme in collaboration with states to skill two million youth over the next five years is expected to go a long way in bridging this gap. The decision to offer internships to job-seeking youth in the “Top 500 companies” will help build a future-proof workforce.
What has stood out in the last decade or so has been the rapid digitisation of Indian society. India’s robust Digital Public Infrastructure (DPI) was showcased to a global audience at last year’s G20 summit, with the Finance Minister exhorting private companies to develop DPI applications at scale, which will boost innovation. Targeting areas such as e-commerce, education, health, logistics and urban governance, the initiative will boost areas such as AI, which could eventually see algorithms integrated into DPI.
India continues to lay the foundations for a strong and inclusive economy and the vision of a “Viksit Bharat” is becoming a reality. With strategic investments in infrastructure, tourism, skills and technology, India is well poised to leverage its demographic dividend and continue to meet global expectations.
(The author is Founder and Group CEO, OYO. Views expressed are personal.)
