Budget Reaction by Ravichandran Purushothaman, President of Danfoss India
The progressive and growth-oriented budget presented
“We welcome the progressive and growth-oriented budget presented by the Finance Minister Nirmala Sitharaman for 2022-23. As part of India’s new blueprint of infra growth for the ‘Amrit Kaal’, the increased capital expenditure, 35.40 percent above last year, will create more infrastructure, which will have a huge multiplier effect on the economy. With economic growth pegged at 9.2%, ahead of other large economies, and a sharp focus on sustainability and circular economy, India is well poised to withstand the challenges and reach closer to the $5 trillion GDP ambition.
With capital expenditure estimated at INR 10.68 lakh crore for 2022-23, the government has laid out the roadmap to boost India’s holistic growth. The Budget has also given the much-needed impetus to India’s agriculture and education sector with measures such as 2.37 lakh crore direct MSP payment to farmers, DESH stack, One Class One Channel. By promoting chemical – free natural farming, industries can now lead the way in boosting sustainable productivity and increased income of farmers.
While the highlight of the budget was on healthcare and infrastructure sector, some prudent initiatives for MSMEs and India Inc for start-ups have also been announced. The announcements related to green bonds and energy savings for commercial buildings, highlights India’s commitment towards reduction of carbon emissions.
To facilitate energy management, Government of India has promoted the adoption of the Energy Service Company business model for large commercial buildings. By enabling capacity building and energy audits, performance contracts, common measurement and verification protocols, this service helps in imbibing energy savings as a core value in industries across India. By providing major financial allocations to energy efficiency and data centres the path towards clean energy storage is clearer than ever. We hope that Budget 2022 acts as a guiding force to lead our government’s ‘India@100’ initiatives.”
