News: Union Budget 2025: Skilling, centralised GCC policy, sustainable infrastructure among industry wishlist

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Union Budget 2025: Skilling, centralised GCC policy, sustainable infrastructure among industry wishlist

Industry players have high hopes for the first Union Budget of the Modi 3.0 government
Union Budget 2025: Skilling, centralised GCC policy, sustainable infrastructure among industry wishlist

As Finance Minister Nirmala Sitharaman prepares to present the Union Budget for 2025-26 on February 1, business and HR leaders across industries have high expectations. Their wishlist includes a stronger focus on skill development, a centralized policy for Global Capability Centers (GCCs), and sustainable infrastructure development.

With India’s labor market evolving in an AI-driven world, industry leaders believe the upcoming budget will be a key moment in shaping India’s workforce, tackling the changing needs of the labour market, and ensuring the country remains competitive in an AI-driven world.

Workforce development

Skill and leadership development to prepare the workforce for the future continues to be a top priority. Srinivasa Addepalli, Founder and CEO, GlobalGyan Leadership Academy, believes that professional upskilling should be treated on par with education. “Investing in programs that provide individuals with the skills they need, can help them stay relevant in a fast-changing job market,” said Srinivasa.

Sachin Jain, Country Head at ETS India & South Asia, calls for prioritising strategies that empower the youth and enable them to compete on a global stage. “Strengthening workforce readiness through skill development and language proficiency initiatives will be essential for India to cement its position as a global talent hub. The focus should be on fostering equitable access to high-quality education and assessments that prepare students and professionals for international opportunities,” he said.

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Ankit Aggarwal, Founder & CEO of Unstop, anticipates that more funds will be allocated to skilling initiatives, building on the government's previous efforts for 41 million individuals and the Rs 4520 crore allocated to the Ministry of Skill Development and Entrepreneurship. “We anticipate an increase in this year’s allocation to further boost skill development and job creation, with a greater focus on state-wise distribution of funds.”

Sustainable infrastructure development

Chinmay Hegde, Co-founder, CEO, and Managing Director of Astrikos.ai, wants the government to focus on the sustainable development of urban infrastructure. “With India urbanising rapidly and cities becoming home to millions, the urban infrastructure must also become more sustainable. To ensure this, the Union Government should continue to focus on sustainable infrastructure and green initiatives in the coming days. Budget allocation for Smart Cities Mission should increase to ensure its objectives are achieved,” he said. 

Prioritising AI-driven infrastructure management and AI-powered smart Infrastructure in urban planning and promoting efficient and sustainable urban mobility are other expectations.

Amritanshu Anand, Co-Founder, Recruiterflow, looks forward to initiatives that will solidify India's position as a global technology hub and empower bootstrapped startups to scale sustainably. “Increasing domestic consumption is critical—not just to drive hiring but to create opportunities for skilled hiring, which will be essential as we enter the age of AI. Incentivizing innovation in AI and automation within the recruitment sector, along with measures to support remote-first operations and world-class SaaS development, will drive global competitiveness.”

Moreover, skill development in recruitment technology is vital to ensure India's workforce remains at the forefront of global markets.

Uniform centralised GCC policy

India’s Global Capability Centers (GCCs) are already a key driver of the economy, employing 1.9 million professionals and generating projected revenues exceeding $100 billion by 2030. Industry leaders believe the government must implement targeted fiscal and policy reforms to sustain this momentum.

“Simplifying the company registration process specifically for GCCs would reduce setup timelines, enabling faster investments and operations. Extending tax incentives, such as a 15% concessional tax rate, would foster innovation and attract global organizations to establish and scale their operations in India. Additionally, raising the threshold for Safe Harbour Rules would level the playing field for mid-sized GCCs, which are critical to driving the next wave of growth,” says Lalit Ahuja, CEO and founder ANSR.

Ahuja also advocates for a uniform, centralized GCC policy that could further enhance India’s appeal by streamlining compliance and creating a predictable environment for investors. 

Similarly, Sonal Arora, Country Manager, Gi Group, stresses the need for industry enablers that support better technological adoption and improve ease of doing business across sectors, particularly in retail and quick commerce.

The upcoming budget holds immense potential to define India's economic trajectory. With the right policy interventions in skills, infrastructure, and global investments, India can strengthen its position as a global talent and innovation hub. The industry now awaits decisive action from the government to turn these aspirations into reality.

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Topics: Business, Economy & Policy

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