Investment Opportunities: The Budget 2024: Key Highlights and Implications for

1. Investment Opportunities: The Budget 2024: Key Highlights and Implications for Investors As the fiscal year progresses, the Indian government has unveiled the highly anticipated Budget 2024, offering a comprehensive blueprint for the nation's economic future. This year's budget, themed around employment, skilling, MSMEs, and support for the middle class, aims to bolster India's growth trajectory while addressing key socio-economic challenges. For investors and businesses, understanding the nuances of this budget is crucial for aligning strategies and capitalizing on emerging opportunities. Budget 2024 Highlights and Overview The Budget 2024 was announced on February 1, 2024, setting the stage for significant reforms and strategic investments across various sectors. As India navigates its path towards a Viksit Bharat (Developed India), the budget highlights a multi-faceted approach focused on employment creation, skill development, and enhancing productivity across industries. Budget 2024 Highlights: Employment and Skilling

2. One of the cornerstone features of the Budget 2024 is the Prime Minister’s package, designed to invigorate the job market and improve skilling opportunities. The package comprises five key schemes with a central outlay of INR 2 lakh crore, aiming to support 4.1 crore youth over the next five years. This initiative includes: 1. Employment Linked Incentives: Scheme A: Provides a one-month wage subsidy (up to INR 15,000) for first-time job entrants with a salary ceiling of INR 1 lakh per month. Scheme B: Incentivizes job creation in the manufacturing sector, with additional benefits linked to employing first-time workers. Scheme C: Offers support to employers by reimbursing up to INR 3,000 per month for EPFO contributions for each new employee over two years. 2. Skilling Programs: ● Aims to skill 20 lakh youth over five years through collaborations with state governments and industries. ● Upgrading 1,000 Industrial Training Institutes with updated course content aligned with industry needs. ● Revised Model Skill Loan Scheme, providing up to INR 7.5 lakh in loans, and financial support for higher education loans up to INR 10 lakh. 3. Women Empowerment: ● Establishing working women hostels and women-specific skilling programs. ● Promoting market access for women SHG enterprises and facilitating job opportunities for women. Budget 2024: Emphasis on MSMEs and Infrastructure The budget also places a significant emphasis on supporting Micro, Small, and Medium Enterprises (MSMEs), which are pivotal to India's economic fabric. Key measures include: 1. Credit Support: ● Introduction of a Credit Guarantee Scheme to facilitate term loans for MSMEs without collateral.

3. ● Enhanced scope for Mudra Loans, with limits increased to INR 20 lakh for successful borrowers. ● Reduced turnover thresholds for mandatory onboarding on the TReDS platform, improving liquidity for MSMEs. 2. Infrastructure Investment: ● Provision of INR 11.11 lakh crore for capital expenditure in infrastructure, aimed at enhancing connectivity and urban development. ● Launch of Phase IV of the Pradhan Mantri Gram Sadak Yojana (PMGSY) to improve rural connectivity. ● Development of investment-ready industrial parks and rental housing for industrial workers. Agriculture and Energy: Key Areas of Focus Agriculture and energy sectors also receive notable attention in the Budget 2024, with initiatives designed to boost productivity and sustainability: 1. Agriculture: ● Launch of 109 high-yielding, climate-resilient crop varieties. ● Support for 1 crore farmers to adopt natural farming practices and establishment of 10,000 bio-input resource centers. ● Strengthening of production, storage, and marketing for pulses and oilseeds to achieve self-sufficiency. 2. Energy Security: ● Development of policies for energy transition and promotion of renewable energy projects. ● Support for the PM Surya Ghar Muft Bijli Yojana, aimed at providing free electricity connections to eligible households. ● Investment in small modular nuclear reactors and advanced ultra-supercritical thermal power plants. Taxation and Economic Reforms The budget also introduces several tax reforms and economic policies aimed at stimulating investment and enhancing the ease of doing business: 1. Direct Taxes:

4. ● Abolition of the angel tax for all classes of investors, fostering a more conducive environment for startups. ● Reduction in corporate tax rates for foreign companies from 40% to 35%. ● Simplified tax regime for foreign shipping companies operating domestic cruises. 2. Indirect Taxes: ● Rationalization of customs duties, including reductions on critical minerals and mobile phone parts to boost domestic manufacturing. ● Introduction of measures to improve competitiveness in various sectors, including marine products and telecommunications equipment. 3. Economic Policy Reforms: ● Formulation of an Economic Policy Framework to guide future reforms and enhance productivity across sectors. ● Incentives for states to implement land-related reforms and digitize property records, facilitating credit flow and improving urban planning. Implications for Investors The Budget 2024 lays a solid foundation for economic growth and stability, with several implications for investors: 1. Opportunities in Employment and Skilling: ● Investors can explore opportunities in the burgeoning skilling sector, leveraging government initiatives to develop training programs and educational infrastructure. ● The focus on employment-linked incentives presents prospects for companies to expand their workforce with reduced financial burdens. 2. MSMEs and Infrastructure: ● The budget’s emphasis on MSMEs and infrastructure development creates a fertile ground for investments in industrial parks, infrastructure projects, and technology solutions.

5. ● The Credit Guarantee Scheme and Mudra Loan enhancements offer avenues for financial institutions and investors to engage with the MSME sector. 3. Agriculture and Energy: ● Investments in agricultural innovation and sustainable practices align with long-term trends in food security and environmental sustainability. ● The energy sector reforms and support for renewable energy projects provide opportunities for investors in clean energy and infrastructure development. In conclusion, Budget 2024 represents a strategic vision aimed at speeding economic growth, enhancing employment opportunities, and supporting critical sectors of the economy. For investors, the budget presents a wealth of opportunities across various domains, from MSMEs and infrastructure to agriculture and energy. By staying informed and strategically aligning with the budget's priorities, investors can position themselves to benefit from India's Evolving Economic Backdrop.