Startup ecosystem looking forward to financial boost in the forthcoming budget

New Delhi [India], Jan 31 : With the Union Budget 2017 being announced tomorrow, Startup industry is expecting more incentives this financial year.

According to the market leaders, Startups are looking forward to a continuing tax exemption as well as other tax-related incentives.

"The startup ecosystem in India is flourishing every year. Some startups have seen a phenomenal growth (and) success towards implementation of their ideas last year.

Through this year's budget, there is expectation towards various kinds of exemptions on taxes like the exemption under the minimum alternate tax for startups, tax concessions for the ESOPs, unlisted securities and convertible instruments," said Manavjeet Singh, CEO and Founder, Rubique.

Post demonetisation, there has been a shift to digital transactions, which has opened up the economy to cashless transactions.

This has led to an expansion of the technology sector, keeping in line with the 'Digital India' initiative.

"It's important for our country to create a robust infrastructure to offer high-speed, reliable Internet access to one and all.

Improving access to digital services with tax rebates on the production of affordable smartphones and offering subsidized data will also go a long way in democratizing India's payments sector," said Madhur Deora, Chief Financial Officer, Paytm.

"We need to focus on digital money to stay digital, by strongly encouraging digital payments of all forms, as compared to ATM machines.

Waiving off transaction fees for low-ticket purchases and increased access to credit would also help bring millions of unbanked and under-banked individuals into the folds of the mainstream economy," added Deora.

With regards to the 'Digital India' initiative, it is important to upgrade technological access in all parts of the country.

Additionally, citizens need to be informed about the same. "My only expectation from the Union Budget 2017 is the availability of enough funds dedicated to imparting and increasing knowledge and creating awareness amongst Indian users, both merchants and consumers, on how to pay and accept payments digitally," said Shailaz Nag, COO, PayU India.

Source: ANI