11 March 2023 | BW BUSINESSWORLD | 101 IIT-K VERDICT: Well Balanced Budget IIT-KANPUR’SPratik Bhausaheb Nikam, Rajdeep Agarwalla, Tapesh Gupta, Harsh Pandey, Darahas B. and Gaurav Gupta participated in the post-Budget webinar organised by BW Businessworld. I n the eyes of the students of IIT Kanpur, Union Budget 2023-24 was “well balanced”. They felt it was “knowledge and technology driven”. The students felt that the debate over the tax regime – new versus old – made it “easier for the taxpayer to understand tax slabs”. The budget highlights for the IT sector like more funds for research and development, “Make AI in India” and “100 labs for 5G” enthused IIT-K technology enthusiasts. They felt that these measures would translate into better jobs and more skilling opportunities for the youth. The IIT students felt, however, that the Union government would now need to “focus on wealth creation of IT-based services” and “manufacturing of small products”. The students hailed prioritising youth power in the budget. They emphasised that policy changes for the youth would have a huge impact on the future of the country. The students are also looking forward to the new phase of the Kaushal Vikas Yojna, “because the previous phases have not yielded the desired results” and “India is blessed with a huge labour force”. In their view “unified skill development will surely help create more employment opportunities”. TEAM BW IIM LUCKNOW ‘Budget Environmentally Conscious’ IIM LUCKNOW’S Naitik Shah, Rishika Agarwal, Pradnayee Kantak, Snehal Garg, Arav Sangai and Sonakshi Agarwal participated in the post-Budget Webinar organised by BW Businessworld. S tudents at IIM Lucknow felt that the Union Budget 2023-24 had been designed, keeping in mind that “India is an island of growth”. Apart from increasing capex, it has also widened the scope of growth of agritech. The students felt that the Union Budget was “environmentally conscious”, which is completely in line with the Paris Accord and the UN Sustainable Development Goals (SDGs). By “promoting missions like the Jal Jeevan Mission and AMRUT Mission, it lays emphasis on the overall development,” of the nation, the IIM fraternity opined. The Rs 20 lakh crore increase in the outlay for agriculture and agroaggregator funds were signs of a “development-oriented budget,” the students felt. They, however, also felt that the budget had “overambitious targets”. They welcomed the thrust on skill development and the IT sector, however, which, they said would “reduce unemployability”. The future managers felt that the “boost to Make in India and Make AI in India” would certainly make India move higher up on the IT value chain”. PostCovid, “many countries are looking at new and alternate supply chains and India is well-placed to capture that market – a sentiment that is visible in the Budget too,” was the verdict from IIM Lucknow. TEAM BW Photograph courtesy IIM Lucknow Photograph courtesy IIM Kanpur
102 | B W BUSINESSWORLD | 11 March 2023 At a discussion organised by BW Businessworld, a panel of economists came to the conclusion that the Union Budget 2023-24 was “futuristic and growth-oriented”. The participants were debating whether or not the budgetary exercise was political and populist or a post-pandemic budget designed for structural reforms. Prasenjit K. Basu, Chief Economist, ICICI Securities, said, “I think it is fiscally a very prudent budget that has estimated the fiscal deficit to be 5.9 per cent of GDP, but at the same time provides some tax relief to personal income-tax payers. So, in my opinion, it is a significant achievement.” “The capital investments are projected to increase at a rate of 30 to 40 per cent and a Rs 10 lakh crore route is earmarked for the capital expenditure – a great thing that is going to help the Indian economy with strong demand and production possibilities in the factories,” added S. P Sharma, Chief Economist, PHD Chamber of Commerce and Industry. “The revenues are buoyant and the buoyancy in tax revenue is going to deliver a lower fiscal deficit than projected in the budget this year and for the next year it will be even lower (close to five-and-a-half per cent of the GDP),” added Basu. “This is a budget for the future and growth-oriented. To some extent, we will have some direct benefits from the Capex structure that they have created,” said Yes Bank’s Chief Economist, Indranil Pan. “Most of the essential aspects of the budget hinge on how we can harness the efficiency and productivity of the economy by taking reforms down to the lowest segment of the masses,” he said. Sharma said, “They (the government) have focused more on PM Awas Yojna, which is getting a 66 per cent boost from Rs 47,500 crore to Rs 79,000 crore. This is a major highlight of the budget, which is for the longer term and is a move towards the blueprint of a developed economy in the coming times.” The experts also noted that there has been a 33 per cent increase in the government’s capital expenditure, which is going to provide a significant boost to the economy. All-in-all they opined, Union Budget 2023-24 was a pro-growth budget. Talking of the execution challenges, however, Pan pointed out that even of the Rs 1 trillion interest-free capex loans granted to the states for the 2022-23 fiscal, “the entire amount had not been spent” TEAM BW ‘Fiscally-prudent Budget,’ say Economists 1 February 2023, Budget session in progress in Parliament BW ONLINE UNION BUDGET 2023-24 Photograph by PIB
11 March 2023 | BW BUSINESSWORLD | 103 F ormer Finance Secretary, author and columnist Subhash Chandra Garg described the Union Budget as “fairly good on fiscal metrics”. At a post-budget discussion organised by BW Businessworld, Garg said the increase in capital expenditure was a positive feature. He was, however, concerned about the high fiscal deficit. He said, “I do not think it is very much in the interest of the country to maintain such a high order of fiscal deficit.” Another concern, he highlighted was the “practical abandonment of privatisation and disinvestment programmes”. The former Secretary in the government of India described India’s vision to become a developed economy by 2027 or turn into a $5 trillion economy by 2035 a ‘national ambition’. “These ambitions will require high growth rates. In the domestic economy, we should have 8-9 per cent of average growth. In terms of the dollar, we need to grow at 10-12 per cent per annum,” he pointed out. Talking of whether or not the Union budget addressed the necessities of the vulnerable segments of the population, Garg said that the needs of this section had actually been addressed before the budget by replacing the food security scheme with PM Garib Kalyan Anna Yojana and with the continuation of farmers’ subsidies. Notwithstanding its many constraints, the Union government had showered considerable largesse on both the poor and middle classes, he felt. On India’s progress toward becoming a centre of green growth or a manufacturing hub, he sounded a word of caution. “I am afraid, we should be grounded to reality,” he said, adding, “The manufacturing growth this year is only two per cent, despite the elevated capital expenditure and other infrastructural programmes.” So, would Union Budget 2023- 24 prove to be the job creator it was anticipated to be? “Goods production has increasingly become automated. It does not generate real jobs,” Garg pointed out. “So if we can accept that manufacturing is not the real employment creator but that the services are the real job creators and make policies around them then we would be able to get the right kind of impetus for employment,” advised the former finance secretary. TEAM BW ‘Services as Job Creators Important,’ says Former Finance Secretary Subhash Chandra Garg “So if we can accept that manufacturing is not the real employment creator but that the services are the real job creators and make policies around them then we would be able to get the right kind of impetus for employment,”
104 | B W BUSINESSWORLD | 11 March 2023 ‘Capex Increase a Positive Step’ T.V. Mohandas Pai, Chairman, Aarin Capital T he big boost yet again on capital expenditure in the Union Budget has won accolades from many, among them Aarin Capital Chairman T. V. Mohandas Pai, who was also among the co-founders of IT giant Infosys. “Increasing the capital expenditure to Rs 10 lakh crore next year is a very good step by the government,” Pai said at a discussion on the Union Budget with BW Businessworld. “India’s fiscal deficit is down to about six per cent,” he went on to say enthusiastically, “and the quality of spending is very good. So, as far as this year’s target is concerned, it is very good”. He said the “deprivation of Indian people over the last 75 years and not providing them basic facilities was the biggest problem in India,” but that the Modi government “has taken care of providing a roof over the head to every Indian, water in the tap and money in every bank account.” “I think our competitiveness has been held back by the fact that there were supply chain costs at 14 per cent of GDP and that has come down to 12 per cent because of GST. It should have come down to eight per cent,” Pai said. Referring to the renewed thrust on infrastructure in the Budget, he pointed out that improving the road infrastructure would simply enable one to “travel faster and safer”. Pai obviously, sees India progressing towards a better future. “More and more people are going to live in urban areas,” he predicted “and they are engines of growth because urbanisation creates a concentration of human activi activity.” TEAM BW ‘Cutting Taxes Not a Great Idea’ Lord Meghnad Desai, Economist back to their villages for work”. Desai emphasised that the poor of the country needed to be looked after by democratic politics. Describing Finance Minister Nirmala Sitharaman’s finance Bill as an “alright budget”, Lord Desai said, “I am actually very averse to cutting taxes because India very much relies on foreign money coming in and foreign money comes in because people trust the fiscal system.” He stressed the importance of fiscal discipline and the need to strengthen the corporate regulatory structure. Desai said, “India is too unrealistically optimistic about how it is going to grow. The world is facing a fresh global stack and India has to be aware that it lives in the world where recession is very likely and inflation is going to be tough.” He pointed out that India had to moreover, “sort out” the job problem. TEAM BW British economist Lord Meghnad Desai raised a red flag at the Union Finance Minister’s decision to cut back on taxes at a post-Budget debate organised by BW Businessworld. “People ought to get off their obsession with tax cuts,” emphasised the Labour Party politician, who showed a preference for an urban version of MGNREGA (the Mahatma Gandhi National Rural Employment Guarantee Scheme) “so that rural people do not have to go BW ONLINE UNION BUDGET 2023-24 Photograph by Tarun Gupta
11 March 2023 | BW BUSINESSWORLD | 105 ‘MSMEs Need to be Vigorously Promoted’ Aruna Sharma, Former Secretary F ormer Secretary in the government of India, Aruna Sharma considers the youth population, the domestic market and technology brains the USPs of the country. Speaking at a post-Budget discussion organised by BW Businessworld, Sharma emphasised the need for a skilling budget, especially for micro, small and medium enterprises (MSMEs). The budget, she felt, should create an ecosystem “where one can put the bill of one or two apprentices with each of the MSMEs”. The MSMEs should believer in the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGA) scheme, for which the finance minister has slashed allocations by 18 per cent compared to the Union Budget for 2022-23. She also highlighted a need for a ‘social registry’. “Only eight states have social registry databases which keep a record of family members’ data, unlike Aadhar. It should be one of the focuses in the social sector,” she added. India needs to generate eight crore jobs per annum and “we’re nowhere near this,” Sharma said emphatically, talking of employment opportunities. “We need to create youth who are employable. Our entire focus should be on making the youth head towards employment which is sustainable and to offer good quality of employment. Otherwise, they will turn into a liability,” she warned. TEAM BW ‘Promote Education, Infra, Ease of Doing Business’ He said, “The Centre should act as a benevolent referee, who never plays a football match but makes sure the pitch is right for a perfect game.” Dahiya stressed the need for protection against health, disease, death and disabilities, because it is in these moments that “an individual or family is at its vulnerable and weakest stage”. He lamented that the health industry fails to seek support from the Centre and said he was pinning his hopes on the next budget. He applauded the government for catering to the needs of the middle class in the budget. He also lauded the budgetary thrust on the digital and physical infrastructure . TEAM BW Policybazaar Chief Executive Officer (CEO) and Co-founder, Yashish Dahiya, is happy with the 25-year focus of the Union Budget 2023-24. In a discussion organised by BW Businessworld, Dahiya said, “Although nothing happened on health insurance, nothing happened on term insurance – a field I personally belong to – but I am happy with the overall thrust of the Budget.” He said the country’s threepronged focus should be on education, infrastructure and simple business protocols. He urged the government to ease business rules instead of providing employment “because businesses will develop humongous working opportunities rather than the government giving jobs to an individual”. be given the advantage of taxation by rationalising the GST when they’re boarding the ecommerce value chain, she said. “Small and micro MSMEs still need hand-holding,” Ms Sharma, added. The former bureaucrat is a staunch Photograph by Ritesh Sharma Yashish Dahiya, CEO Policybazaar
106 | B W BUSINESSWORLD | 11 March 2023 ‘Tech-led Growth, Upskilling Positive Steps’ L eaders of the information technology (IT) industry are of the opinion that the budget was largely positive and has provided the foundation for technologydriven growth and upskilling, which would in turn, lead to better times. In a post-budget discussion, organised by BW Businessworld, Jagdish Mitra, Chief Strategy Officer and Head of Growth, Tech Mahindra, said, “This budget, with simple steps, took on future skilling, enabling conversation around AI CoEs, 5G labs and so forth. These terminologies were unheard of in budgets. And this budget gave them great visibility.” “From my and industry’s perspective, I think it’s been a very positive budget,” he said. Weighing in on the topic, Vipul Singh, Co-founder and CEO, AEREO said, “I feel the budget has been able to very clearly indicate that the government’s focus is on creating long-term compounding effects when it comes to building a robust economy, rather than giving short and crisp or short-term economic benefits to specific sectors.” He felt, however, that the budget should have addressed the issue of angel taxation to provide more impetus to Indian capital which could support the country’s startup ecosystem. He stressed that enabling Indian investments into startups would encourage more companies to stay in the country while pursuing IP creation. Punit Agarwal, Founder and CEO, KoinX was disappointed that the budget had not offered any clarification on Virtual Digital Assets (VDA). “Penalty clauses have been added towards Section 194S (which is for TDS on virtual digital assets). So, if someone is not deducting TDS, they are subject to three months to seven years of imprisonment and up to 100 per cent penalty on the TDS amount,” he pointed out. Agarwal believes that a simpler tax structure could help shift VDA trade volumes back to Indian exchanges. TEAM BW T he startup ecosystem is a tad disappointed by some Budget provisions. Measures that were not explicitly covered in the Budget and on which industry leaders had pinned their hopes, included more tax incentives for startups, better capital allocation for rural development, attention to growth in manufacturing in India, more uniformity in the GST rates, easing the capital blockage and parity in long-term capital gains tax. In a post-Budget panel discussion, organised by BW Businessworld, T. C. M. Sundaram of Chiratae Ventures ‘Needed, More Tax Sops for Startups’ said, “The overall budget was balanced. It is important to note what has been invested by VC (venture capital) and the PE (private equity) industry is clearly contributing to job creation and leveraging new tech, which truly creates GDP. We are being taxed even as Indian investors. Whereas this is going into asset creation or value creation, they should get a favourable thing from the Centre”. He added, “They pay higher taxes compared to offshore investors. Indian SaaS companies at the startup level could actually be forced to go out of India and there is still a higher cost of flipping back. Different regulations around the applicability of angel tax section 56-57 will create a tough situation.” Ruchit Agarwal, Co-founder and Chief Financial Officer of Cars24 said, “Anything better for transportation and infrastructure that will encourage more cars in the country is good for us as we deal in cars. Overall, it was a balanced budget.” TEAM BW BW ONLINE UNION BUDGET 2023-24 Photograph by Aoo3771 Photograph by Mstjahanara
11 March 2023 | BW BUSINESSWORLD | 107 ‘Budget in the Right Direction’ Ashwani Mahajan, Co-convenor, Swadeshi Jagran Manch P raise for the Union Budget came in from the sphere of politics, even as most of the Opposition continued to bludgeon it in Parliament. Swadeshi Jagran Manch Co-convener Ashwani Mahajan felt that Union Budget 2023-24 was in the right direction “whether it’s the green push, growth push or the rural thrust”. He was speaking at a post-Budget discussion organised by BW Businessworld. Addressing the criticism the present government faces for the 18 per cent slash in the budgetary allocation for the Mahatma Gandhi Rural Employment Guarantee Scheme (MGNREGA), he said, “The MGNREGA is not limited by the budget but is a demanddriven scheme. If people demand employment under this scheme, then the Centre is liable to provide employment or fund the demand.” The Union Budget has allocated Rs 60,000 crore for the MGNREGA scheme for 2023-24, compared to Rs 73,000 crore set aside for it in 2022-23. “I will be the happiest person if there would be zero demand for employment in MGNREGA,” said Mahajan. Mahajan emphasised that incentives for micro, small and medium enterprises (MSMEs) and artisans was likely to open up employment avenues. India “can do wonders” in terms of manufacturing with government incentives and revised tariffs, he felt. The government should try to find gainful employment opportunities in agriculture too, he felt, to stem the migration of workers from rural India. “Today India is globally looked at as a destination for manufacturing, as we have a section of skilled labour and greater capability to produce cheaper goods on the global platform,” he said. TEAM BW ‘A Boost for Green Growth’ reinforces India’s commitment towards ‘panchamrit’ and net-zero carbon emissions by 2070. The budget provides Rs 35,000 crore to the Ministry of Petroleum and Natural Gas for priority capital investments towards transition to net zero emissions and energy security. Experts explained that the allocation would enable the oil marketing companies to transition to producing CNG and LNG from polluting fossil fuels in ten years. The oil companies will also transition toward producing green hydrogen and cater for electric vehicles. The energy experts concurred that since there already was a good roadmap for the decarbonisation of the power sector with renewables, battery storage, and a combination of solar and wind power, the government’s focus is now on creating a roadmap for the decarbonisation of the mobility sector. TEAM BW E nergy industry experts are convinced that the budgetary provisions for the energy industry and allocations for the oil marketing companies would pave the way for the intended transition toward a green industry and economy. Srivatsan Iyer, Global CEO, Hero Future Energies and Debasish Mishra, Partner, Energy, Resources and Industrials, Deloitte India, were among the experts on the panel at a discussion, organised by BW Businessworld. Presenting the budget, Union Finance Minister Nirmala Sitharaman had announced that Union Budget 2023 adopts seven key priorities which would act as the ‘Saptarishi’ guiding the country in the Amrit Kaal. Green Growth which was among these seven priorities, Photograph by Tarun Gupta Photograph by Indiapicturebudget
108 | B W BUSINESSWORLD | 11 March 2023 ‘More Nursing Colleges a Positive Step’ T he healthcare industry has lauded the allocations for various health programmes, setting up of 157 nursing colleges and a centre of excellence for artificial intelligence in healthcare. A miss, the industry feels, was GST reforms. At a discussion with BW Businessworld, Dr Vivek Desai, Founder and Managing Director, Hosmac India, key – so you see, the industry stands to benefit.” He welcomed the approximately Rs 89,000 crores budgetary allocation towards healthcare. Anjan Bose, former President of Philips and Founding Secretary General of NATHEALTH pointed out that the post pandemic expectations of the industry had been high. Sunil Thakur, Partner, Quadria Capital lauded the focus on research in healthcare. Rajeev Chhibber, Vice President, Sahajanand Medical Technologies & Joint Forum Coordinator at AIMED, said, “a few aspects that stood out for me from the allocation were a push towards the PPE model that will benefit the tier-2 and tier-3 cities, Artificial Intelligence for healthcare, a multidisciplinary approach to medical devices and the focus on data protection.” TEAM BW ‘EVs to Get a Push’ Business at Delta Electronics India, felt that electric vehicle prices would not go down significantly. The customs duty reduction on capital goods and machinery would only have a positive impact if people produced lithium cells locally in India, he pointed out. Referring to the increased customs duty on fully imported luxury cars and electric vehicles from 60 per cent to 70 per cent, Gill said, “The luxury carmakers are not price sensitive to fluctuations and small duty changes.” Incidentally, the government is now pushing for alternative fuels like hydrogen, flex, ethanol to be able to meet the country’s net zero emission target. TEAM BW Automotive experts say Budget 2023-24 aims at higher tax savings and needs to be analysed in terms of both its short-term and long-term impact on the country and its economy. Overall, panellists at a BW Businessworld discussion, described the Union Budget as “forward looking”. Sohinder Singh Gill, CEO of Global Business at HERO ECO and DirectorGeneral of Society of Manufacturers of Electric Vehicles (SMEV) said, “The budget should be a platform for BW ONLINE UNION BUDGET 2023-24 said, “With the government focused on increasing the capital expenditure, almost by 33 per cent, there will be an indirect benefit. For instance, our focus is to set up hospitals in tier-2 and tier-3 towns, and infrastructure development in terms of roads, railways, airports will help internal traffic movement. We will be able to transport patients quickly and that is announcing the government’s intentions towards a goal. It should also be a platform for long term thinking about such radical or disruptive change, not just for one year of horizon. For example, we don’t know if the FAME policy is going to be extended next year or not …” The customs duty on lithium-ion battery manufacturing has been reduced from 21 per cent to 13 per cent, which should bring down prices of electric vehicles, but not significantly. Nikhil Gupta, Director of Sales, EVCS and PVI Photograph by Ideyweb Photograph by Bianco Blue
11 March 2023 | BW BUSINESSWORLD | 109 The volatility in equity and debt markets experienced last year appears to be a continuing feature. Investors can’t take a smooth ride for granted. For instance, after ending 2022 with a 4.3 per cent gain, Indian equities are down 3 per cent year to date. On the other hand, debt and commodities have seen positive returns during the same time. These data sets again reinforce the dire need for asset allocation across investor portfolios. By allocating your investment corpus across equity, debt, gold and other asset classes, you can sidestep or mitigate volatility, reduce risks and be in a position to enjoy a better investment experience while reaching your financial goals comfortably. Thus, a multi-asset fund is a perfect solution if you want a relatively tension-free investment journey. Diverging roads Asset classes move in different paths at different points in time. This aspect is relevant for investors in terms of portfolio construction and diversification. In 2011, the Eurozone crisis forced Indian equities to drop by nearly 24 per cent but gold gained over 31 per cent and debt managed about 8 per cent. In the Covid-struck year of 2020, gold shone by 28 per cent and equities zoomed by 16 per cent; however, in 2021, gold fell even as equities rose. This clearly shows that no two asset class trends are similar in nature. This is because each asset class depends on the specific business and economic cycle. At a time when geopolitical developments, inflation trajectory in developed countries, and global central bank actions are all factors that can sway the markets either way, it is time investors consider multi-asset investing. Challenges faced by a retail investor Even though one might possess the best knowledge, it is not consistently possible for an average untrained investor to select the best assets and decide the optimal allocation in an atmosphere laced with complexity and ambiguity. This job is best left to experienced portfolio managers who have years of experience in asset allocation and portfolio construction. A simple way to access all this is via the multi-asset category mutual funds. Well-run multi-asset funds do not face timing-the-entry challenges as they use scientific asset allocation models based on numerous data points. This helps investors in multi-asset funds enjoy the fruits of a well-diversified portfolio and benefit from the gains in different asset classes at various points in time. Multi-asset funds, due to their portfolio approach, experience far lower volatility in returns and are better insulated from the full impact of any serious erosion in the value of any one asset class, in comparison to do-it-yourself multiasset portfolios. Multiplying wealth Among the various hybrid fund offerings, the multi-asset allocation fund category has shown decent performance over various time periods. As per Value Research data (as of January 30, 2023), multi-asset funds have clocked nearly 5 per cent category average, higher than all other hybrid fund peers. Similarly, in the three-year period, multi-asset funds have clocked an average return of 12 odd per cent, which is again higher than all peers. In the 5- and 10-year periods, multi-asset funds again feature in the top-3 category performers in the entire hybrid fund universe. The above performance shows that multi-asset funds can help create sustainable and safe wealth. A multi-asset fund delivers optimal risk-adjusted returns to investors over the long-term. Also, multi-asset funds offer a better chance that the overall portfolio may be shielded from negative returns over longer periods and these funds have restricted the downsides better during volatile times. By allocating your investment corpus across equity, debt, gold and other asset classes, you can sidestep or mitigate volatility, reduce risks and be in a position to enjoy a better investment experience while reaching your financial goals comfortably. WHY A MULTI-ASSET FUND IS IDEAL FOR VOLATILE MARKETS? By R. Venkatesh R. Venkatesh, Founder and Director, Gururam Financial Services Pvt. Ltd.
110 | BW BUSINESSWORLD | 11 March 2023 HE LAUNCH of 5G services on 1 October 2022 happened with much aplomb and fanfare at the India Mobile Congress 2022, New Delhi. The star-studded lineup of keynote speakers at the event including PM Modi, Mukesh Ambani, Sunil Mittal and Kumar Mangalam Birla, had much to say about the promise of 5G. While there were many use cases showcased at the launch, a lot of this talk was pointed at the 5G benefits that would be realised for the common man. However, 5G is much more than just high-speed internet and low latency. In fact, more than anything 5G will be the bedrock and a platform to build technologies and services upon which were previously impossible. “5G is actually a platform, which is giving opportunities to many including vendor partners and overall ecosystem, where they can come and start developing their use cases and applications,” says Jagbir Singh, CTO, Vodafone Idea. According to Ericsson’s latest report, 5G for Business: A 2030 Market Compass, across more than 200 use cases, 10 different industries and a set of 5G-enabled use cases clusters, 18 per cent of the total ICT (information and communications technology) addressable industry digitalisation value and 47 per cent of the 5G-enabled B2B value can be addressed by service providers. The report also mentions that the expected industry digitalisation revenues for ICT players worldwide across all industries are expected to amount to around a whopping $3.8 trillion. The total value of the global addressable 5G-enabled market for service providers across the 10 industries is projected to be $700 billion in 2030, beyond mobile broadband. T Stepping Up For 5G 5G will be the bedrock and a platform to build technologies and services upon, which were previously impossible
11 March 2023 | BW BUSINESSWORLD | 111 MASTER STROKES “5G is not just about providing connectivity, which has been the case with 2G, 3G and 4G. With 5G, you can have B2B and B2C applications and the services, which I would say were not there earlier,” emphasises Singh. The transition to 5G will unlock new use cases and revenue streams for enterprises. Many enterprise leaders from a range of industry verticals now view 5G as a key enabler of their enterprise digital transformation processes: a recent survey reveals that nearly a third of the companies asked ranked 5G as the most important technology to support their digital strategy over the next two years. And it is easy to see why. Ultrareliable low latency communications (URLLC), massive machine-type communications (mMTC) and fixed wireless access (FWA) are all headline services that underpin support for various verticals, from manufacturing to logistics, automotive, retail, public services and energy. Meanwhile, India’s services sector, particularly in the areas of healthcare and education, is also expected to benefit from 5G, driven by smart city and smart government applications. Growing Opportunity In 5G And Ecosystem In NASSCOM’s 5G-Unfolding India’s Era of Digital Convergence report, it’s predicted that India will have more than 500 million 5G users by 2027. And 5G could contribute up to 2 per cent of India’s GDP by 2030, an impact of about $180 billion. Being one of the largest tech companies in the world, IBM is working on bringing together the 5G ecosystem presently. Geeta Gurnani, IBM Technology CTO & Technical Sales Leader, India/South Asia says IBM is investing in partnerships to bring the ecosystem together. These partnerships include major 5G stakeholders such as Internet Service Providers (ISPs) to build the right type of networks, Original Equipment Manufacturers (OEM) and even Network Access Points (NAP) that play a critical role in the telecom space. 5G is an exponential technology both in the B2B and B2C context, and works brilliantly when combined with other technologies like Hybrid Distributed Cloud and AI. The enablement of services using a combination of technologies will result in massive transformations — both for enterprises and for retail consumer experience. Furthermore, when the connectivity is used to enable more efficient and productive communication between non-human (machine) end points, the need for automation and diffusion of AI becomes critical. “Since we are a global player, we have seen and done this work with many telcos world over who are a little bit ahead in their 5G journey. Now, we are bringing that whole expertise to India so that we can expedite the whole go-to-market,” says IBM’s Gurnani. Additionally, IBM has invested in labs across the globe, including one in Bangaluru, India, to demonstrate 5G use cases. But the application of 5G needs a lot of changes in the way telcos work, both in terms of IT and network. Vodafone Idea says that it’s working in advance to ensure that they have infrastructure capable of delivering 5G use cases and services most effectively. “For example, the deployment of the cloud is one area where we are ensuring that all the core network is being deployed from the cloud,” shares Vodafone Idea CTO Jagbir Singh. The country’s third largest and 11th largest telco in the world is also taking steps towards automation of networks for operations by working with tech players such as IBM. Singh says Vodafone Idea looks to derive insights on applications and services Jagbir Singh, CTO, Vodafone Idea
112 | BW BUSINESSWORLD | 11 March 2023 provided to the customers to continuously improve its offerings via tech too. “We are working to ensure that the architecture and design of our IT platform are transformed to support 5G and going forward — the new applications and use cases. We are working with a partner like IBM to ensure that we can transform the current IT platform to meet the requirements of the future,” he says. Just as IT and Compute became pervasive in the decades leading up to now, the troika of 5G, Edge Compute and AI will get to be pervasive in all verticals, touching all facets of our lives. Telcos like Vodafone Idea are at the epicentre of where these technologies come together and with our deep knowledge and wide ecosystem in all these technologies, IBM is poised to support Vodafone Ideain bringing new attractive services to the Indian market, says Gurnani of IBM. Leveraging Open-source Tech For 5G Use cases such as Open RAN, 5G and AI/ ML at the edge have meant that telcos are having to upgrade to keep up with the changing times. But these need different types of infrastructures including public cloud, on-prem cloud and even hybrid cloud which brings in new levels of complexity and automation becomes the need of the hour. This has brought open-source platforms into the picture for telcos to deliver LTE and 5G networks. Vodafone Idea has been using Red Hat’s open-source expertise for VOLTE in 4G. In fact, Vodafone Idea was one of the first telcos to deploy Red Hat. Cloud open-source brings with it the possibilities of agility, scalability, flexibility and cost-effectiveness. But in Singh’s experience, open-source also brings in challenges associated with complexity. “We don’t have that much skill set available still in the country and even outside. Cloud growth has been very fast. Ensuring that we have the right skill set available is a big challenge,” says Vodafone Idea’s Singh. He also adds that the promise of open-source being ‘cost-effective’ is true but only partially. Singh says the cost-effective aspect is noticeable for core networks. Moreover, he calls for all stakeholders who bring their RAN and software expertise to telcos to work closely and facilitate easy deployment of software on the open-source cloud. As 5G marches towards touching $7 trillion in economic value by 2030 (InterDigital report), open-source will be the quintessential key that will provide telcos the much-needed support via automation and right architecture. The future for opensource in 5G seems bright. MASTER STROKES Master Strokes is a series produced by BW Businessworld and presented by IBM India. This series will recognise and present the efforts and accomplishments of technology leaders across sectors on how they use and continue to leverage technology to bring about business transformation creating a positive impact on their organisation. Geeta Gurnani, IBM Technology CTO & Technical Sales Leader, India/South Asia
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As the CM Jagan Mohan Reddy puts it, AP is focusing and promoting emerging sectors that are in demand globally (while ensuring the sustainability aspects) 114 | BW BUSINESSWORLD | 11 March 2023
11 March 2023 | BW BUSINESSWORLD | 115 Andhra Pradesh: India’s Youngest State With A Double Digit Growth As he took charge in June 2019, the Chief Minister of Andhra Pradesh YS Jagan Mohan Reddy set the agenda for the equitable and inclusive Industrial and Infrastructure Development for the next 5 years, with a focused approach towards attracting industries in various thrust sectors. NDHRA PRADESH is the youngest state in India, with a double digit growth rate of 11.43% p.a. (2021-22), contributing 5.05% of Indian GDP (@ constant prices). More than 4.7% of the country’s national highways (7,165 km) and more than 6.1% of the country’s railways network (7,714 Km) is located in Andhra. According to AP State Warehousing Corporation (SWC), the State owned godowns have storage capacity 676 MMT, operating with utilization of 80%. As the CM Jagan Mohan Reddy puts it, AP is focusing and promoting emerging sectors that are in demand globally (while ensuring the sustainability aspects). These include Renewable Energy and the state is expanding the RE base through support to green energy, EV manufacturing, ethanol manufacturing and pumped storage. The state recently saw the laying of the foundation stone of YSR Steel Corporation. The enterprise will manufacture high-grade steel products with a capacity of up to 3.3 million metric tonnes per annum (MTPA). It will take advantage of its closeness to major auto and industrial hubs, proximity to raw material sources, and connectivity by road, rail, sea, and air. It will drive the region’s growth by providing direct and indirect employment opportunities for over 25,000 people. Andhra Pradesh ranks high in production of grains such as Rice and Maize and occupies an important position in the agribusiness industry with major contributions in agriculture, horticulture, dairy, poultry, fisheries, and marine production. The state government has identified Ethanol Manufacturing as one of the priority sectors and intends to provide best-in-class infrastructure, zero hassle setup, skilled labour availability and end to end hand holding support for ethanol production in the state. The state government is also working on formulating an Ethanol Production Policy for better utilisation of locally available raw material. The state is developing Petroleum A and Petrochemical Investment Regions (PCPIR), spread across an area of around 640 sq km as Special Investment regions. It will create demand for commodity-specific port infrastructure. Andhra Pradesh is the only state implementing three Industrial Corridors under the “National Industrial Corridor Development Programme”, which will boost industrialization across the state. These corridors are: n Visakhapatnam – Chennai Industrial Corridor (VCIC) n Chennai – Bengaluru Industrial Corridor (CBIC) n Hyderabad -Bangalore Industrial Corridor (HBIC) The state has developed Industrial plots in order to facilitate fast set up and risk-free operation. It has developed MSME Parks with basic facilities, offering Plug & play facilities including ready built factory shells and also developed Mega industrial parks with sector specific common facilities. The AP government is setting up 26 secondary food processing units at one in each parliamentary constituency, with an investment of Rs 3500 Cr, holding potential to create direct employment to 10,000 people and indirect employment to 23,000 people. AP is working towards integrated logistics based infrastructure development which means port led industrialization with ultra-modern/ multi-purpose ports, road and rail based economic corridors having large industrial hubs, developing fishing harbours, processing Andhra Pradesh
116 | BW BUSINESSWORLD | 11 March 2023 zones etc. It is developing airports with a focus on industrial cargo, also exploring aerotropolis which is a form of modern industrial logistics. It is also developing 9 new fishing harbours in two phases with an outlay of approx. Rs 4,000 Cr of investment. The state is developing two MultiModal Logistics Parks (MMLPs) at Anantapur and Visakhapatnam under the Bharatmala Pariyojana together with the GoI. These projects will act as world-class logistic aggregation/ disaggregation points for various forms of cargo across all modes, within a single facility. The AP government’s strategic intent is to create ‘Marine Economic Zones’ targeted to reduce overall logistic cost, creation of multi-modal linkages/ hubs for diverse cargo to support port-led industrial and urban agglomerations. The State has reserved land for industrial development across all ports. Andhra Pradesh has consistently ranked in the top three in terms of cargo traffic (FY 21-22, 156 million metric tonnes) handled at the ports, after Gujarat and Maharashtra. The Vizag Port and other private ports including Krishnapatnam, Gangavaram and Kakinada ports have been reported to be sufficient to cater to the state and adjoining areas. AP is currently developing greenfield airports at Bhogapuram Visakhapatnam/ Vizianagaram and Dagadharti at Nellore on PPP model. Together, at present, AP is having three international airports at Visakhapatnam, Vijayawada and Tirupati. And we have three domestic airport at Rajamundary, Kurnool and Kadapa. The state is also planning Aerotropolis where infrastructure, land use, and economy are centred on an airport and taking up necessary studies at the Kurnool Airport, to cater the technical infrastructure needs of the Orvakallu Mega Industrial Hub region. AP has also developed a dedicated Freight Corridor of 1,080 kms between Vijayawada – Kharagpur section that will ensure faster movement of goods and capacity enhancement in the oversaturated sections of the railway network. The state of Andhra Pradesh has embarked on a journey of consistent growth, towards Sustainable Development. It has been ranked no. 4 in the country on SDG India Index rankings for 2020-21. The state has also been ranked as the top state in the country since 2015-16 for the ‘Ease of Doing Business’ by the Government of India, offering a robust industrial infrastructure, first-class connectivity and skilled workforce, making it a globally competitive investment destination. The MSME sector in AP has been resilient to the pandemic. Despite the Covid-19 pandemic, 38,200 MSMEs were established during the year 2020-21, with an investment of Rs. 4985.04 crores and providing employment to 2,81,199 persons. This is a positive indicator for the growth of MSMEs in the state. Andhra Pradesh intends to provide the best-in-class infrastructure, zero hassle setup, skilled labour availability and end to end handholding support for units to provide an industry friendly environment at par with the international standards. One of the key highlights is the proposal to set up a multi-faceted business enablement centre, christened as “YSR AP One” which will be a one stop shop offering business/ and investor support services. The state government has organised over 200+ CEO, Embassy, and In-bound delegation interactions, 50+ Sector-specific roadshows and 15 Ministerial-led national and international investment roadshows since 2019-20. The state is ranked no. 1 consistently since 2019, as per the Business Reform Action Plan under Ease of Doing Business. For the year 2022, the state has submitted 352 reforms to the government of India, of which 151 reforms have been already approved. Further, the state has launched “Industries-Spandana” as a One-Stop grievance redressal/query resolution platform for industries. In addition to lodging and tracking the real-time status of industry-related queries and grievances, the platform also offers “Business Advisory Services” to aspiring budding entrepreneurs. Andhra Pradesh is offering park-level incentives at YSR Jagananna Mega Industrial Hub, under the YSR Jagananna Mega Industrial Hub Policy 2021-24 to attract an investment of INR 25,000 Cr with a potential to generate employment for 75,000 people, and and YSR Electronics Manufacturing Cluster Policy 2021-24 to attract an investment of Rs 9,000 Cr with a potential to generate employment for about 25,000 people. The objectives set for the next 2 to 3 years are as follows: n To create employment for the youth of the state n To match the national average in industrial GVA per capita n To plan balanced growth across regions and communities n To achieve environmentally sustainable growth The state of Andhra Pradesh has also been ranked as the top state in the country since 2015-16 for the ‘Ease of Doing Business’ by the Government of India, offering a robust industrial infrastructure, first-class connectivity and skilled workforce, making it a globally competitive investment destination Andhra Pradesh
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118 | BW BUSINESSWORLD | 11 March 2023 COLUMN While AI can help with copywriting, it cannot replace customised and authoritative content created by a human writer. Artificial intelligence can assist with the creation of content by outlining or reformatting existing content for use in other mediums such as social media or email marketing MARKETING / Anu Sehgal SOCIAL MEDIA is expected to be used by a whopping 4.89 billion users worldwide in 2023. It has become indispensable and people use it to share information, to communicate, to entertain and to learn many new things. Listed below are some top social media trends that will rule 2023. u Short Video Content Short video content will continue to captivate users in 2023. It is any type of video that is of less than 60 seconds’ duration. Forbes, HubSpot, Mediatoolkit and PR Daily state that short form videos such as Instagram (Reels), YouTube shorts are likely to grow further in 2023. “Attention spans are getting shorter and so should your online content,” says Asad Kausar, member of Forbes Communications Council. It is good for businesses and influencers to advertise using short videos that provide enough stimulation, are short formed and are also a cost effective way to communicate with customers. v Influencers Influencers have a huge audience on social media and they regularly interact, promote brands, educate and share information with their audience. According to a survey by Influencers Marketing Hub, ninety per cent of marketers found influencer marketing to be effective. More so now when the Influencers are also helping great political leaders share their thoughts and ideas with millions of people on social media. These leaders have limited amount of time, so their social media presence is managed by competent third party companies and by influencers. w Metaverse Metaverse is a virtual space that is expected to increase enormously in 2023, becoming more immersive and expansive. Social Media Today, PR Daily and Forbes expect the Metaverse to be more understood and integrated into our everyday lives. With technological advancement, we can expect life-like avatars – the figures that represent you in the metaverse, a focus on VR, AR, virtual stores and NFTs and also a format war between different metaverses. Several companies like Nike, Starbucks and Ferrari have already begun to experiment with the metaverse experience. x Artificial Intelligence Artificial intelligence (AI) will be big in 2023 according to Forrester and AI software will grow 50 per cent faster than the whole software market. Businesses will use AI content production software like ChatGPT, CopyAI and Jasper to make social media posts. While AI can help with copywriting, it cannot replace customised and authoritative content created by a human writer. Artificial intelligence can assist with the creation of content by outlining or reformatting existing content for use in other mediums such as social media or email marketing. More organisations can utilise AI tools for tips on enhancing user interaction and also to personalise posts to reach their target consumers. The author is an entrepreneur in the digital space SOCIAL MEDIA TRENDS TO WATCH OUT FOR IN 2023
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120 | BW BUSINESSWORLD | 11 March 2023 OY OR GIRL? Will I get that job? Will I pass the test? We all have this deep desire to know what the future has in store for us. And many of us believe that it’s all pre-ordained. That it’s written in the stars. You’ve probably heard of some astrologer or face reader who people flock to, to get answers to their questions about their future. I am guessing at some time in our lives, we have all succumbed to the temptation and tried to get answers to our questions about what lies ahead. On a recent visit to Greece, I made the trip from Athens to Delphi, to see the ruins there. I was fascinated when I heard about the Oracle of Delphi. Our guide there told us all about how the Oracle was a priestess who made predictions. It was believed that people went to the God Apollo to get answers to their questions, and he answered through the Oracle. Over time, as the prophecies came true, the legend of the Oracle of Delphi began to grow. People would come and give expensive gifts to the Oracle to get answers to questions about health, wealth and what the future had in store. And then the guide told us something interesting. In the writings of the Oracle of Delphi, there were no punctuation marks. None at all. So when parents who were expecting a child asked if it would be a boy or a girl, the response would be something like “boy not girl”. As you can see, depending on where you put the comma, the prediction changes. Interesting, isn’t it? And that’s what Aristotle, the Greek philosopher, explained to the people. He said the prophecies are what they are, but we have the power to add the punctuation marks that determine the future. His message was simple. We control our own destinies. The Oracle might make a prediction. But we add the punctuation marks that make it come true. We provide the meaning. That’s a powerful thought. And a powerful philosophy for life. Our fascination with wanting to know our future hasn’t changed over the years. We want to know what the future looks like for our careers, our businesses, our lives. We find ourselves automatically drawn to that astrologer’s column in the newspaper. We want to know what the stars foretell. Chances are, the punctuation marks continue to be missing. Remember, you have the power to write your own future. One of the guiding principles in my life is this simple line: “If it is to be, it is up to me.” That has been such an empowering self-belief. We all need to remind ourselves that our future is in our hands. It’s a belief that helps us take ownership of our lives, our destinies. It stops us from looking for people to blame. Or for excuses. Once you tell yourself ‘If it is to be, it is up to me’, you begin to become the master of your own destiny. And that’s how it should be. The Oracle or the astrologer might make a prediction about your life. But you have the power to put in the punctuation that will determine what will be. Good line to remember then. If it is to be, it is up to me. What the Stars (Don’t) Foretell B PI TALKIES Prakash Iyer is an author, speaker and leadership coach and former MD of Kimberly Clark Lever
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122 | BW BUSINESSWORLD | 11 March 2023 SUCCESS IS NOT A PIECE OF CAKE YOU CAN BITE INTO WHEN HUNGRY BOOKMARK REVIEW WRITTEN WITH rare humility and candour, Dr Ashok Ganguly’s autobiography (Afterness – Home and Away, Penguin, 2022) tells us much about his life and times and Hindustan Unilever (HUL), the organisation he headed with so much distinction. The book could be benchmarked against the account by Prakash Tandon, another eminent HUL CEO of an earlier generation, whose trilogy, The Punjabi Saga, comprising Punjabi Century, Beyond Punjab and Return to Punjab (Rupa and Co. 2001), has become a literary classic in its own right. Both stories have much in common. Both men Prakash Tandon, who faced the greater challenge in his working life. He was the first covenanted Indian manager in the company. After eight years in the U.K. where he took a degree in Economics and did his chartered accountancy, he found that it was not easy to work in Unilever in India where discrimination against Indians was rampant. Despite his personal dislike for such boxwala attitudes, Tandon focussed on his work and soldiered on to break many glass ceilings. He became the CEO of the company by 1961. Credit would also be due to his English superiors who encouraged talent wherever they spotted it, regardless of their own biases. Both Tandon as well as Ganguly would agree with Peter Drucker that because of the complex nature of decision-making in modern organisations – irrespective of whether they are governmental, semigovernmental or private – the person helming them has to be a good listener. Besides, he needs good interpersonal and conceptual skills and needs to believe in team work. This means that he has to often forget that he was once a marketing, sales or finance man and look upon the business as one organic whole. If he is heading a ministry in the government, he should be able to perceive a larger national interest which may go beyond the specific spent many years abroad, but were intensely proud of their origins – Punjabi in the case of Prakash Tandon and Bengali – in the case of Ashok Ganguly. They were at home in almost any culture, were good conversationalists and could easily establish rapport with all kinds of people – businessmen, wholesalers, retailers, stockists, customers etc. But it was AFTERNESS – Home and Away Author: Ashok Ganguly Publisher: Penguin eBury Press Price: Rs 397 Pages: 304 Both Tandon as well as Ganguly would agree with Peter Drucker that because of the complex nature of decision-making in modern organisations ... the person helming them has to be a good listener. Besides, he needs good inter-personal and conceptual skills and needs to believe in team work, says Hardayal Singh LEAD REVIEW
11 March 2023 | BW BUSINESSWORLD | 123 When Prakash Tandon was asked whether he was bothered that so many Lever executives left for greener pastures soon after their initial training, he replied. “Let this be Lever’s contribution to Indian industry” interest of his ministry. There are not that many people who can do this: good organisations therefore, need to spend a lot of time in succession planning. Hindustan Unilever Limited did this and built a pipeline of competent CEOs starting from Prakash Tandon himself! This is also precisely where the GOI is currently weak. Selections are determined politically and ministers are loath to giving up their prerogatives – particularly of selecting Tandon was asked whether he was bothered that so many Lever executives left for greener pastures soon after their initial training, he replied. “Let this be Lever’s contribution to Indian industry.” Gurcharan Das confirms that he too recruited more than the needed number of trainees for pretty much the same reason, when he was heading P & G. The company never promoted a key manager till he had prepared a successor. All these leaders grappled with the inefficiencies of the frustrating licence permit raj. During that period, on one of his annual holidays to Kashmir, Tandon saw an enterprising young man set up a petrol bunk at a lonely site on a national highway. for the good and bad work which they did till they retired at 55. Others, often competent ICS officers in their own right, were made to seek their fortunes in provincial governments where they were never in want of creature comforts. Most observers would regard this approach as totally Utopian and impractical in present times. But this reform is precisely what is required if the system is to improve. Assured promotions, irrespective of performance, have been the bane of our public management systems since independence. What does Ganguly think about success? It is not a piece of cake which you can bite when you are hungry. Rather than obsessing about it you should bother much more about how you can develop members of your team, he says. This is also what HUL have always believed. When Prakash Gradually this site attracted others – a puncture repair shop followed, then a dhaba and later still, a kirana shop. Gradually, the site grew into a bustling settlement – messy but vibrant. Tandon asks wistfully: wouldn’t the country have benefited much more had the government supported such entrepreneurship rather than bank upon its flawed socialist policies? officials for leadership roles. The nation pays a heavy price for this sense of entitlement. This was however, not always so. The erstwhile British GOI, writes B.K. Nehru in Nice Guys End Second (Penguin India, 2000) had an establishment officer who toured the length and breadth of the country to identify GOI material. On his recommendations, the GOI regularly groomed officers for top leadership roles from an early age; appointed them as secretaries by the age of 45; and held them accountable PUNJABI SAGA Author: Prakash Tandon Publisher: Rupa & Co. Price: Rs 435 Pages: 664 The writer was Chief Commissioner of Income-tax and is the author of the Moral Compass- Finding Balance and Purpose in an Imperfect World, Harper Collins India, 2022
124 | B W BUSINESSWORLD | 11 March 2023 COLUMN Spiritual fulfilment can provide protection from negative energies, increase overall well-being, and provide a sense of security and peace of mind. There are a variety of ways to attain spiritual insurance and it is important to find a practice or method that resonates with you One of the main reasons people seek spiritual insurance is to protect themselves from negative energies and influences that can cause physical, emotional, and mental harm. Negative energies can come from a variety of sources, such as people, places, and even one’s own thoughts and emotions. By empowering oneself through spiritual means, one can prevent these negative energies from having an adverse effect on one’s life. Another reason people must seek spiritual insurance is to increase their overall well-being. Many spiritual practices, such as meditation and prayer, have shown to have a positive impact on physical and mental health. By imbibing these practices into one’s daily routine, one can improve their overall well-being and reduce the risk of influences of negative energies. Additionally, spiritual attainment can provide a sense of security and peace of mind. Knowing that one is protected from negative energies can bring a sense of calm and reassurance. This can be particularly beneficial for people who are going through difficult times, such as dealing with any loss or trauma. Spiritual fulfilment can provide protection from negative energies, increase overall wellbeing, and provide a sense of security and peace of mind. There are a variety of ways to DO YOU STRUGGLE with negative thoughts and energies that seem to follow you wherever you go? If you’re nodding your head in agreement, it’s time to consider getting yourself some spiritual insurance. Yes, just like health insurance or life insurance ensures security for the unpredictable future, spiritual insurance eliminates the fear of the unknown. Spiritual insurance, also known as spiritual protection, refers to the practice of protecting oneself from negative energies and influences through spiritual means. This can include a variety of practices such as prayer, meditation, and the use of spiritual artifacts and symbols. Do You Need Spiritual Insurance? Acharya Praveen Chauhan Photograph by Indiapicturebudget
11 March 2023 | BW BUSINESSWORLD | 125 The writer is a Delhi-based celebrity astrologer and palmist and can be reached at [email protected] attain spiritual insurance and it is important to find a practice or method that resonates with you. Attaining Spiritual Insurance Visiting a temple can be a very powerful and transformative experience that can help people in a variety of ways. Some of the benefits of visiting a temple include promoting spiritual growth, providing a sense of peace and tranquility. Temples are often considered sacred spaces and visiting one can provide an opportunity for retrospection, meditation, and connecting with something superior than oneself. Many people find that visiting a temple helps them feel more grounded, centered, and more calm. Additionally, temples give opportunities for prayer, worship, and other spiritual practices that can be beneficial for one’s spiritual well-being. Spiritual places, such as temples, churches, and shrines, have long been considered to possess a certain aura or energy. This power can manifest in a variety of ways, from physical well-being to emotional and mental healing. There are multiple ways of attaining spiritual elevation, depending on one’s beliefs and preferences. Some common practices include Spiritual places, such as temples, churches, and shrines, have long been considered to possess a certain aura or energy. This power can manifest in a variety of ways, from physical well-being to emotional and mental healing prayer, meditation, and the use of spiritual artifacts and symbols such as amulets, charms, and talismans. Some people may also seek guidance from spiritual Gurus or preachers. Sitting on the temple floor, meditating silently, reading the scriptures, and joining the Pooja or worship rituals has a humbling and calming effect on many people. Apart from the holy mountains and soothing beaches, India is known for spirituality. With so many temples and ashrams for the pious, you never fall short of places to visit for a spiritual awakening. The most powerful places for spiritual awakening in India include 12 Jyotirlingas of Lord Shiva and Chardham, which includes Badrinath, Dwarka, Puri, and Rameswaram, apart from the 51 Shakti Peethas of Devis and the Char Dham of Uttarakhand –Badrinath, Kedarnath, Gangotri, and Yamunotri. It is important to note that spiritual insurance is highly personal and what works for one person may not work for another. It is important to find a practice or method that resonates with you and that you feel comfortable with. It is also important to remember that spiritual enhancement is not a replacement for professional help or medical treatment. Photograph by Korradol Photograph by Daya Chouhan
126 | BW BUSINESSWORLD | 11 March 2023 The Union Budget’s push on infrastructure, manufacturing and capital investments would further enable the growth of MSMEs and will lead to job creation. The Budget focused on empowering the MSMEs by addressing their financial needs, which were most affected during Covid-19. The government has announced a credit guarantee scheme for the MSME sector and an additional Rs 2 lakh crore collateral-free credit scheme which is very crucial for the infusion of cash in businesses. Focus on MSMEs The Budget also focused on improving access to finance by revamping the CGTMSE and on lowering the burden of MSMEs which suffered during the pandemic. While all the initiatives seem to be in a positive direction, the success of these obviously depends on the execution of the schemes and the collective efforts of the businesses. The government has been focusing on the formalisation of the Indian economy and MSMEs for some time now. Budget 2023-24 also reflects the government’s commitment to boost economic growth by investing in infrastructure development and increasing capital expenditure. Apart from that, this Budget further encourages the use of technology and digital mediums which is reflected in the push of digital payments, Make AI for India, ONDC, GeM and Digital Skill centres. Simplification of Taxes While the government has covered many aspects of MSMEs, there are a few areas which need simplification. For instance, one issue that the Budget could address and set right is eliminating the separation of Central Goods and Services Tax (CGST) and State GST in bills and filings. Similar to the direct tax filing approach, GST compliance can also be made easier by pre-filling details, especially with the thrust on e-invoicing. It is very much possible. Advance tax payments can be aligned with quarter ends rather than 15 days before quarter end. Perhaps the government will incorporate these aspects in future budgets as these moves will go a long way to simplify business processes further and help small businesses. MSMEs & Retail Sector The MSMEs contribute nearly 30 per cent to the Indian GDP. When it comes to the retail sector it is the MSMEs which meet 70 per cent of the total demand. And MSMEs’ contribution to the gross export is 45 per cent. Yet, this industry suffers from the problem of long working capital and slim profit margins. Access to finance, lack of infrastructure leading to increased operational costs, market, technology, availability of raw materials, skilled labour and information have always remained big hurdles for MSMEs. A lot needs to be done to educate and assist small business owners, especially from emerging markets, around the use of digital means for running and growing their businesses. If MSMEs could leverage the technology to their full potential, many of the challenges being faced by MSMEs currently can be solved and can contribute to sustainable economic development. (As told to Abhishek Sharma) IndiaMART Founder & CEODinesh Agarwal on the positives in Union Budget 2023-24 for the retail sector and the need to address the challenges facing it LAST WORD DINESH AGARWAL ‘Technology adoption can galvanise MSMEs’ If MSMEs could leverage the technology to their full potential, many of the challenges being faced by MSMEs currently can be solved and can contribute to sustainable economic development
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