Budget 2021: Industry stakeholders laud announcement to promote digital payments
Feb 01, 2021
New Delhi [India], February 1 : As the Centre proposed a Rs 1,500 crore scheme to promote digital payments in Union Budget 2021, several industry stakeholders on Monday welcomed the Centre's decision and felt hopeful about their business' future.
"Government's budget announcement has been extremely encouraging for the start-up ecosystem in India. The extended exemption on capital gains for investments will definitely make more funds available for budding entrepreneurs and growing organizations alike," said Sai Srinivas, Co-founder and CEO, Mobile Premier League (MPL).
"Digital payments infrastructure has played a very important role in the growth of the mobile gaming industry. It is very encouraging to see the government's efforts to strengthen digital payments through incentivization. The Rs 1,500 crore boost will further support migration of more people towards digital payments and will have a positive impact on the mobile skill gaming industry," he added.
Saying that in the last few years, the government has taken multiple measures to push digital payments in the country, Rustom Irani, MD and CEO, Hitachi Payment Services added, "By allocating Rs 1,500 crore for a scheme for financial incentives to boost digital payments and steps to support the development of a world-class Fin-Tech hub in India, will further drive digital payment penetration in the country."
To strengthen the overall research ecosystem of the country, the Union Budget financial year 2021-22 announced a slew of new initiatives to boost innovation and Research and Development in the country.
Rajeev Dimri, Partner and Head of Tax, KPMG in India, "India witnessed a monumental event, with the announcement of the first-ever digital budget of the decade. Budget announcements were focused on economic revival, paving way for stability and growth, being heavy on regulatory framework changes. A significant change, the impact of which would be felt across industries, is the proposed introduction of the securities market code."
A total of Rs 1,500 crore has been proposed for a scheme that will provide financial incentive to promote digital modes of payment and further boost digital transactions, the Ministry of Finance said.
"Finance Minister Nirmala Sitharaman informed the house that there has been a manifold increase in digital payments in the recent past and there was a need to take steps to carry forward this momentum. Rs 1,500 crore has been proposed for a scheme that will provide financial incentive to promote digital modes of payment and further boost digital transactions," the ministry said in a statement.
