Union Budget: India Inc for Capex push, direct tax review, shows Survey

India Inc remains optimistic about the country’s growth, with the majority favouring continued thrust on capital expenditure and ease of doing business in the upcoming budget, according to a survey by the Federation of Indian Chambers of Commerce and Industry (FICCI).Most of the industry body’s members surveyed also favoured a review of the direct tax structure in the budget for 2025-26 with a view to spur demand and boost growth.

A relook at the slabs and tax rates is warranted in the budget, as it could leave more money in the hands of people and spur consumption demand in the economy, FICCI said.

The survey, conducted between late December 2024 and mid-January this year, drew responses from more than 150 companies spanning across diverse sectors, offering a comprehensive insight into India Inc’s sentiments amid moderating economic growth.The respondents expect the country’s GDP growth in 2025-26 to be 6.5-6.9%, as per the survey. They also called for a strong policy push on simplifying the tax regime, incentivising the development of green technologies, renewables and electric vehicles, as well as easing compliances through digitisation.