The General Budget 2025 focuses on boosting consumption, enhancing confidence, and reinforcing India’s commitment to a sustainable and self-reliant Viksit economy.

Global Capability Centers (GCCs)
India’s GCCs ecosystem is benefiting from strong tailwinds, including India’s skilled workforce, cost competitiveness and focus on profitability for global players across sectors. Over the past few years, GCCs have experienced significant growth, surpassing 1,700 centres in 2024. However, as GCCs mature and move-up the value chain, attracting and retaining specialized talent remains a teething challenge.
The Union Budget provides a significant impetus for sustaining the growth of India’s GCC ecosystem, particularly by expanding access to a broader talent pool, especially in Tier II cities. This initiative will contribute to workforce stability and retention as connectivity and infrastructure improve in Aspirational India. As these regions continue to develop, the potential for GCCs to attract high-value work in these regions is anticipated to increase.
Artificial Intelligence (AI)
India benefits from one of the lowest talent demand/supply gaps globally and is poised to become a talent surplus by 2030, driven by its strong demographic dividend. As the country transitions from downstream to upstream research and innovation capabilities, the Budget provides the right impetus to facilitate this shift.
The expansion of five IITs, established after 2014, with an additional 6,500 seats and the establishment of a new AI Centre of Excellence (CoE) in Education—building on existing CoEs in Agriculture, Health, and Sustainable Cities—will significantly bolster India’s future talent pipeline. These initiatives are essential for preparing a workforce capable of tackling the challenges posed by emerging technologies and industries. Continuous efforts in upskilling and reskilling are critical as employers increasingly seek specialized skills in fields like AI. However, while infrastructure expansion is pivotal, it is equally important to ensure the quality of education, supported by skilled educators and deeper collaborations between academia and industry for experiential learning opportunities, and bolstering start-up entrepreneurship.
Start-up Enterpreneurship
The creation of a Deep Tech Fund of Funds will empower India’s deep-tech entrepreneurship and enhance the nation’s global competitiveness in the AI race. The Budget signals a robust commitment by the Indian government to nurture its startup ecosystem through enhanced funding mechanisms and targeted support for marginalized groups.
By expanding the Fund of Funds and introducing specific schemes for first-time entrepreneurs—especially women and those from SC/ST backgrounds—the government is taking significant steps toward creating a more inclusive and vibrant entrepreneurial landscape.