AMCHAM hosted a post-budget session with Dr. Urjit Patel, Former Governor of the Reserve Bank of India (RBI), Chairman, National Institute of Public Finance and Policy (NIPFP) and Vice President for Investment Operations in South Asia, Asian Infrastructure Investment Bank (AIIB) on February 7^th virtually. The session was titled ‘Union Budget 2025: Some Insights and Important Takeaways for Industry Players.’ Ms. Kaku Nakhate, Co-Chairperson – Western Region, AMCHAM and President & Country Head, India, Bank of America delivered introductory remarks and skilfully moderated the Q&A session following Dr. Patel’s speech.

During the session, Dr. Patel highlighted Union Budget 2025’s conservative and calibrated approach to tackling global and domestic economic challenges. He noted that emerging markets, including India, face pressures from capital outflows to safe havens and potential currency depreciation by major economies. Trade tensions, including U.S.-China disputes and the EU’s Carbon Border Adjustment Mechanism, further unsettle the global landscape. Domestically, financial market corrections, climate disruptions, and the COVID-era fiscal overhang necessitate prudent policies. With debt-to-GDP exceeding 80%, the budget aims for macroeconomic stability by reducing the fiscal deficit to 4.4% through realistic revenue and expenditure measures. Commending its focus on growth, Dr. Patel highlighted key steps like customs duty rationalization, increased FDI limits, and public sector balance sheet support. He also stressed the importance of third-generation regulatory reforms to enhance ease of doing business. However, he flagged inadequate climate adaptation funding as a concern, emphasizing the need for long-term sustainability. Overall, he viewed the budget as a balanced step toward stability, reforms, and fiscal discipline. The session was well attended by AMCHAM members.