Shaping India's Global Future: Key Expectations from Union Budget 2025-26

As India gears up for the Union Budget 2025-26, the focus remains on strengthening the country's education, skill development, and workforce readiness. Experts from diverse sectors, including education, finance, and EdTech, emphasize the need for strategic investments that align with India's global aspirations. The budget presents an opportunity to drive international collaborations, enhance access to quality education, and foster policies that empower students and professionals to compete on a global stage.

Key Insights on the Union Budget 2025-26

Industry leaders and education experts highlight critical areas that require government intervention, including expanding financial support for international education, reducing taxation on professional certifications, and integrating emerging technologies like AI and IoT into the learning ecosystem. Additionally, strengthening public-private partnerships, improving financial literacy, and simplifying regulatory frameworks for foreign university collaborations can propel India's education sector forward. With forward-thinking policies and targeted reforms, the upcoming budget can position India as a global leader in education, skilling, and talent mobility.

Here are the budget expectations from experts across various institutions:

Sachin Jain, Country Head at ETS India & South Asia

"As India prepares for the Union Budget 2025-26, it is imperative to prioritize strategies that empower the youth and enable them to compete on a global stage. Strengthening workforce readiness through skill development and language proficiency initiatives will be essential for India to cement its position as a global talent hub. The focus should be on fostering equitable access to high-quality education and assessments that prepare students and professionals for international opportunities.

The government's continued push towards internationalizing Indian higher education institutions (HEIs) under the National Education Policy has opened significant avenues for collaboration. The upcoming Budget presents an opportunity to further these efforts by creating streamlined pathways for global talent exchange, simplifying admissions for international students, and promoting India as a destination for high-quality education.

Additionally, fostering public-private partnerships to scale regional testing infrastructure and aligning skill-building programs with global benchmarks can create transformative outcomes. With strategic investments and forward-looking policies, this Budget can lay the groundwork for a more inclusive and globally competitive workforce, positioning India as a leader in the global knowledge economy."

PK Agarwal, Dean, University of California Santa Cruz Professional Education

"As a leading voice in global academic excellence, the University of California, Santa Cruz Professional Education, rooted in Silicon Valley's innovation ecosystem, commends the Government of India's visionary initiatives, including NEP 2020 and its commitment to digital transformation. The Union Budget FY 2025-26 presents a pivotal opportunity to enhance education funding, foster dynamic industry-academia collaborations, and integrate transformative technologies like AI and IoT into mainstream learning. These efforts align with our shared mission to nurture inclusive, future-ready talent, drive sustainable growth, and reinforce India's position as a global knowledge leader."

Aritra Ghosal, Founder & Director, OneStep Global

"As we approach the Union Budget 2025-26, we anticipate measures that will further strengthen India's education landscape and position the country as a global leader in talent mobility. Expanding financial support for students pursuing international education, such as reducing tax collection at source (TCS) rates and increasing subsidies, can empower students to access world-class learning opportunities abroad. At the same time, streamlining regulatory frameworks to attract foreign universities to establish campuses in India will create globally competitive, affordable education options domestically.

Additionally, fostering robust international collaborations and enhancing access to financial aid are crucial steps to bridge existing gaps and ensure that Indian students and institutions can thrive on a global stage. By prioritizing education funding and accessibility, the government has the potential to create a transformative ecosystem that aligns with India's aspirations of becoming a knowledge economy and a preferred destination for international academic partnerships."

Sripal Jain, CA, CPA, Co-Founder and Global Instructor at Simandhar Education

"The Union Budget 2025 is a pivotal opportunity for the government to further strengthen India's position as a global leader in accounting and finance. With the rising international demand for accounting professionals, particularly in light of global workforce shortages, targeted measures can bridge the skills gap and enable our workforce to excel on the global stage.

The government's focus on simplifying taxation and financial systems has been instrumental in driving growth. Extending this vision to accounting education by reducing GST on certifications like CPA, CMA, and EA and introducing subsidies for skill development programs can make globally recognized qualifications more accessible. Such measures will empower professionals to align with international standards and meet the evolving needs of the global market.

Additionally, incentivizing the adoption of technology-driven processes in accounting, including AI and data analytics, can enable India's accounting workforce to take on more complex roles and cater to emerging trends in automation and compliance. This budget is a chance to foster an accounting ecosystem that supports growth, innovation, and global mobility. By prioritizing education and technology in the accounting domain, the government continues to demonstrate its vision and leadership in empowering India's youth to drive global economic progress and position India as a global powerhouse in finance and accounting."

Abhijit Zaveri, Founder and Director, Career Mosaic

"As we approach the upcoming budget announcement, we are optimistic about its potential to unlock new opportunities for international student mobility. India's study abroad sector is witnessing significant growth, and we anticipate initiatives that foster greater collaboration between Indian and international universities. The development of GIFT City, for example, has already shown promise in creating new avenues for academic exchange and research. This initiative and a budget that prioritizes global education could significantly enhance cross-cultural learning and bolster India's leadership in STEM fields. A forward-looking budget will empower India's vibrant youth, positioning the country at the forefront of international academic collaboration.

Furthermore, we expect the government to implement measures that make international education more accessible and affordable. Targeted scholarships for students from Tier 2 and Tier 3 cities, tax benefits for families supporting overseas education, and streamlined visa processes are crucial steps in enabling more students to pursue their dreams of studying abroad. By addressing these needs, the budget will support individual aspirations and contribute to India's long-term economic and intellectual growth on the global stage."

Ganesh Kohli, Founder of IC3 Movement

"While previous Union Budgets have made significant strides in academic infrastructure and skilling initiatives, career guidance is yet to be fully integrated as a core function within secondary education. Recognizing the vital role of career counseling in supporting students' academic outcomes, mental health, and well-being, this gap must be addressed. The National Education Policy (NEP) 2020 rightly emphasizes counseling as a key component of the educational framework, and the Ministry of Education's UMMEED guidelines deserve recognition for their focus on student mental health and preventing self-harm, particularly in high-stress academic settings. UMMEED's emphasis on training teachers, staff, students, and parents to recognize signs of distress is an important step in supporting students.

Looking ahead to the Union Budget 2025-26, I am hopeful that we will continue to see a concerted focus on embedding career guidance within the fabric of India's education system to achieve our vision of Viksit Bharat 2047. This should include equipping educators with the tools to guide students in making informed career decisions, thus enhancing their academic performance and mental well-being. By integrating career guidance into the educational experience, we can ensure that students receive a stress-free environment that prioritizes their holistic development, preparing them to navigate their futures successfully, and contributing to the development of a skilled, confident, and future-ready workforce for the country."

Krishan Mishra, CEO, FPSB India

"As we approach the Union Budget 2025-26, it is crucial to address the evolving financial needs of individuals across income groups and life stages. First, providing tax relief, especially for the middle-income segment, is essential. A tax-free slab up to ₹15 lakhs would be a significant step towards enhancing disposable income and easing financial stress. Additionally, the 30% tax bracket, which often burdens higher-income earners, should see reform to ensure fairness and inclusivity.

Insurance, too, must shift from being viewed merely as a tax-saving tool to a life-saving financial safety net, which aligns with its true purpose. Similarly, longevity finance should gain attention. With an aging population, we must develop innovative financial products curated for individuals post-retirement, ensuring they have security and stability in their later years.

To foster a financially empowered nation, I urge the Finance Minister to encourage citizens to create their own one-page financial budgets immediately after the Union Budget announcement. This exercise can help individuals align their goals with the new policies and promote better financial planning.

Lastly, achieving 'Viksit Bharat 2047' is only possible when financial literacy becomes a cornerstone of our national agenda. Without education in managing money, individuals risk letting their finances control them, hindering their progress. We hope the upcoming budget takes bold steps toward strengthening financial awareness and inclusion across the nation."

Saurabh Arora, Founder & CEO, University Living

"In the Union Budget 2023, the government introduced significant changes to the Tax Collected at Source (TCS) system under the Liberalized Remittance Scheme (LRS), impacting Indian students aspiring for international education. The TCS rate for remittances exceeding Rs. 7 lakh per annum was increased from 5% to 20%, adding a considerable financial burden on families already navigating high education costs. With over 1.3 million Indian students studying abroad in 2023, contributing a staggering US$60 billion in outward remittances-a figure expected to surpass US$70 billion soon-it is evident that the student community plays a vital role in global remittance flows.

To support students and their families, the government should consider targeted measures in the upcoming Union Budget. First, increasing the provision of collateral-free loans by PSU banks for university education, along with expanding access to other collateral-based loans, can provide much-needed financial relief. Second, remittances sent back to India by students who eventually secure global employment will rise significantly, alleviating fears of trade imbalances in the long term.

Given the immense economic contribution of Indian students abroad, reducing TCS rates for educational remittances or offering tax rebates on education loans would not only ease their financial burden but also encourage more students to pursue quality education globally. Such reforms would align with India's vision of becoming a global knowledge economy while reinforcing its position as a key player in the international talent ecosystem."

Anish Srikrishna, CEO, TimesPro

"The forthcoming Union Budget presents a crucial opportunity to bolster private sector participation by integrating EdTech into the online and distance learning ecosystem within higher education, paving the way for transformative policies.

A forward-looking approach could allocate funding for emerging disciplines such as Artificial Intelligence (AI), Machine Learning (ML) and other cutting-edge fields. Subsidising course fees for both freshers and professionals would encourage greater participation in lifelong learning and upskilling. Such initiatives, when offered through premiere institutions like IITs and IIMs, would foster an inclusive and competitive workforce. Aligning these measures with national missions like 'Make in India' and 'Skill In~dia' would reinforce India's global leadership in innovation and manufacturing. Investments in upskilling across technological and non-technological domains are key to advancing the vision of Viksit Bharat.

Reducing GST on EdTech services to 5% or eliminating it would make education more affordable, broadening access to upskilling programmes and engaging diverse learners.

Recognising and accrediting short-term, stackable micro-credential programmes from EdTech providers for academic credits would bridge skill gaps and boost employability. Similarly, subsidising professional development courses for faculty would raise teaching standards, aligning institutions with global benchmarks. By implementing these measures, the Union Budget can cultivate a skilled, future-ready workforce, driving India's sustained growth and global leadership."

We have ensured that the quotes are insightful and aligned with expectations of the upcoming 2025 Union Budget. Please let me know if you require any additional inputs.

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