The Union Budget 2025 is set to transform India’s economic landscape by driving innovation, ramping up exports, and strengthening global trade. With a series of strategic initiatives, the government is positioning the country to lead in research and development (R&D), foster private sector collaboration, and streamline international trade processes. Innovation and Research & Development (R&D) A key highlight of the Union Budget 2025 is the allocation of Rs 20,000 crore to boost innovation and research and development. This significant funding is designed to catalyze private sector-led R&D and innovation projects, positioning India as a global technology leader. By encouraging collaboration between industry and government, the initiative aims to accelerate breakthrough innovations and enhance the country’s competitive edge in global trade and technology markets. Export Promotion Mission for Enhanced Global Trade To further strengthen its position in international markets, the Union Budget 2025 introduces an Export Promotion Mission. Spearheaded jointly by the Ministries of Commerce, MSME, and Finance, this mission will target sector-specific growth by improving access to export credit, offering cross-border factoring support, and addressing non-tariff barriers. This strategic move is expected to empower MSMEs and boost exports, thereby deepening India’s integration into the global value chain. Promoting Global Capability Centres (GCCs) in Tier-II Cities In an effort to decentralize economic development and enhance innovation, the government is launching a national framework to promote Global Capability Centres (GCCs) in emerging Tier-II cities. This initiative focuses on increasing the availability of skilled talent, improving infrastructure, and implementing legal reforms. By fostering closer collaboration between industry and state governments, the plan will drive regional growth and further bolster India’s reputation as a hub for research and development and technology innovation.