No populist budget please: NRIs

SAN JOSE, CALIFORNIA, USA: As finance minister P Chidambaram is giving final touches to the Union Budget for 2008, the Indian American business leaders are anticipating a state-of-the-art budget that would continue to spur entrepreneurial index in India, attract more foreign direct investments and one that would woo NRI community.

They have wasted no time in cautioning India not to go for a populist and politically maneuvered budget aimed at the forthcoming elections, both to some state assemblies as well as the general elections scheduled for next year.

“We want India continue to have a budget that will spur entrepreneurship in the country where growth is directly proportional to entrepreneurial index to help India forge ahead and keep its economic growth and momentum,” Anand Kuchibhotla, Vice President of Pramati Technologies said.

Echoing the sentiments of several other entrepreneurs in Silicon Valley, Mr, Kuchibhotla, a Valley marketing veteran said his worry is that Chidambaram, who is under pressure from Congress and Left parties, might opt for a populist budget aimed at wooing the voters.

According to him such a move would be dangerous for India, which enjoys a strong reputation among other developed and developing nation as a burgeoning economy.

Raju Reddy, CEO of Sierra Atlantic said he envisioned a budget that will continue all benefits for overseas technology companies to set shop in the country.

“We certainly want a budget that would continue the software technology park (STPI) and Special Export Zone (SEZ) zones benefits.”

Reddy, a TiE charter member and who commands an 1800-team company with offices in India and China, said: “let there be no surprises”.

He was referring to fringe benefit tax on Employee Stock Options (ESOP) at the time of exercising the option.

He also agreed to the comment of Kuchibhotla that government should focus on giving more benefits to attract Foreign Direct Investments into the country to improve India’s infrastructure.

“The government also should allow easy repatriation of funds,” said Harpreet Chadha, CEO of Legacy Resources, adding, “this would really help NRIs to grow their business and establish overseas and investments in India.

It is interesting to note that several Silicon Valley legends and business leaders were not concerned about the India budget.

“We are not interested in that budget,” said a legendary leader against his tradition of actively participating in India matters.

He was not alone as several other valley entrepreneurs were totally ignorant of the forthcoming budget session of Parliament.