Union Budget 2025: Opportunities and Challenges for Gulf-Based NRIs

The Union Budget 2025, presented recently, introduces opportunities and challenges for Gulf-based NRIs. The budget emphasizes boosting consumer spending through revised tax structures, but leaves questions unanswered like the persistent 18% GST on advertising services. It seeks to enhance digital infrastructure and cross-border trade between India and GCC nations.

The Union Budget 2025, revealed on Saturday, brought a mix of opportunities and unanswered queries for NRIs in the Gulf region. Bhavesh Talreja, CEO of Globale Media, highlighted both potential advantages and existing challenges for the marketing and advertising industry.

The government's focus on increasing disposable income, via revised tax structures, is aimed at bolstering consumer spending. This could attract significant investments in marketing and advertising from Indian brands with a presence in the Gulf. However, Talreja expressed disappointment over the unchanged 18% GST on advertising services, a missed opportunity to support SMEs and digital-first brands engaging in cross-border marketing.

The budget also promotes digital infrastructure, AI innovation, and 5G expansion - moves likely to accelerate advancements in ad tech and AI-driven marketing. The emphasis supports Indian startups in the Gulf's media, e-commerce, and fintech sectors, promising stronger collaborations. Enhanced manufacturing and exports are expected to encourage cross-border investments, although hopes of NRI investment incentives remain unmet.

(With inputs from agencies.)