The Union Budget 2025 and its impact on financial inclusion and insurance growth
The Budget’s focus on sectors like agriculture, MSMEs, infrastructure, and social inclusion presents a tremendous opportunity to strengthen the nation’s financial fabric and deepen the role of insurance.
At the heart of this growth agenda is an emphasis on inclusivity—whether it’s in rural India through the expansion of India Post Payment Bank (IPPB) or through providing comprehensive health protection for gig workers under Ayushman Bharat (PMJAY).
These steps are not just about addressing immediate needs but about laying the foundation for a more financially secure future for all citizens. For the insurance sector, these reforms signal an exciting horizon of opportunities and responsibilities.
A significant highlight for our industry is the proposal to allow 100% Foreign Direct Investment (FDI) in insurance, a move that can pave the way for a future with a significantly larger number of insurers in India—potentially 1,000 in the next decade.
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