As Finance Minister Nirmala Sitharaman presented the Union Budget 2024 of the Modi 3.0 government today, please find below the budget’s key highlights regarding the Indian esports and video gaming sector:
- New airports, medical facilities, and sports infrastructure were announced for Bihar:The Bihar State Sports Authority (BSSA) had organized its first ever ‘State Esports Open Championship’ featuring titles like Battlegrounds Mobile India (BGMI), Real Cricket 24 and FIFA 23 at the Patliputra Indoor Stadium in Patna. The state had also opened a tender invite for the establishment of a project monitoring unit that promotes esports.
- The Finance Minister stated that the Indian mobile industry has matured and proposed to reduce the Basic Customs Duty (BCD) on mobile phones, mobile PCDA (Printed Circuit Design Assembly), and mobile charges to 15%: India is one of the fastest-growing gaming markets in the world, dominated by mobile gaming, according to Niko Partners. The increased affordability of smartphones will further accelerate this growth.
- The government abolishes Angel tax for all classes of investors in startups to bolster the Indian startup ecosystem: This will be a relief to budding gaming and esports entrepreneurs looking to grow their startups and contribute to the overall sector’s growth.
Union Budget 2024: Post Budget Reactions – Indian Esports and Video Gaming Industry excited for key measures that will boost Mobile Gaming, Startups and Investment
1. Akshat Rathee, Co-founder and MD of NODWIN Gaming:
We’re happy to hear the Hon’ble Finance Minister’s announcement to rollback the Angel tax for all investors in today’s Union Budget. This move will create a vibrant environment for startups across the nation and is a major boost for Indian gaming and esports entrepreneurs, leading to more opportunities as well as higher engagement with the youth. The plan to simplify FDI rules and promote the use of the Indian Rupee for overseas investment is a promising approach that will encourage global entertainment giants to invest in India, further strengthening our position as a global cultural and entertainment destination.
For esports, focusing on enhancing sports infrastructure in Bihar is a positive step since the state has already shown its commitment to integrating esports into mainstream sports. This additional government support will help nurture young talent and promote esports as a new-age sport nationwide.
Additionally, reducing the BCD on mobile phones, chargers, and PCDA will make smartphones more affordable, which is fantastic for mobile gaming enthusiasts. This will boost mobile gaming adoption within the nation and further strengthen India’s position in the global mobile gaming market, bringing us closer to becoming the largest. Overall, we’re excited to dive into these opportunities to drive growth and make waves.
2. Roby John, CEO and Co-Founder of SuperGaming:
“Today’s Union Budget, presented by Finance Minister Nirmala Sitharaman, offers multiple benefits to the country’s video gaming ecosystem. The reduction in basic custom duty on mobile phones is a move that will make smartphones more affordable, which is excellent news for India’s extensive mobile gaming community. For our upcoming game, Indus, and other games in the market, this means reaching a broader audience and accelerating growth in the mobile gaming sector.
Additionally, the removal of the Angel tax is a major boost for the entire startup ecosystem. This will give relief to more gaming and esports entrepreneurs who want to bring their innovative ideas to life, thereby strengthening the gaming and esports ecosystem in India. Overall, we are confident that these measures will propel India’s tech and video gaming industry, bringing India’s gaming culture forward.”
