Reema Diwan, Vice President, Accor: “the focus on infrastructure growth is promising for boosting tourism and hospitality industry”
The Union Budget 2025 reflects a positive step toward women’s economic empowerment with initiatives like Lakhpati Didi and working women hostels. It’s encouraging to see a focus on empowering women in business and stimulating growth in key industries. However, there are still some areas for improvement in execution. Women entrepreneurs continue to face challenges such as limited access to credit, high-interest rates and a lack of sufficient financial incentives.
Despite these efforts, securing credit and scaling businesses remains difficult for women entrepreneurs, with limited tax relief and direct funding support. Additionally, while healthcare provisions for women, including maternal care and social security for informal workers, have been addressed, there is room for enhancement in these areas.
No Respite for Hospitality MSMEs Reeling Under Rising Costs
For the hospitality industry, the focus on infrastructure growth is promising for boosting tourism. However, no direct relief was provided for hospitality MSMEs, which are grappling with rising costs, labour shortages and high GST rates. Women in hospitality, often in unstable roles, are disproportionately affected by the absence of wage parity reforms.
Rural and marginalized women may also face challenges in accessing budget benefits, due to factors like limited awareness, the digital divide, and bureaucratic hurdles.
While the budget makes positive strides toward women’s economic inclusion, its impact will depend on strong implementation, infrastructure, and access to finance. To create lasting change, future policies must focus on long-term structural reforms that remove gender barriers in employment, entrepreneurship and financial independence, ensuring that the benefits of empowerment are truly widespread.
