Budget 2022 : Data Centers being granted Infrastructure Status in Budget 2022


Sumit Mukhija, CEO, (STT GDC India)

“The 2022 Union Budget reflects the Government’s commitment to digitalisation as an integral instrument of growth and inclusion in the country as well as to help India further cement our leadership position on the global technology services map. More specifically, the attribution of “infrastructure status” to the Data Centres is indeed a welcome move. This announcement will enable concerted efforts on multiple fronts, including 5G rollout, infrastructure development and policy reforms and will help in creation of a wider and stronger digital ecosystem in India.”

Ritesh Khandelwal, Chief Finance Officer, NxtGen Datacenter and Cloud Technologies

As leaders in the cloud infrastructure space, we at NxtGen Datacenters and Cloud Technologies, are very pleased with the declaration of Datacenters as part of harmonized list of infrastructure. This listing gives us the benefit of working with bank centered facilities. Earlier data centers were under IT/ ITES (IT Enabled Services), but by having them listed as infrastructure providers, we now have access to low-rate loans which is a straight forward benefit to the industry.

I believe the budget 2022 is a fantastic take and the government has made it simple and effective. They have directly targeted the apex areas, keeping health and infrastructure in focus considering the effects of pandemic. With rapid digitalization, the taxation of crypto currency is another landmark achievement in this year’s budget, as previously digital currency has always been in the grey area.

Digital Rupee using Block chain would also be interesting change in way transaction would take place going forward.

The only thing that lacked in this budget was the clarity on government stand and expenditure towards Smart Cities. The government has spent a lot of money and time on this project previously, therefore we were looking forward to get insights on it. Similarly, we were also expecting some clarity in the data localization policy. All in all, we not only welcome budget 2022 but appreciate it as well.

Sudhir Kunder Country Director, DE-CIX India

It is encouraging to see that Data Centers have been granted Infrastructure Status in Budget 2022. It is a significant moment for everyone involved in the technological industry. Data Centers are critical to our country’s digital growth. This was the best decision for our country’s digital growth.

The 2022 Budget allocates more funds to data centers, fintech, the digital economy, and other digital elements, which will undoubtedly benefit interconnection platforms like DE-CIX, which are contributing to the digital economy’s success.

By virtue of our reach across the length and breadth in India we will be able to play a significant role in government endeavor to Digital Economy.


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