A growth oriented Budget, forms basis for a structural rally in markets


Budgets are normally classified with different nomenclatures like growth oriented budget, middle class budget, an accountant’s budget, an economist’s budget, philosopher’s budget etc. The Union Budget 2022-23 is clearly an attempt to boost growth.


Capex boost is the right step

The government capital expenditure target for FY23 has been hiked by 35 per cent to Rs 7.5 trillion and if the grant-in-aid for creation of capital assets is added, the effective capex is going to be Rs10.68 trillion. At a time when the capital investment cycle needs a strong boost, this move from the government is ambitious and also value accretive. In addition, data centres and energy storage systems get infrastructure status, giving a further boost to capex.


MSME segment and Make in India

The MSME segment in India accounts for a bulk of the jobs and exports. The emergency credit line guarantee scheme (ECLGS) has been extended for one more year till March 2023. The budget has also made a dedicated allocation to the hospitality sector to help the contact intensive sector come out of the woods.


The government will earmark nearly 68 per cent of Defence capex for domestic procurement against 58 per cent last year. The Defence R&D will also be opened up to start-ups, private sector and academia with 25 per cent of R&D budgets set aside. In addition, private sector will also be encouraged to take up design and development of military platforms.


Greater clarity on digital currency

The Cryptocurrency bill may not have happened in but there are 2 interesting announcements. The RBI will issue its digital rupee in FY23 using blockchain technology that will act as an alternative for traders to deal in cryptos. However, the taxation clarity on cryptos is certainly welcome.


The government has imposed a tax of 30 per cent on crypto / digital currency buying and selling. While there are no cost adjustment benefits, it is a good start as it brings cryptos into the mainstream and the TDS on transfers will also result in an audit trail.


Taxation and disinvestments

There has been no tinkering of personal tax rates, which has largely stabilized. However, the budget has done well to limit the surcharge on long term capital gains tax at 15 per cent for equity and other assets, which makes it fair. On divestments, the government has projected disinvestment of just about Rs 78,000 crore for FY22 and Rs 65,000 crore. It could mean that

LIC (smaller quantity) is happening this year and BPCL may be happening next year. Clearly, disinvestment does not look like a focus area in this budget.


Overall, it has been an extremely pragmatic budget trying to create the right ecosystem for putting the on a high growth. That should form the basis for a structural rally in


R Venkataraman is Chairman at IIFL Securities Ltd. Views are personal.

Dear Reader,

Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.

We, however, have a request.

As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.

Support quality journalism and subscribe to Business Standard.

Digital Editor





Source link

istanbul escort aksaray escort arnavutköy escort ataköy escort avcılar escort avcılar türbanlı escort avrupa yakası escort bağcılar escort bahçelievler escort bahçeşehir escort bakırköy escort başakşehir escort bayrampaşa escort beşiktaş escort beykent escort beylikdüzü escort beylikdüzü türbanlı escort beyoğlu escort büyükçekmece escort cevizlibağ escort çapa escort çatalca escort esenler escort esenyurt escort esenyurt türbanlı escort etiler escort eyüp escort fatih escort fındıkzade escort florya escort gaziosmanpaşa escort güneşli escort güngören escort halkalı escort ikitelli escort istanbul escort kağıthane escort kayaşehir escort küçükçekmece escort mecidiyeköy escort merter escort nişantaşı escort sarıyer escort sefaköy escort silivri escort sultangazi escort suriyeli escort şirinevler escort şişli escort taksim escort topkapı escort yenibosna escort zeytinburnu escort porno 1080p porno izle 4k porno izle 720p porno izle abella danger alman alman porno alman porno izle aloha tube porno amatör amatör porno amatör porno izle anal anal porno anal porno izle arap porno asa akira porno asyalı porno bangbros porno bangbros porno izle banyoda sikis başörtülü porno beeg porno izle beyaz tenli porno izle biseksuel porno izle bisexsuel porno brandi love porno brazzers brazzers porno izle canli porno canli porno izle çinli porno çinli porno izle ensest porno ensest porno izle ensest seks erotik porno erotik porno izle esmer porno esmer porno izle etek altı fake agent fake taxi fake taxi porno fantazi pornoları fantezi porno izle fetiş porno fetiş porno izle fetish fransız porno fransız porno izle full hd hg porno izle gangbang porno genç kız porno izle genç kız sikişi genç teen porno izle gizli çekim porno gizli çekim pornosu grup pornosu grup porno grup porno izle hd pornolar hd porno hd porno izle hemşire porno hemşire pornosu hizmetçi porno hizmetçi porno izle ingiliz porno japon pornoları japon porno kızlık bozma kızlık bozma porno izle konulu porno konulu porno izle koreli porno köylü pornoları kumral porno kumral porno izle latin pornoları latin porno latin porno izle lezbiyen pornoları lezbiyen porno lezbiyen porno izle lisa ann porno liseli pornoları liseli porno liseli porno izle manken porno manken porno izle masaj porno izle masturbasyon porno izle masturbasyon pornoları mature porno mia khalifa porno mia malkova porno milf porno izle mobil porno mobil porno izle öğrenci porno izle öğretmen porno izle okul porno izle olgun kadın pornosu olgun porno oral porno oral porno izle oral seks porna izle pornhub pornhub porno izle porno film izle porno indir porno izle porno resimler porno star porntube porno izle redtube redtube pornoları riley reid porno rokettube rus pornoları rus porno rus porno izle sakso blowjob porno izle sarışın pornoları sarışın porno sarışın porno izle sarışın pornoları sekreter porno shemale sikiş sikiş sikiş izle şişman porno siyahi pornoları suriyeli pornoları swinger porno tecavüz porno teen porn türbanlı pornoları türbanlı porno türk pornoları türk porno türk porno izle türkçe altyazılı porno türkçe altyazılı porno izle xhamster pornoları xhamster porno xhamster porno izle xnxx xnxx porno xnxx porno izle xvideos xvideos porno izle yaşlı porno yeşilçam porno izle youjizz youporn youporn porno izle zenci porno güvenilir bahis siteleri bahis siteleri casino deneme bonusu casino siteleri deneme bonusu para yatırma bonusu bahis siteleri casino siteleribahis sitesi para yatırma