Today, Finance Minister Nirmala Sitharaman will unveil the Modi 2.0 government’s fourth budget. The Economic Survey, which stated that the government has fiscal space to do more to help the economy, which is expected to grow at a solid 8–8.5 percent in fiscal 2022–23, set the tone for the budget presentation. The focus of the Budget is now expected to be on speeding up India’s recovery from the pandemic shock, as well as strengthening India’s healthcare system to protect against future outbreaks. The government would continue to increase spending to boost the recovery and return India to a higher growth path.
The most recent budget news
Budget 2022 has been approved by the Union Cabinet, which is meeting ahead of FM’s presentation of the budget. According to the Nirmala Sitharaman Economic Survey, the economy will grow by 9.2 percent in the current fiscal year and by 8–8.5 percent in FY23.
The Budget Session of Parliament began today in the Central Hall with President Ram Nath Kovind’s address to both Houses.
The Budget Session is set to expire on April 8, with the first portion of the session running until February 11th.
Finance Minister Nirmala Sitharaman will submit the Union budget for 2022–23 on February 1 in a paperless format.
On the 31st of January and the 1st of February, there will be no “Zero Hour.”
In parliament, strict COVID-19 protocols will be maintained.
Expectations for Budget 2022
The healthcare industry is requesting priority status and a fund allocation of 3% of GDP.
Changes in income tax slabs and rates are expected, according to some analysts.
According to FIEO, the budget for 2022 will be focused on SMEs and exports.
Experts argue the budget should be focused on improving health infrastructure.
The fintech industry is hoping for tax breaks in the upcoming budget to encourage financial inclusion.
On the cards is a plan to develop 700 districts as export centers.
The real estate industry is banking on the Budget to bolster market sentiment.
According to a new analysis, the economy may require additional hand-holding, but fiscal adjustment can wait.
According to the BoB eco study, the budget would try to stimulate growth while also achieving fiscal consolidation.
Sitharaman is expected to provide tax relief and industry status to the real estate sector.
The budget should focus on closing the gap, according to experts.
The price of a 19.2-kg LPG cylinder for business use has been reduced by Rs 91.50. It will now set you back Rs 1,907 per cylinder.
Markets and the Budget
With India’s stock market in free fall, investors are looking for some relief from the upcoming budget remarks.
Market observers feel that, notwithstanding the Union Budget’s increased target divestment for the 2019 fiscal year, the LIC IPO will be the key to meeting the targets.
Though the market sees volatility before and after the budget, the event has little impact in the two weeks. The Centre is likely to miss the divestment and strategic stake sales targets in FY2021-22.
According to market experts, disinvestment and privatization are likely to pick up the pace.
Taxation, laws, exemptions, and regulations are all problems that crypto startups are looking for clarity on.
Analysts do not expect the capital gains tax on equity to change.