Budget 2022 News LIVE Updates: Economy needs hand-holding in upcoming Budget, fiscal correction can wait, shows report - The Economic Times

Warning that any sudden and sharp fiscal consolidation steps can throttle the nascent and uneven recovery of the Indian economy, a Wall Street brokerage has said the Budget should instead focus on boosting overall demand, from rural consumption in particular, and invest more in infrastructure. The successive waves of the pandemic has made it more difficult to reduce government debt as a share of GDP in the medium-term, said Goldman Sachs in a pre-Budget note.FM Nirmala Sitharaman is set to present the Union Budget 2022 on February 1 as people from various walks are pinning hopes on government's decisions and announcements on different sectors. Though, many steps have been taken by the Centre to tackle the economic consequences of the pandemic, big challenges still remain. These challenges are expected to be addressed by the finance minister in her upcoming budget presentation. With Assembly elections in four states and one Union Territory are getting closer, govt could also go for some populist measures while continuing with higher spending to shore up economic recovery.Latest on the BudgetThe Union budget 2022-23 to be presented by finance minister Nirmala Sitharaman on February 1 will be in paperless formNo ‘halwa’ ceremony this time around amid Omicron worriesRajya Sabha floor leaders to meet virtually on January 31Strict Covid-19 protocols will continue in parliamentBudget expectationsReal estate sector expects tax relief, industry status from SitharamanExperts want Budget to focus on bridging widened inequality in economy and create jobsPVC producers say leave the import duty on material untouchedPharma industry wants Budget to announce incentives for conducting R&DIndia is likely to boost budget spending on infrastructureBudget should announce something to encourages entities to build a world-class shipping line, says FIEOAluminium Association seeks elimination of coal cess in upcoming Union BudgetSmall businesses and MSMEs seek easier access to capital at lower interest ratesBudget 2022 will have the gating factors facing the EV industry on top of its agendaMany mutual fund managers are hoping for an enhanced limit for Section 80C, but concede that government won’t have bandwidth to attend micro-level demandsIndian CEOs expect rebound by February-March from the third wave impactAuto and auto ancillary sector is eyeing a handful of sops and consumption-boosting measuresBudget and MarketsMarket watchers believe that despite the higher target divestment for the upcoming financial year in the Union Budget, LIC IPO will be the key for the targets.Though market sees volatility pre and post Budget, net-net, the event hardly leaves any impact in the two-week periodCentre is likely to miss the targets of divestment and the strategic stake sales in FY2021-22Market experts believe disinvestment and privatisation are likely to gain further tractionCrypto startups seeking clarity over issues like taxation, legislation, exemptions and regulationsAnalysts do not see any change in capital gain tax on equityExpert opinion"The real estate sector expects the government to address its long-pending ask of industry status and single-window clearance in the upcoming budget. Bagging the industry status will facilitate the realty sector to avail legitimate and easy finances from Banks and financial institutions.- Mohit Goel, MD, Omaxe Ltd"In the run-up to the Budget, it is high time the government takes a close look at the issues concerning the healthcare sector and increase investment. Currently, India spends an abysmally low 1.5%-2% of GDP for health, while the US figures stands at more than 16%, Canada over 10%, and the Scandinavian countries 20%.- Dr Yash Gulati, Padma Shri, Orthopedic SurgeonSCROLL ALONG FOR MORE NEWS AND INFORMATION ON BUDGET 2022...

via Economictimes