Budget 2022 has been a budget towards growth, digitization, and financial inclusion in the country. Infrastructure, clean energy, employment, BFSI and digital have been given a huge boost. Government’s announcement of creating employment will go a long way in solving the employment issues the country have been facing for the last two years.
This is what the industry has to say on the budget announcement:
Aankush Ahuja, Director of Business Development and Investments hBits
The budget has been able to deliver a lot of promises for farmers, SMEs, infrastructure, e-vehicles and digital currency. The extension of one year of tax holiday for start-up in taxation is a welcome step. Real-estate sector, whether commercial or housing runs on a sentiment and with so many sectors receiving budgetary support, it will definitely go a long way for the real-estate sector as well. On the commercial real-estate side, the business has picked up to pre-COVID levels and with the improving COVID situation; it will see an upsurge this year.
Sakshee Katiyal, CEO, Home and Soul
Finance Minister has been generous in allotting INR 48 thousand crore under PMAY which is expected to boost activity in real-estate sector and generate employment. Another commendable initiative is to allocate INR 60 thousand crore to provide tap water connections to 3.8 crore households, which is right for every individual. The taxation on digital assets seems to be reasonable, considering an outright ban has not been imposed.
Ravi S Raghvan – Partner, Majmudar & Partners
Taxation of virtual digital assets on transfer and gifts is welcome. Clarification that health and education cess will not be allowed as a deductible expenditure will override various tax cases but should not be an issue.
Sanya Aeren, India’s Chief Advisor, Berkshire Hathaway HomeServices Orenda
Budget 2022 is a budget towards Atmanirbhar bharat, where infrastructure, employment, clean energy and digital have been given major boost. 2,000 km of rail network under indigenous world-class technology KAWACH; new Vande Bharat trains can revolutionize Indian infrastructure and tourism in the next three years. Use of digital in agriculture, digital payments, and infrastructure will help in increasing India’s status as a digital economy. INR 48,000 crore allotted for PM Avas Yojana will give more boost to affordable housing. Focus on upskilling youth, national Tele Mental Health program for mental health, are commendable towards supporting today’s country’s youth.
Hemant Sood – Managing Director, Findoc
This is one of the most positive and growth-oriented budgets from Finance Minister and Modi Government. We feel the budget has been able to address a number of issues, especially after the pandemic slowdown. The Government has given good focus on infrastructure, jobs, banking industry, farmers and people needing Government’s support. The sectors which will be highly benefiting from these announcements include infrastructure, banking and real-estate. With the announcement of Emergency Credit Line Guarantee Scheme extended till March 2023, it will benefit MSMEs as well. The Government has been able to nail almost all the issues in the economy. We expect stock markets to respond positively in the coming days, due to a pragmatic budget. It is the right time for the investors to pick value stock in these sectors.
Aatur Thakkar- Co-founder and Director, Alliance Insurance Brokers
This budget is towards stimulating the economy towards a growth rate. FM’s budget has tried to boost the economy by announcing more opportunities for employment, strengthening infrastructure which in turn will again boost development and employment. The hike in capital expenditure will also boost the economy and build pool of private investments into various sectors. Boosting infrastructure, digitization, agriculture, hike in capex will further help in managing sentiments of industries and individuals, and positive sentiments will be back in the economy.
Nusrat Hassan, Co- Managing Partner, Link Legal
Extension of the ECLGS and expansion of the cover is a welcome move for hospitality industry in recovering from the severe setback due to COVID, as this will boost their cash flow and working capital requirements.