Elli AvrRam
Frontloading infra spend could bring faster growth: Crisil
The majority of Budget 2022-23 massive Capex outlay -- Rs 7.50 lakh crore -- will be spent on infrastructure development. Besides, the budget steered clear from a definitive consumption push to support economic recovery. Instead, it batted for investment spend, with an eye on the medium term. "On the one hand, the lift in the consumption cycle is now tied to a broad-based pick-up in economic activity, which the government is trying to engineer through a focus on investments," it said.
Nearly 30% hike sees SCR get highest ever allocation in budget 2022-23
Stating that it is the highest ever allocation to SCR, its General Manager Sanjeev Kishor said Thursday that compared to Rs 7,049 crore for the year 2021-22, the fund allocation has been increased by nearly 30 per cent for the current fiscal. The 'Pink Book', a compendium containing all the details about the infrastructure works, demands for grants and comprehensive details of budgetary allocations for carrying out various works in Railways, was tabled in Parliament on Wednesday.
Blume Global continues rapid growth in India, incorporates LiveSource acquisition to wider market
Blume Global, a leading provider of true end-to-end supply chain visibility technology solutions, has experienced exponential growth in India in less than two years. Since its Bangalore office opened in 2020, the India team has grown to nearly 400 employees, representing a $10 million investment in the local community.
400 Vande Bharat trains: Rs 40,000 Cr business opportunity and jobs
Presenting the Union Budget for 2022-23, Indian Finance Minister Nirmala Sitharaman said 400 new energy-efficient Vande Bharat trains will be introduced in three years. Indian Railways officials preferring anonymity told IANS that 400 Vande Bharat trains over the next three years is not just headline catching announcement. It is about Rs 40,000 crore business opportunity that would also create 15,000 jobs and several spin-off benefits.
Budget FY23 disinvestment target more achievable: Fitch Ratings
In his preliminary comments on India's budget, Jeremy Zook, Director and Primary Sovereign Analyst for India, Fitch Ratings said: "The economic and revenue assumptions underpinning the budget are largely credible and the target for disinvestment is more achievable than in last year's budget. "The government also appears to be following through on its efforts to improve budget transparency by keeping previously off-budget spending on budget."
Budget FY23, global cues lift equity indices; realty stocks jump
The Sensex closed the day's session at 59,558.33 points, up by 695.76 points or 1.18 per cent from its previous close. Similarly, Nifty made gains on Wednesday, rising by 203.15 points or 1.16 per cent to 17,780 points. Globally, markets seem set for their biggest four-day rally since November 2020 as companies from the US to Europe reported better-than-expected earnings while dip-buying returned to technology shares.
40% tariff lines saw increase in import duties in last five years
In a post-Budget report, Credit Suisse said 2020 saw fall in import duties, mainly for agriculture, textiles, metals and autos. Several sectors have been on the government radar for a while, as seen in the imposition or hiking of import duties over the past few years. It added that much of the increase in FY22 spending was from spending induced by the pandemic: Food subsidy, NREGA spending and vaccines. Some, like higher fertiliser subsidy, should also roll off.
Fiscal Push: Budget FY23, value buying lift equity indices
Initially, the domestic equity market opened higher and remained in the green without any major correction. Globally, shares rose in Europe on Wednesday as investor sentiment continued to steady after a rout last month. Amongst sectors Realty, Consumer Durables, Banks, IT and healthcare indices rose the most. Consequently, the Sensex closed at 59,558.33 points, up by 695.76 points or 1.18 per cent.
Budget measures on bonus and dividend stripping may impact a class of investors
Union Budget 2022-23 figures pose ambiguities and asymmetric financial market reactions, Anand Rathi Share and Stock Brokers said in a report. The report said measures such as re-casting of off- and on-budget items and changes in the mechanism for resource transfer to states created ambiguities by making strict comparison of budget data for FY23 difficult with past years.
Budget's growth focus to face macro challenges
First, the ability of the government -- both central and states -- to spend 2.9 per cent of GDP on capex will face execution hurdles. Identification of projects, on-the-ground implementation, coordination with different agencies -- all typically lead to a smaller amount being spent than allocated.
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