Nirmala Sitharaman to present her first budget, growth on top priority
New Delhi : Union Finance Minister Nirmala Sitharaman will be presenting her first budget on Friday with growth as its prime focus.
Sitharaman has taken things in her hand at a time when there are indications of sharp slowdown in India's economic growth.
In the last quarter of the 2018-19, GDP growth slipped to its lowest level in five years or twenty quarters. A new dose of investment is highly needed to put things back on track, says Economic Survey of India.
Considering the economic situation, there is hardly any room for manoeuvring with budgetary allocations, but it should not come as a surprise if the finances minister decides to take some bold steps - as suggested by the Economic Survey.
Boosting investments, even though it could push up the fiscal deficit, is a move that has been predicted by experts across sectors. Even the stock market is expecting a number of reforms from the government.
A couple of suggestions say the government should provide more tax exemption to the neitizens while other set of people have suggested to have a look on increasing tax deductions.
While such a move is unlikely in the present state of the economy, the government could take a surprise call to increase tax exemption limit to Rs 3 lakh from the existing Rs 2.50 lakh.
Another major focus will be on the unemployment that has been discussed several times at many pre-budgetary meeting held in the run up to July 5.
The unemployment rate, according to a recent government report, has touched a 45-year high and many have linked slower growth with falling employment.
Among other issues, Nirmala Sitharaman would also need to announce a concrete roadmap for improving healthcare, infrastructure and defence modernisation.