Budget 2016 India: 'Ensure fiscal prudence, increase in indirect tax collection'

Tushar Pradhan- CIO, Global Asset Management, India "The Union Budget has done a great job of ensuring fiscal prudence, increasing indirect tax collection and ensuring an accommodative stance with regard to domestic industry. A focus on rural incomes and an increase in allocation to the MNREGA scheme signals a more inclusive approach to economic development. The negatives include a lower bank recapitalisation allocation, increased taxation on autos and no major tax reforms. However emphasis has been on ensuring continuity in fiscal consolidation, correcting non-uniform tax subsidies and achieving social empowerment. I rate this Budget a 4 on a possible scale of 5 points, 5 being the best, given difficult domestic demand and uncertain international events". Disclaimer: The above views is of Tushar Pradhan in his individual capacity and not of HSBC Mutual Fund.