A realistic, balanced and pragmatic budget: Nilesh Sathe

Nilesh Sathe
LIC Nomura Mutual Fund

As against the market expectations of announcement of a populist budget on the backdrop of General Election next year, FM has announced a realistic, balanced and pragmatic budget.

Fiscal deficit target of 4.8% is possible in view of disinvestment target enhancement from Rs 30,000Crs of Current fiscal to Rs 40,000Crs  and reduction in subsidies.

Emphasis on infrastructure funding is also laudable.

Surcharge of 10% on super-rich is not going to affect large numbers but will add substantial amount to the exchequer.

First time investors in RGESS will have a tax relief for their investments for 3 years. It will certainly attract more investors in equity market/mutual funds

Introduction of Inflation Index Bonds and additional relief on Housing loan int will attract small tax payers.

DTC not coming so soon is also a welcome sign.

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