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A growth oriented, balanced budget: FICCI

Guwahati, Feb 1: Reacting to the union budget presented today, Ranjit Barthakur, Chairman of FICCI, North East Advisory Council said “This is a growth oriented, balanced budget and will do a lot to spur demand to put the economy back on a high growth trajectory.”  He complimented the Fince Minister on his vision for the economy which alongside economic growth also ensures economic justice.  The increase in capital expenditure will have a multiplier effect and is likely to boost private sector confidence.  Reduction of corporate tax to 25% for SMEs and reduction in income tax rate will put money in the hands of people. Another plus point is the decision to treat affordable housing as infrastructure development; this has the potential to give a major boost to the housing sector.  “The emphasis on skill development and education through the swayam platform, and enhancing the reach of Pradhan mantri Kaushal kendras is also a welcome move,” added Barthakur.  “We hope that increased allocation of funds for capital spending is reflected in infrastructure spending in the Northeast. The region requires substantial investment in roads, railways, inland waterways etc.,” he added.  On the banking sector, he said, “Although an allocation of Rs. 10,000 crores has been made for recapitalization of public sector banks, we feel that this amount may not be adequate, given the requirements of the banks and the need to support growth.”