A gradual and continuous push towards capital expenditure would be made via infrastructure projects under the NIP (National Infrastructure Pipeline) and would be the focus of the Union Budget 2022-23.
According to the government officials, the projects catering to the roads and railways sector along with Nal se Jal scheme are expected to boost the government targets via funding. These targets are expected to increase capex by approximately 30% by next year.
In this budget layout, the government is expected to increase the infrastructure capex spending. The country has been experiencing a fiscal downfall, pushing the authorities to take charge of the deficiency and focus on the underlined capital expenditure.
The FM would also pay attention to the policy reforms that support private investment in order to enhance infrastructure spending. FM further added, we also anticipate raising the bar for the budget allotment for highway development and road infrastructure across the country.
While the country grappled with supply and demand patterns amidst the COVID-19 outbreak, the costs for the Indian business sector have faced multifaceted challenges. The cost of goods transportation has been running in shortage globally and the government is making an effort along the same lines.
The government has also aimed at adopting a liberal tax scheme, providing subsidies, enabling Indian exporters to take benefit of the industrial demands on a global scale.
Talking about real estate, the industry seems to be witnessing a strong comeback after being on the downside. After the revival of the industry post covid, the government should take steps that would act as a catalyst catering to the housing sector, hence escalating the growth of the real estate sector.
Moreover, expecting the government to lower the GST value levied on the supply of raw materials. The real estate sector looks forward to understanding the industry status, enabling cheaper credit from multiple financial institutions, including incentives for private investment in the sector. Additionally, easing the liquidity would definitely keep the real estate sector in the front.
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