Industry reaction on Interim Budget 2019
New Delhi, Feb 2 (KNN) Sharing the reactions with KNN India, experts from diversified fields believe that the budget will contribute towards the economic development of the country.
Here are some post budget reactions from industry experts on the Interim Budget 2019:
Pushkar Mukewar, Co-Founder and Co-CEO of Drip Capital, a US-based trade finance firm
This is an interim budget that seems good for the poor. The finance minister has announced a few steps that could prove beneficial to MSMEs, including lower interest rates and tax changes. However, we would rather wait for the full budget to be presented in a few months to see what the new government will do to boost exports, before commenting on the longer term impact of such steps.
Nidhi Yadav, Creative Head & Founder AKS Clothings
The Union Budget presented by Piyush Goyal is aimed to benefit people as well as the businesses. I welcome Government's decision to source 25 percent material from SMEs and 3 percent from only women-owned SMEs.
Removing hurdles from the path of women entrepreneurs is must to leverage women empowerment in the country. Also, as getting funds in the infancy stage is always a big challenge for small businesses, government's announcements of launching an online portal that can sanction loans up to Rs 1 crore, within 59 minutes is of course, a good news to SMEs.
Further, RBI's recent decision to permit a one-time restructuring of loans that any MSME has defaulted, but is not non-performing as of 1 January, will help in the revival of many promising startups.
Debabrata Bhattacharjee, Head of Research, CapitalAim
Interim Budget provides fiscal stimulus of close one trillion rupees through direct cash benefits to small & marginal farmers and tax sops for the middle class.
We strongly believe that his budget is middle class and farmers oriented budget. Finance Minister clearly target middle income class and farmers to get benefit of their vote in the upcoming general election. No income-tax up to 5 lakh earnings is a big boost for this earning group.
Shivendra Foujdar, Founder and Managing Partner, Avighna Trades
This budget is mostly related to middle class & farmers oriented. The center point of this budget is mainly these two groups. Tax rebate to aam admi and money transfer directly to farmers’ bank account gives strengthen to consumption story in the economy.
Consumers driven stocks are benefited from this announcement. Financial companies are also benefited from this measure. Middle class income group dive to invest his income to financial products that will meet there expectation.
Fiscal measure are well kept. Capital Expenditure has been robust. Primary deficit is being kept well in control. Real Estate Sector is also benefited by this budget as finance minister has given boost to affordable housing projects.
Projects and schemes that are already running like SagarMala, self-employment through Mudra loans, Startup India creating jobs and benefiting the job market in the long run. As the government aim to get 5 trillion dollar economy in next 5 years, this also shows the boosting economy in the long run.
Overall this budget is helpful for corporates as this budget will give boost to consumption, financial product companies and will help in creating more jobs.
Sameer Vakil, Co-founder & CEO, GlobalLinker
Overall, the budget spells well for the SME fraternity due to the fact that it has a positive and business-friendly tone, with a strong message of reliefs to the middle class (which makes up a big part SME of the workforce).
We are particularly pleased about the 2 percent concession on interest for SME loans up to INR 1 crore for GST filing SMEs. This will provide a significant boost and encourage entrepreneurship, whilst helping widen the base of tax paying firms.
Also, very happy to see that businesses with less than Rs. 5 crore annual turnover, covering nearly 90% of GST filing companies, being allowed to file quarterly GST returns. This will be a huge relief to many SME firms.