Govt has done well to stick to path of fiscal consolidation. It’s unclear if compression of revenue spends net of interest payments is the direction the govt would like to take in coming yrs.
The finance ministry should not spend ~0.83 trillion for equity infusion into BSNL. Instead, it should ask the telephone company to raise resources from the market.
Corporate tax collections saw modest growth of just 1.2%, but a 20.2% rise in income tax collections helped strengthen the government's overall revenue position.
Capital expenditure undertaken hastily to meet year-end targets dilutes the quality of the exercise and undermines the economy's benefits from such investment.
If the fiscal deficit was brought down to 5.6% in 2023-24, it was more because of a cut in revenue expenditure than because of growth in tax collections.
Union Budget 2024 allocated Rs 11.1 lakh cr as capex for FY25. This is 11% higher than what was budgeted for FY24 and 17% higher than what was actually spent that year.
Capital expenditure of 23 states grew by 52% in April-September 2023 over same period last yr, but discontinuation of GST compensation, tapering of grants could weigh down some states.
The transfer is a part of monthly shifting of federal taxes to states, but was higher than the normal monthly devolution amount of 591.40 billion rupees, the govt said.
Finance Minister raised capex by 35.4% to continue the public investment-led recovery of the pandemic-battered economy. Last year, it stood at Rs 5.5 lakh crore.
Data shows while states had budgeted a total of a little over Rs 7 lakh cr for capital outlay, only Rs 2.58 lakh cr was spent till Nov 2022. Andhra Pradesh was at bottom among big states.
SEBI probe concluded that purported loans and fund transfers were paid back in full and did not amount to deceptive market practices or unreported related party transactions.
India exited the Indo-Russian FGFA programme in 2018. But now it might procure at least 2 squadrons of Su-57 aircraft from Russia and evaluate Russian proposal to manufacture them in India.
Many really smart people now share the position that playing cricket with Pakistan is politically, strategically and morally wrong. It is just a poor appreciation of competitive sport.
Shekhar Gupta is right in his assessment of the budget. It is a socialist budget with tax-cut lollipop for the middle class.
With this budget the BJP has made it clear that they are essentially socialists. As far as economics and finance is concerned, there is no difference between the BJP and the socialist political parties.
One reason might be that Modi thinks he has burnt all his political capital in pursuit of demonetisation, land reforms and agriculture reforms. The bitter experience from these genuinely reformist moves has made the BJP turn to socialism.
Why topple the cart and upset anyone?
Shekhar Gupta is right in his assessment of the budget. It is a socialist budget with tax-cut lollipop for the middle class.
With this budget the BJP has made it clear that they are essentially socialists. As far as economics and finance is concerned, there is no difference between the BJP and the socialist political parties.
One reason might be that Modi thinks he has burnt all his political capital in pursuit of demonetisation, land reforms and agriculture reforms. The bitter experience from these genuinely reformist moves has made the BJP turn to socialism.
Why topple the cart and upset anyone?