This will be Modi's government fifth and final budget for the current term.
As this is the last full Budget of the NDA government in the runup to the 2019 general elections, I would anticipate a slight spike on the expenditure front (as has historically been the case).
Expectations are really high. "The common man expects honesty; he expects to get what he deserves", he said, responding to a question on whether the budget will be a populist one, in an effort to woo voters.
Govt is all set to address farmers problem. Many countries across the globe have not only implemented the GST effectively, took care of the fledgling SME sector but have also clocked impressive economic growth resulting in some stunning case studies.
Economists say that Budget 2018 should announce policies to kick-start the investment cycle, which will help put economic recovery on a firmer footing. The budget proposals are also expected to focus on addressing tax provisions that impact flagship programs of the government, such as "angel tax" that impacts Start-Up India, and MAT on debt restructuring that worries the working of the Insolvency and Bankruptcy Code.
The government is expected to increase import duty on certain items related to power, capital goods and chemicals sectors to give a boost to domestic manufacturing and its "Make In India" programme. Falling steadily over the past few years, gross fixed capital formation (as a percentage of GDP) in India was 27 per cent in 2016, according to World Bank indicators.
These bears burnt during California wildfires were healed using fish skin
The team also worked with UC Davis veterinary pharmacists to create a new burn salve designed to ease the bears' pain. Peyton procured the skin from a local fish market, sterilized it and then sutured it onto the sedated animals' paws.
But he has to do all this while sticking to the road map of narrowing one of Asia's largest budget deficits, as failing which, India may fall on the wrong side of global investors and credit rating agencies which had late previous year handed out a rare sovereign upgrade.
Over the last few weeks, several global agencies have slated India to grow at an accelerated pace compared to major emerging economies this year-some even predicted that India would displace China as the fastest-growing economy in 2018. Given the importance of MSME for the overall growth of the economy, this sector needs to stabilise first. The government can announce some steps to strengthen basic facilities and resources for education.
It was reported that the government might increase the tax exemption limit of Rs 1.5 lakh to Rs 2 lakh.
REVIVING BANKING SECTOR: Banks struggling with the financial crisis and NPAs have great expectations from the budget.
Latest Goods and Services Tax (GST) data shows a large increase in registration by small and medium enterprises (SMEs) to avail input tax credits, said the Economic Survey on Monday.
"USIBC members believe that unless resolved, the lack of clarity in the government's approach to taxation risk will undermine progress in other areas of the economy and will continue to damage India's reputation among investors", the memorandum said.