Parekh Suggests Large PSU Divestments, Wants Pro-Growth Budget

He further added: “So, I don’t think that just because BJP lost Delhi elections, they are re-thinking the Budget and they will give more freebies. I don’t think so. I think the Finance Minister is absolutely right (when he says reforms can happen on all 365 days in a year). The reforms should take place on a daily basis. Only in India we give so much credence and so much importance to the Budget.

“It is a book-keeping exercise of government accounts, along with introduction of some new taxes and removal of some.

It is never a big thing anywhere in the world. I have heard everyone saying this budget is going to be make or break. What is going to be make or break?”

On his expectations from the Budget, the eminent banker and Chairman of financial services giant HDFC said: “The government needs revenue. We have deficits, so we can not reduce taxes. Our tax rates are as such reasonable within the overall standards from what we were paying.

“Two or three things that he may do include giving more money in the hands of consumers by increasing the limits, so that more people get out of the tax bracket and have more spending power. We need more people to start spending to kickstart the demand.”

“Secondly, there must be some encouragement to put capital investment on the ground, because people are reluctant to put new projects. So, you have to give some incentives for new companies, for existing companies to start new ‘Make in India’ projects, manufacturing projects,” Parekh said.
Read Also: Industries That Will Be Obsolete By 2020
Sony May Plug Off Smartphone and TV Businesses