City-based industry captains have welcomed the general budget 2018. Jusco managing director Ashish Mathur said that this budget largely hovers around rural economy, farnmers, social sector and infrastructure development (including education, toilets, rural electrification, rural roads, healthcare etc) of the country to a large extent.
This budget also sends out a message to the rest of the world that fiscally, India is indeed a responsible nation looking to continue to tread the path of fiscal consolidation and improve the environment of ‘Ease of doing business’.
Important issues like strengthening affordability of rural as well as urban low cost housing, funding for rural masses, child and woman welfare and healthcare , also focuses on education and capability development amongst the youths have been adequately addressed in this budget. Overall this budget is likely to ease the stress on the economy and contribute to the development of the country.
Killol Kamani, Vice Chairman, CII Jharkhand State Council & Managing Director, Samarth Engineering Co Pvt ltd Union Budget 2018 has been very positive and encouraging for Industry. The Corporate tax cut to 25% for companies with revenue up to Rs 250 cr, is a very positive step.The government has presented a balanced and populous budget with reforms and thrust on Education, Healthcare and Infrastructure.
B-school XlRI has welcomed announcements made under general budget 2018. Fr. E. Abraham, director, XlRI- Xavier School of Management said: “We welcome the education-sector related budget announcements.
Setting up more Eklavya schools for tribal children and allocating funds for migrating from blackboard to digital board and most importantly treating education holistically with integration of "class 2 to class 12” are steps in the right direction and will help school-going students in rural and urban India in the long-run, especially as we are increasingly moving towards a digital economy.”
He further noted that the decision to allocate Rs 1 lakh crore over 4 years for infrastructural upgradation in educational institutions will give a much needed impetus to Research and Development activities in the realm of higher education.
Prof. K.R. Shyam Sundar of XlRI said that the Union Budget 2018 has been preceded by an Economic Survey which has been more aspirational than realistic as it anticipates the revival of economic growth despite shockers such as rise in oil prices, fall in public investments to name a few.
The biggest challenge for the Government is to fulfil if not legitimise its poll promise of huge employment growth.
“Growth story till now has shown that it need not necessarily result in employment growth though dispensable. Employment growth even if its numbers among others must rely on more money in the pockets of people and investment sops.
The Union Budget has not come up with much credible measures on jobs front. The government has now extended its sector specific policy of short term pay-roll tax sops to all sectors now and extending fixed term employment category to all sectors.
It is clear that the Government is more interested in numbers and not on quality of jobs as its sops and employment policy is short termis,” said Prof Sunder.
The professor said that the hike in customs duty on mobiles etc. will make it costlier on the one hand and may not jack up production in India as innovation is not India’s strength.
This move which is expected to strengthen Make in India may not happen but will affect Digital India as mobiles will be costly thanks to high customs duty. The assured rise in MSP over cost of production could be tricky though a welcome move. However, continuance of the dream of doubling farmer income even in the medium term continues.