A balance between need of the hour, sustaining growth

The Finance Minister presented a Budget that balanced the need of the hour for fiscal consolidation with sustaining the growth momentum and also driving financial inclusion.

Increased allocation for rural development, infrastructure projects and social sectors will contribute to double digit growth in the next few years and also address supply side problems to meet short-term challenges. It is a welcome step that targets are set to bring down fiscal deficits, with reduced borrowing numbers and income from divestments.

I am sure that the Forward Markets Commission, the regulator of commodity derivatives, will get its due recognition in the proposed Apex Financial Stability and Development Council, which is expected to play a key role in coordination between regulators.

I am pleased with the Budget provision for revamping financial sector laws and setting up a financial sector legislative reform commission. Moreover, plans for issuing more bank licences will go a long way in increasing the depth and breadth of financial services in the country.