This Is A Bold And Well-Balanced Budget

This is a bold budget, presented under difficult circumstances. The FM has taken steps to reduce tax rates, and boost the capital markets, while also providing for the rural sector and the poor. The limited entry of competition into the insurance sector is welcome. Also, the reduction in corporate tax and removal of surcharge will leave more money in the hands of corporates to reinvest in growth. The changes in corporate law, including buyback of shares, merger of investment limits etc, will allow corporates to improve business prospects.

For the software industry, the reduction in customs duty will make imported software more competitive, and will give a thrust to the computerisation efforts in the country. The manufacturing cost of computers will also come down thanks to the reduction in various customs duties. Overall, this is a bold and well-balanced budget.