Tata Steel today said Finance Minister Arun Jaitley's proposal to reduce corporate tax to 25 per cent in the next few years is a welcome step.
The budget has sought to provide an environment that attracts investment in industry and propel economic growth, it added.
The proposal to do away with various types of foreign investment caps and replace them with a composite cap is also welcome, Tata Steel said in a statement.
After a gap of 10 years, the government today announced cut in corporate tax by 5 per cent to 25 per cent over four years starting April 2016, but tax exemptions and incentives to the industry will be withdrawn.
A quick implementation of market and policy reforms proposed in the budget will help in achieving a GDP growth of 8.5-9 per cent year-on-year, it said.
The Rs 70,000 crore earmarked for the infrastructure sector, too, augurs well for sectors such as steel and cement.
The proposed National Skills Mission will enhance employability of rural youth in industry. The new tourism scheme and the government's proposal to issue visa on arrival to nationals from 150 countries will greatly benefit the hospitality and services sectors, it stated.
