The Union Budget for 2018-19, presented by Arun Jaitley is quite conservative with greater emphasis on improving agri-economy along with infrastructure and healthcare sectors. Through the various initiatives like universal health care, higher MSP for farmers, emphasis on education and entrepreneurship, the government has stressed on building a strong foundation for a new India.
On an NRI perspective, the budget does not have anything to write home about. We expected certain tax reforms relating to investments in India by NRIs, but the business community will be disappointed with the oversight. Ample provision has been given to the development of roads, railways and new airports across underserved cities, which will not only help develop trade, but also promote tourism and subsequent infrastructure. We also welcome the government’s decision to promote 10 prominent tourism sites to iconic status. All these announcements will positively enhance the domestic tourism sector in India.
The budget has provided further thrust on the digital innovation in the country, including looking at the use of blockchain technology. This is a welcome move by the government as digital innovation is transforming both governance delivery and creation of breakthrough services by the private sector.
Furthermore, the budget has been kind to the MSME sector offering reduced corporate tax to companies under them. The continued support for Smart City programs through continued budgetary support will greatly benefit from a new ecosystem of infrastructure leveraged on the thrust of using technology as the backbone.
