Budget 2024 : India Inc Applauds Emphasis on Fiscal Prudence and Infrastructure Investment

Ahmedabad :  Finance Minister Nirmala Sitharaman’s presentation of the interim union budget for 2024 has garnered praise from India Inc, with Dilip Oommen, President of the Indian Steel Association and CEO of AM/NS India, commending the government’s focus on fiscal prudence and a well-balanced approach.

Oommen lauded the budget’s commitment to fiscal responsibility, calling it a positive indicator for what might be expected in the full-fledged budget in July. One notable highlight is the significant 11.1% increase in capital expenditure for infrastructure, pushing the total outlay to Rs 11.1 lakh crore. However, Oommen pointed out that the likely spending in the fiscal year 2023-24 would be around Rs 9.5 lakh crore, resulting in a substantial 17% increase in real terms.

According to Oommen, this boost in capital expenditure should stimulate robust domestic steel demand, fostering private investments and job creation in the process. He expressed optimism about the budget’s emphasis on expeditiously developing various forms of infrastructure, including digital, social, and physical, which is anticipated to have a positive impact on the economy.

One of the key highlights of the interim budget is the fiscal deficit target for the fiscal year 2024-25, set at 5.1%. Oommen praised the government’s commitment to continuous fiscal prudence, considering it a laudable aspect of the financial plan. The emphasis on maintaining a reasonable fiscal deficit is seen as a crucial element in sustaining economic stability.

As India Inc responds positively to the interim budget, industry leaders express hope that the outlined fiscal measures and increased focus on infrastructure development will create an environment conducive to economic growth, job creation, and private sector investments. The anticipation is high as stakeholders eagerly await the detailed budget in July, which is expected to provide further clarity on the government’s economic strategy and priorities for the coming fiscal year.