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Posted

Next budget will be populist. There should have been more reforms in this one. So the 10% surcharge means the super rich end up paying 33.33% instead of the 30%, Apart from that not adjusting IT slabs is disappointing. I was expecting exemption of service tax for ISPs providing broadband access, :headshake:

Posted

He had two major constraints: election year called for increased social/rural spending and the deficit related threat of lower ratings. Hence nothing credible for middle class.

Next budget will be populist.
How do you know that ? Expecting a bigger alliance that has multiple smaller parties at the center that demands populist measures ?
Posted
How do you know that ? Expecting a bigger alliance that has multiple smaller parties at the center that demands populist measures ?
If this Govt runs its entire term then it will have one more (temporary) Budget and that will be in Feb 2014 - just 1 or 2 months before the elections so that Budget has got to be a populist one and no allies of Congress will object to any populist schemes at that time.
Posted
If this Govt runs its entire term then it will have one more (temporary) Budget and that will be in Feb 2014 - just 1 or 2 months before the elections so that Budget has got to be a populist one and no allies of Congress will object to any populist schemes at that time.
Oh ok. I would think this year's policy implementation would go much further into buying votes than promises made for the future which most of our rural/illiterate population wouldn't know much about.
Posted
If this Govt runs its entire term then it will have one more (temporary) Budget and that will be in Feb 2014 - just 1 or 2 months before the elections so that Budget has got to be a populist one and no allies of Congress will object to any populist schemes at that time.
Wouldn't EC guidelines come into effect meaning no populist scheme can be announced during that budget?
Posted
Wouldn't EC guidelines come into effect meaning no populist scheme can be announced during that budget?
the last time as well the EC guidelines were into effect but the Govt still brought a populist Budget which went a long way towards its re-election efforts. Same will happen this time. Also, even if EC guidelines are there, the Govt can still make substantial additions to the existing schemes like MNREGA, Food Security Bill etc in order to gain public confidence before the elections.
Posted
Wouldn't EC guidelines come into effect meaning no populist scheme can be announced during that budget?
They won't introduce new schemes but increase the outlay of existing ones. Also any unpopular reform will be put on hold. That is why the hurry to get the price rise of diesel/petrol done and dusted by mid of this year. After that, there will be no rise till the elections get over in May 2014
Posted
Steady budget' date=' not much to spend due to deficit, so not much Chindu could do other then token moves.[/quote'] surely he could reform sectors? where are the big ticket reforms in this budget? Why isnt there a plan to sell of state assets in publicly traded companies to 51% and use the proceeds to build infra? Its a timid budget at a time when India needs to think outside the box when growth is touching 5% from a high of 9.3%.
Posted

SG next year there will not be a full budget but a vote of account. The farm loan waiver was announced with the 2008 budget IIRC which similar to today's budget, was an year before the general elections. This govt will perhaps make some big ticket announcement a few months before it wants to go for the elections without any budgetary support for it.

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