Nimesh Shah (ICICI Prudential AMC) Reaction on Budget 2012
DSIJ Intelligence / 17 Mar 2012
The Union Budget 2012 has been a tight ropewalk between triggering a roadmap for fiscal consolidation and managing development & popular sentiment. The increase in Service Tax by 2% and an increase in excise duty were anticipated and have resulted in some fiscal respite.
The introduction of the Rajiv Gandhi Savings scheme is a clear positive for the equity market by way of increased long-term investor participation. In addition, reduction in STT on delivery by 20% has added to the investors return potential for equity. Going forward the budget will have to be followed by a decrease in subsidy in tune with the budget estimates. The market will require the government to take the fiscal consolidation roadmap ahead with possible increase in oil/ petrol prices, which will be crucial to providing RBI headroom for significant rate action. Until then it is over to affirmative execution by the government.
Nimesh Shah
MD & CEO, ICICI Prudential AMC
If you want to stay updated with the share market news today, keep a close watch on the indian stock market today with real time movements like sensex today live and overall stock market today trends. Investors tracking ipo allotment status, ipo news today, or the latest ipo india can also follow daily updates along with bse share price live data. Whether you are learning how to invest in stock market in india, preparing for a market crash today, or searching for the best stocks to buy in india, insights on top gainers today india, top losers today india, trending stocks india and long term stocks india help in making informed investment decisions.