BW Businessworld gets M. Govinda Rao, member, 14th Finance Commission; Arun Kumar, former JNU economist; Yoginder K. Alagh, former Union Minister; and Lord Meghnad Desai, British economist, to debate the key priorities for the Union FM Nirmala Sitharaman in the run-up to the Union Budget. Edited Excerpts: By Team BW
What should be the key priorities in Union FM Nirmala Sitharaman’s maiden Union Budget?
M GOVINDA RAO (MGR): Accelerating the growth of the economy and creating employment are the two most important priorities. There is also the issue of alleviating farm distress, but agriculture is a state subject in the Constitution. With the capacity utilization in the industrial sector reaching a high level, much of the growth has to come from new investments. This requires increasing public investments, rejuvenating industrial climate, inter alia, and banking reforms to make them lend more.
ARUN KUMAR (AK): One can’t predict what the FM would do. My suggestion would be to address the problems faced by the unorganized sector urgently. The current slowdown in the economy originated in the unorganized sector has been declining since the demonetization. It was further hit by the Goods and Services Tax (GST) and then by the Non-Banking Financial Companies (NBFC) crisis. Attempt to force digitization is further damaging it. This has led to the demand shortage, which is now impacting the organized sector. To revive the unorganized sector, a simpler GST (which I have been proposing) is required and credit availability to this sector improved. Businesses in this sector are short of working capital and cannot cope with GST, even though they are exempt from registration under GST. The farming sector is a major component of this sector and needs support because the farmers’ incomes have been affected adversely. All this has also impacted the employment generation. So, investment in employment generating sectors like education, health, and rural infrastructure need to be greatly stepped up.
This story is from the {{IssueName}} edition of {{MagazineName}}.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber ? Sign In
This story is from the {{IssueName}} edition of {{MagazineName}}.
Start your 7-day Magzter GOLD free trial to access thousands of curated premium stories, and 9,000+ magazines and newspapers.
Already a subscriber? Sign In
MEMORIES & IMPRESSIONS
Ratan Tata was an exceptional human being. He was a visionary leader, esteemed industrialist, and a humanitarian, who left an indelible mark on India and the world.
The Robotaxi Market
The robotaxi market is shaping up to be a high-stakes battleground as tech giants and automakers race to transform urban mobility.
And the Nobel Prize Goes to AI
The recent Nobel Prize T awards to AI pioneers affiliated with Google have sparked a broader conversation about Big Tech's influence on research and the limitations of traditional prize categories.
Ola Electrified
Once considered a trailblazer in India’s electric vehicle (EV) ecosystem, Bhavish Aggarwal’s Ola Electric now faces a major accountability crisis.
Sharp Slide in Industrial Output on Eve of Deepavali
India’s index of industrial production (IIP) saw a sharp reversal in August, contracting by 0.1 per cent, in stark contrast to the 4.7 per cent growth in July, mostly because of significant contractions in mining and electricity generation.
Heralding the Solar Era with Sustainable Electrification
RAJEEV KASHYAP on the economics of solar power, the hurdles in scaling it, and much more
A WELL-GREASED MACHINE
The OmniBook X14 laptop runs on first-generation Snapdragon X Elite, which bets big on Al-enabled productivity and battery life, but falls short when it comes to overall experience, says Deep Majumdar
DO NOT LETA HEALTH CRISIS RUIN YOUR FINANCIAL HEALTH
For a family of four living in a metro, it is recommended to opt for a family floater health insurance plan with a sum insured of at least Rs 15-20 lakh
Disruption Ahead: Beyond Organisation Charts and Structures
ALBERT EINSTEIN FAMOUSLY said, “We cannot solve our problems with the same thinking we used when we created them.
Dr. Rahul Shivajirao Kadam: A Visionary Leader Blending Sustainability, Innovation, And Social Empowerment
We are on the stage of global warming, and these technologies not only help prevent further damage but also leave behind a better environment for future generations.
