Auto industry stuck in reverse
The automobile industry in India is in the chokehold of a slowdown that began about a year ago. A revival seems some distance away.
Though an uptick in demand is expected in the October-November festive season, experts do not see an immediate revival for the sector.
BSE Sensex slips over 450 points on lack of consumption push.
Reports from various equity research and ratings agencies said margins were under pressure due to rising costs.
The government plans to levy a 25% tax in the first year, which will be lowered to 20% in the first half of next year and further slashed to 15% in the second half of the year.
Government initiatives expected to boost buying in the affordable segment
Opinion is divided but most agree that without well executed reforms at public sector banks, recapitalisation will be nothing more than putting good money into bad assets.
It is clear that the finance minister has quite a task on his hands to stay on the path of fiscal consolidation. Being the last budget before the next general election makes it harder.
After nearly two and half years of subdued crude oil prices aiding India’s fiscal situation, prices have touched $62.83 per barrel, the highest level since June 2015.