Pre-Budget meet- GST rationalisation, easier bank credit and hike in public expenditure

Pre-Budget meet- GST rationalisation, easier bank credit and hike in public expenditure

Infrastructure sector demands GST rationalisation, easier bank credit

The Union Finance Minister Nirmala Sitharaman met infrastructure industry experts at the customary pre-budget meeting, the latter sought rationalisation of GST, easier bank credit and a hike in public expenditure.

Cellular Operators' Association of India (COAI) in its demonstration to the Finance Minister has presented a reduction of levies and taxes on the telecom sector amidst new new-age 5G networks and services floating across the country. " SP Kochhar, Director General of COAI said; our demand for cost reduction should be looked at expeditiously," 

According to sources, the authority of the auto industry pursued the government's support in terms of long-term policies for making India as a strong electric vehicle (EV) manufacturing base. They also pitched for government support to the electric vehicle companies for reskilling the workforce.

The Federation of Indian Micro and Small & Medium Enterprises (FISME) was of the opinion that the bank loan rating (BLR) condition was proving to be a great dampener in the growth of MSMEs and pursued immediate interference in establishing a  joint committee of the RBI, stakeholders and banks to innovate a unique rating model for MSMEs, which primarily focuses on solvency.

FISME made a plea to form a task force to study the extent of the spread of the malice and suggest remedial measures in a time-bound manner. This is done after observing that some private sector banks levy pre-payment penalties i.e. 4% on MSMEs for those who are trying to change bank as a result of unsatisfied and poor services, 

Industry body PHD Chamber of Commerce and Industry (PHDCCI) recommended that infrastructure investments in the country should not be less than 10 per cent of the GDP to accomplish state-of-the-art infrastructure and become a developed economy by 2047.

The virtual meetings were attended by the Union Ministers of State for Finance Bhagwat Kishanrao Karad, Pankaj Chaudhary, and other senior officials.

The official gave suggestions on the budget to be held on 2023-24, which will be presented in Parliament by the Finance Minister on February 1.

For any further clarification/doubt, feel free to contact GST professional. Our team of GST experts assist in comprehensive matters in regard to GST.

Source: Economic Times


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