When the general election just a year away, and with tell-tale signs of rural distress from certain pockets, it is logical that the Budget would address the concerns of the rural sector. The envisaged investment of Rs 5.35 lakh crore (for Phase I of Bharatmala programme) for Roads and capex of Rs 1.46 lakh crore for Railways will assist in providing momentum to the economy. It will also result in growth for construction equipment manufacturing companies, construction companies and contractors, and infrastructure financing institutions involved in supporting these sectors. It is quite important to develop the capital market, which has been our request for the last few years in order to bring more depth into the debt capital market. One of the most important areas to be addressed is to enable, facilitate and encourage Pension Funds, Provident Funds and Insurance Companies to invest in bonds issued by infrastructure companies.

Source: dna February 02, 2018 01:30 UTC