The Budget stepped up the capital expenditure sharply by 35.4 percent to Rs 7.50 lakh crore to attract more private investment and attract growth. The Budget announcements delighted experts as they believe emphasis on infrastructure and Capex expansion is the way to go forward. For 2022-23, allocation of Rs 1 lakh crore is announced to assist the states in catalysing overall investments in the economy. FM introduced PM Gatishakti, involving roads, railways, airports, ports, mass transport, logistics and infrastructure. The Budget 2022-2023 lays transformation in the next 25 years through India’s century of India’s independence. Energy transformation and climate action will be the two core which will dictate the transformation.
The extent of road construction per day increased substantially in 2020-21 to 36.5 km per day from 28 km per day in 2019-20, a rise by 30.4 percent as compared to the previous year. The Survey said that road transport is one of the most cost-effective and convenient modes of transportation in India, both for freight and passengers as it has a high penetration level with door-to-door delivery. Apart from the National Highways, the government has taken measures to address village-level road network through the Gram Sadak Yojana. The government also extended the ECLGS up to March 2023. This will go a long way in supporting the MSME sector and revive industrial activity. This has immense scope to drive demand for warehousing and logistic sectors. Revamping of SEZ Act will also assist in the growth of the economy. The budget announced a few laudable incentives for startups. The period of incorporation has been extended by a year to March 2023 to avail of tax benefits. For corporates, extension granted for new companies to set up manufacturing facilities to 2024 from earlier 2023. These will provide a breather for start-ups and encourage more start-ups in India. For the real estate sector, the budget placed an outlay of Rs 48,000 crores under the Pradhan Mantri Awas Yojana, and construction of 80 lakh homes will facilitate affordable housing. This, yet again, showcases the government’s commitment on building affordable housing stock.
Given below are the takeaways from the various sectors from union budget 2022
