Finance Minister Nirmala Sitharaman is presenting the Union Budget 2022 in Parliament Tuesday. The finance minister on Tuesday said the country is expected to grow at 9.2% this fiscal propelled by a sharp rebound in the economy.
The Economic Survey, which was submitted in Parliament on Monday, predicted a growth rate of 8% to 8.5% for the fiscal year that begins in April (FY23).
She also said a virtuous cycle of investment is expected to revive on account of capex (capital expenditure) and crowd in private investment.
“Government focus since 2014 is on poor and marginalised. The government strives to provide the necessary ecosystem to a middle class,” Sitharaman said in her Budget speech 2022-23.
All macro indicators suggest that the economy was well-positioned to tackle difficulties, aided by increases in agriculture and industrial production growth, according to the report, which was submitted in Parliament by finance minister Nirmala Sitharaman on Monday.
The Budget is projected to increase public capital expenditure (capex) while also creating a favourable climate for private CAPEX.
This would imply increasing allocations to sectors like defence, railways, and renewable energy transmission projects, boosting the domestic capital goods industry, brokerages told Business Standard last week.
Businessmen and economists are concerned about mounting inflationary pressures in the country, as global crude oil prices rise and the new wave of Covid-19 infections threatens in the next eight to ten weeks, according to experts.