The Kanara Chamber of Commerce and Industry (KCCI) on Thursday said that though the intentions of the new Central government are clear and the direction taken is quite encouraging, the Union Budget has fallen short of the expectations when it comes to proposed action.
Chamber president Mohammed Ameen in a statement here said that while “the menu card is crowded, the outlays are too small and scattered — a few hundred crores here and there — and a cohesive action plan seems missing”. The intentions portrayed by the new team was to fast track development, to control inflation, and revive economic growth. Compared to the intentions and announcements made, the actions proposed did not sound radical and path-breaking, he said.
Mr. Ameen said despite positives such as increasing the minimum tax slabs and saving limits, and electronic interface for government clearances and documentations, the big signals of change could not be read in the budget.
Terming it a good budget, Sumith S. Rao, president of Dakshina Kannada District Small Scale Industries Association, said providing a Rs. 10,000-crore fund to attract private capital for start-ups of micro, small and medium enterprises was a good move. Mr. Rao said the tax incentive for housing loan would boost the housing sector, which was not doing well in the recent past. The only discouraging aspect was that goods and services tax was not introduced, he added.
Former KCCI president G.G. Mohandas Prabhu termed it the finest budget that gave directions to kick-start the economy’s revival. By the time the next budget was presented, the way ahead should be clear for the government, he said.
