Budget 2024: Expect new initiatives to boost manufacturing, says Satish Menon of Geojit Financial Services

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Satish Menon, Executive Director of Geojit Financial Services underscores the exact nature of the Budget 2024 cannot be predicted at this stage. However, he expects new initiatives to boost manufacturing in India and government expenditure on Infra to flourish. In an interview with Mint, Menon also shares his views on the market and the sectors he is positive about. Edited excerpts: Our understanding is that the final budget will be after the general election, and the February Budget will act as a provisional one.

Consequently, it is premature to predict the exact nature of the Budget at this stage. However, we anticipate that the current government will hold the position and continue its progressive budget, aligning with the customary agenda of the reformist government. The government’s fiscal deficit has increased due to pro-growth and subsidy initiatives taken during the pandemic period.

Hence the intention will be to curb the deficit. At the same time, we expect growth to be on the agenda of the government. We expect new initiatives to boost manufacturing in India and government expenditure on Infra to flourish.

Also Read: 5 key macro themes that will influence the market in 2024 We expect Nifty to provide a return of nearly 10 to 12 per cent in the calendar year 2024 (CY24). Currently, we are assured of a positive first half of the year 2023 (H1CY24) in anticipation of a pre-election rally as the domestic, political and global market environment is suitable. The performance of Nifty in the second half hinges on the election outcome and the corporate earnings.