Insights into India's Budget 2024: Key Themes and Sectors to Watch
$7 trillion economy by 2030. Will this year’s budget emphasize social spending while reviving the rural economy and facilitating job creation?As we approach Budget 2024, anticipation is high regarding what will be the government's focus and what could be potential beneficiary sectors.
Devarsh Vakil, Deputy Head of Retail Research at HDFC Securities, shared his insights with Mint on what we might expect from the latest budget. Here’s a glimpse into his insights into what this pivotal budget may bring for India.Devarsh highlighted that "the budget will focus on economic activities, with a continuous emphasis on infrastructure development.
We expect about 25% of the capex from the budget will go towards infrastructure."He elaborated that substantial allocations are likely for infrastructure projects including highways, railways, and urban infrastructure. The government's emphasis on infrastructure has a "multiplier impact" on various industries.
Construction companies, cement, steel, logistics, and engineering firms could witness growth in the coming quarters with the government push.The budget may allocate 10-15% more to the National Infrastructure Pipeline and Gati Shakti master plan compared to last year. This will benefit dredging, port building, and waterways development as part of the Gati Shakti master plan.Similarly, the allocation for railways could also be increased to benefit projects like the dedicated freight corridor, high-speed railway, bullet trains, and smart cities.
Besides higher allocation, the government may start asset monetization to fund infrastructure projects.“The Budget is set to significantly benefit the healthcare sector. We expect that the enhanced digital infrastructure and spending will drive
. Read more on livemint.com
