Market not ready for a higher tax rate but will take extension of duration in its stride: Nilesh Shah, Envision Capital

economictimes.indiatimes.com:

Nilesh Shah, MD & CEO, Envision Capital, says the first budget of any government's five-year term is the most important. So, to that extent, this Budget is going to be important from a couple of perspectives. One is essentially the agenda and the vision for the next five years. Second, whether the Budget continue to demonstrate continuity in terms of what it has been doing in the past, in terms of the focus being more on investment-led growth with some support coming from consumption.
This is the first Budget from Modi 3.0. Could it appear in a new avatar because normally the first Budget of a new government is about fixing the short term, mending the medium term, and kickstarting the long-term? What could be the playbook for this year's Budget?
Nilesh Shah: It has several kinds of implications and it is going to be probably the most important document in recent times because this Budget is probably going to unveil more like the vision for the next five years in terms of what direction India and the Indian economy take. It will surely have several measures that will not just sustain but also boost growth. We are an economy growing at 7- 8% and we need to sustain that growth rate and maybe higher for the next 5, 10, 15, 20 years. This Budget is going to be keenly watched from the medium to long-term perspective and will probably unveil several growth-boosting measures.

A general feeling in the market is that this year’s Budget could see a shift of stance from expenditure to rural and from boosting infra schemes