BUDGET 2021 part 1

 Just 48 hours back Finance Minister presented the budget for FY2021-2022. Lots of analysis is going on. We are listening from various sources to the pro and cons of the budget as well as the pluses and minuses of it.

Before going forward we will look at the current condition of the economy first, the first indicator is GST collection for the month of Jan2021 it's an all-time high. In fact, if we see the total unlocking of the economy overall GST collection, as well as E-way bill, is increasing.

Expert calls it to paint up demand or V shape recovery, but demand for goods and services was and is there in the market.

But overall data which was released by  RBI from time to time showed resilience in the economy, During the covid-19 due to bumper crop, rural demand was there, after unlocking urban demand also came.

First, there was job loss in the initial period but going forward it's not the main issue as rules relaxed business started running at a normal pace.

Now the government has opened all sectors except aviation (international), the impact will be there.

Before budget the only indicator which was not showing a healthy sign was CPI, but it is moderating now. 

As of now others, micro and macro indicators which are discussed by experts and watched by all are in positive territory.

With a slew of major reforms like labor and agriculture, we will see the effect in a short period of time, by  April 1/2021 labor codes will be notified,

FDI is all-time high due to different PLI schemes that have been announced plus other favorable conditions.

One major shift is there in government that business is the backbone of foreign policy. So the government is determined to get rid of business, and will only regulate in the future.