NEW COMPLETE FINANCIAL YEAR

 A few years back financial experts use to say even if there is no government  India will still grow That time we had multiple issues in governance. Policy paralysis and political instability were major concerns.

Now in the last six years, we have seen governance issues get sidelined but there are policy decisions that getting executed.

There is still a lot going on in the market, but one change we noticed but yet to see the changes in the ground.

The decision to take budget making and getting it cleared by parliament by the end of March of every year. More precisely by 31st March every year.

Up to 2018, we had a similar process, but the time to complete the whole thing used to take the end of April every year.

This means we had only six months to complete the project for a whole year. Let's understand the budget process, pre-budget consultation, budget making, and presentation. After this budget is discussed in parliament along with the standing committee of each ministry. Then passed by LOkSABHA. As it is a finance bill that is passed by Loksabha. After that government gets the authority to spend the money.

The money used to come by the month of May each year. Now the process has been preponed the government gets money on the 1st day of April every year.

The main difference is that execution starts in  April itself in comparison to September earlier.

It was done in the year 2019/20, but the impact was not felt, as by that time we were going for the general election, last year we face lockdown due to Covid-19.

Hoping this year we will not face any obstacle which we faced.

Now how this is a game-changer for all of us,  the government will have a total of 10 months to complete the project only time to slow down in execution will be monsoon season.

Now Execution and completion of the project will increase as compared to earlier. Ripple effect of same will be seen in next few years.

If we see the net project completed up till now by the present government increases the confidence.

One of the main reason expert used to say the Indian economy will increase is due to population and Indian tradition, Nowhere in the world, this much consuming population is present.

 One major reason for market expansion is our festival calendar, it starts from July to Jan every year. Which is the longest in the world. Average expenses in the world are more. And not comparable.

The other two reasons are two post-harvest purchases from ruler India, we saw when the whole country was under lockdown, the ruler market was working as usual.

Marriage and other ritual or family functions that are very dearer to everyone in our county are long enough with meaning and impactful in expenses.

If we see all the above reasons, the impact will be visible in the near future.