The economy is going through challenging times in the light of low GDP growth, high inflation and increasing fiscal and current account deficit. The Finance Minister has to present a budget, which can revive growth especially in manufacturing sector in the current economic situation.

Development of infrastructure is a prerequisite for growth. The industry is expecting a quick implementation of GST, streamlining processes for speedier implementation of large infrastructure projects and clarity on retrospective Income-Tax amendments will provide accelerated depreciation, interest rate reduction and implementation on clarifications will help kick start the growth.

The Government can raise money through disinvestments in public sector, sale of non-productive public sector assets such as land and rationalising and consolidating subsidies will help in reducing fiscal deficit.

Rationalisation of subsidies in food, fertilisers and fuel, consolidation of over lapping subsidies under Central schemes and also direct payments to the common citizen will help in further fiscal deficit reduction.

For the software industry, withdrawing the MAT on SEZs, initiating a new SEZ policy to improve IT exports, implementing a policy for research and development in software industry and promoting Tier-II/III towns for inclusive growth, will help accelerate growth in the IT industry.

Finally, SME sector is the backbone for the industry. This sector employs nearly 59 million people and can be a growth driver for the future. Providing a special package for the SME sector will help sustainable growth.

(The author is Founder and Chairman, Infotech Enterprises Ltd.)

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