‘Demographic dividend is India’s biggest strength and it should be utilised properly’

Terming Nirmala Sitharaman’s Union Budget as pro-growth and aimed at promoting entrepreneurship, a BGBS professor says more could have been done for some core sectors

Speakers at a discussion on the Union Budget at Mahaveer Mirji College in Belagavi have highlighted the aspects of the exercise that will increase the rate of growth of Indian economy.

Prasad Daddikar, professor of management in Bharatesh Global Business School (BGBS), said that Finance Minister Nirmala Sitharaman has presented a budget that is pro-growth and aimed at promoting entrepreneurship. “India is among the fastest growing democracies. It is already a $3 trillion economy. The budget is a well laid-out map to make it a $5 trillion economy,” he said.

Using pie charts and maps, he gave details of the allocation to various sectors. He pointed out that most sectors have received very high allocation. The Indian Railways has received an all-time high budgetary allocation. The sector wise highest allocation has gone to Defence. But some core sectors such as health, education and agriculture have received fewer allocation than others. This could have been higher, he said.

He, however, pointed out that the government’s plans to set up nursing colleges or increase medical seats are steps in the right direction. “The demographic dividend is India’s biggest strength. We need to utilise it properly,” he said.

Madiwalappa Tigadi, vice-president of Institute of Chartered Accountants Association’s Belagavi chapter, pointed out that there is some systemic flaw in the method of evaluation of stocks and shares. Some underwriters have become evaluators. This is a clear conflict of interest. The Union government should do something to stop this, he said.

“Some people say that the IT exemption limit of ₹7 lakh is an eyewash. It is partly true. It is nothing but a reiteration of an old provision,” he said.

He listed as positive aspects of the budget provisions such as regulation of financial technology tools, regulation and taxation of online gaming, e-governance, digitisation and tax benefits to cooperative manufacturing and focus on youth empowerment. However, the budget should have focused more on sustainable development, small and medium industry and cyber security, he said.