Pre-Budget Expectation by Mr. Sandesh Kirkire, CEO at Kotak Mutual Fund
With India’s GDP growth rate having regressed to its 10 year low, the upcoming Union budget would be excessively important in salvaging the situation. The 25 bps Repo rate cut in Jan-13 has set the tone for encouraging capital formation and investments. However, the moderation in the government borrowing is necessary for the commercial sector to raise the needful resources at viable cost. Therefore a serious approach to fiscal discipline is a must. Moreover, the simplification of tax, trade and investment procedures would also be helpful in re-igniting the growth engines of the economy. While the penetration of Mutual funds is increasing, its knowledge and reach needs much dissemination. For that purpose further incentivization and support for reach and access would be much hoped for.