Budget 2021: Focus May Be On Increasing Expenditure In These 3 Priority Sectors

Amid fiscal concerns, the Union Budget 2021 may focus on offering several demand drivers so as to pull back the economy from the coronavirus pandemic-led downturn. However the relaxation of curbs, festive season and pent-up demand together with government and RBI measures resulted in decent economic recovery but sustenance of the same is a major challenge.

Budget 2021: Focus May Be On Increasing Expenditure In These 3 Priority Sectors

The centre as well as the RBI managed the Covid 19-induced economic crisis proactively and came up with a plethora of schemes worth Rs. 20 lakh crore to bring the economy back on its growth track. The package aimed at offering adequate liquidity as well as credit support to businesses and there was little done in respect of giving cash to the citizens.

And now, the upcoming Budget is expected to focus highly on increasing expenditure in particular in priority sectors such as infrastructure, rural and healthcare. The move will result in the generation of employment opportunities for low and semi-skilled workforce and at the same time would push demand for goods and services that MSMEs offer and increase total consumption. Also, for achieving India's mission to become 'AtmaNirbhar', a number of steps may be announced on structural challenges that obstruct MSME's growth including re-skilling talent and upskilling, and more incentives for the farm sector.

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