New Delhi, August 25, 2019: The reforms announced by Hon’ble Finance Minister came at the right time and will revive business confidence in the economy ahead of the festive season. The announcement of additional Rs 20,000 crore from the NHB to the housing finance companies will boost the market sentiments as housing will see a spurge during the festive season.
Establishing of a body of credit enhancement for the infrastructure projects will benefit the infrastructure company as the Rs 100 lakh crore investment announced by Prime Minister will also be released immediately. This comes as a breather for the infrastructure industry which was reeling under liquidity crunch.
Also, sanctioning Rs 70,000 crore to the banks enabling loans worth Rs 5 lakh crore will infuse liquidity in the market.
Above that as the banks agree to pass on the rate cut benefits to the consumers, it will enable the buying capacity of the end users, hence significantly improving the sentiments.
Swift clearance of pending GST refunds for the MSME will push their businesses as from now onwards their refunds will get cleared within 60 days.
All these reforms ahead of the festive season will surely boost up the market sentiments as the purchasing power of the people is likely to splurge and due to enough liquidity infused in the market in various forms will provide relief to all the sectors be it automobile, real estate, infrastructure, textile or even FMCG. The government’s intention is very clear with these announcements that it is reluctant to achieve the target of becoming USD 5 trillion economy in next five years, which seems to be realistic target now.
Corporate Comm India (CCI Newswire)