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Mr. Vijay Chandok, MD & CEO, ICICI Securities

The Union Budget 2022-23 is a Buget with a vision to transform India in the medium term. The budget has adopted new economic growth template for “Amrit Kaal” (run up to India@100) by promoting capital expenditure led economic growth. Outlay of Capital expenditure of Rs 7.5 lakh crore, up ~35% YoY (and at 2.9% of GDP) along with expanding the scope of private capex through PLI for new age segments is expected to deliver inclusive growth, job creation and welfare for all.   

The Budget also seem to be presented in the backdrop of likely pandemic aftereffect which is reflective in the relatively conservative estimation of growth (merely ~11% nominal GDP in FY23) and receipts. Thus, there is a likelihood of lower than projected fiscal deficit. With growth oriented focus intact in the Budget, we expect economic and capital market buoyancy to remain. 

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