Union budget 2022: what the health, tourism and other sectors expect from the government

Finance Minister Nirmala Sitharaman is set to table the Union budget for the financial year 2022-23 during the parliamentary session starting on January 31. The government has consulted all stakeholders in preparing this budget. Furthermore, all sectors of industry have high hopes for this year’s EU budget due to the current situation of the Covid-19 pandemic.

India Today spoke to several sectors to feel the mindset of the industry and their expectations for this Union budget to bring back and restore financial normality. The health sector is expecting a boost as the country is hit by the third wave of the pandemic.

In last year’s budget, the health care sector was the big winner, with the government giving top priority to health and well-being. The government had increased the allocation to the sector by 137% to Rs 2.23 lakh crore.

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Healthcare provider RN Mohanty, CEO of Sightsavers India, has given his views on the upcoming Union budget. He said, “India has the largest population of blind and partially sighted people. Most of them live in rural parts of the country. In the last budget, the emphasis was placed on the health sector. appropriate budget for the health sector where we can build a system where health services are accessible to all despite the upcoming pandemic situation”.

Due to the pandemic, the hospitality and travel tourism industry – across the world – has been the hardest hit. Everyone expects the tourism sector to be restored. However, the question remains when will this happen? The hotel travel and tourism industry in India is also expecting support from the government in this Union budget.

Prahlad Krishnamurti, Chief Commercial Officer of Cleartrip, said: “When it comes to the Union Budget 2022, we have clear and substantial expectations from the government, one of the sectors most affected by COVID-19. As the sector has taken a heavy hit, some relief measures like travel and tourism to be treated equally with the IT sectors would help revive business quickly and propel the industry towards growth and progress.”

Additionally, Krishnamurti said the industry is looking at proposals that specifically speak to the short and long-term revival of India’s travel and tourism industry.

Subsequently, start-up projects were canceled across the country. Parcel restrictions by various state governments due to the lockdown and the current economic situation have not been positive for startups.

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JPIN startup founder Nayan Gala said, “The union budget will create great benefits for the startup ecosystem as the government will focus on investment-driven growth that will push businesses of all sizes in both the public and private sectors. It would also raise additional resources through strategic investments, divestments and asset monetization.”

Gala said the government should help support startups through policies and support mechanisms for national equity participation. In addition to providing incentives for the creation of incubators, tax exemptions on FDI and tax relaxation for startups.

Nitin Mishra, co-founder of India Gold, said, “To boost entrepreneurship in India, the government should also allow entrepreneurs to defer their loss of earnings to offset future earnings. In addition, the reduction in capital gains on mergers and acquisitions will help the growth of the sector.”

Mishra said, “As the government is making progress on multiple fronts, we are providing a policy framework in the budget that enables FinTechs to work closely with relevant government institutions to improve the delivery and adoption of finance monetization programs. existing gold accounts, as well as launching new products such as the gold savings account. All compliance including incorporation, GST, other taxes, EPFO ​​and other registrations must be handled through a one stop shop in India.

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Above all, the infrastructure and real estate sector needs oxygen support from the government to survive. Low interest rates may have helped the middle class dream of their own home. However, the real estate sector is still struggling to survive.

Nagaraju Routhu, Managing Director of Experion Developers Pvt Ltd, said: “Government should consider reinstating the GST input tax credit for real estate to avoid the cascading effect of taxes and make more affordable housing. The government should also continue to give high priority to the development of civic infrastructure.

He added: “It is important to translate the green shoots of the recovery that the real estate sector is experiencing into a sustained recovery and to lay the foundations for its long-term growth. The real estate sector is currently experiencing unprecedented cost pressures and the The upcoming Union budget offers the government an opportunity to respond to some of the sector’s long-standing demands, such as granting industry status, increasing the tax exemption ceiling for interest and principal paid by homebuyers.”

While youth empowerment remains a major challenge. Arunesh Singh, CEO of Generation India, said, “India has one of the highest youth populations in the world, with an estimated 500 million. Being an important resource of financial prosperity and social development, this population, if given the chance, can support the socio-economic growth of the country in an unprecedented way.

The NGO said the government’s primary focus for the 2022-23 budget should be to support India’s youth by providing them with phenomenal education, training and employability opportunities. »

The biggest challenge for the government is to meet the demands and expectations raised by all the actors who animate this country with their important contribution. All eyes are now on the EU budget.

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