Universal basic income transfers for poor may be introduced: HDFC -Governance Now

Universal basic income transfers for poor may be introduced: HDFC

Service tax rates could be increased to bring them in line with GST rates and some tweaks in corporate and personal tax regimes are expected

GN Bureau | January 30, 2017

#money transfer #HDFC #UBI #universal basic income #poverty

Universal basic income transfers for the poor are likely to be introduced only on a pilot basis but low-cost housing could get a bigger boost, said HDFC bank in its budget expectations.

The budget will be presented on February 1.

Read: Mid-19th century poverty levels in UK, US resemble those in India today: Expert

The HDFC bank report said that the theme of black money crackdown' and “digitization” could be reinforced. Service tax rates could be increased to bring them in line with GST rates and some tweaks in corporate and personal tax regimes are expected.

Assuming that the government is likely to project the effect of demonetization to be transitory, growth and tax targets for FY18 could be aggressive. Overall, fiscal deficit could at best be at 3-3.3% for FY18 (in line with the FRBM committee recommendations), and not paused at 3.5% of GDP.

It said that the 2017 budget will be presented against the challenging backdrop of an uncertain global environment, domestic economy reeling under the impact of demonetization, subdued private capex cycle and many unknowns confronting the government (such as roll out of GST). Given the context, therefore, we expect the government to provide some support to the economy however the optics of the budget are unlikely to dazzle.

The bank said it expects the budget to focus more on effective implementation and increased allocation to existing projects rather than announcing new schemes/projects. Some popular announcements mainly to help the sectors that have suffered in the demonetization process like MSMEs and rural economy are however likely.

HDFC report on budget expectations 2017

Comments

Other News

Citizens of the Bay: Why BIMSTEC matters now

The international order is drifting into a dangerous grey zone as the very powers that built today`s multilateral system begin to chip away at it. The United States has increasingly walked away from global rules and forums when they no longer suit its interests, while China has rushed to fill the vacuum on

PM salutes armed forces on one year of Operation Sindoor

Prime minister Narendra Modi on Thursday saluted the courage, precision and resolve of the armed forces on the completion of one year of Operation Sindoor. The PM said that the armed forces had given a fitting response to those who dared to attack innocent Indians at Pahalgam.&

Supreme Court judge strength to go up by four to 37

The strength of the Supreme Court is set to go up from 33 judges to 37 judges, paving the way for a more efficient and speedier justice. The Union Cabinet on Tuesday approved the proposal for introducing The Supreme Court (Number of Judges) Amendment Bill, 2026 in Parliament to amend The Sup

BJP set to capture West Bengal

The political map of the country is set to be redrawn with the BJP set to win the West Bengal assembly elections, apart from Assam and the union territory of Puducherry. In Kerala, meanwhile, the Congress-led UDF is set to regain power. The filmstar Vijay-led TVK has emerged as the front-runner in Tamil Na

Beyond LPG: Is PNG ready for India’s next cooking fuel transition?

India, the second-largest importer and consumer of LPG after China, faces growing pressure due to supply constraints. Most of India`s LPG imports transit through the Strait of Hormuz, a focal point of global turmoil. Given that LPG forms the backbone of household kitchens and the restaurant industry, any s

Maharashtra adopts hybrid model for Census 2026 data collection

The government has initiated preparations for Census 2026 in Maharashtra, introducing a hybrid approach that combines optional self-enumeration with comprehensive door-to-door data collection to ensure complete coverage across the state. According to senior officials, the Self-