4 Things to expect in the Union Budget 2014-15:
The formation of a new government and the numerous promises have the hopes of the common man held high, there are numerous speculations about what could be a part of the budget and how would be formulated and with just a few weeks left for the budget session to start the speculations are high. Numerous proposals are being put forth to the government and here we seek to highlight the 4 Things to expect in the Union Budget 2014-15 if the proposals are accepted.
Increased Contribution from FDI:
The BJP led NDA government is most likely to announce and increased contribution of the FDI (foreign direct investment) in numerous sectors including the sectors like defence, e-commerce,railways,etc.
If the speculations are anything to go by, then the FDI for e-commerce and railways would be increased by 100% while that for the defence would also be increased to a considerable extent, however it would not be through automatic route for this sector keeping in mind the numerous security hassles involved.
Increased Price of Petrol and Diesel:
Several possibilities about the deregulation of the diesel prices are being debated by the Petroleum Ministry, which is likely to change the prices in relation with the ever changing prices of crude oil.
According to the reports published in the National Daily, Hindustan Times, the ministry has also proposed to rise the cost of subsidized cooking gas, which would be increasing the cost of the cooking gas (LPG) with a monthly hike of ₹10 per cylinder.
Boost in the Employment Levels:
Generating higher employment has been among the top promises of the BJP government during the election campaigns.
This aspect was also included as a part of the roadmap laid out for the government by the President Pranab Mukarjee, which assures that the aspect of employment generation is sure to be an integral part of the union budget. If speculations are to be believed, then there is a likeliness of a reformation in the labor laws, that is in the pipeline of the new government, to create to more than one crore jobs in the country in a span of less than one year.
Price Rise on Cigarettes:
Finance Minister Arun Jaitley, in his maiden budget session, is also likely to propose an increase in the price of cigarette with an increase of ₹3.50 per cigarette irrespective of the size of the cigarette stick, which according to the news reports is a result of the Union Health Minister seeking an increase in tax on cigarettes.
Given that the BJP led NDA government might have a new modus-operandi for the union budget, we do expect some surprise measures and these are just a few changes that we believe would be included in the union budget 2014-15, please feel free to share your views on the budget in the comments below.
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