WHAT’S IN IT FOR CORPORATES

THE INFRA PUSH

Government spends on infrastructure projects will have a multiplier effect, taking consumer goods to rural markets. As India’s consuming class grows, better infrastructure will help drive both online and offline consumption. Commercial vehicle makers will benefit as demand for trucks, tractors and buses will get a boost

BAD BANK’S GOOD

The plan to create an institutional framework to develop the bond market will encourage corporate entities to tap the domestic bond market and reduce dependence on banks. This will benefit companies looking for funds for expansion and other purposes. The proposal to form a ‘bad bank’ will free up banks from their non-performing asset problems

ON THE ROAD

Introducing voluntary vehicle scrappage and improving urban transportation will up demand for passenger and commercial vehicles and two-wheelers. This is a big stimulus for the auto sector which has been facing a slowdown. Vehicle scrappage policy and the proposed green tax could result in increased investment by firms

NO NEW TAXES

There’s no new tax on corporate India. Companies will not have to worry about the impact on their financials at a time when they’ve been challenged by the downturn. The Centre was expected to impose a Covid cess on corporate earnings. The rise in import duty on certain goods like spare parts for auto and aviation might impact negatively