FM’s sops bring cheer to bankers, industrialists

Tribune News Service

New Delhi, August 24

Bankers and industrialists alike have voiced approval of the booster dose for the economy announced by Union Finance Minister Nirmala Sitharaman on Friday.

Referring to the announcement of withdrawal of surcharge on non-corporate foreign portfolio investors (FPIs), industrialist Anand Mahindra opined that it displayed “strong evidence of a listening capacity and the humility to course-correct”.

Bankers also welcomed Sitharaman’s announcement to provide upfront capital infusion of Rs 70,000 crore to Public Sector Banks (PSB). “Bank recapitalisation at one go will provide a big impetus to credit growth. Also, honest decision-making will not be questioned,” said SBI chief Rajnish Kumar, who felt one-time allocation will enable support for continuing on the growth path.

The announcement regarding clearance of all pending GST dues for small and medium enterprises, estimated at about Rs 7,000 crore was described as highly beneficial by MSME Minister Nitin Gadkari.

“I would like to thank Sitharaman. The measures taken by her will be quite beneficial for the MSME sector,” he said. Gadkari and Sitharaman were among the Cabinet Ministers who had confabulated with the RSS-affiliated Laghu Udyog Bharti at Nagpur just after Independence Day.

Gadkari also welcomed Sitharaman’s plan to amend the MSME Act to move towards a single definition and he indicated a decision will be taken in the next 10-15 days.

Appreciation also came in from the US. “We commend Finance Minister Nirmala Sitharaman and the government on this comprehensive set of proposed reforms, which will provide needed stimulus for the Indian economy and ensure continued economic expansion,” said US India Business Council president Nisha Desai Biswal.

The US India Strategic and Partnership Forum (USISPIF) also welcomed the announcement on withdrawal of higher surcharge on non-corporate FPIs. “The move will go a long way in reviving the investment sentiment of foreign investors and will provide a much-needed impetus to the Indian economy,” noted a USISPF statement.

The announcement on clearance of all pending GST dues for small and medium enterprises, estimated at Rs 7,000 crore is highly beneficial for the MSME sector. — Nitin Gadkari, MSME Minister