Union Budget 2021 is extremely critical for the Indian economy. Despite many challenges, the Indian stock market has really outperformed in many ways.
The positive performance of the Indian stock market in 2020 has increased the hopes regarding FY21. This is another reason making the 2021 budget even more crucial.
India has received comparatively higher FDI inflows in the last fiscal year as compared with 2019-2020.
A positive move of foreign investors can be seen as per the last session; hence the new budget must have policies attracting FDI.
The more we ensure the stable momentum, the faster the GDP will recover.
FDI or Foreign Direct Investment has always been an important part in any economy of the world. Why is it so significant? because of the zero risks associated with debt instruments.
It is much needed to understand that the FDI is a whole bunch of technology and expertise. To boost up the Indian economy, we must need good policies attracting FDI in India.
The Indian government has taken various measures to improve the foreign flow in the economy. Recently, the power has shifted from Reserve Bank of India to the central government for making amendments in the FDI policy.
Also, the sectors like defense, civil aviation and insurance have liberalization in terms of investments.
Now there are settlement schemes to eradicate procedural delays. The reforms have also come up with clearly defined SOPs for timely allotment of applications.
A lot of improvement is already needed apart from all the current schemes. However the government has even taken positive steps, but the Union Budget 2021 must ensure clear policies regarding FDI.
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