NEW DELHI: The Finance Ministry is likely to begin discussions with industry, farmer leaders and corporates after Diwali, kicking off the annual process of Budget preparation.
The exercise is likely to involve a few stakeholders in the economy like bankers, policy research groups and grass-root non government groups, according to sources in the finance ministry. “We wish to broad-base the discussion with the stakeholders to help present a Budget that reflects the government’s resolve and commitment to improving the economy,” a senior official in the finance ministry said.
In the Budget preparation for 2018-19, sources said emphasis would be to assess the need of the sectors that require special economic boost. The discussions are also aimed at exploring the preparedness of the segment to absorb the goods and services tax (GST).
“The GST Council has been receiving many inputs from various states highlighting the sector’s concerns. Smaller concerns that require some direction in the Budget will be elicited from such discussions,” the official noted.
This year, the exercise of meeting stakeholders in the economy assumes significance, considering that this will be the Budget year before the polls and next year’s would be a vote-on-account. However, officials in the finance ministry feel new segments and their inputs will help any government that prepares the Budget even in future.
“Broad-based discussions and inputs are any day better than the routine set of sectors making the same set of recommendations with a few new ones,” the Finance ministry official added.
This year’s Budget -- scheduled on February 1, 2018 -- is likely to focus on employment generation in the manufacturing sector, agro-food processing industry, and retail sectors. These sectors have already received major support in previous Budgets presented by finance minister Arun Jaitley, but the stake holders would look forward to a few new initiatives to boost economy.