Aditya Birla Capital
ABC Home
Loans
Investments
Insurance
Payments
Download ABCD

Experience finance made simple on the new ABCD app!

Scan to Download the App

Playstore Appstore
1800-270-7000

Aditya Birla Sun Life AMC Limited

Aditya Birla Sun Life AMC Limited

    Our Menu
    Invest with Us
    Metaverse

    Aditya Birla Sun Life AMC Limited

    Vote for Growth - ABSLMF Blog

    Add to Wishlist

    The Vote for Growth

    May 31, 2019
    5 mins | Views 9847

    The General Election in India has just concluded. Even as India remains a good long-term story, a stable government at the centre can have positive implications for the Indian economy in the near-to-medium term as well. Policy continuity, faster execution, and fiscal consolidation can be expected over the next 5 years.

    • The policy focus going forward is expected to be on increasing rural income, inclusive growth, and creating growth opportunities for all.

    • Resolution of stalled or under-utilized power projects which were delayed could get revived soon which could be positive for capital goods sector.

    • Given the global slowdown, FDI/FII flows within the EM markets could move towards India which provides better growth opportunity with a stable and decisive government.

    • Travel & tourism, health, and education are also expected to see increased focus.

    • Continued push on increasing efficiency and ease of doing business, implementing tax reforms, and GST rationalisation is expected. As the GST net widens to cover more items and more businesses, it will help the shift from unorganized to organized sector while also helping the fiscal maths through higher indirect tax collections.

    • The government can also be expected to continue its investment in Infrastructure to revive growth. Projects like Bharatmala, Inland waterways, Direct Freight Corridor, Metro Connectivity, and Coastal road are in the right direction.

    • Real Estate sector could see some reforms as there is requirement for affordable housing. This sector drives ancillary sectors like cement and is a big job creator.

    • Import Substitution through ‘Make in India’ has been a key focus of the government that can accelerate growth. A plethora of schemes like MUDRA have been launched to boost SMEs and entrepreneurship. Even the push towards electric vehicles is to reduce dependence upon imported crude.

    Sectors that are expected to be in focus include Financials, Infrastructure, Consumption & Chemicals. We can expect a clear policy direction from central government along the above lines, which would guide capital allocation and investment decisions over the medium term.

    Mutual Fund investments are subject to market risks, read all scheme related documents carefully.

    Add to Wishlist
    Rate this
    Rate this Article
    Leave a comment
    Comment required
    Name Required
    Email ID required
    SUBMIT COMMENT
    Load More

    blog_OurExpertOur Experts

    ToolAndCalculatorTools and Calculator

    eAssistance

    Give us a call on

    1800 270 7000 within India

    Get a call back

    RSSRSS News Feed

    blog_archives.pngArchives

    Please Select Month
    Please Select Year
    Close
    Hover to Zoom