Budget Analaysis – 2007 – A Critical Review

The Union Budget for 2007-08 is a clear articulation of national priorities, with a range of focused measures targeted at stimulating growth in different sectors of the Indian economy.

IIIM organized an open discussion on "Budget Analysis-2007- A Critical Review" on March 1, 2007 with the panel of experts from various sectors.

The panel of experts comprised Prof C.S. Barla, Economist, as moderator for the session, Mr. Nandan Shrivastav, Dy. General Manager, Bank of Baroda, Jaipur, Mr Ghanshyam Kanungo, Vice President FORTI (Federation of Rajasthan Trade & Industry), and Mr. Anil Goyal, Chartered Accountant, S.R. Goyal & Company. 

"Inflation is like a   mountain; and the proposed budget has made it more difficult for a common man to climb."  was the opening note made by Prof C.S. Barla. He remarked that there is some relief on exemption limits, but that gets more than nullified through the additional education cess.

Mr. Kanungo discussed the effect of Union Budget's on industries. He expressed that in spite of the optimistic promises the budget is not favorable for IT sector and education sector.

Mr. Anil Goyal opined that it is a balanced budget and there are both welcome and not so welcome surprises for agriculture sector, Information Technology and Taxation.

Mr. Nandan Shrivastav said that the budget possibly has a negative impact on the 'aam aadmi'. While the rise in loan limit under differential rate of interest scheme from Rs. 15,000 to Rs. 20,000 would marginally benefit the weaker section of the society, the increase in the interest rates of loans would hurt the other sections. Mr Shrivastava expressed that cuts in customs and excise duty will help a bit in moderating inflation, but will not bring down the price of onion and wheat.

The session was well appreciated and the students enthusiastically raised various queries regarding subsidies and IT Sector at the end of the session which were answered very impressively by the panel.

Whether the bulls will reign or the bears will rise, whether a pocket PC will come in pocket money or will make a hole in pocket, whether the FDIs would be increased or the SSI will survive, to spend or not to spend is the question? 

Keeping this in mind IIIM, Jaipur is organizing an open discussion on "Budget Analysis – 2007 - A Critical Review", on March 1, 2007 at 2:30 P.M.  wherein experts from various sectors would present their views on budget. 

The discussion would provide a platform for the panel of experts to not only critically analyse the pros and cons of the budget but also its short –term and long term consequences on the Indian economy as well as on the common man.

The panel will also satisfy the queries raised by the inquisitive students.

The resource people for the panel are: 

Prof. C.S. Barla                      Economist

Mr. Nandan Shrivastav             Deptt. Genral Manager, Bank of Baroda

Mr Ghanshyam Kanungo            Vice President FORTI (Federation of Rajasthan Trade & Industry)