The writer is chairman and CEO of the Edelweiss Group
For those arguing that the recent big bang reforms will cause a fiscal slippage, I would argue that while maintaining fiscal deficit targets is important, India, as an important investment destination has much more to lose if it lost favour in the global arena.
Negative perceptions about the corporate sector abound. It must rebuild trust, focus on governance, be responsive and responsible.
Reforms have to be now taken to the next stage for long-term benefits, there are areas like direct taxes and labour laws, where major changes are yet to be initiated.
FICCI on Budget 2018: With the markets giving a compounded return of 15-16% over the last 20 years, a tax impacting 1.5% return should not affect domestic investor appetite for equity investment.
Steps like asset quality review, restructuring and RBI’s direction to refer companies to NCLT will potentially ease stressed assets situation for the banking system