The FY22 expenditure was revised to Rs 37.7 lakh crore. Also, the FY22 fiscal deficit is estimated at 6.9 per cent of the GDP. In FY23, the fiscal deficit was pegged at 6.4 per cent of the GDP. Also, the FY23 Capex is targeted at Rs 7.50 lakh crore. FY23 effective Capex was seen at Rs 10.7 lakh crore. The SMEs and the MSMEs have continued to be under stress due to the successive waves of the pandemic, which have not only disrupted their operations but also, impacted demand, particularly in services. The extension and expansion of the ECLGS Scheme to Rs 5 lakh crore is a step in the right direction to provide further liquidity relief to these sectors. Further, the plans to revamp the credit guarantee fund have been announced to make it more effective. New railway routes have been planned, which would benefit SMEs as well as the farmers.   

Higher capex is going to have a positive impact on infrastructure sector.

In the year 2021, the steel sector witnessed a strong momentum and continued its upward pace, aided by a recovery in consumption and a sharp uptick in prices. However, in recent times, the sector faced moderation in prices, largely attributable to a slowdown in Chinese steel production and resultantly, a sharp correction in the global iron ore prices.   

BSE Small-cap index also closed in the green zone at 29,496.59, up by 0.92 per cent. 

The plastic pipe sector has shown resilience by recovering from the pandemic-induced slowdown in the first two-quarters of FY21.

It was a splendid recovery by the indices as Nifty rose from its day’s low by about 300 points.

Budget 2022-23 is observed to be growth-inducing and does give a significant push to increase capital expenditure. The attention on boosting manufacturing while emphasising areas such as startups, modern mobility, and clean energy, shows the FM has prioritised long-term growth. 

Union Budget 2022 laid down some very significant plans for the development of roads, one of the engines for the PM Gati Shakti plan. 

The government plans to allot Rs 1,400 crore for 123 MW hydro and 27 MW solar projects in India.

The insurance sector was widely anticipating a GST cut in the insurance products but to no avail.