Budget 2020: What can the market expect?

Budget 2020: What can the market expect?

Pushkar Mukewar
By Pushkar Mukewar, 
''Budget 2020 is eagerly awaited by the industry and financiers alike. According to the December trade data India's merchandise exports slipped to 1.8% in December, falling for the fifth straight month. This coupled with the slowdown in the economy has dampened the mood in the market. With the Budget 2020, we expect certain policy interventions to energize the export sector, overcome anticipated flat growth, ease liquidity problems, and resolve persistent problems faced by SMEs in the sector.
 
With the new Foreign Trade Policy (FTP) around the corner, expectations are that the Budget will allocate appropriate funds and resources for its implementation and pave a way for boosting exports from the country. We hope that the government revisits its export promotion policies and fine tune them to support the SMEs. Key expectations from the FTP also include more schemes especially for tech upgradation for small manufacturers & exporters -- this would help them get integrated within the global value chains. The government could also look at focused schemes for helping SMEs research and develop/improve the quality of products to become more competitive globally. Additionally, we expect dedicated investments in logistics and warehousing infrastructure for seamless movement of goods along with assistance for easier access to credit as well as laws pertaining to IPRs''.
 
(Pushkar Mukewar, is the Co-Founder and Co-CEO of Drip Capital)