Budget 2023 proposals will put India firmly back on the FII's radar

The measures, overall, will push private capex higher at a time when the global economy is facing recessionary headwinds, says Andrew Holland

For the markets, the biggest positive from the Budget 2023 proposals is that there has been no change in the long-term capital gains tax (LTCG) and the short-term capital gains tax (STCG) structures. In our view, though, the fact that government expenditure on infra remains high along with the positive surprise on personal tax rates (should help consumption) are powerful tools for economic growth to accelerate in the years to come.

The focus of the budget is on capex with more funds being allocated to railways and affordable housing schemes. The measures, overall, will push private capex higher at a