The much-awaited Union Budget 2015-16 has been announced, and the focus on improving the country’s infrastructure is clear. Around Rs 70,000 crore has been set aside for this cause, and the part that should interest the automobile sector is the proposal to build 100,000 kilometres of new roads.
The Budget has increased the allocation for roads to Rs 14,031 crore and the support to the railways by just over Rs 10,000 crore. Further, the minister said the Goods & Services Tax is in place and will be in force from April 1, 2016.
Another announcement of interest is the fact that Rs 75 crore has been allocated to the electric vehicle (EV) sector. Although it’s a small amount, it is a need of the hour for the sector. The finance minister has also proposed the setting up of a national investment and infrastructure fund with a corpus of Rs 20,000 crore.
Dipan Sur
Viraaj Bhatnagar
