Idustrialists welcome Centre’s Assistance to State

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Kolkata: Mr J P Chowdhary, Past President, CII & Executive Chairman, Titagarh Wagons Ltd said,  the Union Minister’s proposal that special financial assistance be given to West Bengal and Bihar raises expectations among the people in the East. This goes to show that the Central Government is sincere in its efforts to boost the economies of the Eastern States. CII is confident that the promised assistance will be substantial and significant. We are particularly happy that the development of Eastern and Northeastern States received special mention in the Union Finance Minister’s Budget Speech.
Similarly, Arun kumar Saraf, President , MCC Chamber of Commerce & Industry however, has welcomed the Budget provision that special assistance as given to Andhra Pradesh, would be extended to West Bengal and Bihar also. But he feels the projected dis-investment is not substantial to create any impact. According to him, this budget reflects considerable scaling of public investment in infrastructure growth like roads, railways and irrigation facilities though an increase of 17,000 crore which will considerably boost up the growth of these sectors.
Ambarish Dasgupta,president designate ,Bengal Chamber of commerce felt this budget for consctructive rural development and  to help those economically backward people. This budget has also the intention of reforms and at the same time he raise the question of practical problem of cooperation and opposition.
According to Sushil Mohta, President CREDAI Bengal, this budget has no major proposals for the real estate sector, neither in terms of concessions to individuals nor in terms of accommodation to developers. There is a minor concession to Real Estate Investment Trusts, which allows pass through of rental income for income tax purposes and projects a regime for capital gains tax on them. The only comfort to be derived from real estate drawing a blank is that there are no provisions adverse to the real estate sector.If real estate sector has drawn a blank in terms of specific proposals, the question, then is does the Union Budget 2015-16 become all too disappointing. In answering this question, the most important thing to consider is the state of real estate industry. The demand is sluggish. Some projects are facing cash flow issues. There is the burden of new land acquisition law as well as other difficulties in real estate business specially the approval processes which remain unaddressed. Hence, the Union Budget, in treating real estate with neglect, leaves the current problems of real estate where they are. All that one can hope is now to see the lower interest rate regime materialize quickly and in good measure.

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