Budget: Telecom, auto sectors stay in stress zone with no direct relief

Tethering issues in real estate, automobile and telecom services remained unattended in the Budget, despite the severe stress in these sectors. Apart from peripheral measures such as lowering of income tax rates, the lack of direct help from the government left most industry players unsatisfied.

For instance, in real estate, the Economic Survey for FY20 identified that with Rs 8 trillion worth of unsold stock in eight major cities, the sector played a key role in the current deceleration in the economy. However, apart from extension in the date of availing tax incentives for investors in affordable housing, no direct steps have been proposed in the Budget to boost housing sales.

According to Shishir Baijal, chairman and managing director of Knight Frank India, with the economy in the midst of a sharp slowdown, the Union Budget for FY21 was being awaited with high expectations to provide a growth booster.