Union Budget 2022: Economic survey likely to focus on job creation, export fillip

A day ahead of the crucial Union Budget 2022, sources from have informed that this year the Finance Ministry is expected to focus on job creation. According to sources, other areas that might come out as key announcements include boosting consumption, growth in the 9% range, preserving domestic industry and exporting fillip through Free Trade Agreements (FTAs). 

Earlier, The Apparel Export Promotion Council (AEPC) had urged the government to remove import duty on cotton for boosting apparel exports as one of its key budget recommendations promoting the India-based industry. 

AEPC chairman Narendra Goenka, who believes apparel exports would touch $20 billion in fiscal 2022-23, during an interview with ANI said that the biggest hurdle is high raw material prices and removal of it could give a major boost. 

Union Budget 2022: Expectations from various sectors

Keeping last year's budget in view where the Union Finance Minister Nirmala Sitharaman had maintained the two tax regimes offering taxpayers to forego all deductions and switch to a new tax regime with higher tax cuts or remain in the old regime with same deductions, this year taxpayers are expecting Centre to maintain the same tax slabs while raising the standard deduction to Rs 1 lakh, as per market analysts.

Keeping the COVID-19 pandemic situation in mind, the government is expected to prioritise status to the healthcare segment while increasing the public expenditure on the sector to at least 3 per cent of the GDP in the upcoming Union Budget. As per the leading healthcare providers in the country in the private sector, the government should also consider the continuation of tax incentives, upgradation of medical facilities in smaller towns and skilling of the workforce in the Budget.

On the other hand, market experts are expecting the Union Finance Minister to clearly state the tax structure under which incomes in cryptocurrencies will be regulated. 

Experts have noted the average selling price (ASP) of mobile phones has been pushed up to Rs 17,800, from Rs 14,600 a year ago - pegging it as a positive sign for the sector.

The Budget Session of Parliament is set to start today with President Ram Nath Kovind's joint address to both Houses of Parliament at 11 AM. Then Finance Minister Nirmala Sitharaman will table the Economic Survey (2021-22) in Lok Sabha.