BUDGET 1999-2000
COLUMNISTS
INTERVIEWS
ECONOMY
INDUSTRY
FINANCE
ECO SURVEY
RLY BUDGET
PROCESS
BUDGET 98-99
BUDGET 97-98
ARCHIVES

'The Budget is not all that imaginative'

Sushil Ansal

The Budget on the whole is not all that imaginative as to bring about a revival in industry. The finance minister has given a lot of incentives to housing. Through the housing sector the entire industry can be revived. This is what happened in America.

The most important proposal in the housing sector is to give infrastructure status to dwelling units 1,500 square feet and below if built other than in Delhi and Mumbai. This means builders will be exempted from income tax if smaller size homes are built by them. Concessional finance will also be available to builders.

The FM has also proposed the introduction of foreclosure laws and a secondary mortgage market which will enable housing finance companies to lend more money for house purchasers.

Another important proposal is allowing 40 per cent appreciation to companies who build or buy homes for their employees, to increase investment by the corporate sector. All these steps will increase employment in the sector. Industries like steel, cement will get a boost as they are largely dependent on the health of the housing sector.

Sushil Ansal, chairman, Ansal Properties and Industries Ltd

Budget 1999-2000

Business news