New Delhi: Union Finance Minister Nirmala Sitharaman on Friday met the Finance Ministers of other states ahead of the Union Budget. Sitharaman is to present the Union Budget on July 5.
Sitharaman has been holding pre-budget consultation with economists, banks, financial institutions, and industry chambers, since June 11 to help her formulate a roadmap for banking reforms, including consolidation of the State-owned lenders.
The Budget session of Parliament would be held from June 17 to July 26.
Before the interim budget, the Confederation of Indian Industry (CII) had suggested to the Government to reduce the corporate tax to 25 per cent and bring it down to 18 per cent in a phased manner. This suggestion, which was neglected earlier, might be taken up by the Government now.
Revenue Secretary Ajay Bhushan Pandey has already held one round of discussions with industry chambers on their budget expectations, in which they have demanded an across-the-board reduction in corporate tax rate and abolishing Minimum Alternate Tax (MAT).
Sitharaman has to address issues like slowing growth, dipping exports and mounting non-performing loans.
A couple of days ago, the Minister chaired a meeting of the Financial Stability and Development Council (FSDC). Financial sector regulators, including RBI Governor Shaktikanta Das, Sebi Chairman Ajay Tyagi, and IRDAI chief Subhash Chandra Khuntia, and top finance ministry officials were present at the meeting.
After the meeting, the RBI Governor said, “As discussed in the other FSDC meetings, there was a general review of the current state of the economy, of the overall macro-economic situation, global developments, and there was a discussion on the forthcoming budget and various budget-related suggestions and proposals.”