Budget 2022: Challenges govt needs to address this year

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The government is all set to present the Union Budget 2022 at a time when the country's economy is striving to recover after being hit hard by the Covid-19 pandemic.

From common man to industrialists, there are many expectations from the Union Budget on February 1. Lets look at a few.

1. RISING INFLATION

The Reserve Bank of India is facing urgent task of controlling the inflation, HSBC said in its pre-Budget expectations.

2. GROWING UNEMPLOYMENT

In Budget 2022, the Government should first focus on increasing investment in infrastructure, followed by enhancing job creation through expansion of manufacturing capabilities

3. INCOME TAX RELIEFS

Amid the Covid-19 pandemic, taxpayers are expecting that the government will enhance the basic income tax exemption limit of Rs 2.5 Lakh

4. ECONOMIC OUTPUT

India's annual gross domestic product (GDP) fell to a decade low of 4 per cent in the financial year 2019-20. The government needs to take measures in Budget 2022 to maintain growth.

5. FISCAL DEFICIT

India's fiscal deficit shot up to a record 9.3 per cent. The government must focus on gradual fiscal consolidation and opt for investment-driven growth

6. PRIVATISATION

The government needs to push for both public and private capex and raise additional resources through strategic divestments and asset monetisation