No significant mention on divestments: Vikram Kotak, CIO, Birla Sun Life Insurance
06 July 2009
In my view equity market is disappointed because finance minister did not touch generic announcements like FDI hike in few sectors and no significant mention on divestments also made short-term participants more jittery. The laxity on the fiscal situation was also a disappointment. A higher than expected fiscal deficit also impacts investment cycle recovery.
In my opinion, equity market is likely to regain its momentum soon as government has focused on 'Aam Aadmi' by giving more money in hands of tax payers via removal of surcharge or increased limit on income tax slabs.
Overall budget will boost growth in medium-term and also offer protection against global worries if any.