Pranay Kotasthane as usual with a thoughtful take on the state of affairs:
Lastly, the general impression I take away from this budget is the realisation of a party in power which has figured out a way to win elections in India thatβs not contingent on strong economic performance. So long as you donβt screw up the economy badly, a combination of emotional issues and timely welfarism (direct cash transfer just before elections is a new, powerful tool now) should see you through most elections. Therefore, a 6.5 per cent growth and a 4 per cent fiscal deficit in a world thatβs volatile and unpredictable is good enough to keep the global investors mildly interested while keeping the winning machine going domestically. That may not be enough for us to get out of the middle-income trap or lose out on the narrow window of demographic dividend we had. But the willingness to take bolder bets to address such structural challenges seems to have dissipated. More of the same is what we have settled for.
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