The Shahani Group on the Finance Ministers Economic Package


Akhil Shahani_Image“The FM has Shahani Group announced some very timely relief measures to help India’s poor with Package the cash transfers, construction workers fund and free rice/wheat distribution. It is also good that she is supporting the true hero’s of this coronavirus fight by giving 50L medical insurance cover to health workers.

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However it would have been good to see additional relief offered to the SME sector beyond 3 month support for the EPF. Many SMEs are struggling to pay salaries and debt interest with no income, an announcement on a moratorium on loan interest payments for a couple of months or a reduction in the loan interest rates charged by banks could have been beneficial.

Many of these firms fear that if they outgrow the designated size, they will los ..

This will make MSMEs run their business with much more confidence. Self-reliant  ..

Also, there could have been a 3 month moratorium on GST collections. A concern also arises as to how the Indian Govt will support this additional burden on its annual budget. As it is tax collections have become more stringent as it needs revenue. I hope this additional cost will not translate to more taxation for the salaried class or SME sector over the long run.”

                             –Dr. Akhil Shahani, Managing Director, The Shahani Group

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