Impact of the budget on the capital markets

Abstract

This was a budget that carried reforms forward in all the main areas - fiscal correction, tax reforms, and tariff reforms. Most importantly, the budget broke the vicious cycle of worsening expectations that had put the stock markets into a bear grip and pushed business confidence to an all time low. According to J R Varma and V Raghunathan, the budget ought to go a long way in reviving the stock market and restoring business confidence.