Banks have to deal with growing piles of stressed assets in their credit portfolios that constrain their credit delivery. The new FinTech players entering the market have no such ancient deterrents.
But first off, here’s wishing everyone a blessed month of Ramadan.
It’s official and up for all to see. The Finance Minister’s budget 2016 is set to have a much needed impact on the Indian economy and expert opinions have surfaced on almost all media. While some have termed it as nothing remarkable, others are of the opinion that this has been aimed at the heart of India- our rural sector, the backbone of Indian economy. Throughout the budget, the finance minister had made it a point to construct on the current government’s accomplishments over the previous one and claims that despite the unfavorable political, financial and economic environment into which his government was thrust into power, they have against all odds, overcome all challenges and in the process strengthened the position of India both internally and externally. One of the highlights that came earlier on in the speech is that the fiscal deficit has been reined in at 3.9% of GDP during 2015-16 and is expected to be around 3.5% during 2016-17.
Let’s look at the budget numbers.