Guwahati: In the Union Budget 2023-24 today, there was nothing specific for the North Eastern states, as the Finance Minister Nirmala Sitharaman also not touched on the issue of the much anticipated renewal of North Eastern Investment Development Scheme.

Industry leaders in the Northeast are eagerly awaiting the launch of a new industrial policy for the area because it wants to attract both domestic and foreign investment.

However, some of the pan-India programmes Sitharaman outlined will have an impact in the north-eastern states.

The tourism will be taken up on mission mode with active participation from all the states, convergence of government programmes and public-private partnerships.

The tourism industry has a lot of potential, particularly in the northeast, where there are numerous job and business prospects. States will be urged to establish a "Unity Mall" in their state capital or at their busiest tourist spot to advertise and market "One District, One Product," GI items, and other handicrafts. Through the challenge mode, 50 tourist spots will be chosen, and a package for domestic and foreign tourists will be created.

FM Sitharaman also announced the launch of the PMPBTG development mission, which will invest Rs. 15,000 crore in enhancing the socioeconomic standing of tribal tribes. The targeted mission will offer much-needed assistance to the weaker tribes in the northeast and other states in the areas of health, access to clean water and sanitation, fundamental infrastructure, and possibilities for sustainable livelihoods, among other things.

Capital expenditure has been yet again chosen as the key focus area by the government in the Union Budget for 2023-24.

According to Finance Minister Nirmala Sitharaman, state governments will continue to receive 50-year interest-free loans for an additional 12 months during the upcoming fiscal year to support infrastructure expenditure of Rs. 1.3 lakh crore. According to her, the capital expenditure budget for the Center will be Rs 10 lakh crore for FY 2023–2024, an increase of 33% over the previous year.

Under the "Scheme for Special Assistance to States for Capital Investment," the states received loans totaling Rs. 11,830 crore and Rs. 14,186 crore over 50 years with no interest. To further support state capex ambitions, the budget was increased to Rs 1.05 lakh crore during FY23.

Former FINER Chairman R. S. Joshi says that the government has produced a non-compliant budget. In terms of the global economy, India has managed to boost its economy by 7% despite the recent disasters brought on by COVID and the Russia-Ukraine conflict. The Northeast will undoubtedly be impacted by the CAPEX released on the first day of the session, which will result in the development of infrastructure. In the following days, additional Union Budget 2023–24 allocations will also be seen in the northeast.

Moreover, the Associated Chambers of Commerce and Industry of India (ASSOCHAM) said an increase in IT Exemption limit has been met by the Union budget 2023-24, informed Perminder Kaur, Senior Director ASSOCHAM.

Vice Chairman, ASSOCHAM NE Council, Sandeep Khaitan stated that the New tax regime has been further incentivised and there is really tax savings for everyone which is a welcome approach of the Govt. He added that the new tax regime will lead to higher consumption and money for investment. He also stated that the reduction of surcharge from 37 to 25 is certainly huge and a very accommodating approach of the Govt. The Budget would enable ample money for capital expenditure.

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