Union Budget 2025: Everyone has their own wish list on budget. What do big brokerages want to see in this budget? Let us see what Axis Capital expects from the budget. Axis Capital says that infra, affordable housing and real estate should be promoted in the budget. Special steps need to be taken for the power sector. A scheme like PLI should be brought for the value chain of solar energy. Rooftop solar should get more allocation.
Axis Capital There is also a demand from the Finance Minister that domestic metal companies should be promoted in the country. Safeguard duty should be imposed on cheap imports. Axis estimates that for FY 2026, expenditure may increase by 8 percent, capex by 10 percent and allocation on wages and pension by 7 percent.
Axis Capital believes that the focus will remain on financial discipline in the upcoming budget. The fiscal deficit target for fiscal year 2026 is possible around 4.5 percent. There is a big risk of low growth in tax revenue. This is a challenge to financial discipline. If capex is further reduced, concerns about growth will increase.
Favorite Stock for Budget
From a budget perspective, Axis Capital likes UltraTech Cement, JSW Energy, Kalpataru Projects, Maruti, Oberoi Realty, Indian Hotels, Praj Industries, V-Mart and RITES Ltd. Whereas, if we talk about favorite themes, it includes rural, infra, consumption, power reform and data centre. Brokerages are M&M on rural theme, Afcon Infra in infra theme, Vishal Mega Mart in consumption theme, Tata Power in power reform theme and Anantraj in data center theme.
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