Elara Capital noticed a structural shift in budget priorities under the PM MDI government. “From a heavy CAPEX model, the focus moves towards promoting demand, especially in urban areas,” he said.
Despite the 3.1 % CAPEX-TO GDP percentage, spending from roads and railways turned towards ports, marine infrastructure and urban infrastructure. He added: “Politics incentives have moved from the companies that focus on companies, such as the tax cuts of companies and production -related incentives plans, to stimulate the demand that the consumer moves.”
Mediation mediation also indicated that the wise approach to debt management to GDP will open more financial space in future budgets.
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