• NSE
Partner with US Open an Demat Account EIPO Portfolio Tracker Watsapp Play Store App Store

Market Outlook After the 2023 Budget- According to Experts

Market Outlook After the 2023 Budget- According to Experts


Category : Knowledge Center

Introductions – After this budget session which was declared last week, many analysts feel that so far this is the best budget, because in this budget, she has covered all sectors of society, including the middle class, which actually drives consumption in the Indian economy. According to the upcoming year we should keep a close watch on sectors like banking, IT, infrastructure, and FMCG industries. Assuming global factors to remain constant, we should be confident that the Nifty will likely reach 19,000 by the mid of this year according to experts. And it's likely due to sectors like infrastructure, IT, and banking sectors which would help in achieving this target.                      

Sectors to be forced after this budget:  In comparison with global markets, we feel that Nifty would likely to appear at a fair value from the current levels. Hence, in the short term, it can be a stock picker’s market according to the analysts in the Indian banking & financial services industry. As mentioned, the banking industry may act as an entrance point and since then, nearly all banks have provided a return of approximately 20-80 percent. Now, assuming global factors as constant, we should hope that the Nifty might reach 19,000 by the mid of this current calendar year despite economic hurdles. And it's likely that the infrastructure, IT, and banking sectors will take the lead in this rally.

Talking about growth from Agricultural:  There is an almost increase of 11 percent over the previous fiscal budget and this is undoubtedly good news for the majority of people who depend on agriculture for their living. Talking about India, nearly 60 percent of the population today still relies on agriculture for a living. From a stock market point of view this can have a positive impact on the FMCG sector.            

Talking about growth from Capex (Capital Expenditure): There is an overall increase in capital expenditure coming from Government during an election year, as this will result in a positive impact on infrastructure and the capital goods industry from a long-term perspective. Also, it may also draw an additional FDI since the Government this time is very serious on improving both the nation's physical and digital infrastructure which is very necessary for a developing country like India.                        

Disinvestment plan from this budget: The Government aims to divest (which means selling a stake in a company, subsidiary or other investments) Rs 65,000 crore in FY23 was reduced to Rs 51,000 crore during this budget session held last week and now it is likely to be achieved with this Government has also said that they have already raised Rs 31,000 crore till now primarily through the LIC IPO which arrived last year in FY22. The divestment target of Rs 61,000 crore for FY24 and it sounded logical also and now with the given Government is likely to proceed with this disinvestment in the long-term period and this would include sectors and stock including IDBI Bank and other significant PSUs.

Talking about GDP Growth: It seems that the Government wants to achieve more than the said target but wants to see a lower target. The prediction or forecast of 10.5 percent of nominal GDP growth rate looks like it can be achieved very easily and many experts are saying that the nominal GDP rate should be above 11 percent for the next year FY24.                         

Conclusion: We can draw a conclusion that by the highlight which comes after the budget it clearly states that Government is focusing on growth and development in this budget and for this infrastructure, banks and IT sectors are likely to be this backbone or will help in achieving this target as this was the final budget before the election and we clearly can assume that Government aiming for a target to reduce fiscal deficit would also likely to come down with this help.


Madhulika Saksena

Posted on 2/7/2023 4:53:20 PM

Informative analysis .Keep it up.




Posted on 2/10/2023 11:40:45 AM

Thank you Madhulika.


Author Image


Recent Post

  • Market Outlook After the 2023..

    Introductions – After this budget session which was declared last week, many analysts feel that so far this is the best budget, because in this budget, she has covered all sectors..

  • Data Patterns (India) Ltd IPO..

    Data Patterns (India) Ltd IPO Details: Data Patterns (India) Ltd has announced public offering of 10276874 shares at a price of Rs 2.00 each for Cash at a Premium of Rs 553.00 per shar..