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The Finance Minister has obviously kept his promise about fiscal responsibility and has ensured adherence to the Fiscal Responsibility Management Act.

Fiscal deficit is less than the budget figures and is expected to come down further. Revenue deficits are down and will further reduce in the next year. Tax collections are up and the fiscal position is very sound.

Lower borrowings for the government would mean more funds available for the industry, especially when investment is at an all-time high of 35 per cent of GDP, and the growing economy requires more funds for industry. 

On the globalisation front, obviously, the reduction in customs duty would increase imports and enhance access to raw materials at cheaper prices.

Reduced duty will make Indian industry more competitive, to the benefit of consumers. Successive reductions in duty have made the Indian industry very competitive. 

No significant measures, however, have been announced in the FDI area, but promises have been made to bring in the insurance bill and other bills in the budget session.

That the FDI has gone up to US$ 12.5 billion this year and overtaken FII inflow certainly demonstrates the efficacy of our foreign investment policy. 

Allowing mutual funds to invest abroad and individual investors to participate will deepen the capital markets. Moves to set up two special subsidiaries to use some of the foreign exchange reserves to fund the foreign exchange expenditure of Indian companies and to enhance the credit worthiness of borrowers are indeed steps towards globalising Indian companies. 

Overall, on the globalization front, some measures have been taken as a part of a continuum. However, no radical measures have been proposed.

Nandan M Nilekani is the CEO and managing director, Infosys Technologies Ltd.