Budget: A Chance to Bolster Domestic Economy, Says Tata Motors CFO

30 Jan 2025 , 10:28 AM

“The Union Budget can look at consumption-boosting measures to push demand and drive domestic growth at a time when the external environment is extremely cloudy,” Tata Motors Group CFO PB Balaji stated on Wednesday.

During an earnings call, Balaji informed reporters that, despite not being in a crisis, a number of issues, including limited liquidity and “not so great” market conditions, had contributed to the lackluster demand following a successful holiday season.

“If, on top of it, there are consumption (boosting) measures (in the Budget), then that will also help navigate some of the not so great external situations that all of us face,” he said, indicating that there is an expectation of a gradual improvement in demand going forward, given that the fourth quarter is typically strong and because of the impact of government infrastructure investments.

Defining expectations for the next budget, he stated that India’s “investment-led story is definitely playing out” and that any action that might alleviate the strain and “turbocharge” growth will be appreciated.

According to him, “Why not bolster ourselves in terms of ammunition to keep driving domestic growth…as the GDP grows it benefits everybody” at a time when the foreign situation is quite hazy and shocks could occur.

Due to a drop in revenue from its passenger and commercial vehicle businesses, Tata Motors reported a 22% dip in consolidated net profit to Rs 5,578 crore in the third quarter. In the same quarter of the previous fiscal year, it had a consolidated net profit of Rs 7,145 crore.

For feedback and suggestions, write to us at [e-mail]