Sitharaman was responding to a question on stability in the capital gains tax regime amid a rally in the Indian equities markets over the past three years, in a post-Budget interview with Network 18 with Editor-in-Chief Rahul Joshi.
Debt fund managers feel that through the Interim Budget 2024, the government has given positive signals for both long duration bond funds such as government securities (GSecs) as also for equity funds in general.
Fixed income markets have reacted very positively to the budget, as expected. The equity markets have been neutral, mainly because there are not many significant announcements for the broad market
The Finance Bill 2023 amendment had suddenly removed the capital gains tax and indexation benefits on debt mutual fund schemes. Experts say that that impacted the appeal of debt funds to an extent and wish for a roll-back