Cabinet reshuffle 'non-event' for markets, key factor is GST: DBS

Zee Media Bureau

Mumbai: Singaporean brokerage DBS on Thursday said that cabinet reshuffle was a “non-event” as the key factor that must be watched out for is seeing the GST bill passed in the upcoming Monsoon Session of Parliament.

"The reshuffle will be a non-event for the markets... the focus is on Monsoon Session of Parliament that kick-starts on July 18," it said in a note. 

Specifically, it said the investors will be looking for progress on Goods and Services Tax (GST) Bill in Rajya Sabha where the Modi government lacks adequate numbers to get the landmark legislation passed. 

"While the government lacks a majority in Upper House, there are signs that more regional parties might back the legislation," DBS said, while commenting on the long pending reform on the indirect taxation front. 

In the Cabinet reshuffle and expansion, which saw induction of 19 new members into the Council of Ministers two days ago, DBS said there has been a focus on the poll-bound Uttar Pradesh that sends 31 lawmakers to the Upper House. 

(With PTI inputs)