Good 01 results cheer

Better-than-expected QI June 2009 results from most top line companies, signs of eco­nomic recovery, buying by foreign funds and firm global stock markets bolstered bulls as the barometer BSE Sensex struck its highest level in more than 13 months_ At its quar­terly policy review on 28 July 2009, the Re­serve Bank of India (RBI) kept key short­term interest rates unchanged at their histori­callow levels, adding to the positive mood_
The central bank, however, raised its inflation forecast for the year to 31 March 20 J 0 to around 5% from an estimate of 4% in April 2009, citing elevated food and com­modity prices.
A day before the RBI's monetary policy review, Union finance minister Pranab Mukherjee announced after trading hours on 27 July 2009 tax breaks for industrial park schemes and developers of real estate and road projects to stimulate the economy and lift growth to 8%-9%_ He also prom­ised I % subsidy on home loans up to Rs 10 lakh, when the overall cost of the house does not exceed Rs 20 lakh_
In another measure that could provide a boost to the realty sector, the Centre has allowed developers of housing projects a tax holiday under Section 80 IB(lO) of the Income Tax Act, 1961, on profit from projects approved between I April 2007 and 31 March 2008. The benefit is subject to a condition that the projects are com­pleted on or before 31 March 2012. A tax holiday f6r food processing firms has also