New Delhi
Union Finance Minister Nirmala Sitharaman outlined the key pillars of India’s economic growth during the Kautilya Economic Conclave in New Delhi. The Finance Minister highlighted the reforms in India’s banking sector and their impact on the economy.
It was stated that the resilience of the banking sector is a result of policies focused on improving asset quality, enhancing provisions for bad loans, maintaining capital adequacy, and increasing profitability. Non-performing asset (NPA) ratios are now at a multiyear low, and banks have improved debt recovery mechanisms. Ensuring the long-term health of the financial system remains a priority
Improvements in logistics infrastructure, particularly ports, were also noted, with India rising to the 38th position in the World Bank’s Logistics Performance Index, up from 54 in 2014. The government’s focus on “minimum government and maximum governance” was emphasized, with reforms in infrastructure, investment, trade policy, labour codes, GST implementation, and FDI liberalisation.
In addition, the importance of innovation and research was underlined. In the FY24 budget, Rs1200 crore was allocated to research and development, promoting collaboration between academia, the private sector, and government. The Anusandhan Research Fund was established to support research across institutions.
The Finance Minister concluded by emphasizing that future budgets will focus on addressing the needs of key stakeholders, including the poor, women, youth, and farmers, as part of India’s path towards Viksit Bharat.
