Sitharaman presents India’s reform-led investment model
Sevillla
Finance Minister Nirmala Sitharaman, speaking at the International Business Forum Leadership Summit in Madrid on Monday, showcased India’s reform-driven investment model aimed at attracting private capital and supporting sustainable development in emerging economies. She said India had reduced investment risks through key reforms such as creating independent regulators, improving ease of doing business, promoting transparent bidding, and standardising contracts.
Highlighting the challenges faced by emerging markets—like high risk perception and elevated financing costs—she said India responded by strengthening its banking system and deepening capital markets to support infrastructure and industrial financing.
Sitharaman noted that India’s regulatory systems have evolved to strike a balance between investor protection and innovation. This, she said, has created a more stable environment for long-term private investments, especially in infrastructure and renewable energy.
She cited India’s growth in solar energy—from 2.8 GW in 2014 to over 110 GW—as an example of successful policy-driven investment. This growth, she added, was powered by strong national targets, streamlined procurement, and government-backed risk support, attracting global investors such as pension and sovereign wealth funds.
The Finance Minister also stressed the importance of scalability in adopting new technologies, noting that India’s digital reach and large population offer a unique advantage. However, she said global cooperation is essential to drive meaningful cross-border outcomes.
During her ongoing visit (June 30–July 5), Sitharaman will hold talks with ministers from Germany, Peru, New Zealand, and Portugal, as well as meet investors and diaspora members. She will conclude her tour in Brazil, attending the 10th Annual Meeting of the New Development Bank and the BRICS Finance Ministers and Central Bank Governors Meeting.