Union Finance Minister Nirmala Sitharaman unveiled the government’s comprehensive plan on Saturday to transform India into a hub for manufacturing and services, aiming not only to cater to the domestic market but also to bolster exports.
Responding to inquiries about Elon Musk’s postponed meeting with Prime Minister Narendra Modi, Sitharaman emphasized the government’s commitment to attracting investments through tailored policies. “We want manufacturers and investors to come and produce not just for India but also for exports,” she affirmed. “When big companies express interest in India, we will strive to create an attractive environment for them to invest.”
Highlighting the government’s proactive stance, Sitharaman asserted that India’s policies have been instrumental, especially amid concerns about diversifying from China. She underscored the efforts to make India a favorable destination for manufacturing and services.
Regarding inflation, Sitharaman noted that it remained within the tolerance band during the Modi government, contrasting with the double-digit inflation prevalent before 2014. “We have emerged as the world’s fifth-largest economy through hard work, and we are confident about reaching the third position in the next two to two-and-a-half years,” she added.
Addressing employment concerns, Sitharaman acknowledged data limitations but highlighted initiatives like government job creation through the Rozgar Mela. She also discussed the rule requiring larger companies to pay Micro, Small, and Medium Enterprises (MSMEs) within 45 days, clarifying that tax treatment remains unchanged.
Responding to queries about the Indian rupee’s depreciation against the US dollar, Sitharaman attributed the fluctuation to global uncertainties and oil supply disruptions from the Middle East.
In her address to industry leaders from Gujarat on ‘Viksit Bharat -2047’, Sitharaman commended the state’s significant contributions to the Production Linked Incentive (PLI) scheme, particularly in semiconductor manufacturing. She highlighted Gujarat’s position in attracting foreign direct investment (FDI) in manufacturing and emphasized the role of the International Financial Services Centre (IFSC) at GIFT City in Gandhinagar in propelling India’s financial services sector.
Sitharaman’s remarks underscored the government’s commitment to fostering a conducive environment for economic growth, positioning India as a leading destination for manufacturing and services in the global market.