Union Finance Minister Nirmala Sitharaman has said that India's structural reforms approach has ensured that it remains a globally attractive destination for investment supported by the rising domestic consumption of the middle class, robust infrastructure push by the government, sustainable fiscal health and a vibrant class of domestic institutional investors. She also said India is well-positioned in the global economy, allowing it to grow briskly, possibly faster, in the coming years due to conscious policy choices in the last nine years.
Sitharaman said India's journey from the 10th largest economy in dollar terms in 2014 to becoming the world's 5th largest economy has been one of steady acceleration in growth amidst global and domestic challenges. She also said India has integrated its economy with global trade and financial flows while ensuring a higher standard of living and improved quality of life for Indian households.
Noting that policymakers had no fixed template to fall back on when dealing with the pandemic-induced economic setbacks, navigating the ongoing geo-political crisis, and tightening financial conditions, Sitharaman said the last few years have been unique for India since the domestic financial institutions' balance sheet problems and the external shocks since 2020 required structural reforms to build foundational resilience. Decoupling from the standard economic policy prescriptions while developing a model unique to the Indian context has enabled India to stand out today and establish a firm path to recovery and economic growth.