Government has met industry needs, now India Inc must expand: Union Minister for Finance & Corporate Affairs, Ms. Nirmala Sitharaman

Union Minister for Finance & Corporate Affairs, Ms. Nirmala Sitharaman, has called on Indian industry to leverage government support and invest in capacity expansion, emphasising the need for collaboration to strengthen the economy. Speaking at the IFQM Symposium, she highlighted initiatives in ease of doing business, tax reforms, foreign direct investment (FDI), and industry-friendly policies, noting that the government has delivered on its commitments. She urged companies to actively contribute by producing more in India, engaging in skill development, and strengthening supply chains. Chairman of Tata Sons Private Limited, Mr. N Chandrasekaran, supported the call, stressing the vast domestic and export opportunities and the growing importance of resilient global supply chains.

She also underscored the role of micro, small, and medium enterprises (MSMEs) as the backbone of India’s Gross Domestic Product (GDP), noting that the Small Industries Development Bank of India (SIDBI) maintains a strong physical presence in MSME clusters. She highlighted that the Centre has provided Rs. 3,60,000 crore (US$ 40.83 billion) to 22 states over four years under a 50-year interest-free loan scheme, boosting capital expenditure and infrastructure growth. Over the past 11 years, India has operationalised 88 airports, laid 31,000 km of rail tracks, quadrupled metro networks, doubled port capacity, and expanded national highways by 60%. On Goods and Services Tax (GST) reforms, she noted that rate rationalisation has put at least Rs. 2,00,000 crore (US$ 22.69 billion) back into the economy, benefiting the middle class and helping reduce poverty. The reforms have seen 99% of items in the 12% slab moved to 5% and 90% of goods in the 28% slab reduced to 18%. At the same time, GST revenues rose to Rs. 22,08,000 crore (US$ 250 billion) and taxpayers increased to 15.1 million. She stated that the benefits of these reforms will far exceed the incentives offered to industries.

Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.