India’s Long-Term Growth Prospects Embedded in Public Capital Expenditure Programs: FM Sitharaman

Sitharaman, while attending the Third Meeting of Finance Ministers and Central Bank Governors (FMCBG) of the G20 hosted by Indonesia in Bali, also said that evidence-based policymaking is vital for resilient economic systems.

The government has been emphasizing capital spending to boost pandemic-hit economic growth. It is expected that increased public spending will attract private investment.

Sitharaman has increased capital expenditure (capex) by 35.4% for the financial year 2022-23 to Rs 7.5 lakh crore to continue the public investment recovery of the pandemic-stricken economy. Last year, the capex was Rs 5.5 lakh crore.

“Reflecting on India’s growth story, FM shared that India’s long-term growth prospects are embedded in public #capitalspending programs, and #EvidenceBased #PolicyMaking is vital for resilient economic systems,” the finance ministry said in a tweet.

The Minister of Finance also stressed that a sustainable global recovery should be driven by climate actions and that the focus must be on scaling up climate finance and propelling green transitions.

Participating in the ongoing second session of the G20 FMCBG, Sitharaman shared his views on the G20 health agenda, including pandemic preparedness and response mechanisms.

She also stressed the need for immediate mobilization and deployment of resources for health emergencies.

“FM Smt. @nsitharaman called for a global coordination mechanism with @WHO at its core. FM also said that India is committed to supporting all efforts to #protect & #prepare against any future #pandemic,” another tweet said.