B20 Summit: My Priority Is To Tame Inflation, Says Nirmala Sitharaman

B20 Summit India: India has been able to accelerate the pace of economic reforms and the first quarter GDP numbers "should be good", says Finance Minister Nirmala Sitharaman

Nirmala Sitharaman at B20 Summit spoke about climate financing and reforms being undertaken by the government to attract foreign investments as they are vital for economic growth.

Source : PTI

Union Finance Minister Nirmala Sitharaman on Friday said the government's priority is to fight surging inflation to ensure sustained economic growth. The finance minister said, "My priority is to tame inflation." Retail inflation surged to a 15-month high of 7.44 per cent in July, mainly because of spiralling prices of tomatoes and vegetables. She observed that elevated interest rates for considerable time hampers recovery.

At the B20 Summit India, being hosted by the Confederation of Indian Industry (CII), Sitharaman in her speech said the GDP numbers for the first quarter (Q1), to be released this month, should be good. On growth, she said that India has been able to accelerate the pace of economic reforms and the first quarter GDP numbers "should be good." The National Statistical Office is scheduled to release the GDP numbers for the first quarter on August 31.

Sitharaman said that "green shoots" of private capital expenditure can be felt on back of the government's push for capital expenditure in the Budget. She also spoke about climate financing and reforms being undertaken by the government to attract foreign investments as they are vital for economic growth. 

The finance minister also said that a free trade agreement (FTA) with the UK is expected soon and the country is also making an effort for FTA with Canada and EFTA countries. She noted that sustained global economic recovery will be a key issue for the next few years. "We are continually making efforts for FTA with the UK, Canada, and EFTA countries along with the commerce ministry. The speed it is going now is this year we should conclude the agreement with FTA. FTA with European Free Trade Association also in the works," Sitharaman said. EFTA includes Liechtenstein, Norway, Iceland, and Switzerland.

Before her address, Tata Sons Chairman N Chandrasekaran, who is also the B20 India Chair, has said that artificial intelligence (AI) will create more jobs in India as it will empower more people with little skill or no skill to perform higher level jobs. During his address to the B20 Summit, Chandra said, "Actually in a country like us, it will create jobs because it will empower people with the little skill or no skill, will empower them with information skill so that they can perform a higher level of jobs.