New Delhi: Finance Minister Nirmala Sitharaman on Thursday asked the chieftains of India Inc. to hold the bull by its horn as the stock market shows it.
"It's time for Indian industry to come out in a big way, to take risks, to make decisions," said FM while addressing a Plenary Session - India@75: Government and Business working Together towards AatmNirbhar Bharat at CII Annual Meeting 2021.
The FM informed that India had recorded 37% growth in FDI flows in the first five months of 2021 compared to a record FDI flows in 2020.
"WE have $620 billion of forex reserves as of July 2021. The economy is buoyant in terms of recovery," said FM.
According to FM, India's exports, especially in steel, have seen phenomenal growth. With the highest infrastructure investments in India's history, the economy is on the road to recovery.
Talking about where is India is saving and investing, the FM said, "Indians are just not looking at bank savings. They are investing in stock markets. The number of new Demat accounts shows that. We have 3 lakh Demat account opening per month. People are now taking shares in companies that are managed well."
The FM informed that divestment of Air India, Concor, and BPCL would happen within this year.
Talking about Growth versus Inflation, the FM said, "The government and the RBI work together in coordination. Modi 2.0 works with RBI as partners. There is no debate on This or that? It's not growth versus Inflation. Growth will make a difference for the economic revival, and Inflation has been between in the 4-6% band. We have been able to keep that band except for seasonal variations."
On the taxation front, FM mentioned that the government has plugged many loopholes on Income tax and GST-related issues and that GST compensation will be paid to all the states in time.
"Covid has not been financed by taxation. We have not taken any single paisa from anyone, be it individuals or corporations to manage the covid pandemic. We have a clear trajectory to show how we bring our fiscal deficit in the range that we stated in the budget," said FM.
When asked about one wish she wants to see fulfilled before India's 75 Independence day, FM said, "I would actually want India to be Atamnirbhar on renewable energy, by India @75. We need to bring down dependency on fossil fuels to a minimum. Our dependency upon solar panels, films, and panels should not be there. If you are able to produce all of that, We need chip manufacturing coming to India. We need to fulfill our Hydrogen mission with long-term investment. We need Atamnirbharta in the energy sector as we are paying through our nose for fossil fuel."