Nirmala Sitaraman: ‘Developed India is not just a dream, it is a common national mission’, said Finance Minister in America

New Delhi| India’s efforts for sustainable growth in the next two decades are based on a new ideal. It is based on bold reforms, enhanced domestic capacities and strategic institutional cooperation adapted to the emerging global scenario. Finance Minister Nirmala Sitharaman said this during a program in San Francisco, America. During this, she said that the journey to make India developed by 2047 is not just an aspiration or a dream, but a common national mission.

Government of India made structural reforms in a decade: Sitharaman
Speaking at Stanford University California’s Hoover Institution, the Finance Minister said the last two Union Budgets have laid the groundwork for change with a clear policy and agenda across all sectors. According to the Finance Minister, the government has undertaken structural reforms in the last decade. Over 20,000 regulations have been rationalized. Trade laws have been decriminalized and public services have been digitized to reduce conflict.

The Finance Minister further said that the significant emphasis on infrastructure development has strengthened investor confidence over the last 10 years and created a strong foundation for manufacturing-led growth. Sitharaman said this was made possible by more than a four-fold increase in central government capital expenditure between the 2017-18 and 2025-26 budgets. “Our experience in implementing the action plan related to business reforms on behalf of various state governments has shown that relaxation in regulation is a powerful catalyst for industrial growth”, she said.

Bold reforms are needed to make India developed
The Finance Minister said that moving forward, India’s growth momentum needs bold reforms and a new approach of adaptable strategies in line with the changing global scenario. “Maintaining India’s growth momentum over the next two decades requires bold reforms, strong domestic capacities, new institutional partnerships and an approach adapted to the emerging global scenario”, she said India has set a target of becoming a developed nation by 2047. This year the country will enter its 100th year of independence from British rule.

“When we are laying the foundation of a developed India, we must remain committed to long-term goals without ignoring current realities”, he said. The global system is changing. This not only creates challenges but also provides opportunities. We must be prepared to meet the challenges and seize the opportunities”

She said India’s journey to become a ‘developed India’ by 2047 is not just an aspiration but a shared national mission inspired by the vision of inclusive, sustainable and innovation-led growth. He said that despite the damage caused by the pandemic and the banking crisis, “our progress over the past decade, underpinned by strong macroeconomic fundamentals and steady reforms, provides us with confidence and direction for the road ahead.” She said that due to its impact, India has become the fifth largest economy in the world from the tenth largest economy.

Indian expatriates created 72 unicorns between 2018 and 2023
Citing a report by IndiaSpora and BCG, Sitharaman said the first generation Indian diaspora established 72 unicorns between 2018 and 2023 and the valuation of these unicorns is at least US$195 billion. They have employed about 55,000 people. She said that more than 65 per cent of global capacity centers (GCCs) in India are headquartered in the US. These GCCs provide high value-added, specialized services in areas such as R&D, management consulting and audit.

The Finance Minister said that the US is a mature start-up center, which has grown over 50-60 years, while India’s start-up journey is still in its early stages. “The government’s focus during the last decade has been on reducing the cost of entrepreneurial risk-taking by removing regulatory and infrastructural barriers”, she said. She said that some of the work done in India is remarkable and an example of this is Digital Public Infrastructure (DPI) and its success.

She said that more than one billion digital identities have been created using DPI. People’s bank accounts were opened using these digital identities and money was sent to people’s accounts by clicking a button on behalf of the government during the COVID-19 pandemic.

“DPI was also useful in administering vaccines during the COVID-19 pandemic”, he said. In my talks with the G-20, the World Bank or the IMF, this singular achievement is repeatedly lauded given India’s population Speaking about the government’s emphasis on small and medium businesses, Sitharaman said that a vibrant and thriving network of small and medium enterprises is essential for domestic manufacturing growth.