India has not solely confronted the COVID-19 disaster with nice resilience and fortitude however has additionally performed a serious function and “walked the talk” on the worldwide struggle in opposition to it, Union Finance Minister Nirmala Sitharaman has mentioned.
Pointing out the quick restoration of India’s economic system, Sitharaman in her handle to the Development Committee of the World Bank mentioned the Modi Government, in addition to taking financial aid measures, has additionally undertaken important structural reforms to show the disaster into a chance and emerge stronger.
“The measures undertaken by the government have set a strong foundation for India’s sustained economic growth,” she mentioned.
According to the International Monetary Fund’s World Economic Outlook, India is estimated to be the fastest-growing main economic system in 2021, projected to develop at 9.5 per cent in 2021 and eight.5 per cent in 2022.
Observing that regardless of the pandemic, India obtained its highest ever FDI inflows of USD82.zero billion in fiscal 2020-21, the finance minister mentioned this development in India’s FDI is an endorsement of its standing as a most popular funding vacation spot amongst world traders.
Addressing the Development Committee assembly, Sitharaman mentioned India has confronted the COVID-19 disaster with nice resilience and fortitude.
The nation’s pandemic response has centered on the dual objectives of saving each the lives and livelihoods, she mentioned.
“When faced with the second wave of infections, India again mounted a carefully calibrated and dynamic response to the evolving situation. Given that the second wave was asynchronous in its onset across states and wider in its spread, only localised lockdowns were imposed during the second wave,” she mentioned.
This approach aided discount in instances within the COVID-19 hotspots with out dampening financial exercise in areas with fewer instances, she mentioned.
Despite a extra brutal second wave, India’s GDP grew at 20.1 per cent YoY throughout April-June quarter of 2021, recovering greater than 90 per cent of the corresponding pre-pandemic output ranges of 2019,” she added.
The broad-based and swift restoration of each the demand and supply-side elements reaffirms India’s resilient restoration and robust macroeconomic fundamentals.
“With the easing of the COVID-19 restrictions, GST collections for July, August and September 2021 have crossed the INR 1 trillion mark, which testifies to the fact that the economy is recovering at a fast pace. The robust GST revenues are expected to continue in the coming months too as the economic recovery gathers momentum,” the finance minister mentioned.
India, she mentioned, is among the frontrunners within the world vaccine deployment race with the second-highest whole variety of COVID-19 vaccines administered all around the world.
As of September 30, India has administered 951.35 million doses, masking 72.eight per cent of the 18 years (as on August 10, 2021) and above inhabitants with a minimum of one dose of COVID-19 vaccine.
“India has also played a major role and truly ‘walked the talk’ on the global COVID-19 effort. India’s massive Vaccine Maitri programme, under which more than 66.3 million doses of COVID-19 vaccines were exported to 95 countries worldwide bears special mention. India is all set to resume vaccine export in October 2021,” she mentioned.
India additionally made its digital platform for COVID-19 vaccination, CoWIN, an open-source for all international locations to entry, adapt and use. India can be on the forefront of multilateral efforts, together with the Quad plan for the manufacturing of 1 billion vaccines to be provided to South-East Asian international locations, she added.
Sitharaman mentioned along with financial aid measures, India has undertaken important structural reforms to show the disaster into a chance and emerge stronger.
These reforms throughout various areas embody agriculture and meals processing, industrial coal mining, monetary help to MSMEs and alter in definition with elevated thresholds, manufacturing linked incentive schemes to spice up manufacturing, privatisation of PSUs and asset monetisation, elevated FDI restrict in defence and insurance coverage are amongst probably the most notable reforms and have set a robust basis for India’s post-COVID financial development, she mentioned.
Production Linked Incentive (PLI) schemes have been launched throughout key sectors to create nationwide manufacturing champions and generate employment alternatives for the nation’s youth.
“The objective is to make India a bigger and more important part of the global economy by pursuing policies that are efficient, competitive and resilient,” she mentioned.
Observing that Infrastructure improvement has assumed a serious focus in strengthening India’s financial restoration, the finance minister mentioned India has a sturdy National Infrastructure Pipeline (NIP) which is a first-of-its-kind, whole-of-government train to supply world-class infrastructure.
“Measures have been undertaken to promote ease of doing business with rational tax systems, simple and clear laws, reducing compliance burden and leveraging technology for better compliance,” she mentioned.
“As a recent major initiative, the government has taken steps to scrap the retrospective tax law which would help resolve tax disputes and boost investor confidence,” she added.
“Despite the pandemic, India received its highest ever FDI inflows of USD 82.0 billion in FY 2020-21. The trend in India’s FDI is an endorsement of its status as a preferred investment destination amongst global investors,” mentioned the Union finance minister.