India’s long-term growth prospects embedded in public capital expenditure programmes: FM Sitharaman

Finance Minister Nirmala Sitharaman said on Friday that India’s long-term growth prospects are an integral part of public capital spending programmes.

While attending the third G20 Finance Ministers and Central Bank Governors Meeting (FMCBG) hosted by Indonesia in Bali, Sitharaman said evidence-based policy making is vital for resilient economies.

The center focused on capital spending to drive economic growth hit by the pandemic. The increase in public spending is expected to mobilize private investment.

Sitharaman raised capital expenditure (capex) by 35.4 per cent for the 2022-23 financial year to ₹ 7.5 crore to continue the public investment-led recovery of the pandemic-hit economy. CAPEX last year was INR 5.5 crore.

“Reflecting on #India’s #growthstory, the Finance Minister stated that India’s long-term growth prospects are embedded in #publicspending programmes, and evidence-based #policymaking is vital to resilient economies,” the finance ministry said in a tweet.

The Finance Minister also stressed that a sustainable global recovery must focus on climate action and that the focus should be on scaling up climate finance and driving green transitions.

Participating in the current 2nd G20 session of the FMCBG, Seetharaman shared views on the G20 health agenda, including pandemic preparedness and response mechanisms.

It also highlighted the need for immediate mobilization and resource distribution for health emergencies.

Another tweet said: “FM Smt.nsitharaman called for a global coordination mechanism with @WHO at its centre. FM also said India is committed to supporting all efforts to #protect and #prepare against any future pandemic.”