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More governance and less of govt in Modi's third term: FM Sitharaman

FM Nirmala Sitharaman was addressing a session titled 'Viksit Bharat 2047 - Vision for Indian Financial Markets,' organised by the BSE stock exchange at the BSE International Convention in Mumbai

Nirmala Sitharaman,Nirmala,Finance Minister

Union Finance Minister Nirmala Sitharaman speaks during the 'Interactive Session on Eastern India-Engine of growth for Viksit Bharat', in Ranchi, Thursday, May 9, 2024. (Photo: PTI)

Nisha Anand New Delhi

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Prime Minister Narendra Modi will be reelected to implement “more governance and less of government”, said Finance Minister Nirmala Sitharaman on Tuesday.

The government’s strategy is focused on an “investment-led growth combined with inclusivity with an element of welfare, more from the point of view of the empowerment of the poor, not so much from the point of view of entitlement for any section,” she said about “Modi 3.0”.

“During Prime Minister Narendra Modi’s third term, more governance, less government is what we are looking forward to,” said Sitharaman in her keynote address at ‘Viksit Bharat 2047 - Vision for Indian Financial Markets,’ an event organised by the BSE in Mumbai.

Viksit Bharat 2047 is Modi government's goal to make India a developed country by the year 2047, coinciding with its 100 years of independence.

Shift in mindset of Indian households

Among changes observed in the Indian economy, she highlighted the shift in the mindset of Indian households. They are shifting towards the stock market from the traditional conservative investment approach. Notably, the number of dematerialised (demat) accounts — required to hold shares and other securities in electronics format — crossed the 150-million mark for the first time in March. The development is being attributed to the ease of opening accounts due to digitisation and more awareness about equity investing.

"Middle class families realise that even if it is risk laden, there are better returns," thus showing willingness to investing in stocks and share, the FM said, adding that this trust needs to be protected.

Sitharaman on Lok Sabha elections

Without naming the Opposition’s INDIA group, Sitharaman spoke about the importance of a stable government and its role in shaping the development trajectory of any nation. “...For markets to make that difference to a growing economy, I get to talk about what is important in this election atmosphere: Stability of government, of policies, is key for efficiency of markets.”

The Modi government aims to secure victory in the Lok Sabha elections with at least 400 seats within the Bharatiya Janata Party-led National Democratic Alliance coalition. Election results will be announced on June 4.

She also praised the BSE for contributing to the performance of the Indian financial markets, which she said have far exceeded expectations when there is an atmosphere of uncertainty around the globe.

“In the years towards Viksit Bharat, India can be the leader in creating the financial hub we need, whether a fintech-based global hub or financial markets headquarter, we have so much opportunity,” she said.

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First Published: May 14 2024 | 5:31 PM IST

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