Nirmala Sitharaman

Middle class growth engine of India, 500 cities to be economic hubs: FM

Finance Minister Nirmala Sitharaman on Friday described the middle class as the growth engine of India and said nearly 500 cities are poised to emerge as the country's next centres of economic activity. Participating in a panel discussion on 'How to promote the rise of a new middle class' at the Rencontres Economiques d'Aix-en-Provence, a major economic forum of France, Sitharaman said 31 per cent of India's population is middle class as of today. Since India opened its economy, the middle class is growing at an annual rate of 6.3 per cent, she noted. "We think 93 per cent of all spending in India will be because of the middle class or the slightly affluent consumers...and again, this middle class is not concentrated in our metropolitan cities...India's model has resulted in the development in such a way that the middle class is present not just in big cities but they are on the contrary in these tier two, tier three cities," the finance minister said. The distribution of wealth is

Sitharaman invites French firms to partner in India's Viksit Bharat journey

Finance Minister Nirmala Sitharaman invited French businesses and investors to partner with India in its journey towards Viksit Bharat 2047, emphasising the need to strengthen the India-France Strategic Partnership and work towards shared prosperity for both countries. Addressing an India-France Business Roundtable in Paris on Thursday, she urged French investors to explore partnerships in healthcare, pharmaceuticals and biotechnology by leveraging the two countries' complementary strengths in life sciences, vaccines, active pharmaceutical ingredients (APIs), clinical research, precision medicine and digital health to build resilient healthcare value chains. The minister also highlighted India's clean energy transition, including the target of achieving 500 GW of non-fossil fuel capacity by 2030, the National Green Hydrogen Mission and Production Linked Incentive (PLI) schemes, saying these initiatives offer significant investment opportunities in renewable energy, green hydrogen, ..

Sitharaman begins four-day France visit to deepen economic, strategic ties

The finance minister will co-chair the India-France Economic and Financial Dialogue, meet business leaders and participate in a global economic forum during her four-day visit

States should use borrowings for asset creation, not handouts: FM

Union Finance Minister Nirmala Sitharaman on Thursday emphasised that state governments must channel their borrowed funds into long-term capital expenditure, such as schools and hospitals, rather than relying heavily on revenue expenditure like cash distributions when financial resources are tight. Addressing the media, Sitharaman underscored that taking loans to create public infrastructure yields a positive economic impact and generates employment for the next 50 to 60 years. "Borrowing is not the issue, but what you do with the borrowed money matters. Are you creating assets? Is it bringing education, industries, or increasing employment? That should be the focus," she said, noting that states are permitted to borrow up to three per cent of their Gross State Domestic Product (GSDP). Sitharaman, who is on a two-day visit to Tamil Nadu and Puducherry, attended Maha Kumbabhishekam of Sri Upanishad Brahmendra Mutt in Kancheepuram on Thursday. Later in the day, she is scheduled to ..

Amid fiscal worries, govt puts PSU share sales on fast track to raise funds

As part of the stake-sale drive, an OFS in LIC is also likely to be launched "very soon"

Centre orders corrective measures after Jitu Munda incident in Odisha

The response from the Centre came in the wake of a letter written by Patnaik to Union Finance Minister Nirmala Sitharaman on May 2 seeking exemplary action against officials of the bank

Northeast has potential to become India's next growth engine: Sitharaman

Union Finance Minister Nirmala Sitharaman on Friday said the Northeast has the potential to become India's next engine of growth by leveraging its strengths in sustainable agriculture and premium organic produce. She also asserted that Meghalaya is uniquely positioned to lead because of the trust it commands in global markets. Inaugurating the Northeast's largest organic spice processing plant of the Eastern Ri-Bhoi Organic Farmer Producer Company Ltd here, Sitharaman said, "The future of agriculture increasingly belongs not to those who produce the most, but to those who produce the best -- cleaner, more traceable, more trusted and more premium." "When Meghalaya's farmers rise, the Northeast rises. And when the Northeast rises, India's growth acquires a new engine," she said, congratulating the Meghalaya government, women collectives and entrepreneurs for driving the state's organic farming movement forward. Emphasising Meghalaya's competitive advantage, the finance minister said

Turning the tide: India must address fundamental gaps in external account

Easing West Asia tensions may stabilise India's external accounts, but policymakers must focus on boosting FDI, exports and long-term capital inflows

More measures on anvil to attract global flows, says FM Sitharaman

Sitharaman says govt working to make investments more attractive

Centre taking more steps to attract foreign capital, says FM Sitharaman

Finance Minister Nirmala Sitharaman on Monday indicated that there will be more steps to attract foreign capital into the Indian market. Speaking at the Hero Mindmine Summit 2026, Sitharaman said measures taken by the government to exempt withholding tax on interest and capital gains tax made by foreign investors in G-secs will be the first step towards drawing foreign capital back. "Certainly, that's not the end of story, there will be more. We recognise we need more foreign capital to come in," Sitharaman said. The RBI on June 5 had allowed banks to access the RBI's swap facility for Foreign Currency Non-Resident (Bank) (FCNR(B)), deposits with maturities ranging from 3-5 years till September 30. The facility would allow banks to swap US dollar deposits with the RBI, and manage currency risks. Also, to shore up foreign capital inflows include a concessional forex swap facility to encourage PSUs to raise external commercial borrowings (ECBs) until September 30. Sitharaman said un

Time for lenders to rethink MSME credit beyond collateral-based models

Financial institutions must pivot towards cashflow tracking and unified digital networks to unlock funding for small businesses

FM says Rahul Gandhi undermines India's gains, rejects looming crisis claim

At a BJP event, the finance minister said Rahul Gandhi was using Lok Sabha speeches to decry India's progress even during crises such as Covid-19 and West Asia

Fertiliser subsidy bill likely to double to ₹3.4 trillion in FY27

Rising global fertiliser prices and support extended to oil retailers are squeezing fiscal space, though the government says its capital expenditure plans remain unchanged

FM Sitharaman to review flagship schemes, RRBs in West Bengal: Report

Finance Minister Nirmala Sitharaman will soon review the implementation of various flagship schemes, including Jan Dhan, Mudra and PM Vishwakarma, with public sector banks and regional rural banks in West Bengal, government sources said. Last month, BJP came to power with a landslide victory in West Bengal replacing Trinamool Congress, which had ruled the state for 15 years. West Bengal Chief Minister Suvendu Adhikari had met Sitharaman in New Delhi on Monday. The sources said Sitharaman will also review the Special Assistance to States for Capital Investment (SASCI) scheme to strengthen capital infrastructure in Bengal. She will assess the saturation drive of various flagship schemes like PMJDY, Mudra, PM Vishwakarma and Kisan Credit Card in Bengal. The minister will also review the RRBs in the state, sources said, adding credit offtake will also be discussed in the meeting. This would help the state contribute to India's growth journey in industrial development, expanding ...

Over 580 mn Jan Dhan accounts bring crores of Indian into banking system: FM

Finance Minister Nirmala Sitharaman on Monday said that over 58 crore Jan Dhan accounts have brought crores of Indians into the formal banking system. The Jan Dhan scheme has ensured that benefits under welfare schemes, low-cost insurance, and pensions reach without leakages, the Finance Minister's office said in a post on X. "Garib Kalyan is Hon'ble PM Shri @narendramodi's guarantee of dignity, opportunity and empowerment for every Indian," she said. India has stood out globally in its fight against poverty and deprivation, she added. Launched on August 28, 2014, Pradhan Mantri Jan Dhan Yojana (PMJDY) is one of the world's largest financial inclusion initiatives. Fifty-six per cent of the PMJDY account holders are women, while 67 per cent of accounts are opened in rural and semi-urban areas. As much as Rs 45 lakh crore was transferred directly to beneficiary accounts through Direct Benefit Transfer (DBT). Ninety-four per cent of India's adult population has a bank account ...

India needs fiscal space, not just subsidies, to weather crises

If India had created more fiscal space in the three good years following the end of the Covid crisis in 2022-23, it would have more options to deal with the current one

Tax rebates: FY26 provisional expenditure, revenue show need for a rethink

The provisional expenditure and revenue numbers for 2025-26 underline the need for reviewing tax rebates

FM Sitharaman forgot fourth F - falling private investment: Congress

The Congress on Tuesday said Finance Minister Nirmala Sitharaman had forgotten the "all-important fourth F" -- falling rates of private investment -- while calling for greater focus on the "3Fs" of fuel, fertiliser, and forex. Congress general secretary in charge of communications, Jairam Ramesh, said winning elections through large-scale manipulation of electoral rolls is one thing, but recognising what really ails the economy with humility and sobriety and taking remedial actions is an entirely different matter. "The FM has said that the 3Fs -- Fuel, Fertilisers, and Forex -- are matters of great concern. But she forgets the all-important fourth F: Falling rates of private investment that have been in evidence these past few years," Ramesh said on X. He pointed out that net FDI inflows have declined, while private corporate investment as a percentage of GDP has fallen to half of its pre-2014 peak. Indian businesses are seeking more predictable and profitable ventures abroad, and .

FM Nirmala Sitharaman flags 3 Fs: Fuel, fertiliser, foreign exchange

Says West Asia crisis bringing several uncertainties for businesses, common people

FM Nirmala Sitharaman pitches customised credit models for MSMEs

FM Nirmala Sitharaman urged SIDBI and banks to adopt customised, cash-flow-based lending instead of standardised credit products for MSMEs