Speaking about the Narendra Modi government's growth vision, Union Finance Minister Nirmala Sitharaman on Wednesday decoded the Budget 2022 in an exclusive conversation with Network18's Editor-in-Chief Rahul Joshi.
This comes a day after she presented the Union Budget in Parliament on February 1. In her Budget 2022 speech the
Finance Minister said India is in a strong position to withstand challenges in the upcoming fiscal. She added that complimenting the macroeconomic growth is the focus of the Budget.
Here are the important highlights from her interview:
GDP Growth: Finance Minister Nirmala Sitharaman assured that the target to achieve 8 percent GDP growth in the next fiscal is achievable. Sitharaman’s remark came against the backdrop of the Economic Survey 2021-22 which has projected India's growth for the financial year 2023 at 8-8.5 percent.
Tax Regime: Nirmala Sitharaman defended the move of leaving tax slabs and rates unchanged and said tax stability and predictability are crucial at this point in time. "Any exemption given goes to those who need it but also by law goes to someone who doesn't need it. So we considered stability and predictability was more important," she said.
Crypto Bill: Responding to a question on whether the government is looking to table a bill to regulate cryptocurrency, the Finance Minister said there is no clarity at the moment, adding consultations will determine what kind of Crypto Asset Bill we put together.
Digital Currency: The Finance Minister said the Reserve Bank of India will launch the digital currency (CBDC) sooner rather than later. "Once it goes through Parliament, RBI will move forward to take cabinet approval," she added.
Air India: Sitharaman noted that Air India was a complex subject and it took a lot of working together with people to keep transparency at every stage.
LIC IPO: The Finance Minister said that the disinvestment of the government's stake in the Life Insurance Corporation of India (LIC) will happen in the current financial year.
Inflation: The Finance Minister said that all economies across the globe are worried about inflation, adding that it does affect financial planning. India too is conscious of inflation, she said.
Capex Boost: The Finance Minister in Union Budget 2022 announced a 35.4 percent increase in capital expenditure to Rs 7.50 lakh crore for FY23 from Rs 5.54 lakh crore for FY22. She said that after the disruption caused by COVID-19, the government has scaled up infrastructure spend and wanted to continue the momentum in the new fiscal.
Elections: Nirmala Sitharaman said elections come and go but the economy required strong support as it was showing positive signs of revival. She added that there was no doubt in Prime Minister Narendra Modi’s mind that the Budget would be growth-focussed.For full coverage of Union Budget 2022, click here.
(Edited by : Aditi Gautam)
First Published: Feb 2, 2022 8:46 PM IST
