India is working hard to reduce fiscal deficit, says Nirmala Sitharaman

India is among the few nations working actively to reduce its fiscal deficit in the global economy, Finance Minister Nirmala Sitharaman said in Tiruchi on Monday.

Speaking to reporters after attending the platinum jubilee celebrations of her alma mater Seethalakshmi Ramaswami College in Tiruchi, she said the government had been consistently working to bring down the fiscal deficit despite challenges posed by developments such as the COVID-19 pandemic.

“When you study the credit situation of nations in the post-COVID era, our country’s efforts to reduce our debts before and after the pandemic, have borne fruit, as seen in the steady decrease of the fiscal deficit in the past three years. We are confident of achieving the target of reducing national debt to 50% of the gross domestic product by 2030,” she said.

“So when you compare us with foreign countries, Many leading global organisations acknowledge that India is making the most creditworthy efforts to reduce its fiscal deficit. We are also working actively to increase the per capita income of every Indian citizen, but we have had a series of challenges, such as the pandemic, then war [in West Asia] and the soaring rise in fuel prices. We are trying to control the burden of inflation faced by the public,” she added.

Ms. Sitharaman declined to answer questions on Tamil Nadu’s borrowings. “As a Union Minister, it would not be fair for me to comment on the situation of one particular State. However, queries regarding the finances of Tamil Nadu should be raised by the Opposition parties in the Assembly. The matter is of great importance and needs detailed discussion,” she said.

The stabilisation of the Indian rupee’s value depends on a number of factors, she said, adding that: “The Reserve Bank is engaged in efforts to protect the rupee from market volatility.”

‘Democratic way’

Commenting on the protests against the Election Commission of India regarding the Special Intensive Revision (SIR) exercise, Ms. Sitharaman said: “Many complaints have been raised about the SIR in the Supreme Court, and these are being currently heard. One can participate in the hearing and present arguments to seek justice through legal means; many are doing it. Protesting against SIR on the streets is a political way as an Opposition party and that is also happening now.”