News Update

FM Said That Necessary Steps Would Be Taken To Boost Economic Growth Of The Country

• ByAyushi Ray     |    August 13, 2021

FM, Nirmala Sitaraman said that necessary steps would be taken to boost economic growth of the country, while India is still in the process of recovery from covid depression. She stated that the country would  “eventually” remove poverty. This announcement comes at a time when data showed retail inflation to have eased marginally in July after remaining above the notified cap of 6% for two straight months. In the context of a specific query raised at the Confederation of Indian Industry’s (CII) annual session by Kotak Mahindra Bank chief Uday Kotak—whether the currently high inflation is transitory or structural—she said: “I’m not looking at growth versus inflation. It’s not growth versus inflation, we shall attend to inflation, keep it contained, take all the necessary steps, but never forget that growth is what is going to make the difference to the economy’s revival and growth is what is eventually going to remove poverty and bring in a certain level playing field for all the Indian citizens.”

FM said that growth would be pushed by both RBI and the finance ministry. India’s retail inflation in July was 5.59%. India’s official CPI inflation target is 4% with the upper tolerance limit of 6% cent and the lower tolerance limit of 2% cent. One thing on which most of the industry normally worries about is, how does the ministry and the RBI work together? I take it as a point to mention here that you would have observed that in Modi 2.0 particularly, and even earlier, the relationship with RBI has been one of those in which we are working like partners to address the issues of the economy,” she said. She also added that even during the Pandemic RBi has kept the financial momentum at the right direction, which can be considered as  good sign towards economic boost 

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