Finance Minister Nirmala Sitharaman on August 24 met with Indian company executives and discussed ways to accelerate economic recovery. Sitharaman, who is in Mumbai on a two-day trip, stressed the importance of the government and industry working together to ‘build India’s equitable income’.
The government believes in listening, working and responding and will add all possible support, he noted.
Industrialists who met with the finance minister include Piramal Group Chairman Ajay Piramal, Tata Group Chairman N Chandrasekaran, Uday Kotak of Kotak Mahindra Bank, Baba Kalyani of Kalani Group, Ajit Gulabchand of HCC, SN Subramanian of L&T, and TCS CEO Rajesh Gopinathan.
Officials who attended the meeting said the meeting focused on recommendations from corporate India on economic recovery, policies and private investment.
According to a statement issued by the government, Sitharman, during the meetings, expressed the government’s desire to facilitate the future sectors of the Indian economy.
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The Minister of Finance has acknowledged that there are significant changes in the financial sector, which government policy should make. The economy is slowly moving from a bank-led lending model to a market-based financial model. In addition, once the Development Finance Institution is in place, it will do the work of traditional long-term loans by banks. This will increase the competitiveness of banks and improve their efficiency, he added.
Sitharaman emphasized the importance of government and industry working together to ‘build India’s private finance’. The government believes in listening, working and responding and will add all possible support, he noted.
TV Somanathan, Secretary of Finance and Secretary of Expenses, Department of Finance, said the government trusts the creators of wealth. Responding to suggestions from the industry, Somanathan noted that the government views insurance bonds as other ways to secure banks. In the case of the mediated prize-winning mediation, Somanathan said a change in behavior was needed.
By accelerating the pace of the COVID-19 vaccine, he said the government had been aggressive in procurement, even leisure guidelines. The obstacle was on the side of the supply chain which could be repaired soon, as new vaccines are available.
Tarun Bajaj, Secretary, Finance, Treasury, pointed out that the Department of Finance was working on tax-related matters to start and sought industry inputs as well.
The Minister of Finance also held meetings with senior officials of the Department of Taxation and officials of GST and Customs.
