FM optimistic on economic recovery, not worried about inflation
Finance Minister Nirmala Sitharaman has exuded confidence about post-pandemic economic recovery. Sitharaman believes that the economy reflating at a rate faster than previously expected is not just due to pent up demand but also because of additional demand coming in. She added that capacity expansions in core sector industries such as cement, iron and steel were fuelling demand, which in turn could help drive economic growth and propel private investment. On inflation, Sitharaman said that fruits and vegetables, and edible oil are seeing seasonal fluctuation and the government is taking a conscious call to fill in supply-level shortages through imports and sorting out logistical constraints. Commenting on agricultural reforms, she said the farm reform legislations were brought after elaborate stakeholder consultations and these laws will benefit farmers. In addition, the Finance Minister directed customs authorities to step up vigilance against smuggling of drugs and gold to further secure the country’s economic interests.