Union Minister for Finance & Corporate Affairs, Nirmala Sitharaman, has underscored the significance of the India-Middle East-Europe Economic Corridor, labeling it a strategic and economic game-changer not only for India but for the entire region. While presenting the Interim Budget for the fiscal year 2024-25 in Parliament, she cited Prime Minister Narendra Modi’s assertion that this corridor would serve as the foundation for global trade for generations to come, hailing it as an initiative rooted in Indian soil that history will remember.
The Finance Minister emphasized the evolving global landscape, noting that geopolitics has become increasingly complex and challenging, marked by conflicts and wars. She observed that globalization is undergoing a transformation, characterized by reshoring, friend-shoring, disruptions in supply chains, and competition for critical minerals and technologies. The Finance Minister pointed out that the post-COVID-19 world has given rise to a new world order, necessitating innovative solutions.
FM Sitharaman also shed light on India’s role as the G20 Presidency, acknowledging that the global economy was grappling with issues such as high inflation, soaring interest rates, sluggish growth, mounting public debt, diminished trade growth, and climate-related challenges. Despite these challenges, India successfully navigated the crisis, offering solutions and building consensus on global issues.
In her address, the Finance Minister highlighted the remarkable Foreign Direct Investment (FDI) inflow during 2014-23, which amounted to USD 596 billion, marking a golden era of investment for India. This figure represents a twofold increase compared to the FDI inflow recorded during 2005-14. To further encourage sustained foreign investment, the Minister mentioned ongoing negotiations for bilateral investment treaties with foreign partners, with the aim of fostering India’s development.
