Sitharaman began by discussing the significant progress made in inflation control under the NDA government. She noted that inflation was effectively brought down to 5.1% between 2014-2024, contrasting this with the double-digit inflation seen during the UPA years. This shift represents a major improvement in managing the cost of living for Indian households.
The Finance Minister also highlighted a key achievement in LPG gas cylinder coverage. Before 2014, 45% of Indian households lacked access to LPG. Under the NDA regime, however, the LPG coverage has now nearly reached saturation, ensuring more families have access to cleaner, more efficient cooking solutions.
Sitharaman expressed optimism about India’s future economic performance, stating she is confident that economic growth will improve in the coming quarters. She acknowledged that some food price fluctuations are weather-driven, but assured that the government is committed to managing food inflation effectively.
Over the past three years, India’s GDP growth rate has averaged 8.3%, demonstrating steady and sustained growth despite global challenges. Sitharaman emphasized that only two quarters out of the last 12 saw a GDP growth rate lower than 5.4%. She urged members of the Lok Sabha to focus on the overall positive trend rather than isolating short-term slowdowns.
Unemployment Rate Drops to 3.2%
In another major economic milestone, Sitharaman shared that unemployment has significantly decreased, dropping from 6% in 2017-18 to 3.2% today. This reduction highlights India’s progress in providing more job opportunities for its citizens.
Despite challenges in some areas, Sitharaman stated that there is no general slowdown in India’s manufacturing sector. In fact, nearly half of the manufacturing industries continue to show strong growth, suggesting a positive outlook for India’s industrial development.
The Finance Minister addressed the second-quarter growth dip, acknowledging that the 5.4% GDP growth in Q2 was slower than expected. However, she called this a temporary blip, adding that the economy is expected to experience healthy growth in the coming quarters.
