Days after India’s GDP slipped to 5 per cent, lowest in last 6 years, Finance Minister Nirmala Sitaraman in an interview to the New Indian Express said there were signs of a downturn in various sectors like auto, finance and real estate 2 or 3 quarters ahead of 2019 Lok Sabha elections. She said the government has been making every possible effort to make the economy stable and recover sooner or later.
Finance Minister said before the Lok Sabha elections 2019, many things were discussed, but the government had to wait to get elected again and start spending. The auto sector challenges, non-bank financial institution (NBFC) crisis, and retrieval of NPAs with banks were the main challenges for the government.
She added the government wasn’t sitting idle and was preparing to boost the economy with short and long term relief measures to NBFCs and auto sector. As part of the fiscal push, the Narendra Modi government has a Rs 100 lakh crore infrastructure investment plan in its pocket to kick start auto sector engines.
“I’m sure you’ll see clear signals of recovery in consumption sooner or later,” said Nirmala Sitharaman. Dodging the question that whether the economy is in ICU or not? She said the economy may have its challenges, but is still growing at 5 per cent. She accepted that the economic challenges are there and the government is also coming up with its responses. She added that rises and dips are part of a growing economy.
Reply to a question big number of job loss, Nirmala Sitharaman said she had consultations with experts of all sectors. Finance Minister said she is closely working with the RBI to resolve the economic issues for the benefits of the common man. And expecting, clear signs of distress being removed in every sector, which are desperately wanting us (government) to chip in.