India should unleash its animal spirits and attract fresh
investment to become one of the world’s fastest-growing economies, said Hon’ble
Minister Nirmala Sitharaman, Ministry of Finance and Corporate Affairs,
Government of India, at AIMA’s 65th Foundation Day and 15th National Management
Day.
The theme chosen by AIMA ‘Transformation for Continuity’ for its Foundation Day, is particularly relevant to India’s journey today. For me, transformation is not about change for the sake of change. It is about making the fundamental shifts required to take India forward, while preserving the values, institutions and principles that have given our nation strength and stability.
India today is at a point where incremental change is no longer enough. Our entrepreneurs, business leaders and young people are ambitious for India to become a stronger, more competitive and prosperous economy. They are already making significant contributions in their respective fields. What is needed now is for government, industry and institutions to work together to accelerate this momentum through transformational change.
The pandemic made this imperative even clearer. It tested our economy, institutions and people in unprecedented ways. The government responded with timely measures to support vulnerable sections of society, businesses and the economy. The Pradhan Mantri Garib Kalyan Yojana, liquidity measures announced by the Reserve Bank of India and the Atmanirbhar Bharat packages provided important support during a period of extraordinary uncertainty.
The Union Budget has taken this effort forward by providing a clearer and more long-term roadmap for growth. Its emphasis on infrastructure and capital expenditure is particularly significant. These investments are not merely about short-term stimulus; they are intended to create productive capacity, generate employment, stimulate demand and strengthen the foundations of the economy for years to come.
I also see the government’s disinvestment policy as an important part of this transformation. The objective should not simply be to sell public sector assets, but to ensure that enterprises are managed more efficiently and professionally. India continues to need capacities in sectors such as steel, coal and copper. Disinvestment should therefore enable these enterprises to perform better, expand production and contribute more effectively to the economy, while ensuring that taxpayers’ money is used responsibly.
For this transformation to succeed, the private sector has an equally important role to play. With lower corporate tax rates, greater policy clarity and continued efforts towards ease of doing business, the environment is increasingly conducive to investment. I have been looking forward to seeing private industry respond with greater investment, expansion and capacity creation. India needs businesses to demonstrate their animal spirits and seize the opportunities now opening up.
At the same time, transformation must go hand in hand with continuity. Our commitment to democracy, rule of law and the welfare of our citizens must remain firmly protected. Every Indian should have the opportunity to live a better, healthier life and have access to quality education and economic opportunity.
I believe India’s recovery can become a model for the world if government action is matched by enterprise, investment and innovation. AIMA has an important role in encouraging this dialogue and bringing together India’s management community to translate policy into action.
‘Transformation for Continuity’ captures what India needs at
this moment: bold and structural change, anchored in the values that have
always defined us. If we achieve that balance, we can build an India that is
more resilient, competitive and capable of meeting the aspirations of its
people.
Watch the full session- https://www.youtube.com/watch?v=NTI6cb17Qk0&t=190s
