Asheville, September 1: India’s Finance Minister Nirmala Sitharaman has asserted that the country has demonstrated its ability to adapt to changes in the global economy without slowing its growth rate. She acknowledged India’s reliance on imported energy and fertilizers.
In an exclusive interview during the G20 finance ministers’ meeting, Sitharaman described India as an economy capable of addressing challenges effectively.
She noted that India is among the largest importers of crude oil and petroleum products globally. Despite having some domestic production capacity, the country still imports various fertilizers and their raw materials.
“We are one of the largest importers of crude oil and petroleum products. We also import significant quantities of different fertilizers (urea, ammonia, DAP). While we have production capacity within the country, we remain importers,” she stated.
Sitharaman emphasized that India’s economic performance has shown its ability to respond to international developments while maintaining growth momentum.
“These are clear indicators of a vibrant economy, one that embraces global changes and adapts in a way that does not hinder our growth,” she added.
The Finance Minister mentioned that the Reserve Bank of India regularly assesses the economy, with indicators trending positively. “Yes, there are challenges, and as a government, we will work to position India favorably whenever challenges arise,” she said.
India recorded a growth rate of 7.8 percent in the first quarter of the fiscal year 2026-27. Sitharaman highlighted the significance of this figure, achieved amid ongoing external pressures.
“Despite these global challenges, if the Indian economy is still growing at 7.8 percent in the first quarter of this fiscal year, it is reassuring to see that people’s hard work is paying off,” she remarked.
The Finance Minister pointed out that this growth is not confined to a single sector but is widespread across all sectors. GDP is increasing in every area, with manufacturing growing at a rate of 9.2 percent. The financial and professional services sectors are expanding at 12.1 percent.
According to her, India’s foreign exchange reserves stand at nearly $700 billion. “These are not ordinary figures,” she noted.
Sitharaman credited the strengthening of the economy to Indian citizens, economic reforms, and the expansion of digital infrastructure.
She stated that the digital payment system has enabled small, micro, and medium enterprises to access international markets. “The way digitization has helped small, micro, and medium businesses reach global markets, due to the deep penetration of UPI, NPCI, QR codes, and others, has showcased the strength of the Indian economy,” she explained.
The Finance Minister also acknowledged state governments for supporting measures to ease business operations. She mentioned that over 1,000 laws have been repealed, and nearly 40,000 regulations have been simplified.
The government continues to engage with industries, businesses, and trade while also working on bilateral trade agreements and investor protection agreements. Sitharaman noted that foreign deposits and investments made by Indians abroad reflect confidence in the country’s banking system and broader economic indicators.
Currently in Asheville for the G20 finance ministers’ meeting, Sitharaman expressed India’s support for the U.S. presidency’s focus on development, global imbalances, and financial literacy, advocating for “fair and open discussions” on these issues. She also held bilateral meetings with representatives from the U.S., Poland, Qatar, South Korea, and Russia. Following the G20 meeting, she plans to meet with interested investors in New York.
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