Elisha Pulivarti/Washington DC
Indian Finance Minister Nirmala Sitharaman’s visit to the US to participate in the International Monetary Fund (IMF) annual meetings this week is a grand success. She took part in the IMF deliberations as well as a few other locally arranged programmes in the US, explaining the backdrop in which India is handling the financial pressures in the wake of global headwinds.
I had an opportunity to participate in some of her programmes and come to the conclusion that FM Nirmala had won brownies from the US establishment as well as the corporate world as she showcased the capabilities and opportunities India held for the US and the global community in general. We must not forget that India assumes presidency of G-20 leadership from December 1, 2022, for a year.
That means, the heads of government of world’s largest economies and powerful nations including the US, China, Russia, Japan, EU, Germany, France, UK, Saudi Arabia and Brazil will come to India for a summit meeting in November 2023. The G-20 formed in 1999, will account for 80 per cent of the world’s GDP and 77 per cent of the international trade.
FM Nirmala’s visit to the US now assumes significance in view of the volatile global economy triggered by the rate hike by the US Federal Reserve. Nirmala Sitharaman has rightly pointed out that India is set to grow by 7 per cent in spite of the turbulent times ahead. Her comments that Indian rupee hasn’t fallen, but the US dollar has appreciated may have been interpreted by some in wrong way, but this is a reality.
Other leading currencies including those of EU have fallen steeply against the US dollar compared to Indian rupee which is still going strong. The FM talked about economy in general, inflation and challenges of shortages especially gas, oil and fertilizers for farmers etc. Many countries appreciated the way India handled the Covid crisis at home besides supplying vaccines to many other countries.
I am of the view that Nirmala’s meetings in the US have filled confidence among the global investors that India is poised to emerge victorious in the wake of the present global crisis. Various steps taken by PM Modi’s government, I am sure, will keep India at the centre of global focus in the coming days. Measures like PLI (productivity linked incentives) will help Indian economy grow to 5 trillion US dollars in next 2-3 years.
Writer is Excel India’s Washington DC bureau chief & founder CEO of US India SME Council)
