Page 37 - The Indian EYE 091622

BUSINESS EYE SEPTEMBER 16, 2022 | The Indian Eye 37

Warning indicators? Manufacturing remains

a stumbling block in India’s economic growth

Fitch has cut India’s gross domestic product (GDP) growth forecast for 2022-23 to 7%

from the earlier 7.8% due to the impact of the global economic slowdown

OUR BUREAU
7.4%, the agency said in its latest report.
New Delhi/Mumbai The European gas crisis, high inflation and a
sharp acceleration in the pace of global monetary
nion Finance Minister Nirmala Sitharaman policy tightening are taking a heavy toll on eco-
on Tuesday sought to know the reasons for
UIndia Inc’s hesitance regarding investing in nomic prospects. Fitch Ratings’ September 2022
Global Economic Outlook (GEO) includes deep
manufacturing even as she assured all possible sup- and wide cuts to global GDP forecasts.
port from the government to facilitate investments
in the country. Fitch now expects world GDP to grow by 2.4%
in 2022 - revised down by 0.5 percentage point (pp)
since the June GEO - and by just 1.7% in 2023, a
“We will do everything to get industry com- cut of 1pp.
ing and investing here...We have given
PLI. I want to hear from India Inc, what’s TOP MINISTERS
stopping you,” the finance minister said TO ATTEND LEADS 2022

while speaking at the Mindmine Summit. ederation of Indian Chambers of Com-
Sitharaman said the government has tak- merce & Industry (FICCI) on Tuesday,
en a number of steps to make the business Fannounced that LEADS (Leadership,
Excellence, Adaptability, Diversity, Sustain-
environment conducive. ability) 2022 will be organized on 20-21 Sep-
tember, in New Delhi.
The initiatives taken by the government to Union Finance Minister Nirmala Sitha-
support industry include a reduction in corporate raman, Union Minister of Commerce and
tax and the introduction of production-linked in- Industry Piyush Goyal, Minister of Agricul-
centive (PLI) scheme to boost manufacturing. ture and Farmers Welfare Narendra Singh
“Since 2019, when I took charge of the finance Tomar, Civil Aviation Minister Jyotiraditya
ministry, I have been hearing industry doesn’t Scindia, Minister of Labor and Employment,
think it’s (environment) conducive. Alright, the Environment, Forest and Climate Change
tax rate was brought down. I keep defending the Bhupender Yadav, and Former Minister Ra-
industry,” she said. jiv Pratap Rudy will be attending the event in
The finance minister pointed out that foreign the national capital.
direct investment (FDI) and foreign portfolio As per the release, LEADS 2022 has been
investment (FPI) have been rising in India even curated as a strategic platform to ‘reimagine
though domestic investors hold back on invest- the world’ for global economic prosperity in
ment decisions. this age of disruption. It will be a confluence
“Countries and industries abroad think this is of global business leaders, influencers, and
the place to be in now, at this time. FPI and FDI opinion shapers across the spectrum of the
are coming. Stock market is so confident. Is it like world economy.
Hanuman, and you don’t believe in your own ca- Nirmala Sitharaman attends an event on ‘Modi@20: Dreams This is the third edition of LEADS and it
pacity and strength,” the finance minister asked will have over 250 participants from around 50
the Indian Inc. Meet Delivery’ in Mumbai on Thursday (ANI) countries. As per the release, LEADS 2022 will
On Thursday, Nirmala Sitharaman reviewed witness many global corporate leaders and 36
the state of the economy at the Financial Stabili- propriate and timely action can be taken so as to opinion shapers who will be exchanging their
ty and Development Council (FSDC) meeting in mitigate any vulnerability and strengthen financial ideas conferring on the 11 themes of manu-
Mumbai, the Ministry of Finance said in a state- stability,” the Finance Ministry statement read. facturing; food for all; innovation; mobility;
ment. The council stressed on the early warning The council also took note of the preparation digitalization; financing; healthcare; travel &
indicators for the economy and the preparedness in respect of financial sector issues to be taken up tourism; environment; global supply chains.
to deal with them, improving the efficiency of the during India’s G20 Presidency in 2023. Several corporates like Hindustan Uni-
existing financial and credit information systems, Meanwhile, global ratings agency Fitch on lever; Indian Metals and Ferro Alloys; State
and issues of governance and management in sys- Thursday cut India’s gross domestic product Bank of India; Jindal Steel and Power; Maru-
temically important financial institutions. (GDP) growth forecast for 2022-23 to 7% from ti Suzuki; Mahindra and Mahindra; Apollo
“It was noted that there is a need to monitor the earlier 7.8% due to the impact of the global Hospitals; Panasonic India; Azure Power;
the financial sector risks, the financial conditions economic slowdown, elevated inflation and tight- Trigyn Technologies are partners in the event,
and market developments on a continuous basis er monetary policy. Growth is expected to slow the release further stated.
by the Government and the regulators so that ap- to 6.7% in 2023-24 from the previous estimate of

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