Friday, 27 January, 2023

India gears up to become $5tn economy

India gears up to become $5tn economy

NEW DELHI: India’s equity market is geared up to aid the country achieve the $5 trillion economy mark, SEBI Chairman Ajay Tyagi said on Wednesday.

Speaking at the Ficci’s 17th Annual Capital Market Conference ‘CAPAM2020’, Tyagi said the equity market systems are well geared up to take on the current challenges, report agencies.

The theme of the conference is ‘Atmanirbhar Bharat: Role of Capital Market’.

He acknowledged that the country is passing through a difficult, stressful and challenging time due to the Covid-19 outbreak.

Besides, Tyagi called for the development of the country’s corporate bond market.

Terming the segment as critical, he pointed that some initiatives in this regard have been taken, however, more reforms are required.

Further steps might be initiated by the Centre to sustain the economic revival process as high frequency indicators have shown visible economic “green shoots”, Finance Minister Nirmala Sitharaman said on Tuesday.

Speaking at the USIBC India Ideas Summit webinar, she cited rising power consumption, toll collection, bank transactions and improvements in PMI index as indicators of “green shoots” in the economy.

Besides, Sitharaman said that agriculture is driving the revival of the rural economy.

The Centre is monitoring the situation closely, she said.

The Finance Minister, however, said that despite these “green shoots”, all “options are open” and intervention can happen even in the future, looking at “how the industry responds”.

Elaborating on the government’s stimulus measures, she said that it gave 10 per cent of GDP, which made a lot of difference for the companies which wanted to come out of the lockdown and the effects of the lockdown.

Furthermore, she pointed out that several structural reforms were announced during the the pandemic.