India’s Growth Anchored In Domestic Drivers, Global Headwinds Pose Limited Risk: FM Sitharaman | Economy News

Nirmala Sitharaman

Union Finance Minister Nirmala Sitharaman said ongoing global turbulence is likely to have a limited impact on India’s GDP growth, emphasizing that the country’s growth drivers are firmly anchored in domestic factors. She underlined that to achieve the nation’s ‘Viksit Bharat’ goals, India must sustain a growth rate of 8 percent.

Speaking at the inauguration of the fourth edition of the Kautilya Economic Conclave (KEC) in New Delhi on Friday, the Finance Minister noted that India is navigating an era of unprecedented global uncertainty and volatility, describing it as a structural transformation rather than a temporary disruption.

Sitharaman highlighted shifts in the global order, pointing out that confidence in multilateral institutions is being undermined. She referred to recent G20 discussions, where experts emphasized the need for reforms in these institutions to restore stability in the international system.

The Finance Minister elaborated on India’s twin-track approach, which aims to simultaneously achieve developed economy status by 2047 and strengthen self-reliance. She clarified that self-reliance does not equate to pursuing a closed economy but reflects a strategy of robust domestic capacity alongside global engagement.

Sitharaman stressed that the rules of international engagement are being rewritten, and the magnitude of challenges is immense. Any new global equilibrium, she noted, must account for a complex mix of economic, political, and geopolitical variables. She further observed that the current arc of history—marked by low investment and volatile energy prices—signals pervasive uncertainty in the global economic landscape.

The Kautilya Economic Conclave’s theme this year, “Seeking Prosperity in Turbulent Times”, underscores India’s growth aspirations amid exceptional uncertainty, turbulence, and shifting geopolitics. With participants from over 30 countries totaling 75 international delegates, the conclave has expanded its global footprint and relevance, offering a platform to deliberate on contemporary economic and policy challenges.

The proceedings will conclude on October 5, 2025, with Union Minister for External Affairs Dr. S. Jaishankar sharing his reflections on India’s foreign and economic policy.