Inflation ‘extraneous’ nowadays, Govt keeping an eye: Sitharaman in Rajya Sabha

PTI | , Posted by Singh Rahul Sunil Kumar

Finance Minister Nirmala Sitharaman said on Wednesday that the government is keeping a watch on inflation which nowadays is purely “external” due to fuel and fertilizer prices.

Responding to the discussion on supplementary grant demands in the Rajya Sabha, the minister said that wholesale inflation has come down to a 21-month low.

later, the Rajya Sabha Supplementary Demands for Grants returned to Lok Sabha, thus completing the process of authorizing the government to incur additional expenditure 3.25 lakh crore in FY2022-23.

Retail inflation remained above the consumer price index Reserve BankThe tolerance level from 6 per cent in January this year has come down to 5.88 per cent in November.

The minister also said that private investment capex is happening in India due to favorable policies like PLI and cited some examples.

Sitharaman also emphasized that the supplementary demand for grants is essentially to provide support to food security, fertilizer requirements and the Indian economy.

He said the jump in tax collection would help the government meet additional expenditure being sought through supplementary demands for grants for grants.

Lok Sabha Supplementary Demands for Grants approved authorizing the government to incur additional expenditure 3.25 lakh crore in the 2022-23 financial year.

The Finance Minister also told the House that the gross NPAs of banks have come down to a six-year low of 5.9 per cent in March 2022.

He also said that the government’s targeted approach to deal with the impact of Covid has helped India revive growth without going into recession.

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