Centre committed to reducing fiscal deficit, national debt to be capped at 50% of GDP by 2030: FM Sitharaman

Union Finance Minister Nirmala Sitharaman on Monday said that the Centre remains committed to reducing the fiscal deficit and aims to limit the national debt to 50% of gross domestic product (GDP) by 2030, PTI reported.

Speaking to reporters at Tamil Nadu' Tiruchirappalli after an event, Sitharaman said the government had outlined its debt-reduction commitment in successive Union budgets and was taking measures to bring down the Union government's debt.

"International organisations have acknowledged India's disciplined approach to debt management," she said, adding that countries across the world had faced debt-related challenges in the aftermath of the Covid-19 pandemic.

Sitharaman on Tamil Nadu's debt concerns

Responding to questions about Tamil Nadu's finances and concerns raised by former state finance minister Thangam Thennarasu over the state's rising debt, Sitharaman said the matter should be debated in the state assembly so that the facts could be presented before the public.

She adopted a similar position on cases filed against former DMK ministers by the ruling TVK, describing them as state-level matters.

Centre's inflation management measures

The finance minister also highlighted the Centre's efforts to contain inflation, saying a dedicated group of ministers had been working since 2014 to maintain price stability through supply-chain management.

Citing measures such as restrictions on rice exports, Sitharaman said the government had sought to protect domestic consumers from rising prices while ensuring that farmers received the minimum support price (MSP).

Per capita income remains a focus

On efforts to raise India's per capita income, Sitharaman said the government was implementing various measures to achieve the objective.

She noted that the economy had faced several global challenges, including the Covid-19 pandemic, wars and fluctuations in fuel and crude oil prices. The government, she said, had worked to ensure that these pressures did not impose an excessive burden on the public and would continue its efforts to raise per capita income.

On Opposition protests over SIR

Asked about Opposition parties protesting alleged irregularities related to the Special Intensive Revision (SIR) and demanding action against the Chief Election Commissioner (CEC), Sitharaman said political groups had several avenues to seek justice.

She said these included approaching courts and holding street protests, adding that both methods were being used by various groups.