In response to a question about the FY24 budget during a call with economist Eshwar Prasad at the Brookings Institute in Washington DC, the minister also identified elevated oil prices as one of the top concerns for the economy. “Specifications (of the FY24 budget) may be difficult at this point as it is a bit early. But by and large, growth priorities will remain absolutely top… Inflation concerns also need to be addressed. But then how would you manage the growth would be the natural question,” she said.

The budget for FY24 is due to be presented on February 1, 2023 and the Treasury Department will normally begin its usual pre-budget meetings with stakeholders from November.

Several independent agencies have revised downwards their FY23 growth forecasts for India in recent weeks after the June quarter posted a better-than-expected 13.5 percent economic growth, even on a favorable basis amid growing external headwinds and rising interest rates worldwide.

The International Monetary Fund has lowered its 23-year growth forecast for the country by 60 basis points to 6.8 percent, while the World Bank has fixed it at 6.5 percent. The minister also said that India is in talks with different countries to make Rupay acceptable outside the country as well.

In response to a question about startups considering moving abroad, Sitharaman said the government is ready to speak to them and address their issues to help them stay in the country.

The minister pointed out that the budget proposals will hold the key to how India “will be able to balance the two” (growth and inflation) and ensure the economy grows at a healthy pace. Even multilateral institutions, which recently cut their growth forecast for the country, have stated that “India cannot be weakened,” she added. “So again it has to be a very carefully structured budget where the growth momentum has to be maintained,” she said.

Yellen visits India

According to a PTI report, Sitharaman discussed a range of issues including bilateral relations, the global situation and India’s upcoming G-20 presidency in a meeting with her US counterpart, Treasury Secretary Janet Yellen, on Tuesday. During the meeting, Sitharaman invited Yellen to India to attend the US-India Economic and Financial Partnership Meeting on November 11 in New Delhi.

Yellen later announced that she would be traveling to India next month as she advocated for strong ties between the two nations. Sitharaman is in Washington DC on a five-day official visit to attend the annual meetings of the International Monetary Fund and the World Bank, on the sidelines of which she holds a series of bilateral meetings. FE, PTI