Amid escalating external trade tensions, Union Finance Minister Nirmala Sitharaman on Friday said the growth story of India is resilient and the country is well equipped to absorb external shocks. We have strong absorption capacity, while our economic leverage is evolving. Whether resilience becomes a platform for leadership or just a cushion against uncertainty will depend on our choices. Therefore, FM Sitharaman said while addressing the inauguration of the 4th edition of the Kautilya Economic Conclave, history teaches us that crisis often precede renewal and geopolitical conflicts are intensifying. Sanctions, tariffs and decoupling strategies are reconfiguring global supply chains, she said.
She described these dynamics as a reflection of both India's vulnerability and resilience and lauded its ability to absorb shocks. The FM said that becoming Vikshit Bharat by 2047 does not necessarily mean India aspires to become a closed economy, as it has to reach 8% GDP growth to reach the 8% GDP growth for a developed nation. This is against the backdrop of a US-India trade dispute, in which Washington imposed an additional 25% tariff on Indian imports, on top of the 25% duty. The global landscape in which we are is changing and it is a zero-sum game. The Indian economy remains robust and growing sustainably.