Piyush Goyal Warns Against Populist Handouts, Emphasizes Long-Term Economic Strategy

Union minister Piyush Goyal cautioned that populist policies could harm the country in the long term, despite short-term benefits. He highlighted the focus on youth empowerment through skill incentives and addressed recent budget adjustments designed to bolster investments and the startup ecosystem, aiming for a $2 trillion export target by 2030.

Union minister Piyush Goyal on Saturday warned that populist handouts and doles could place the country in jeopardy, emphasizing that these measures might appear beneficial in the short term but would be detrimental in the long run. Speaking at a post-budget discussion, Goyal stressed the government's shift towards empowering youth through skill incentives.

He noted that the increased budget allocation of Rs 2 lakh crore for skilling initiatives aims to improve youth employability. Goyal also addressed concerns about capital gain announcements in the Budget, stating that they would have no impact on Foreign Institutional Investors (FIIs) and urged an end to fear-mongering over these changes.

Furthermore, the removal of the Angel Tax in the Budget is intended to strengthen the startup ecosystem and encourage investment. The minister highlighted the government's export target of USD 2 trillion by 2030 and the objective of positioning India as the world's third-largest economy. He credited strong macroeconomic policies as the driving force behind India's 8 percent growth rate over the past three years, describing India as the world's growth engine.

(With inputs from agencies.)