Balancing the Books: A Call for Fiscal Responsibility

Finance Minister Nirmala Sitharaman emphasized the importance of depoliticizing public finance discussions, highlighting the need for fiscally prudent borrowing to avoid long-term debt burdens. Launching the 'NITI NCAER States Economic Forum' portal, she stressed responsible financial management and praised data transparency efforts by MOSPI to support state economies.

Finance Minister Nirmala Sitharaman on Tuesday urged leaders to avoid politicizing public finance matters, stressing their long-term impact on both the central and state governments. Speaking at the launch of the 'NITI NCAER States Economic Forum' portal, she advocated for responsible borrowing and debt management strategies to prevent future burdens.

Sitharaman underscored the dangers of excessive borrowing, noting that some nations are struggling with significant debt, which may take generations to resolve. She highlighted the temptation to push for rapid economic growth through borrowing and called for thoughtful financial decision-making.

The finance minister acknowledged the collaborative financial decision-making process within the GST Council. She also praised the Ministry of Statistics and Programme Implementation (MOSPI) for improving data reliability and transparency, which supports responsible fiscal practices across the Indian states.

(With inputs from agencies.)