FM Sitharaman Calls for Stronger Private Investment Across BRICS Economies

Sitharaman said BRICS countries are important engines of global economic growth, yet mobilising private capital at the required scale remains a shared challenge.

Union Finance and Corporate Affairs Minister Nirmala Sitharaman has called for stronger cooperation between governments, multilateral development banks and businesses to unlock private investment across BRICS economies, stressing that public spending should create the conditions for private capital rather than replace it. She was delivering the keynote address at a seminar on the role of the New Development Bank (NDB) in mobilising private capital in member countries, held on the sidelines of the BRICS Finance Ministers and Central Bank Governors Meeting in Jaipur.

Sitharaman said multilateral development banks can make projects more attractive to investors by reducing risks, improving financial viability and building confidence, particularly when countries require large and sustained investments in infrastructure and other development priorities.

Public Investment Should Bring in More Private Capital

Drawing on India's experience, Sitharaman said the government has significantly expanded public capital expenditure compared with a decade ago, creating infrastructure across highways, railways, ports, logistics, digital networks and energy systems. She described public capital as a catalyst for wider investment, with reforms designed to create opportunities for businesses and institutional investors to participate.

Measures such as Viability Gap Funding, the Hybrid Annuity Model for roads and credit enhancement mechanisms have been used to address project financing and risk-sharing challenges. Infrastructure Investment Trusts have provided another route to recycle capital and bring long-term institutional investors into infrastructure assets.

Gati Shakti and Infrastructure Pipeline Support Investors

The National Infrastructure Pipeline has provided longer-term visibility into India's infrastructure plans, while PM Gati Shakti has been used to improve coordination in multimodal connectivity and infrastructure development. Sitharaman also highlighted measures announced in the Union Budget 2026-27, including new Dedicated Freight Corridors, High-Speed Rail Corridors, operationalisation of new National Waterways and a Coastal Cargo Promotion Scheme.

These initiatives are expected to create additional opportunities for private companies across construction, transport, logistics, financing and related infrastructure services.

BRICS Needs Stable Frameworks to Attract Investment

Sitharaman said BRICS countries are important engines of global economic growth, yet mobilising private capital at the required scale remains a shared challenge. Access to money alone does not guarantee investment, with businesses and financial institutions also looking for stability, predictable policies, manageable risks and credible long-term frameworks before committing significant capital.

The Finance Minister said development finance increasingly depends on partnerships where governments, multilateral institutions and private businesses contribute their respective capabilities.

NDB Seminar Brings Policymakers and Industry Together

New Development Bank President Dilma Rousseff delivered a special address at the seminar, while Department of Economic Affairs Secretary Anuradha Thakur said capital mobilisation must be supported by resilient frameworks that can withstand changing economic conditions.

The event also brought together senior policymakers, financial institutions and business representatives for a panel discussion featuring IRDAI Chairman Ajay Seth, NDB Vice-President Roman Serov and representatives from Tencent, Tata Capital Decarbonisation Fund and other institutions across BRICS countries.