Finance Minister Nirmala Sitharaman said on Monday that India provides substantial returns to investors who reserve profits. Addressing a request concerning the sales activities of foreign institutional investors (FII), Sitharaman has mentioned that India offers an environment where investments generate favorable yields.
“The Indian economy today has an environment in which investments are gaining good yields and the reservation of profits also takes place,” FM Sitharaman told journalists in a post-budget interaction in Mumbai.
The FIIs have started to sell stocks largely since October 2024. They sold a total of Rs 1.7 Lakh crore or $ 20 billion in domestic shares. Also in January 2025, they remained net sellers in almost all sectors, with the exception of chemicals, media and telecommunications. In January, the FIIs sold 22 of the 23 days of negotiation. February should also follow the trend.
Meanwhile, the finance secretary Tuhin Kanta Pandey noted that during periods of global volatility, such as the current situation, the FIIs often return to their countries of origin, mainly the United States. He stressed that India remains the major great economy for the fastest growth and is expected to continue its growth trajectory.
The Minister said that in the last three budgets, the Indian government has taken on significant measures to improve the commercial environment of MPMs. She said that it would be incorrect to say that the objective has now passed from CAPEX to consumption, and added that the public sector has put its own resources nearly Rs 4.8 Lakh to shoot Apex.
FM Sitharaman said the center expects states governments to facilitate regulations related to compliance with the ease of business.
On budget announcements in 2025, she said that the government was very aware of deadlines and wants to ensure that each budget announcement touches the land at the right time. Regarding the income tax law, she said that a limited committee would examine the details. The minister said that 60,000 inputs came online to make this bill.
FM Sitharaman said: “I have a lot of interest in simplifying language so that a person can understand.” She also asked budget manufacturers to bring out the FAQ on everything they do so people can read it before the media published it in the newspaper.
Sitharaman explained that the measures of the government’s offer, as well as the initiatives of the reserve banking request, actually work together to manage the increase in prices and inflation.