Inequality is better bridged nowadays in India than ever before: FM Sitharaman
Finance Minister Nirmala Sitharaman emphasised the significant strides India has made in reducing inequality over the last decade. The minister, while addressing an audience at Columbia University, noted that India’s policies have been pivotal in bridging inequality across various segments of society, with a comprehensive approach to financial inclusion, poverty alleviation, and infrastructure development.
“Inequality is better bridged nowadays than ever before,” Sitharaman said on Tuesday, crediting several government-led initiatives that have made tangible differences in people’s lives. She highlighted schemes such as collateral-free lending, interest subvention, affordable housing, and access to basic necessities like gas cylinders and sanitation facilities. “These measures have targeted different aspects of poverty, not just on paper, but through real-world impact,” she added.
One of the key drivers of reduced inequality, according to the Finance Minister, has been the government’s focus on financial inclusion. The number of adults with bank accounts in India has more than doubled since 2011, allowing previously underserved populations access to savings and credit facilities. “Digital financial inclusion has brought millions into the fold, creating a larger pool of savers and investors, which in turn strengthens the overall financial system,” she explained.
Sitharaman also touched on the importance of infrastructure and digital development in ensuring equitable growth. Mega projects like Bharatmala and Sagarmala, aimed at improving connectivity across India, have driven investments in key industries. “Our banking system has remained robust with low non-performing assets and high capital adequacy ratios, enabling it to provide the necessary credit to fuel investment,” she said.
Additionally, the Finance Minister also underscored the role of social security programs like Ayushman Bharat, which have provided health insurance to millions of poor families, ensuring access to quality healthcare and reducing financial disparities.
“Our comprehensive approach to life has ensured that inequality is being bridged on multiple fronts,” Sitharaman reiterated, adding that the groundwork laid in the past decade positions India strongly for continued economic growth and prosperity, while reducing inequality.