Nirmala Sitharaman Rebuts Trump’s “Dead Economy” Remark
Finance Minister Nirmala Sitharaman on Tuesday rejected remarks by U.S. President Donald Trump describing India as a “dead economy,” telling the Lok Sabha that India recorded 8.2 per cent economic growth while the global average stood at around 3.2 per cent. She said the data itself was sufficient to counter claims questioning the strength of India’s economy.
Responding during a discussion in Parliament, Sitharaman said India continues to remain among the fastest-growing major economies in the world, supported by strong domestic demand, public investment, and structural reforms undertaken over the past few years.
Global Comparisons and Economic Performance
The finance minister underlined that India’s growth performance stands out at a time when several advanced and emerging economies are facing slowdown pressures due to global uncertainty, geopolitical tensions, and tight financial conditions. She added that international institutions and rating agencies have acknowledged India’s macroeconomic stability and growth prospects.
Sitharaman also clarified that comparisons made by some global bodies on India’s national accounts were related to technical issues such as base-year revisions and did not reflect economic weakness.
Fiscal Position and Outlook
Addressing concerns on public finances, the minister said India’s fiscal indicators have shown improvement after the pandemic, with the government committed to reducing the fiscal deficit and managing debt levels responsibly. She added that the Reserve Bank of India and other institutions have maintained a positive outlook for India’s growth trajectory.
Political Context of the Remarks
The issue was raised in Parliament after opposition members questioned the government over Trump’s comment. Sitharaman said India’s economic fundamentals remain strong and that global growth comparisons clearly show India’s relative outperformance.
