Global Statistics

All countries
704,753,890
Confirmed
Updated on May 20, 2024 2:53 am
All countries
560,567,666
Recovered
Updated on May 20, 2024 2:53 am
All countries
7,010,681
Deaths
Updated on May 20, 2024 2:53 am

Global Statistics

All countries
704,753,890
Confirmed
Updated on May 20, 2024 2:53 am
All countries
560,567,666
Recovered
Updated on May 20, 2024 2:53 am
All countries
7,010,681
Deaths
Updated on May 20, 2024 2:53 am
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FM Sitharaman stresses on attracting private investment to develop urban infra

On Sunday, Finance Minister Nirmala Sitharaman emphasized the importance of adopting innovative strategies to attract private investment, bridge financing gaps, and promote sustainable infrastructure development in cities. Speaking at the ‘G20 Infrastructure Investment Dialogue’, she highlighted the challenges posed by tight monetary policies and their impact on interest rates and debt repayment burden.

Sitharaman emphasized the significance of innovative financing and funding mechanisms for cities, which could effectively address the growing funding gaps. These mechanisms, she stated, could complement existing funds for infrastructure, alongside public investment and financing from Multilateral Development Banks (MDBs). The minister stressed the need for alternative solutions to encourage private sector participation, mentioning various innovative financing instruments such as blended finance, structured project finance, securitization, thematic bonds, biodiversity offerings, and local currency finance.

Additionally, Sitharaman argued for the establishment of an ecosystem that enhances the creditworthiness of urban local bodies through appropriate policies and regulatory frameworks. She emphasized that investment decisions in urban infrastructure would significantly impact the future of cities and the quality of life for upcoming generations.

In her opening remarks, the minister highlighted the vital role of infrastructure in delivering public good and fostering shared prosperity, aligning with the core value of India’s G20 Presidency – ‘Vasudhaiva Kutumbakam’. Addressing the challenges faced by rapidly urbanizing cities, she pointed out that 55% of the world’s population currently resides in urban areas, a figure expected to rise to 68% by 2050. To accommodate this growth, substantial investments in infrastructure will be necessary.

Sitharaman also shared information about the GIFT International Financial Services Centre (IFSC), which has been designated as a special international financial jurisdiction with business-friendly regulations, a competitive tax structure, and a focus on ease of doing business. She noted the significant progress of GIFT IFSC, with over 400 registered entities in various business segments, including banks, capital markets, insurance, fintech, and aircraft leasing, reflecting healthy and increasing participation from international and domestic financial institutions.

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