FM Sitharaman Urges Confronting Global Imbalances at Kautilya Economic Conclave

By A Staff Reporter

New Delhi: Union Finance Minister Nirmala Sitharaman on Friday highlighted the pressing need to address structural global imbalances, speaking at the inauguration of the 4th edition of the Kautilya Economic Conclave.

Sitharaman pointed out that trade, financial, and energy imbalances have become defining features of the current global economy. “In a world of profound imbalances, trade imbalances have hollowed out industries in some nations while creating overcapacity in others. Financial imbalances have concentrated wealth in speculative sectors while depriving the real economy of investment. Energy imbalances have made some societies chronically dependent on costly imports, even as others subsidise their industries with cheap carbon-intensive power,” she said.

She emphasised that these challenges cannot be addressed through reactive measures alone. “These imbalances have become structural features of our world. So the task before us, therefore, is not simply to manage uncertainty but to confront imbalances,” Sitharaman added, urging policymakers, industry leaders, and economists to develop strategies that promote equitable and sustainable growth.