Impact of digitisation on rural economy yet to be measured: FM Sitharaman to Network18

Finance Minister Nirmala Sitharaman

The impacts of digitisation and connectivity on the rural economy are not coming through in current economic indicators, FM Nirmala Sitharaman said in an interview with Rahul Joshi, Editor-in-Chief, Network18 on February 2.

"Indicators with which we are looking at the rural economy may vary, newer indicators may tell us a different story. FMCG data is one indicator. But better connectivity, digitisation (in rural areas) are yet to be measured," said the Finance Minister a day after she presented the interim Budget.

She also said that college recruitments, and hiring in top institutions like IIMs are important, but jobs created in middle and lower order are not being counted when talking about employment in the economy.

"I am not sure I will be able to describe what is happening in the rural economy. Let us recognise there is a lot of shift in employment, let us recognise migration is now looking at redefining itself," she further said.

Catch all LIVE updates on mega interview of FM Sitharaman with Network18.

Sitharaman, on February 1, presented a carefully crafted interim budget with a focus on government-led spending on roads and ports to spur economic growth while adhering to the fiscal consolidation glide path.

The interim budget also described as the 'vote on account', the last before the country heads to the Lok Sabha polls due by May, outlined the contours of the macroeconomic framework to turn the country into “Viksit Bharat” (a developed India) by 2047, with a focus on GYAN, an acronym for four key demographics — poor (G for garib), Youth (Y for yuva), farmers (A for annadata) and women (N for narishakti).

Infrastructure creation, along with fiscal discipline, has stood as the signature characteristic of the Narendra Modi government since it assumed power in 2014, riding on a landslide election victory.

In her sixth budget, too, Finance Minister Sitharaman also focused considerably on capital expenditure and fiscal prudence.