Finance Minister Nirmala Sitharaman has said that the country’s growth will be driven by revenue expenditure. Sitharaman, who chaired the second BRICS meeting of finance ministers and central bank governors (FMCBGs) chaired by China, said BRICS should continue to engage in dialogue for a sustainable restructuring and serve as a platform to facilitate the exchange of experiences, concerns and ideas for rebuilding a sustainable and inclusive growth trajectory.

Turning to India’s growth prospects, she said economic growth would continue to be supported by fiscal spending and investment, underpinned by growth at the macro-level and fuelled by inclusive welfare.

The government has proposed a significant increase in public investment by raising capital expenditure by 35.4% to Rs 750 lakh crore or 2.9% of GDP in the current financial year.

BRICS finance ministers and central bank governors also discussed other BRICS financial legacy issues, such as infrastructure investment, the New Development Bank (NDB), the BRICS Contingent Reserve Arrangement (CRA), etc.