India’s Economic Fundamentals Strong as Exports Hold Steady, Says Piyush Goyal
Services Growth and Stable Exports Support External Position
New Delhi, March 17: Union Minister Piyush Goyal on Tuesday said that India’s economic fundamentals remain robust, supported by steady export performance and multiple strengths in the external sector.Addressing the Lok Sabha, Goyal noted that India is entering a new phase in global trade engagement, which is expected to strengthen its international presence and deliver long-term economic gains.
He highlighted that services exports have been witnessing consistent monthly growth, while merchandise exports have remained flat up to February, indicating stability rather than decline.
March Export Trends Show Signs of Recovery
Goyal pointed out that exports saw some weakness during the first week of March. However, momentum improved in the second week, turning positive, and exports are expected to stabilise by the end of the month.This trend, he suggested, reflects resilience in India’s trade performance despite short-term fluctuations.
Services Surplus Offsets Trade Deficit
Elaborating on the external sector, the minister explained that the current account deficit is influenced by multiple components, including the goods trade deficit and the services trade surplus.He emphasised that India’s strong services surplus plays a crucial role in balancing the merchandise trade gap, providing stability to the overall external account.
Remittances and FDI Add Strength to Economy
Goyal also underlined the role of remittances and foreign direct investment in reinforcing India’s economic position. He said the country continues to receive substantial remittance inflows while attracting strong FDI, with new records being set consistently.According to the minister, there is increasing global interest in expanding trade ties with India, reflecting confidence in its economic trajectory.
Focus Shifts to Balanced Trade Agreements
Highlighting trade policy, Goyal said India has expanded its engagement with developed nations in recent years, creating fresh opportunities for exporters.He noted that earlier free trade agreements were often signed with competing economies, which posed challenges for domestic industries. In contrast, the government is now focusing on balanced trade agreements designed to benefit exporters, farmers, fishermen, and micro, small and medium enterprises.
India-UK Trade Pact May Be Operational Soon
Referring to the proposed India-United Kingdom trade agreement, Goyal said efforts are underway to operationalise the pact soon, possibly as early as next month.He added that such agreements are expected to open new markets for Indian goods and services, creating significant opportunities for exporters and strengthening the country’s global trade footprint.
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