A day after the border patrol agreement with China, Finance Minister Nirmala Sitharaman indicated that investment restrictions with border nations are unlikely to be eased. She also highlighted the ‘Four I’s’ as part of an overall strategy to achieve developed nation status by 2047.

“I cannot blindly receive foreign direct investment (FDI) because I want money for investment, forgetful or unmindful of where it is coming from,” she said in an interaction with students at the Wharton Business School in the United States on Tuesday (early Wednesday in India). “We want business, we want investment, but we also need some safeguards, because India is located in a neighbourhood which is very, very sensitive,” Sitharaman added.

The place of origin of some investments could spark the concern of authorities, rather than the identities of investors, she said while adding, “So such restrictions will be in place in the national interest.” The dispute between India and China led to stagnation in ties at a time of exploding demand for electric vehicles, semiconductors and artificial intelligence, key growth areas offering opportunities for co-operation. India stepped up vetting and security clearances in 2020 to scrutinise investments from companies based in neighbouring countries.

Talking about the road map to achieve developed nation status by 2047, she said India is at a critical juncture. “We have set ourselves a destination of becoming a developed nation in 2047. Infrastructure, which includes physical as well as digital infrastructure. Investment, which includes both public and private. Investment. Then, there is innovation and finally inclusiveness. These 4 ‘Is will address the rough path through which we want to become a developed nation by 2047,” she said.

Talking about the digital access that the government has given to its citizens, she said that it is a very powerful instrument. “They have adapted to the technology, we’ve seen the outcome. Today, India wouldn’t have been the fastest growing economy if the people hadn’t utilised the digital infrastructure, which was available to them at free of cost,” she said.

The most important part is inclusiveness, Sitharaman said, “In everything that we do, we want to make sure that everybody gets included.” She also said, “Affirmative action is given in the Constitution. You will have to uplift the poor; you will have to uplift.

Sitharaman said the third focus area is innovation and stressed the need for innovative solutions for the problems specific to India and its aspirations. “For many of the things that we want solutions for cannot be made somewhere and then brought here. The costs will go up and they may not be appropriate to the situation for which we want a solution. We want in-situ solutions for many of our problems. That itself becomes the challenge for innovations to work out,” she said.

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