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FM Sitharaman Urges Open, Rule-Based Global Economic Relations Amidst Rising Tariffs
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Moneycontrol•03-10-2026, 17:16
FM Sitharaman Urges Open, Rule-Based Global Economic Relations Amidst Rising Tariffs
- •Finance Minister Nirmala Sitharaman emphasized the need for global economic relations to remain open, predictable, and rule-based, advocating for dialogue and negotiated agreements over geopolitical barriers to trade and investment.
- •Sitharaman's remarks at the Kautilya Economic Conclave 2026 come as the US imposes tariffs, including the new Lindsey O. Graham Sanctioning Russia and Iran Act of 2026, allowing up to 100% tariffs on countries purchasing Russian energy.
- •She stressed that international trade policy should offer certainty for businesses, respect national development priorities, and avoid restrictions that fragment markets.
- •Sitharaman called for a more resilient global economy through diversified partnerships, open markets, honored commitments, and stable movement of goods, services, energy, and capital.
- •The Finance Minister highlighted the importance of a global financial architecture reflecting current growth economies and urged for the strengthening of multilateral development banks to provide larger, faster, and more predictable long-term finance for developing economies. She also called for the private sector to lead R&D, supported by India's Rs 1 lakh crore RDI Scheme, to shift from "Made in India" to "Imagined and Made in India."
Key Questions Answered
The Lindsey O. Graham Sanctioning Russia and Iran Act of 2026 grants the US President the power to enforce tariffs of up to 100 percent on nations that continue purchasing Russian energy.
India's expenditure on research and development stands at 0.83 percent of its GDP, with the private sector contributing only 36 percent of that total amount.
The Rs 1 lakh crore RDI Scheme is built to support the shift in private sector participation and R&D investment as India transitions from Made in India to Imagined and Made in India.
