India’s Centre and state governments are exploring innovative funding strategies, emphasising private capital and cooperative federalism, to realise the Viksit Bharat long-term development vision during a pivotal finance conference in New Delhi.
India’s Centre and state governments have opened talks on how to pay for the country’s long-term development drive, with the first conference of state finance ministers and finance secretaries focusing on the funding needs behind the Viksit Bharat agenda. The meeting, held under the theme “Financing India’s Journey towards Viksit Bharat”, brought together officials from states and Union Territories with legislatures, as well as economists and financial experts, to examine the macroeconomic outlook and the resources needed for growth. According to NDTV Profit, the discussion centred on the financing challenges and opportunities tied to India’s development ambitions.
Business Standard reported that the two-day conference in New Delhi also examined the impact of GST 2.0 on states, alongside private financing for Viksit Bharat, financing for agricultural markets, renewable energy and transmission assets, and carbon capture, utilisation and storage. The agenda included three broad sessions on the macroeconomic outlook, agricultural transformation and the energy transition, reflecting the government’s view that India’s development strategy will require much more than routine budget support.
The Hindu BusinessLine reported that N K Singh, former chairman of the 15th Finance Commission, used the platform to call for a fresh economic compact between the Centre and the states. He argued that a Viksit Bharat financing strategy would depend on higher savings, stronger private investment, prudent state finances and deeper cooperative federalism, with states competing on development outcomes while sharing policy lessons. Moneycontrol separately reported that Anuradha Thakur, the economic affairs secretary, said private capital would have to play a critical role if India is to meet the scale of funding needed.
Experts including Sajjid Z Chinoy, Samiran Chakraborty, Ashima Goyal and Harsh Kumar Bhanwala also took part in the sessions, according to NDTV Profit, adding views on the wider economic backdrop and the practical constraints facing the financing plan. The finance ministry said the exercise was guided by a “Team India” spirit, with the Union and state governments expected to work together on investment, infrastructure, agriculture and the energy transition as India pushes towards its long-term development goal.
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