Govt pulled out 25 mn people out of poverty, India soon to be third-largest economy: FM

New Delhi, Nov 4,2025: Union Finance Minister Nirmala Sitharaman today said India today stands out as a fast-growing economy and will soon be the third-largest in the world.
While addressing the students at Delhi School of Economics here, the minister said, India stands distinctly on its feet because of its economic strength.
“What is making us literally stand out is the fast movement from the tenth largest economy in 2014 to fifth and the fourth, and now sooner, probably to the third,” she said.
“I am not saying we have become a developed country yet, because Viksit Bharat 2047 lies ahead of us. What is making us stand out is the rapid progress from being the 10th-largest economy in 2014 to the 5th, soon to become the 4th, and probably the 3rd before long,” the minister added.
In another significant remark, Sitharaman mentioned that the government has been able to pull 25 million people out of multi-dimensional poverty. She also emphasised the need to strengthen India-centric research and policy engagement and develop models suited to emerging economies.
She also showed confidence in fiscal deficit saying the government would meet the ambitious fiscal deficit target of 4.4pc for the current financial year. The Centre estimates the fiscal deficit during 2025-26 at 4.4pc of the GDP, or Rs 15.69 lakh crore.
As regards the banking sector, Sitharaman said the balance sheets of public sector banks have improved significantly compared to the twin balance sheet problem they faced 7-8 years ago.
The central government recorded the fiscal deficit for the first half of the financial year 2025-26 (H1FY26) at Rs 5,73,123 crore.
Recent data released by the Controller General of Accounts (CGA) said this translates to 36.5pc of the Centre’s Budget Estimates (BE) for FY26. During the first six months of FY25, the fiscal deficit stood at 29pc of the BE.
CAG report said the Centre’s total receipts up to September amounted to Rs 17,30,216 crore, or 49.5pc of the BE for the year including Rs 12,29,370 crore from tax revenue (net to Centre), Rs 4,66,076 crore from non-tax revenue, and Rs 34,770 crore from non-debt capital receipts.