Economic Counsellor and Director of the Research Department at the International Monetary Fund (IMF), Gita Gopinath met with Prime Minister Narendra Modi on Monday in the national capital. The Prime Minister's Office posted pictures of PM Modi with Gopinath on its official Twitter handle. The Economic Counsellor is an US citizen who was born in India and also earned a B.A. from Lady Shri Ram College, Delhi and M.A. degree from Delhi School of Economics.
Earlier, Gita Gopinath in an interview with news agency PTI had reflected upon the drop in the GDP growth rate of India and advised that the policy priorities of the government should include a credible fiscal consolidation path that is more ambitious than currently envisaged by the government. She added that this was needed to reduce the high level of debt and crowding out which would free up financial resources for private investment while it should also be driven by subsidy-spending rationalisation. While responding to a question on PM Modi's vision of $5 trillion economy in the same interview, Gopinath termed the vision as 'appropriate' and also hailed the country's commitment to the rural economy, boost infrastructure spending, streamline the Goods and Services Tax (GST).
The Economic Counsellor and Director of the Research Department at the IMF had also advocated three policy priorities for the Indian government which included accelerating the clean-up of the banks, other financial institution, and corporate balance sheets and enhanced governance of public sector banks to revive bank credit and enhance the efficiency of credit provision. The other two policy priorities included fiscal consolidation over the medium term and labour, land, and product market reforms.
(With Agency Inputs)