INDIA wants to comply with global sanctions, including US sanctions on Venezuela and Russia, but also needs to maintain its own strength and strategic interests, finance minister Nirmala Sitharaman said in an interview on Tuesday (15).
The US in January imposed the toughest sanctions yet on Venezuela's oil industry. The move has scared away some global customers, but with few alternative suppliers of heavy oil, Indian refiner Reliance Industries Ltd has been buying Venezuelan crude from Russian major Rosneft. The company is set to resume direct oil loadings in the South American nation after a four-month pause.
Sitharaman said the Indian government has expressed its view to the US.
"In specific issues which are critical for India's strategic interests, we have explained to the US that India is a strategic partner for the United States of America and you want a strategic partner to be strong and not weakened," she said.
"We value the strong partnership with the US, but we should equally be allowed to be a strong economy."
The International Monetary Fund earlier on Tuesday lowered its outlook for Indian growth in 2019, citing weaker-than-expected domestic demand.
The US-China trade war will cut 2019 global growth to its slowest pace since the 2008-09 financial crisis, the IMF said.
India's gross domestic product grew at its weakest pace since 2013 between April and June, stoking expectations of further stimulus.
"Global headwinds ... are getting stronger by the day," Sitharaman said.
Asked about further fiscal stimulus, she said: "I have not closed the door" on that.
New Delhi has been trying to boost domestic growth through an infrastructure package and a new loan program organized with the banking sector that has doled out loans worth over Rs 800 billion, she said.
The finance minister defended the government's actions in Jammu and Kashmir in August.
The removal of the constitutional article that granted special status to Jammu and Kashmir will boost the region and the country's economic potential, she said.
Human rights groups say the crackdown is spreading fear among the local population. For decades before India's recent actions, women, scheduled castes, and nomadic tribes were denied human rights in Kashmir, Sitharaman said. "Where was the global community's human rights concern at that time?"
£1.3m needed to join Britain’s top 10% of wealthy families
Average worker would need 52 years of savings to match elite wealth
South East wealth nearly triple the North East
Rising wealth divide in UK
British families now need total wealth of £1.3 million to enter the country’s wealthiest 10 per cent, according to new research that highlights the growing financial divide in post-pandemic Britain. The Resolution Foundation’s ‘Before the Fall’ report reveals that Britain’s stock of wealth continued to grow during the pandemic, reaching a new record high of 7.5 times GDP.
Whilst relative wealth inequality has remained high, the absolute wealth gaps between rich and poor families have grown sharply following the unprecedented mix of economic shocks and policy interventions during the Covid-19 pandemic.
The report reveals that a typical worker would need to save 52 years’ worth of their earnings to join the wealthiest 10 per cent. This shows how building wealth has become nearly unachievable for ordinary workers, with riches now concentrated amongst those who already own homes and have large pension pots. The wealth gap between the richest and middle-income households now stands at £1.3 million per adult, showing how the distance between rich and poor has grown dramatically.
Regional wealth divide
The wealth divide extends across regions, with stark disparities between the prosperous South and struggling North. Median wealth per adult in 2020-22 stood at £290,000 in the South East, compared to just £110,000 in the North East – a gap of £180,000.
This regional inequality reflects decades of uneven economic development, with London and the South East benefiting from higher property values and greater access to high-paying jobs, whilst northern regions continue to face lower house prices and fewer economic opportunities.
Wealth concentration persists
Molly Broome, senior economist, at Resolution Foundation said, “Soaring wealth and an acute need for more revenue has prompted fresh talk of wealth taxes ahead of the Budget next month. But with property and pensions now representing 80 per cent of the growing bulk of household wealth, we need to be honest that higher wealth taxes are likely to fall on pensioners, Southern homeowners or their families, rather than just being paid by the super-rich,”.
The findings paint a picture of a nation where wealth accumulation has increasingly become concentrated amongst those who already own property and have pension savings, making it harder for younger generations and those without existing assets to climb the wealth ladder.
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