Govt regulation should be guardrails, not tollgates: Sitharaman
New Delhi: The government's regulatory philosophy is anchored in enabling growth while keeping risks in check, with rules acting as guardrails rather than tollgates so
New Delhi: The government's regulatory philosophy is anchored in enabling growth while keeping risks in check, with rules acting as guardrails rather than tollgates so as not to hinder business activity, finance minister Nirmala Sitharaman said on Sunday. Sitharaman highlighted deregulation, infrastructure building and macroeconomic stability as key drivers of India's growth. Speaking at the NDTV Profit Business Leadership Awards, she said that the Centre is pursuing a trust-based regulatory framework that facilitates enterprise while protecting public interest. "Our conviction is simple. Regulation should be a guardrail, not a tollgate. Deregulation is a habit we intend to keep," she said. Also Read | Centre plans fresh round of CPSE stake sales via OFS route The finance minister said that the government has undertaken one of the country's most extensive deregulation exercises, with the Centre and states working together to simplify compliance requirements.
As part of the exercise, the government has extended the validity of licences and certificates, replaced several physical inspections with third-party certification and decriminalised routine business lapses, Sitharaman said. Sitharaman's remarks are in line with the Centre's ongoing deregulation drive aimed at replacing approval-based compliance with a trust-based regulatory framework. Over the past two years, the government has decriminalised several business-related provisions, streamlined compliance requirements, expanded faceless and digital approvals, rationalized quality control orders (QCOs) and asked ministries to review and repeal outdated rules, while maintaining regulatory oversight through risk-based enforcement and quality standards. She said that India's long-term growth strategy rests on five pillars, which include a trust-based regulatory system, quality infrastructure, stronger global partnerships, macroeconomic stability and continued investment in future generations.
Also Read | Centre may revive NaBFID-IIFCL merger plan Highlighting the country's economic performance, she said India continues to demonstrate resilience despite an uncertain global environment, with high-frequency indicators pointing to sustained economic activity. She cited GST collections, e-way bill generation, electricity demand, digital payments, vehicle sales, tractor sales and healthy order books as indicators of continued momentum. On infrastructure, Sitharaman said that the government has significantly expanded highways, expressways, airports, ports and dedicated freight corridors over the past decade. The PM Gati Shakti Master Plan has improved coordination across ministries, enabling integrated planning and faster execution of infrastructure projects, she said. She also underscored the importance of international economic partnerships, saying India's expanding network of free trade agreements is creating new opportunities for exporters across sectors, including micro, small, and medium enterprises (MSMEs), agriculture, textiles, leather, handicrafts and organic products.
The BriefWire