Share Market Crash / Finance Minister's statement on the fall in the market, said- there is no need to fear

Finance Minister Nirmala Sitharaman said that there is no need to panic due to the selling by foreign investors (FIIs). The Indian economy is strong and the market decline is temporary. FIIs are booking profits due to US tariff threat and global uncertainty. The government is focusing on reforms.

Share Market Crash: During a press conference held recently in Mumbai, Finance Minister Nirmala Sitharaman reassured that the country's economy is strong and there is no need to panic about the selling being done by foreign institutional investors (FIIs) in the Indian stock market. She said that this is a temporary situation and the Indian market is able to recover from these fluctuations.

Market decline: major reasons

Currently, the Indian stock market is going through a phase of selling, due to which investors are suffering huge losses. There are many reasons responsible for this:

US tariff policy: The global market is witnessing volatility due to the new tariffs imposed by the US and changes in trade policies.

Rise in gold prices: Investors are trending towards safe assets, due to which they are withdrawing money from the stock market and investing in gold.

Foreign investor selling: In the last 45-46 days, foreign investors have withdrawn an average of Rs 2,150 crore per day, which has increased the pressure on the market.

Withdrawal of Rs 78,000 crore in January 2024: This figure shows that foreign investors are booking huge amounts of profit, the direct impact of which can be seen on Dalal Street.

Finance Minister's statement: India's economy is strong

The Finance Minister clarified that whenever there is uncertainty at the global level, foreign investors sell to secure their investments. This is seen not only in the Indian market but in all emerging markets. He said that India's economy is in a very strong position and investors do not need to worry.

Suggestions on the new Income Tax Bill

The Finance Minister informed that the government has received more than 60,000 suggestions on the new Income Tax Bill, which makes it clear that the government is working seriously on economic reforms. Also, a plan is being made to open SIDBI branches in every cluster to strengthen the MSME sector.

Conclusion

Volatility in the stock market is nothing new. Such situations arise from time to time due to global tensions and policy changes. However, the fundamentals of India's economy are strong and the government is focusing on the development of all sectors. Investors need not panic, but should focus on long-term investments.