FM Nirmala Sitharaman Showcases India’s Investment Edge at UK Investor Roundtable

While on her official trip to London, Finance Minister Nirmala Sitharaman spoke to a group of more than 60 elite UK investors at the India-UK Investor Roundtable and urged them to take the plunge and invest in India. 

Sitharaman extolled the virtues of the Indian economy and its banking sector in particular. She maintained that the Indian banking landscape is open to all kinds of investors, and encouraged them to consider investments in sectors like banking, fintech and insurance. 

Invest in India

The session put together by the Ministry of Finance put forth India as an investment destination and was dubbed as "Making India an Investment Destination." The structure of the session was reminiscent of Invest India sessions. Even the choice of speakers was along those lines. Nirmala Sitharaman, finance minister, spoke at this session. On the eve of an important global financial architecture meeting, the G20 Finance Ministers and Central Bank Governors meeting, it was significant for India to highlight its reform journey.

Spotlight on Banking, Insurance, and GIFT-IFSC

Sitharaman accentuated the great prospects that exist in India's banking and insurance sectors. She mentioned that the country is on track to become the sixth-largest insurance market in the world by the year 2032. She expressed great enthusiasm over this space's projected growth rate of 7.1 percent CAGR between the years 2024 and 2028, making this sector's growth rate one of the most dynamic in the G20.

Furthermore, she emphasized that India is moving toward a cycle of T+1 securities settlements, a next-generation step in capital-market infrastructure. With a total market cap of $4.6 trillion, India ranks fourth among the world's largest capital markets.

She also underlined the GIFT International Financial Services Centre (GIFT-IFSC), India’s premier offshore financial center. With more than 800 registered entities spanning banking, insurance, aircraft leasing, and fintech, GIFT-IFSC offers tax breaks, regulatory simplicity, and the freedom to make transactions in foreign currencies, making it the go-to destination for global capital.

Fintech Surge Captivates Investor Interest

Sitharaman's comments laid a lot of attention to the fintech sector, which, in her view, is bursting with potential in India. The country's adoption rate of 87 percent is far above the global benchmark of 64. This aligns with the perception that the proliferation of funding and fintech innovation in the country positions it favorably to capture more of the digital economy.

The government is backing startups and digital innovation, and Sitharaman made that clear at the Mumbai event. She told potential investors they should consider this high-growth ecosystem.

Strengthening India-UK Financial Ties

The roundtable served also as a space for UK investors to give their feedback on India's policy landscape and express their interest in a more profound collaboration. Several participants, part of the UK investment community, welcomed the reform trajectory and indicated they would be ready for broader engagement.

Sitharaman's trip comes at the same time as the 13th India-UK Economic and Financial Dialogue, during which she will meet her opposite number, Chancellor Rachel Reeves, in the UK. The talks will focus largely on speeding up trade, working to deepen the economic partnership, and pushing the current Free Trade Agreement negotiations to fruition.