Finance Minister Nirmala Sithaman called on Saturday to redefine multilateral institutions to provide effective supervision because the country is investigating the tokenization of the currency, warning of increasing complexity and lack of global frames to modify this shift.
When she talked about publishing a book, World in Flux: India’s Economic Priorits, in New Delhi, she said that multilateral institutions have not been left in Limbo for the last 100 years.
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The Minister of Finance said this applies to financial and strategic institutions. Every multilateral institution that has successfully served earlier now wonders where it will be, what its immediate future will be and how it is defined.
Her concerns about the tokenization of the currency – the transformation of money into digital tokens into a blockchain or a distributed book – at a time when cryptocurrencies are increasingly getting into the financial world.
The Indian reserve bank warned several times that virtual currencies are risky.
However, the US government under President Donald Trump encourages more innovations in this area.
In January, Trump signed a powerful order to ensure Washington’s management in digital financial technology. He then set up a working group for the development of the Federal Regulatory Framework to modify the digital asset, including the Stablecoins, and evaluated the creation of a strategic national digital asset.
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Trump also abolished the “framework of the Ministry of Finance for international engagement in the field of digital assets that suppressed innovation and undermined US economic freedom and global leadership in digital financing”.
The US is also trying to become the “crypto of the capital of the planet”, according to the presidential order.
Sithaman said that a multilateral institution must be redefined. “If you could go to the currency without a gold pad sometime in the age of 70.
The Minister also asked if there was any framework under which some countries could unilaterally take this path. “Who will supervise these kinds of things?”
The Minister said the depth and complexity of the situation increased.
Book, World in Flux: Indian economic priorities, edited by Amor Batra, former chairman in the center for South Asian studios and AK Bhattacharya, editorial director of Business Standard, published Rupa Publications India PVT. Ltd.
Sitharaman also said in response to the question of normalizing economic ties with China that it is right to point out that there are requirements for greater approach and interaction with China and possibly open some windows.
“This is not only on our part, even the Chinese were approaching through the Ministry for External Affairs,” the Minister said with reference to a recent visit to the Minister of Outside S. Jaishankar in China.
“There’s a beginning. As for how far it goes, there will be something we have to wait and see,” the Minister said, adding that it could help the economy and would have to be built a sense of caution.
Asked about investment in the economy, she said that the balance sheets of companies and banks have become healthier and the rate of income tax tax has been reduced to increase the investment.
Sitharaman referred to what the Minister heard from observers and her own interactions with the leading businesses, and asked if businesses were sitting on passive and investable means. “This means that investable funds that deal passively than investing and expanding capacity. This is a problem that I would apparently want to speak to this industry.”
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She said in the store that bilateral business had now preferred a multilateral trade, although she could not comment on the merit of this trend.
The Minister added that negotiations on business agreements are well proceeding with the US and the EU.
(Tagstotranslate) Minister of Finance
