Union finance minister Nirmala Sitharaman is likely to skip her visit to the United States (US) this month due to the April 16-18 Parliament sitting for the introduction of bills to fast-track the implementation of 33% reservation for women in the Lok Sabha and state assemblies and the setting up of a delimitation commission, people aware of the matter said. The Union Cabinet cleared the bills on Wednesday. Union finance minister Nirmala Sitharaman. (X)
Sitharaman was expected to meet with CEOs in New York City, attend the World Bank and the International Monetary Fund (IMF) spring meetings in Washington DC. In October, Sitharaman skipped the annual World Bank and IMF meetings amid India-US tensions over 50% tariffs on Indian goods, including a punitive levy on Russian oil purchases.
The spring meetings kick off on April 13 against the backdrop of rising energy prices after the US-Israel attack on Iran escalated into a regional conflict and disrupted critical supply chains with the closure of the Strait of Hormuz, a critical chokepoint for global energy shipments. The conflict has disrupted the supply of oil, gas, fertilisers, aluminium, methanol, sulphur, and helium.
The UN Trade and Development estimates that global merchandise trade is expected to slow from roughly 4.7% growth in 2025 to 1.5-2.5% in 2026. Inflation pressures and a pull out of foreign investors are weakening currencies and raising borrowing costs for developing nations.
Sitharaman on Monday described the US-Iran conflict as a “systemic tremor” rippling through the global economy. She added that global debt had surged even as financial shocks, such as the Covid-19 pandemic and the Russia-Ukraine War, damaged global growth prospects.
The IMF and World Bank meetings will focus on a new jobs agenda and driving private sector-led growth. Sitharaman has participated in meetings of the World Bank Development Committee and the International Monetary and Financial Committee since 2019.