'Country's defence cannot be compromised': FM Nirmala Sitharaman

New Delhi: Union Finance Minister Nirmala Sitharaman on Sunday underscored the government's focus on national security, emphasising that it cannot be compromised, and managing "conflicting demands" remains the biggest challenge for any Finance Minister.

Addressing the Youth Dialogue on Budget 2026, the FM stressed that the country's defence preparedness cannot be compromised, citing Operation Sindoor as a result of continuous investment in defence over the last decade.

"The country's defence cannot be compromised. Operation Sindoor told you what kind of money spent in the last 10 years has come of help," Sitharaman said.

Recalling her earlier tenure as Defence Minister, Sitharaman said there was a time when soldiers lacked basic equipment.

"Bulletproof jackets were not available for our soldiers. They would have a gun in their hand, but they didn't have the bullet which goes into it." Highlighting that they need to balance farmers' welfare with national security, she said, "You want your nation to be secure. At the same time, you want the farmers to produce enough. Even if they produce, who is going to buy it from them and if they are bought, they should be bought at a reasonable price. Equally, that price may not be suitable for the market because consumers might say it's too expensive. We'll have to ensure that some kind of subsidy is provided."

"So, there are conflicting demands. Managing the conflicting demand is the problem which every finance minister faces," she added.

The FM also asserted that raising taxes is not always the solution to acquire additional resources, but money is required for the nation's needs.

Recalling the fiscal challenges posed by the COVID-19 pandemic, she called it a "special, unique and once-in-a-century problem." She said the PM Narendra Modi clarified that taxes are not to be raised on citizens despite the need to procure vaccines.

"The Prime Minister was very clear. I don't want a one-rupee tax put on the citizens, but we needed to get a vaccine, whether produced in India or imported. Life was to be saved. We can't ask a citizen to pay 500 rupees for one injection," she said.

She acknowledged that the government had to borrow significantly during the crisis to meet urgent needs. However, once the economy showed clear signs of recovery and growth, the focus shifted to reducing debt and restoring fiscal balance.

"There were times during these last 5-6 years when we had to, without fear or without any hesitation, borrow money and perform. But once we recovered from it and there was a very clear sign of growth happening, we had to repay the money, get out of the debt situation sooner so that our citizens are not burdened," she said.

(ANI)