Prime Minister Narendra Modi on Friday said both the public and private sectors need to leverage synergies and think out of the box to seize opportunities arising as a result of the emerging global environment.

He was interacting with economists and analysts at the Niti Aayog ahead of the budget to be presented on February 1.

The meet took place a day after the NSO reported two strong positives: inflation tumbled to a 1-year low of 5.72 per cent in December and IIP growth came in at an unexpected 7.1 per cent in November.

On the macro front, there are two concerns: core inflation remains sticky at 5.75 per cent, while CAD (current account deficit) has widened to 4.4 per cent in Q2.

The Centre raised capital expenditure by 35.4 per cent to Rs 7.5 lakh crore in Budget 2022. There is pressure on the government to do so again.

During the meeting, economists offered suggestions on ways in which India can sustain its development momentum, it added. They said that due to its resilience, India has emerged as a bright spot on the turbulent global stage.

Finance minister Nirmala Sitharaman and senior government functionaries were present at the interaction. Niti Aayog vice-chairman Suman Bery and other members were also present, said sources.

Economists who participated in the meeting included Shankar Acharya, Ashok Gulati, and Shamika Ravi.

Modi said while there were risks, the emerging global environment offers new and diverse opportunities in areas such as digitisation, energy, health care and agriculture.

The Prime Minister noted the success of the India Digital story and the rapid adoption of fintech across the country, and the potential for inclusive growth and development it promises.

The release further said participants offered practical measures on ways in which India could prudently sustain its development momentum.

Recognising that the underlying global headwinds are likely to continue, strategic recommendations were also shared for further strengthening India’s resilience. “There was agreement that due to its resilience, India has emerged as a bright spot on the turbulent global stage,” the release said.

It was suggested that new growth impulses would need to build upon this foundation through holistic development across all sectors.

The budget session is set to commence on January 31 and will continue until April 6, Union minister of parliamentary affairs Pralhad Joshiannounced on Friday.