The Prime Minister Narendra Modi on Friday stressed on the promotion of private sector, but also asserted the importance of public sector in banking and insurance.

Speaking on a webinar on financial services in this year’s budget, PM Modi said, “Our endeavour is to promote private sector business but public sector banks and insurance sector have an important role in the country.”

“Looking at long-term financing needs of infrastructure and industrial projects, we’ve built a new Development Finance Institution,” he added as quoted by the Economic Times.

Stating that his government understood the importance of banking and insurance sector, the Prime Minister said that the privatisation of two banks and raising the FDI in insurance would increase the scope to grow for both the sectors.

“There is still a great scope for the banking and insurance sectors to grow in Indian economy. Keeping this in mind, we have taken a lot of steps in this year’s Budget – be it our decision to privatise two Public Sector Banks, raising FDI limit to 74% in insurance or our decision to bring LIC IPO,” he said.

PM Modi was also seen backing his government against criticisms coming from the oppositions and other corners on their drive to privatise major government resources.

“The government has also opened up agriculture, coal, and space sector among others for businesses.

“I’m willing to stand by decisions that have been taken with right intentions. The governement is aware that not all business ventures will be successful.

“The private sector needs to brainstorm how to bring innovative financial products for this sphere of the society,” he said.

Saying that the country’s banking sector was hurt in the name of aggressive lending a decade back, PM Modi said that this time the government’s vision was clear about the financial sector and there was no “ifs and buts”.

Earlier in the day, PM Modi addressed the 33rd Convocation of The Tamil Nadu Dr. M.G.R. Medical University. He said that during the last six years, MBBS seats in the country have increased by more than 30,000, a rise of more than 50 per cent from 2014.

“The number of Post Graduate medical seats has been increased by 24,000 which is a rise of around 80 per cent from 2014,” Modi said.

The Prime Minister pointed out that in the last six years his government has approved 15 new AIIMS.

“In 2014, there were six AIIMS in the country. In the last six years, we have sanctioned 15 more AIIMS across the country,” the Prime Minister said.

Talking about the role of doctors in the society, Modi said that doctors are among the most respected professionals in our country and today, after the pandemic this respect has gone up even more.

“This respect is because people know the seriousness of your profession where many times, it is literally a life and death question for someone,” he said.f