.”
New Delhi: Finance Minister Nirmala Sitharaman has assured that the government is closely monitoring currency fluctuations amid the rupee’s slide against the US dollar, while unveiling major GST reforms aimed at reducing prices on hundreds of goods. She also launched a sharp attack on Tamil Nadu’s ruling DMK, accusing it of adopting a “separatist mindset” to divert attention from corruption and rising crime.
Speaking to PTI, Sitharaman said the rupee’s decline was not unique to India, attributing it to global dollar strength. “The rupee slide is largely against the dollar, not against any other currencies. This is the case with many currencies worldwide. So we are keeping a good watch on this,” she said.
The rupee hit an all-time low of 88.27 against the dollar on Friday before recovering slightly, with Reserve Bank of India intervention helping contain further losses. The fall comes amid concerns over the US decision to double tariffs on Indian goods to 50%, including an additional 25% duty on imports of Russian crude oil.
The tariffs, which took effect on August 27, impact sectors including textiles, gems and jewellery, shrimp, leather, chemicals, and machinery — though pharma, electronics, and energy products remain exempt. The US accounts for nearly 20% of India’s exports, with bilateral goods trade at USD 131.8 billion in 2024-25.
Sitharaman hailed the recent GST overhaul as a “people’s reform,” saying nearly 400 products will become cheaper starting September 22, the first day of Navaratri.
The new GST structure collapses the existing 12% and 28% slabs, leaving just two major rates — 5% for common-use goods and 18% for others. Bread, milk, and paneer will remain tax-free, while a 40% slab will apply only to sin goods and ultra-luxury items.
“This reform touches the lives of all 140 crore people. Every single person will benefit,” Sitharaman said, adding that she will personally monitor whether companies pass on tax cuts through lower prices. Automakers, apparel brands, shoe manufacturers, and insurers have already announced price reductions.
In a separate interaction, Sitharaman criticised the DMK government in Tamil Nadu, alleging it was focusing on emotive Dravidian identity issues rather than addressing corruption, caste-based violence, and crime.
“Their time is spent on not looking at these incidents but bringing separatist logic. They allege their tax money is going to Bihar. Is Bihar in Pakistan? Separatist mindset dominates the so-called Dravidian model of politics,” said Sitharaman, who hails from Tamil Nadu.
She cited incidents of water contamination targeting Dalits, rising drug abuse, caste-based honour killings, and crimes against women as failures of governance. She expressed confidence that the BJP-AIADMK alliance would challenge the DMK-Congress-Left combine in the upcoming state elections.
Rejecting DMK’s claim that the BJP is against Dravidian interests, she said, “There can be no bigger bogus argument. How do they define Dravidianism? Who are Tamil Nadu BJP leaders — are they not from Tamil Nadu?”
Sitharaman also contrasted the corruption allegations against DMK ministers with the “clean image” of the Modi government, highlighting Centre-led infrastructure and development projects in Tamil Nadu.
