Government is focusing both on manufacturing and services
sectors to generate jobs and boost economic growth, Commerce and Industry
Minister Nirmala Sitharaman on Friday said.

“It is a two-pronged strategy. We are looking at both
services and manufacturing. There is a strategy for both manufacturing and
services,” the minister said at ET Now’s India Economic Conclave (IEC)
here.

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She said the government is also focusing on imparting skill
sets required for both sectors.

The government is investing big time in skill development
and also looking at ways to widen the base of manufacturing to increase its
contribution in GDP to 25 per cent in coming years from the current 13-14 per
cent, Sitharaman added.

“I do not think that we are over-emphasising on
manufacturing, but we need that base to get going with the absorption (of
workforce) at a level which we need,” she made it clear, adding “we
are focusing on manufacturing so that large absorption of labour force can be
brought in”.

She added that the commerce ministry is also putting right
emphasis on the services sector, which contributes over 50 per cent to GDP.

India is progressively moving towards services-dominant
economy and the government is widening the base of that, Sitharaman said.

To a query about growing protectionism and putting across
India’s cause to open up the economies, she acknowledged that it will be a
challenge, but there is also a receptiveness to the fact that the service
sector can only be serviced by countries like India.

“There is a clear understanding that without India and
its services sector, many of the developed economies cannot move,” the
minister added.

India is discussing with all countries to ease the process
of movement of professionals.

“I hope to have some success on that,” she said.

Speaking at the event, Power Minister Piyush Goyal lauded
the demonetisation move of the government.

“You found people waiting patiently for their turn in
queues, even going back home without their turn coming but repeatedly saying
despite media provocation that ‘yes, there is inconvenience, but we are happy
with what this government has done’,” he said.

“That is the change of mindset in India. Indian psyche
is today ready to support bold reforms and take a little inconvenience if it is
for wider national good,” he added.

He said the war against counterfeit notes which used to
support and on which drug money or terrorism used to survive has also been won
by India.