India, Sept. 17 -- The GST reforms will infuse Rs.2 lakh into the Indian economy, Union Finance Minister Nirmala Sitharaman said on Wednesday. That effectively means more cash in hand for people in the world's most populous country.

"With this new gen tax regime, with only two slabs (5% and 18%), Rs.2 lakh crore is injected into the economy. People will have cash in hand," the finance minister said during an event in Visakhapatnam on Wednesday. India Inc. is now voluntarily coming forward and passing on the full benefits of GST rate cuts to consumers, even before 22 September - the date when GST reforms come into effect, she said.

On 4 September 2025, the GST Council led by Sitharaman reduced levies on hundreds of items-from soaps to sm...