India, Sept. 7 -- Increased consumption may well help the government end the financial year with no impact on revenue on account of the rationalisation in GST rates, finance minister Nirmala Sitharaman said. In an interview, she added that her focus will now shift to ensuring the transmission of the rate cuts, which, while not being motivated by the tariffs levelled by the US on Indian exports, could help offset their impact. Edited excerpts: Big ones. What's next is September 22. I will have to see how it plays out on the ground; how people benefit from it. There's a general feeling that bureaucracy operates at a glacial speed, does not deliver; does not understand the mandate with which a government is formed; and that therefore most promises made do not see the light of day within that term. Here is a case of bureaucracy, across India, working simultaneously, with clarity. I enjoyed this phase. It was rigorous. It was intense. It was like taking a tough exam. And passing. For the entire team. Whether this benefits people is a different exam - and I will take that too. The rejuvenation I feel. that's the reward for the sweat and toil, I suppose. Yes, I am very happy with the teams, both direct and indirect taxes, working with me. Each issue was a challenge; going through Covid and coming out of it was no less a challenge. But, I don't see this as my win. Unless the people of India respond to the changes being undertaken. and we are seeing them respond, that's why you are seeing the Indian economy be so robust. It can still have several challenges, but the people are the ones ensuring our growth rate remains fastest. We will soon be the third largest economy in the world. Our fundamentals are absolutely sound. And borrowing also has come down. They had only one; if revenues go down. I explained to them that we were all in this together. That all the money was coming from the same pool. We explained that it was simple, clean, straightforward system. If you look at it, 0%, 5%, 18% - 99% of goods and services have come under these. This is the simplest. And we did away with the cess. That's why we took time till September 22. There were some who felt that because it was a pro-people and pro-poor proposal, we should implement it immediately. If the festive season goes as per expectations, if it is good, this financial year itself we will be able to make up. That's my sense. We have had industry tell us, in cars, white goods. that bookings are not happening, that people are deferring purchases. In all likelihood, from September 22, people will go out and buy, just like they did post Covid. Revenge buying. That's what industry is telling us. Yes, I am saying that, and I am also saying that my fiscal deficit will be in line as promised. No. Managing public finance will have to be taken from the perspective of optimal utilisation. Where do you want to put every rupee you earn from tax? Will you get optimal return from that? Unless we answer all this, we can just take it and use it without much thought. And this is not about one party. But, finance ministers everywhere have to deal with this dichotomy. But, I think going by the principle of economics - when you bring rates down, your income goes up, there's no way in which this round of rate rationalisation is going to affect the states - perhaps in the immediate future (it may), but after that, it will be restored. It's more in making sure the rate cut is transmitted. That's my focus. I will keep a watch. Several MPs have told me they will keep a watch in their constituencies. We are already talking with industry (leaders). And many of them have assured me that they intend to pass it. That (body) was, even by the Act, only for the first few years. Absolutely, I am going to closely monitor it. I will see what they need to do. I have to check by sector. We will closely follow it. That's the presumption. When I say that I will closely monitor, that's implicit. But I think, to be fair to industry, many have voluntarily said they will pass it on. I would like to trust them. It is very difficult to assess the impact of tariffs at the moment. Yes, but that wasn't our intention. The changes weren't motivated by the tariffs, but in an economy you can't have water-tight compartments. There is something being worked out across departments, not just finance. It is already low and it will come down even further. Yes, but that will take time. As we get closer to Viksit Bharat, we will move to one rate. but it is not something that looks feasible in the immediate future It isn't ideal, but, you can keep changing the formats, the checklists, etc, but if you are changing rates in every GST Council, then it brings uncertainty to manufacturers as well as consumers. The Council has not approved this, but, I feel rate-related changes should happen only once a year. Maybe I will share this with the Council the next time we meet. You can discuss changes through the year, but make the change only once, from April 1. It makes it easier for businesses to plan for the entire year. The next would be about regulators who are non-financial. That's one area which is pending reform. I announced it in the budget. That's very critical. Like Competition Commission of India (CCI), Food Safety and Standards Authority of India (FSSAI). We will go on with it. Nothing is off the table. We are yet to make a complete review of what's making the difference in nominal growth. Once that's done, I will be able to say what kind of correction, if necessary, we have to make. Already, there is some flexibility being shown in PN3. Particularly for projects that are already on the ground and where they need technicians.Similar things will be taken up immediately, so that India's infrastructure projects are not struggling for absence of necessary expertise Because everyone was in agreement on the reform-related agenda. The GoM on rate rationalisation's report was taken up at 2.30pm, and we started discussing it at 3.15pm. This is for 1.4 billion people; GST affects every person in some way. And there are people in Bihar also....