New Delhi, July 1 -- Mobilising private capital is a development imperative, Union finance minister Nirmala Sitharaman said on Monday, proposing a seven-point strategy to achieve this goal, including improved international credit rating methodologies reflecting structural strengths and long-term resilience of emerging economies like India. "Private investment is a catalytic force-unlocking capital, boosting productivity, fostering innovation, and introducing technological rigor-all essential for inclusive, sustainable economic growth," she said in her keynote address at fourth International Conference on Financing for Development organized by the UN in Seville, Spain. She is leading an official delegation to Spain, Portugal and Brazil from June 30 to July 5. In recent years, we have witnessed encouraging growth in private investment, supported by the rise of innovative financial instruments alongside traditional sources, she said. "However, private capital mobilization remains significantly below what is required, with low-and middle-income countries receiving a disproportionately small share. This underscores the urgent need for targeted efforts to overcome investment barriers and better align financial flows with development priorities," she said. She highlighted multiple strategic areas where transformation is both necessary and achievable-and where India's own experience offers useful insights. She said, "First, strong domestic financial markets are the foundation of investment. India has invested in strengthening its banking system and deepening capital markets to finance infrastructure and industry at scale. Our regulatory frameworks have evolved with market needs-balancing investor protection with innovation and flexibility-creating a more conducive environment for long-term investment. Second, addressing perceived risks through institutional reforms is crucial. Emerging economies often face high risk perceptions, which raise financing costs and deter investment. India has addressed this challenge by establishing independent regulators, implementing transparent bidding processes, standardising contracts and improving the ease of doing business. Third, India must create scale in investment opportunities. The presence of a well-prepared, de-risked and investment-ready project pipeline is critical. India's renewable energy transformation was enabled by clear national targets, streamlined procurement and government-backed risk mitigation....