India, Nov. 3 -- Ahead of the Union budget, finance minister Nirmala Sitharaman on Monday acknowledged investor concerns amid changing circumstances and said the government would consider the need to deepen and widen equity and bond markets while keeping its focus on trust-based taxation, ease of compliance and new-age skilling to generate employment.

Asked whether the budget would roll out a red carpet for foreign portfolio investors (FPIs), Sitharaman said she understood the sensitivity and anxiety among retail investors and equity market participants. She pointed out that the taxation structure had been similar in 2023-24, when India recorded its highest inflows.

"Whilst I observe this with not being biased either way, the taxation s...