The government wants to reduce its subsidy bill, estimated at nearly 2 per cent of its gross domestic product, to cut down state expenditure and transfer funds to other sectors, Finance Minister Arun Jaitley said at Davos.

'The important thing is low prices $45 to 50 dollars are a temporary phenomenon. It's a very good breathing zone for oil importing countries.'

Finance Minister Arun Jaitley shared the details of his meeting with economy and finance ministers of Switzerland. He spoke with NDTV's Shweta Rajpal Kohli on the sidelines of the World Economic Forum in Davos.