Reserve Bank of India (RBI) Governor Shaktikanta Das shared an optimistic outlook on India’s economy, highlighting its resilience amid global turbulence, while speaking at CNBC-TV18’s Global Leadership Summit, on Thursday.
Despite ongoing global challenges—including inflation, geopolitical tensions, and lingering pandemic effects—Das emphasised that India’s economy remains steady, thanks to a robust external sector, strong economic buffers, and the proactive measures of the RBI.
He said, “The Indian economy is sailing through smoothly.”
Das noted that the RBI has strengthened its regulatory framework and enhanced its supervisory functions to identify and address emerging risks. He recalled various challenges, including the crisis in the Non-Banking Financial Companies (NBFC) sector in 2019 and the onset of the Covid-19 pandemic, during which the RBI implemented swift measures to maintain stability.
The central bank’s approach has been both flexible and responsive, balancing inflation management with economic growth through tools such as the Monetary Policy Committee’s recent shift to a neutral stance.
While acknowledging that global risks persist—such as inflation pressures, slower growth, rising government bond yields, and volatility in gold and oil prices—Das pointed out that India’s policies have managed to moderate inflation as of September. Moreover, he underlined that India’s merchandise exports have rebounded in the current fiscal year, while the digital payments landscape has become more efficient due to RBI’s initiatives.
Looking forward, Das indicated that the RBI will soon issue guidelines on climate-related risks and urged regulators and financial entities to stay vigilant for upcoming challenges.
The RBI governor reaffirmed that the central bank’s primary aim remains to maintain a balance between banking sector stability and economic growth, reinforcing that India’s economic foundations are sound despite a volatile global economy.
