Now Reading: RBI governor says India’s economy has emerged stronger from global shocks
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RBI governor says India’s economy has emerged stronger from global shocks
RBI governor says India’s economy has emerged stronger from global shocks
Reserve Bank of India Governor Sanjay Malhotra told a press conference after the Monetary Policy Committee's meeting in Mumbai that India's macroeconomic fundamentals are very strong, The Hindu reported. Answering a question…
Reserve Bank of India Governor Sanjay Malhotra told a press conference after the Monetary Policy Committee's meeting in Mumbai that India's macroeconomic fundamentals are very strong, The Hindu reported. Answering a question from The Hindu, he said the country has faced the Covid pandemic, the Russia-Ukraine war, the Israel-West Bank conflict, US tariffs and the ongoing West Asia conflict, and 'not only faced these challenges but have come out stronger.' Malhotra said growth is resilient, and while headline inflation is rising, the underlying pressure is muted as it aligns with core inflation. He said banks and corporates have healthy balance sheets, the government continues to focus on reforms and fiscal consolidation, and policy frameworks and institutions are robust. He called the West Asia conflict an opportunity to further enhance resilience, adding, 'There is nothing to worry.'
Indian Opinion Analysis
Malhotra's assessment is the central bank governor's own official view, delivered in his capacity as head of the institution responsible for managing exactly the risks he describes, so it should be read as authoritative but interested rather than an independent audit. The Hindu's report does not include an outside economist's view to weigh against his optimism, nor does it detail the muted underlying inflation pressures he refers to. Healthy balance sheets are a real and checkable claim, while a blanket assurance that there is nothing to worry about is a judgment call future data will test. The next inflation and growth releases will test whether his confidence holds.
Source: www.thehindu.com
This brief was synthesised by AI from the source linked above.
