Growth intact despite global volatility: RBI Guv

Indian economy is projected to register high growth, driven by strong domestic consumption and investment despite a volatile and unfavourable external environment, RBI Governor Sanjay Malhotra said on Wednesday.

“Maintaining financial stability and strengthening the financial system remains our north star,” Malhotra said in the latest edition of the RBI Financial Stability Report.

According to him, financial sector regulators recognise that financial stability is not an end in itself and promoting innovation and growth, protecting consumers, a pragmatic approach to regulation and supervision that improves financial system efficiency are equally important.

“The most important contribution the policymakers can make is to foster a financial system that is robust and resilient to shocks, efficient in providing financial services and promotes responsible innovation,” he said.

Malhotra noted that the Indian economy remained robust and resilient supported by strong growth, benign inflation, healthy balance sheets of financial and non-financial firms, sizeable buffers and prudent policy reforms.