Reserve Bank of India (RBI) Governor Sanjay Malhotra on Monday underscored that financial stability and price stability are vital for sustaining economic growth, as he urged banks and corporates to join hands in driving fresh investments and reigniting the nation’s entrepreneurial spirit.
“I look forward to working with regulated entities to improve the efficiency and effectiveness of our financial sector to ensure the benefits reach the people of our nation. On the demand side, I would urge the industry to invest boldly and champion the entrepreneurial spirit that defines our nation. Banks and corporates should come together and drive the animal spirit to create an investment cycle which is important at this juncture,” he said at a banking-focused event.
RBI Governor highlights growth, stability, reform
Addressing ‘FIBAC 2025’, organised jointly by FICCI and IBA, the Governor, while speaking on India’s macro-economic conditions, said that India is currently at a critical juncture as we navigate the choppy global economic environment.
“We need to push the frontiers of growth and seize the opportunities coming our way. Indian economy has expanded manyfold, and it continues to be a symbol of resilience and hope,” he asserted, as per a FICCI press release.
He also highlighted that RBI will endeavor to enhance ease of doing business.
Industry urges inclusive growth and innovation
The Governor added that RBI will propose to set up a Regulatory Review Cell with the mandate to review each regulation in a comprehensive, objective, systematic and structured manner.
“The objective of the review shall be to assess each regulation with focus on efficiency; its impact in terms of cost and benefit; its requirement in the current context and market realities; consistency and clarity especially across different regulations; and potential of unaddressed or emerging risks, among other. The Cell shall organise its work in such a manner that each regulation is reviewed at least once in every 5-7 years. The Cell will interact with major financial sector industry bodies,” he emphasised.
CS Setty, Chairman, IBA and Chairman, State Bank of India, said that India is at an inflection point and it is time to accelerate inclusive growth along with a sustainable future by charting new frontiers.
The financial services sector will have to play a pivotal role as a multiplier of growth, he added.
Setty also stated that banks have to play a significant role in India’s growth story by fuelling innovation, lending to newer sectors, and driving the next wave of long-term capex.
“With a favourable demographic dividend, robust digital infrastructure, high growth potential, and a clearly articulated national vision under Viksit Bharat, India stands at an inflection point. This is the moment to accelerate inclusive growth, enhance global competitiveness, and shape a prosperous and sustainable future,” he added.
Harsha Vardhan Agarwal, President, FICCI and Vice Chairman and MD, Emami Limited said that India stands at a turning point.
The world may be volatile, but India stands firm and is poised to rise even further amongst the global comity of nations. (Inputs from ANI)
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Ankur Mishra is a journalist who covers an extensive range of news, from business, stock markets, IPOs to geopolitics, world affairs, international crises, and general news. With over a decade of experience in the business domain, Ankur has been associated with some of the reputed media brands. Through a sharp eye on global marketplaces along with deep insights and analysis of business strategies, Ankur brings simplicity to the complex economic matrix to decode market trends and empower people.
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