New Delhi: Outgoing Reserve Bank of India (RBI) Governor Shaktikanta Das on Tuesday said that the Indian economy is resilient and robust with capacity to deal with global spillovers very effectively.
Addressing a press conference on his last day as the central bank chief, Das said as the RBI head he tried to make monetary policy as appropriate as possible given prevailing economic conditions and outlook. On keeping the repo rate unchanged since February 2023, the outgoing RBI head said, everyone is entitled to their views but as I look at it, growth is impacted by multiplicity of factors, not just repo rate.
RBI governors keep in mind requirements of wider economy and eventually it is a judgement call that every governor takes, Das emphasised.
Shaktikanta Das’ relations with finance ministry
Commenting on the relations between Reserve Bank and Union Finance Ministry during his tenure, Das said the perspective of Finance Ministry and RBI can differ at times, but in my tenure we have been able to resolve all such issues. Coordination between the Finance Ministry and RBI in the last 6-years has been at its best, the outgoing RBI Governor added.
Restoring inflation-growth balance is the most important task ahead of RBI, Das stressed. The RBI is tasked to maintain the consumer price index (CPI)-based inflation at 4 per cent with a margin of 2 per cent on either side.
Das further said that Central Bank Digital Currency (CBDC) has huge potential as it is a future currency.
He expressed confidence in his successor Sanjay Malhotra to give his best as the RBI head. Das said his successor will have to look into the changing world order and effectively deal with cyber threats, and focus on harnessing new technologies. he hoped that the new RBI Governor Sanjay Malhotra would carry forward the initiatives started by the central bank like CBDC and ULI, besides promoting financial inclusion.
Outgoing RBI Governor Shaktikanta Das lauded India’s robust economy and its ability to withstand global challenges. He defended the RBI’s decision to maintain the repo rate, emphasizing that growth depends on various factors beyond interest rates. Das highlighted the strong coordination between the RBI and the Finance Ministry during his tenure and stressed the importance of restoring inflation-growth balance. Economy Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
