Reserve Bank of India (RBI) governor Shaktikanta Das on Wednesday mentioned the Indian financial system was well-placed to take care of the present challenges.
“Indian economy has remained resilient and it is well-placed to deal with the challenges emanating from the geopolitical developments,” Mr. Das mentioned whereas replying to a query by The Hindu on the post-policy press convention, as to the place India stood vis-a-vis the worldwide financial system. “The banking sector remains resilient and strong. Overall, the macroeconomic numbers also broadly look alright,” he added.
He mentioned regardless of the depreciation of the Indian rupee, thus far it has been among the many better-performing currencies in its peer group in rising market nations and others.
“The fiscal deficit [target] which was there in the Budget for the last year has been achieved. So, overall Indian economy continues to be in a resilient position. The recovery is getting traction and it is reflected in the sense that capacity utilisation has improved. The disbursal of bank credit is also picking up. Rural and urban demand are also showing signs of further improvement and that is how we stand today.”
He added that the RBI anticipated the present account deficit to stay at a sustainable stage and that the conventional flows “will enable us to meet the financing of the current account deficit”.
Recently, JPMorgan Chase & Co CEO Jamie Dimon had reportedly mentioned of the worldwide financial state of affairs {that a} “hurricane is right out there down the road coming on our way.” And, Telsa CEO Elon Musk spoke about his “super bad feeling” concerning the financial system whereas saying a ten% job minimize at his electrical automotive firm.
Mr. Das himself had in April noticed that tectonic shifts had been occurring following the pandemic and on account of geopolitical tensons.
Source: www.thehindu.com
