India’s Journey from Crisis to Confidence (Speech by Shri Shaktikanta Das, Governor, Reserve Bank of India

Summary

The document is a speech by an Indian economist at the World Economic Forum in Davos, focusing on India's journey from crisis to confidence. Here's a summary:

The speaker highlights India's strong economic growth, surpassing expectations, with GDP growth expected to reach 7% in FY 2024-25. The inflation rate has eased, and macroeconomic stability has improved. Financial stability is also robust, with the banking sector characterized by strong earnings, strong buffers, and renewed focus on governance.

However, the speaker emphasizes the importance of ensuring prudent asset liability management, risk management, and belt-tightening to prevent potential build-up of risks. The Reserve Bank has taken steps to strengthen financial stability, including overhauling the regulatory architecture, improving cyber security, and enhancing operational resilience.

The speaker also highlights India's fintech and payments ecosystem, which has improved the delivery of financial services, making them faster, cheaper, and more accessible. The country is home to the third-largest fintech ecosystem in the world, with a projected market size of USD 150 billion by 2025.

The document concludes by emphasizing the importance of collective and coordinated action by global agencies and stakeholders to address the challenges facing the global economy and to ensure India's economic growth and financial stability.