Prime Minister Narendra Modi met with senior officials of the Reserve Bank of India yesterday and highlighted certain sectors that need priority focus in the coming years. Addressing the central bank on completion of their 90 years of operation, the PM drew attention to emerging areas like space technology, green energy, digital innovation and tourism. He said these dynamic sectors are primed for strong growth going forward and the RBI needs to think of innovative ways to meet their credit needs from day one of the new government’s swearing in.
Modi emphasized the need for India to achieve higher levels of self-reliance in its economy through a decade of concentrated effort. Insulating the country from external shocks was highlighted as a key priority. Considering India’s growing contribution to global GDP currently at 15%, the PM also pushed for making the Indian Rupee a more recognized and accepted currency internationally. Other suggestions included continuing the good work in financial inclusion through Jan Dhan accounts and Kisan credit cards while leveraging new technologies like UPI and CBDC to drive further progress.
The Prime Minister complimented RBI’s role in healing the public sector banking industry over the last few years through recognition of NPAs, resolutions under IBC and large capital infusions. As a result, banks have returned to profitability with improved credit growth according to him. Modi affirmed that his government will remain committed to policies promoting ease of banking, financial stability and moderate inflation levels. Looking forward, he called for innovative policy thinking to fulfill diverse needs across all sections of society through a strong and vibrant financial system.
