Reserve Bank of India Governor Shaktikanta Das, speaking at the 59th SEACEN Governor’s Conference in Mumbai, expressed optimism about India’s Unified Payments Interface (UPI) potentially becoming a global model for cross-border payments. He emphasized the significant linkage between India’s UPI and the fast payment systems of other countries, underscoring its potential for international adoption.
India’s Digital Public Infrastructure on the Global Stage
Das highlighted India’s sustained engagement in the India Stack and UPI, especially during the pandemic, as evidence that digital public infrastructure can be a vital global public good when scaled beyond national borders. This acknowledgment comes as the RBI currently chairs the SEACEN (South East Asian Central Banks) forum, positioning India as a key player in shaping regional financial frameworks.
Prioritizing Stable and Low Inflation for Economic Growth
Discussing the economic outlook, Governor Das emphasized the importance of maintaining stable and low inflation as a foundation for sustainable economic growth. Despite challenges such as recurring food price shocks and geopolitical tensions, he stressed the RBI’s commitment to navigating through disinflation, citing it as essential for economic stability.
India’s Economic Resilience and Growth Prospects
Governor Das lauded India’s resilience in the face of multiple challenges, highlighting the country’s status as the fastest-growing large economy. He attributed India’s success to prudent monetary and fiscal policies, projecting continued robust growth with the Indian economy expected to expand by 7.0 per cent during 2024-25.
Challenges and Opportunities in the Global Economy
While acknowledging the challenges facing the global economy, Governor Das also identified new opportunities on the horizon. He emphasized the need for policies that align with the evolving realities of the global economy and called for proactive measures by central banks to maintain price and financial stability in an uncertain world.
Conclusion: Navigating Uncertainties with Confidence
Governor Das concluded on an optimistic note, suggesting that the global economy stands at a crossroads with both challenges and opportunities ahead. He underscored the importance of decisive policy measures and proactive central bank interventions in shaping the future trajectory of the global economy.
