RISING STRONGER FROM UNPRECEDENTED CHALLENGES, BANKING SYSTEM CAN CARRY INDIA GROWTH STORY: DAS

On the monetary policy front, the policy repo rate was reduced sizeably by 115 bps in a span of two months March-May 2020) and liquidity enhancing measures equivalent to 8.7 per cent of GDP were announced

- NIVEDITA MUKHERJEE

Reserve Bank of India Governor Shaktikanta Das on Thursday asserted his faith in the resilience of India’s banking sector which has emerged stronger from the unprecedented challenges of the recent years, benefiting from a series of initiatives on the regulatory and supervisory fronts and the alacrity with which banks themselves responded to the challenges by strengthening their internal defence mechanisms. Addressing a conference on the turnaround of the Indian banking system, Das eulogised the concerted efforts which have led to a gradual and consistent turnaround in the banking system, despite the multiple headwinds emanating from COVID-19, geo-political conflicts and sharp monetary policy tightening across the world. Describing the transformative changes in the Indian banking system as a cornerstone of India’s success story in the recent years, Das emphasised the potential of the Indian banking system to support India’s growth story in the years ahead.