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Indian economy well-placed to withstand shocks: Reserve Bank

The Statesman Bhubaneswar

|

January 02, 2026

The Reserve Bank of India (RBI) has said that India's economy and financial system remain resilient despite heightened global uncertainties, elevated asset valuations and rising geopolitical risks.

- STATESMAN NEWS SERVICE

The RBI's Financial Stability Report (FSR) for December 2025 noted that global growth has shown greater resilience than anticipated, supported by fiscal measures, front-loaded trade, and strong investment in artificial intelligence (AI).

However, it cautioned that risks to global financial stability remain elevated due to high public debt, stretched asset prices, the growing interconnectedness of non-bank financial intermediaries, and the rapid expansion of private credit and stablecoins.

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