RBI: Balancing Financial Stability and Efficiency

Mumbai, Apr 1 (PTI) RBI Governor Sanjay Malhotra on Tuesday underscored the central bank's commitment to bolstering consumer protection, while optimising regulatory frameworks, to strike a balance between financial stability and efficiency.

Speaking at the closing ceremony of the commemoration of the 90th year of the Reserve Bank of India (RBI), he said, "as we mark this milestone, we recognize that the RBI's role has expanded significantly beyond initial mandate.

Today, we stand at the confluence of tradition and transformation, where the imperatives of price stability, financial stability and economic growth intersect with rapid technological advancements, global uncertainties, challenges of climate change and increasing public expectations."

Observing that the next decade will be crucial in shaping the financial architecture of the Indian economy, he said, RBI remains committed to expanding and deepening financial inclusion.

"We shall strive to foster a culture of continuous improvement in customer services and strengthening consumer protection. It will be our endeavor to optimize our regulatory frameworks by balancing the interests of financial stability and efficiency. We will continue to support technology and innovation. We shall remain vigilant, adaptive and forward looking," he said.

He emphasized that the RBI would continue to collaborate effectively with all stakeholders, governments and financial sector regulators, among others.

RBI will do everything that is required to improve the financial system by expanding its access, enhancing its efficiency and strengthening its resilience in an evolving economic landscape, he said.

"Even as we embrace new technologies and modern regulatory approaches, our core values, integrity, transparency and commitment to public service will continue to guide us. The trust that the people of India repose in the Reserve Bank is our greatest asset. We are determined to preserve it and further strengthen it in the years ahead," he said.

This institution belongs to the nation and RBI would continue to take each and every decision driven by an unwavering resolve to serve the interests of the people, the financial system and the economy, he said.

"As we conclude this year-long celebration and step into our centenary decade, we do so with confidence, determination and a clear vision. The journey ahead will demand continuous adaptation and agility, fresh thinking and innovation, collaboration and coordination and an unwavering commitment to excellence and perfection," he said.

The Reserve Bank remains fully prepared to meet all challenges and seize all opportunities to contribute proactively and vigorously to India's economic progress, he added.