Indian economy to record high growth despite volatile external environment: RBI Governor

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Reserve Bank of India (RBI) Governor Sanjay Malhotra. File

Reserve Bank of India (RBI) Governor Sanjay Malhotra. File | Photo Credit: PTI

The Indian system is projected to registry precocious growth, driven by beardown home depletion and concern contempt a volatile and unfavourable outer environment, RBI Governor Sanjay Malhotra said connected Wednesday (December 31, 2025).

"Maintaining fiscal stableness and strengthening the fiscal strategy remains our northbound star," Mr. Malhotra said successful his foreword successful the latest variation of the RBI Financial Stability Report.

According to him, fiscal assemblage regulators recognise that fiscal stableness is not an extremity successful itself and promoting innovation and growth, protecting consumers, a pragmatic attack to regularisation and supervision that improves fiscal strategy ratio are arsenic important.

"The astir important publication the policymakers tin marque is to foster a fiscal strategy that is robust and resilient to shocks, businesslike successful providing fiscal services and promotes liable innovation," helium said.

Mr. Malhotra noted that the Indian system and the fiscal strategy stay robust and resilient, supported by beardown growth, benign inflation, steadfast equilibrium sheets of fiscal and non-financial firms, sizeable buffers and prudent argumentation reforms.

"Despite a volatile and unfavourable outer environment, the Indian system is projected to registry precocious growth, driven by beardown home depletion and investment. Nonetheless, we recognise the near-term challenges from outer spillovers and proceed to physique beardown guardrails to safeguard the system and the fiscal strategy from imaginable shocks," helium said.

Published - December 31, 2025 04:18 p.m. IST

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