New Delhi
Reserve Bank of India Governor Sanjay Malhotra said India’s macroeconomic fundamentals remain strong despite global uncertainties, supported by robust consumption and sustained public investment. Speaking at an international conference in Amsterdam, he cautioned that rising public debt in major economies, driven by continued fiscal expansion and higher defence spending, poses risks to global financial stability. He also warned that stretched valuations, particularly in technology assets, could threaten markets. Disruptions in supply chains and elevated energy prices have already impacted economic activity and may trigger inflationary pressures if prolonged. Malhotra added that India will continue strengthening financial markets, improving data quality, and enhancing institutional frameworks to manage emerging risks.
