Amid government criticism over the Reserve Bank of India’s (RBI) focus on inflation control rather than economic growth, the newly-appointed RBI Governor, Sanjay Malhotra, on December 30 said that the Indian economy is expected to show improvement in 2025, driven by strong consumer and business confidence.
In the foreword to the Financial Stability Report, Malhotra emphasised the RBI’s commitment to maintaining financial stability, which he sees as crucial to supporting sustained growth for the Indian economy. He said “While we work to ensure the stability of financial institutions and broader systemic stability, our goal remains focused on fostering a higher growth trajectory.