‘Transformation occurred because honesty, consistency were in efforts’ hails PM Modi to RBI

Prime Minister Narendra Modi commended the notable transformation observed in the Reserve Bank of India (RBI) over the past decade, attributing these changes to the government’s honesty and steadfast efforts in the banking system.

Addressing the commemoration ceremony marking 90 years of the RBI, the Prime Minister emphasized the correlation between sound decisions and favorable outcomes, stating, “The transformation occurred because there was honesty and consistency in our efforts. This change has come because our policies, intentions, and decisions were clear. When the intentions are clear, then the policies are right. When policies are right, then the decisions are right. And when the decisions are right, the results are also right.”

Reflecting on his attendance at the event marking the RBI’s 80th anniversary in 2014, Prime Minister Modi recalled the challenging state of the banking sector at that time. He highlighted the struggles faced by India’s banking system and the inability of public sector banks to adequately support the nation’s economic advancement. However, he noted the significant progress since then, with India’s banking system now recognized as robust and sustainable globally.

The Prime Minister underscored the government’s commitment to bolstering the banking sector through policies focused on recognition, resolution, and recapitalization. He mentioned the infusion of approximately Rs. 3.5 lakh crore to enhance the condition of public sector banks and the implementation of governance-related reforms.

Drawing attention to the remarkable growth of the Unified Payments Interface (UPI) in the past decade, PM Modi hailed India’s entry into a new era of banking, economic, and currency exchange systems. He emphasized the need for further exploration of digital transactions and the promotion of financial inclusivity.

Furthermore, Prime Minister Modi highlighted significant achievements, such as the reduction of gross Non-Performing Assets (NPA) to below 3% by September 2023 and the resolution of the ‘twin-balance sheet’ problem. He credited the RBI for its instrumental role in these accomplishments.

Looking ahead to the next decade, PM Modi stressed the importance of aligning goals with the aspirations of India’s youth. He emphasized the pivotal role of the RBI in fulfilling the aspirations of the country’s young population.