No Reason To Downsize GDP Growth Projection Below 10.5%: RBI Governor Shaktikanta Das

The RBI chief even emphasised that efforts must continue for greater financial inclusion in pursuance of the goal of a sustainable future for all.

RBI Governor Shaktikanta Das with Finance Minister Nirmala Sitharaman. (File Photo/ Getty)

New Delhi: Reserve Bank of India (RBI) Governor Shaktikanta Das on Thursday said that there is no reason for the central bank to revise its Gross Domestic Product (GDP) projection downwards.

The RBI projected India's economy to grow by 10.5 per cent for the financial year 2021-22.

Das said this while speaking at the Economic Times Financial Inclusion Summit where he even said that the financial system will have a crucial role to fulfil the aspirations and needs of our economy on the mend. 

He further pointed out that the RBI has taken a slew of measures to mitigate the impact of COVID, including rate cuts, on-tap liquidity, cash reserve ratio exemptions and various tweaks in the priority sector lending scheme.

Meanwhile, talking about the roadblocks during Covid pandemic, Das said that RBI has encountered challenges for financial inclusion, which include how to identify the customer, reaching the last mile and provide relevant products that are safe.

The RBI chief even emphasised that efforts must continue for greater financial inclusion in pursuance of the goal of a sustainable future for all.

There is a need for an accelerated universal reach of bank accounts along with access to financial products relating to credit, investment, insurance and pension, he added.

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Das further said that financial inclusion will remain a priority of the central bank to achieve sustainable post-pandemic economic recovery.

"In order to make the post-pandemic recovery more inclusive and sustainable, financial inclusion would continue to be our policy priority," he said.

Concluding his address, Das even pointed out that a sustainable financial inclusion will enable banks, NBFCs, MFIs and others to enhance their customer base and products and diversify their balance sheet.