PM for global use of rupee, more digital bank transactions
Lauding the Reserve Bank of India (RBI) for its astute management of the country’s financial system at an event on Monday to mark the central bank’s 90th anniversary, Prime Minister Narendra Modi laid out a roadmap for the next 10 years, saying India would need to become economically self-reliant to shield itself from external shocks.
Making the rupee more internationally accepted, increasing the reach of banking services and scaling up digital transactions would be key focus areas, Modi said. “Today, India contributes 15% to global growth and is a growth engine, and there should be an attempt that our currency becomes more accessible and acceptable across the world.”
In December 2021, RBI had formed an expert panel to generate incentives for using rupee in trade and financial transactions, invoicing and denomination, among others. The panel’s report was made public in July 2023, laying the roadmap towards internationalizing the rupee. Earlier, in July 2022, RBI had announced an arrangement for domestic traders to settle imports and exports in rupees.
Highlighting how India has remained resilient even in the face of external challenges, Modi said even as some large nations are trying to recuperate from shocks, the Indian economy is touching record heights. RBI’s ‘State of the Economy’ reports have been pointing out how India remains a “bright spot” amid global uncertainties. In its latest edition, the report said the global economy is losing steam, with real gross domestic product (GDP) growth slowing in some of the