MUMBAI: Finance Minister Nirmala Sitharaman on Monday said the professional management of the Reserve Bank of India (RBI) significantly improved India’s capacity to take care of external imbalances and uncertainties.
Speaking at the occasion of 90th anniversary of the RBI, she praised the central bank for its role in improving the balance sheet problems faced by banks.
“Managing India’s banks is something which I recall at this time,” she said, adding a decade ago India had a “balance sheet problem”, while today there is a “balance sheet advantage” due to the collaborative effort of the government and the RBI.
The asset quality management, prompt corrective action framework are all great functions well carried out by “our true regulator of the banks Reserve Bank of India”, she said.
Inflation management, despite monetary tightening pressures, has stabilised government bond, she added.