RBI Governor Sanjay Malhotra flags 5 threats to global finance
RBI Governor Sanjay Malhotra just flagged five major threats facing the world's financial system: rising global debt, overpriced assets, too much borrowing, shaky private credit markets, and cyber risks made worse by AI.
He shared these concerns at the Kautilya Economic Conclave in New Delhi this week.
Sanjay Malhotra warns of compounding risks
Malhotra said that while each risk is under control for now, if they hit all at once, especially with ongoing geopolitical tensions, they could really shake things up globally.
On a positive note, he sounded confident about India's position, pointing to low inflation and steady growth: RBI Governor Sanjay Malhotra said, "Strong macroeconomic fundamentals and a resilient global financial system provide confidence in our ability to withstand these lingering shocks. At the same time, we are taking further measures to enhance our resilience to such shocks," and "our economy is navigating this phase from a position of strength" and relatively low inflation and the strongest growth among major global economies.