25-JULY-2025,02:36PM In a significant push to accelerate India’s economic momentum, RBI Governor Shaktikanta Das has urged banks and corporates to actively participate in triggering a new wave of investments. Stressing the importance of capital infusion in critical sectors, the RBI chief highlighted that India is at a transformative stage where stronger financial commitments can pave the way for sustained growth and resilience. His remarks come at a time when the global economy is grappling with uncertainties, yet India continues to be viewed as a bright spot with robust fundamentals.
RBI Governor Highlights the Need for Investments
During his address, the RBI Governor emphasized that India cannot rely solely on consumption-led growth. Instead, the nation must focus on long-term investments in infrastructure, technology, and green energy to secure its position as a global leader. He noted that banks have a crucial responsibility in extending credit to industries, while corporates must display confidence by channeling funds into productive assets.
RBI Governor : Banks Urged to Expand Credit Flow
The RBI Governor called upon banks to not only maintain financial stability but also to be proactive in expanding credit flow to emerging industries. With liquidity remaining stable and inflation showing signs of moderation, he pointed out that the environment is ripe for investment-driven expansion. According to him, priority sectors such as MSMEs, renewable energy, logistics, and digital infrastructure must receive adequate credit support.
RBI Governor : Corporates Encouraged to Take Bold Steps
Turning his attention to the corporate sector, the RBI Governor highlighted that businesses must move beyond short-term profits and invest in projects that can generate sustainable returns for the economy. He underscored that India’s favorable demographics, rising domestic demand, and government-backed reforms make it the ideal time for industries to expand their footprints both nationally and globally.
Global Challenges and India’s Position
The RBI Governor acknowledged the uncertainties prevailing in the global financial landscape—ranging from geopolitical tensions to volatile commodity prices. However, he reiterated that India remains resilient, driven by strong domestic demand, robust forex reserves, and prudent fiscal management. He urged all stakeholders to seize this opportunity by investing strategically and contributing to India’s long-term economic stability.
Investment Cycle and Economic Growth
The investment cycle, once triggered, can create a multiplier effect, leading to job creation, higher incomes, and improved consumer demand. The RBI Governor noted that this would not only strengthen India’s GDP growth but also reduce dependency on global fluctuations. He stressed that public and private sector investments must complement each other to achieve sustainable development goals.
Collaboration Between Banks and Corporates
For the investment cycle to gain momentum, the RBI Governor emphasized collaboration between banks and corporates. While banks ensure adequate credit flow, corporates must utilize these funds effectively in long-term projects rather than short-term gains. He urged financial institutions to innovate with lending models, and corporates to focus on transparency, governance, and accountability in their investments.
Role of Technology and Green Investments
In line with India’s climate commitments, the RBI Governor also encouraged investments in renewable energy, electric mobility, and digital technology. He underlined that technology-driven investments not only drive growth but also create future-ready industries capable of withstanding global competition.
Government Support and RBI’s Assurance
The RBI Governor reaffirmed that the central bank remains committed to ensuring a stable macroeconomic environment. With policy support from the government, including infrastructure projects and reforms, he stated that the private sector must take the lead in pushing forward the investment agenda. He assured that the RBI will continue to provide a conducive framework for credit expansion while safeguarding financial stability.
Confidence in India’s Future
Concluding his address, the RBI Governor expressed confidence that if banks and corporates take bold investment decisions now, India could firmly establish itself as one of the fastest-growing economies in the world. He reiterated that the time is right to act, as delays could result in missed opportunities in a rapidly evolving global economic order.
Conclusion
The call by the RBI Governor to banks and corporates serves as a reminder that India’s economic growth story hinges not just on consumption but on strategic investments. By fostering an investment-driven economy, India can build a resilient future, create millions of jobs, and position itself as a global leader in innovation and sustainability.
Source : ANI
