RBI Governor co-chairs BRICS meeting with Finance Minister; emphasises role of central banks in financial stability
New Delhi, August 14
Union Minister for Finance and Corporate Affairs Nirmala Sitharaman and the Reserve Bank of India Governor Sanjay Malhotra, co-chaired the BRICS Finance Ministers and Central Bank Governors meeting in Jaipur on August 12-13, where the Governor highlighted the pivotal role central banks play in maintaining price and financial stability.
"The Governor highlighted the pivotal role central banks play in maintaining price and financial stability. Cooperation between central banks is crucial for building a resilient, efficient and inclusive financial system," the RBI said on X.
The central bank noted that the Governor acknowledged specific institutional measures undertaken across primary financial domains during the conference.
"He appreciated the work done by the central bank workstreams in the areas of information security, fintech, cross-border payments, sustainable finance, capacity building and contingent reserve arrangement," the RBI stated.
Earlier, the Finance Minister also met the Vice Minister of Finance of Indonesia Juda Agung in Jaipur on August 12, discussing key matters related to financial sector development and closer collaboration in international financial services.
The bilateral meeting took place on the sidelines of the BRICS Finance Ministers and Central Bank Governors (FMCBG) meeting, the Ministry of Finance said on X.
During the discussion, Sitharaman highlighted the progress in bilateral relations following high-level diplomatic visits between the two countries.
"Union Minister for Finance & Corporate Affairs Smt. @nsitharaman met H.E. Mr. Juda Agung, Vice Minister of Finance of Indonesia, on the sidelines of the BRICS Finance Ministers and Central Bank Governors (FMCBG) meeting in Jaipur, Rajasthan, yesterday," the Ministry of Finance said on X.
"FM Smt. @nsitharaman noted that Prime Minister Shri @narendramodi's State Visit to Indonesia last month has taken the Comprehensive Strategic Partnership into its 'golden era'," the ministry stated.
The leaders focused on administrative and policy mechanisms to boost economic engagement, touching upon specific operational frameworks in financial services and bilateral commerce.
"The two leaders discussed issues related to financial sector development; closer collaboration in international financial services, including knowledge exchange on setting up and running financial centres; the India-Indonesia Economic and Financial Dialogue; stronger trade ties; and local currency transactions," the Ministry noted.
The conversation extended to multilateral engagement and economic coordination among developing economies.
"Both sides agreed that, as two like-minded members of the Global South, India and Indonesia should continue to work closely within multilateral institutions. H.E. Mr. Juda Agung appreciated India's strong economic growth and resilience," the ministry noted.
Addressing broader economic challenges, "Both sides underlined the importance of sustaining growth amid global uncertainties, noting that structural reforms, continued infrastructure investment and Digital Public Infrastructure, are all critical to strengthening macroeconomic stability," the Ministry of Finance noted.
— ANI
Reader Comments
Good to see cooperation on cross-border payments and fintech. But honestly, I hope these meetings translate into real benefits for common people like cheaper remittances for NRIs or smoother international transactions. Too often these summits end with just statements and no action.
The mention of Digital Public Infrastructure is crucial. India's UPI and Aadhaar systems are world-class, and sharing this expertise with BRICS nations through capacity building is a win-win. This is how soft power works!
As someone following global economics, this is an important step. Central bank cooperation on financial stability is especially vital given recent banking crises in the West. India's growing economic resilience, praised by Indonesia, is no accident - it's the result of prudent fiscal policies.
Nice to see Jaipur hosting such a prestigious event! But I wonder - with all this talk about sustainable finance and fintech, where's the concrete plan for tackling inflation? The common man is still struggling with rising prices. Hope the RBI Governor's emphasis on "price stability" translates to some real relief soon.
The India-Indonesia bilateral discussion is particularly encouraging. As two large Asian economies, deeper financial ties and knowledge exchange on setting up financial centres could create significant opportunities. Also great to see PM Modi's visit described as marking the "golden era" of the partnership. Interesting times ahead!
We welcome thoughtful discussions from our readers. Please keep comments respectful and on-topic.