Lower interest rates can boost investments: Rajan

RajanRBI Governor Raghuram Rajan expressed his concern over central banks globally pushed into “competitive monetary easing”.

Rajan said lower interest rates and tax incentives can boost investments, but the demands of the consumers is important, it holds the key for pushing economic growth.

Speaking on the issue of ‘Going Bust for Growth’ in New York, Rajan said, “The current non-system in international monetary policy is a source of substantial risk, both to sustainable growth as well as to the financial sector. It is neither an industrial country problem, nor an emerging market problem. Collective action is required.”

Rajan said that emerging markets have a clear need for infrastructure investment, as well as growing populations that can be a source of final demand.

"Exciting news! Elets Banking & Finance Post is now on WhatsApp Channels Subscribe today by clicking the link and stay updated with the latest insights!" Click here!

Elets The Banking and Finance Post Magazine has carved out a niche for itself in the crowded market with exclusive & unique content. Get in-depth insights on trend-setting innovations & transformation in the BFSI sector. Best offers for Print + Digital issues! Subscribe here➔ www.eletsonline.com/subscription/

Get a chance to meet the Who's who of the Banking & Finance industry. Join Us for Upcoming Events and explore business opportunities. Like us on Facebook, connect with us on LinkedIn and follow us on Twitter, Instagram & Pinterest.