Indian Economy Will Not Suffer Like Pakistan And Sri Lanka, Says Former RBI Governor

 Indian Economy Will Not Suffer Like Pakistan And Sri Lanka

Recently we have seen a lot of economic crisis in the south Asia, Sri Lankan economy collapsed, Pakistan and Bangladesh are asking for financial aid from IMF. Now looking at these development people are wondering that what happened to the neighbours of India can the same thing happen to Indian economy as well? The former governor of RBI has answered to this question. In this article we will see what he has said about the condition of Indian economy.

The former governor of RBI said that what is happening to the neighbours of India will not happen to India. He said that RBI has done a very good job by strengthening the foreign exchange reserve of India and India is very well prepared for any kind of financial crisis. The foreign exchange reserve of India is about 570 billion dollar in 2022 which is very impressive, if we compare it with Pakistan and Sri Lanka, then Pakistan has foreign exchange reserve of 8 billion dollar and Sri Lanka has foreign exchange reserve of about 50 million dollar which is very low.

Inflation is another important factor for a country’s economy. If inflation rate rises, the economy of that country suffers. Sri Lanka has an inflation rate of about 60 percent which is huge, Pakistan has an inflation rate of 24 percent and India has an inflation rate of only 7 percent which is very impressive figure as compared to other south Asian countries.

India is also the second fastest growing economy in the world in 2022, it is only behind Saudi Arabia. But we need to also keep in mind that the economy of Saudi Arabia is very small as compared to India. IMF has predicted that India will grow at a rate of 7.4 percent in the year 2022, whereas China will grow at a rate of only 3.3 percent. So India is indeed economically stable and it is performing well.