New problems came when inflation decreased…?
Central banks around the world including RBI may now have to face a new challenge after inflation. Reserve bank governor Shaktikanta Das says that central banks may now have to face trouble due to geopolitical disruptions and global economic conditions.
governor Das made comments in nepal Rashtra Bank
governor Shaktikanta Das was participating in a program at nepal Rashtra bank, the central bank of nepal, on Tuesday. During that time he made these comments. governor Das's comments have come at a time when the world is facing war on various fronts. russia and ukraine are already at war in Eastern Europe. At the same time, the situation in West Asia has deteriorated rapidly in recent months.
The situation has worsened in West Asia
israel and various Arab countries are face to face in West Asia. israel is already fighting a war with Hamas. In the past, Israel's tension with countries like iran and lebanon has increased. The matter has become serious after the recent pager scandal and the subsequent Israeli attack on hundreds of Hezbollah bases in Lebanon. In the changed situation, analysts are afraid that the war may expand in West Asia.
New challenges will also come due to FinTech
Reserve bank governor Shaktikanta Das did not directly name any war or tension, but said that new types of challenges may come before central banks around the world. He said that central banks should be prepared in advance to deal with the possible challenges. He also talked about the challenges coming from the rise of FinTech. He said that central banks will have to focus on promoting wallet PLATFORM' target='_blank' title='digital-Latest Updates, Photos, Videos are a click away, CLICK NOW'>digital innovation while strengthening price and financial stability.
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