RBI Governor Unveils Blueprint for Digital Financial Transformation

Reserve Bank Governor Shaktikanta Das discussed major initiatives aimed at strengthening India's financial sector, emphasizing digital advancements such as UPI, ULI, and CBDC. Speaking at the RBI@90 Global Conference, he highlighted the role of Digital Public Infrastructure in enhancing financial inclusion and market innovation, while noting emerging challenges involving AI governance.

Reserve Bank of India (RBI) Governor Shaktikanta Das emphasized the importance of ongoing policies and systems aimed at making the financial sector robust and customer-centric, in his Monday address at the RBI@90 Global Conference. Das outlined transformative initiatives including the Unified Lending Interface (ULI) and Central Bank Digital Currency (CBDC), positioning them as keystones of future financial stability.

He pointed out the potential of the Unified Payments Interface (UPI) to serve as an efficient and cost-effective alternative for cross-border remittances, especially small-value transactions. According to the Economic Survey, India's remittances are expected to grow significantly, reaching USD 129 billion by 2025.

Touching on Digital Public Infrastructure, Das highlighted the innovation-driven landscape facilitated by public-sector-built technologies, which the private sector can leverage for creating customer-centric services. He also discussed challenges posed by advancements like artificial intelligence (AI), stressing the need for ethical AI governance to ensure fairness and mitigate risks like misinformation and privacy concerns.

(With inputs from agencies.)