Shaktikanta Das' recipe for sustainable growth

Reserve Bank Governor Shaktikanta Das on Wednesday pitched for higher investment in infrastructure and reforms in labour and product markets to achieve sustainable growth post-pandemic.

Addressing AIMA National Management Convention, Das underlined the need for increased investment in healthcare education, digital and physical infrastructure to ensure sustainable growth and generate employment opportunities.

Noting that the pandemic has affected the poor and the vulnerable more in emerging and developing countries, Das said, "Our endeavour should be to ensure livable and sustainable growth in the post-pandemic future.

"Restoring the durability of private consumption, which has remained historically the mainstay of aggregate demand will be very crucial going forward."

More importantly, sustainable growth should entail meeting on macro fundamentals via medium-term investments, sound financial systems and structural reforms, he said.

"Towards this objective, a big push to investment in healthcare, education, innovation, physical and digital infrastructure will be required.

"We should also continue with further reforms in labour and product markets to encourage competition and dynamism, and to benefit from the pandemic induced opportunities," he added.

Photograph: PTI Photo