India’s central bank governor expects the country’s interest rates to remain low for a “long period” as it enjoys robust economic growth that could soon be boosted by trade pacts being thrashed out with the US and Europe.
In his first interview with an international news organisation since being appointed governor of the Reserve Bank of India one year ago, Sanjay Malhotra said rate cuts made during his tenure had helped engineer a “Goldilocks” phase of brisk growth with low inflation.
The central bank’s projections suggested rates “should remain low for a long period of time”, Malhotra told the Financial Times at the RBI’s headquarters in Mumbai.
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