CEA Nageswaran: Financial Sector Bears Major Responsibility

V. Anantha Nageswaran, the Chief Economic Advisor to the Government of India, addressed a distinguished gathering at the Confederation of Indian Industry (CII) Financing Summit 3.0 in Mumbai on Monday, September 2nd, 2024. 
 
During his speech, Mr. Nageswaran underlined that what transpires within the financial sector has far-reaching implications for other sectors and society as well. He emphasized that it carries a significant weight of responsibility due to its profound influence over every aspect of our economy. 
 
"The big difference between the financial sector and other sectors is that consequences echo throughout our entire economy," he said during his keynote address at this essential summit focused on boosting India's growth through strategic financing strategies. 
 
The CII Financing Summit 3.0 aims to pinpoint crucial issues impacting India's economic development and generate relevant recommendations for enhancing the role of financing in supporting national growth aspirations. 
 
In his insightful discourse, Mr. Nageswaran highlighted three critical factors—collaboration, challenges, and confidence— which have played pivotal roles in shaping India’s economic trajectory till now. 
 
He stressed upon fostering collaboration among different stakeholders within this vital sector while also recognizing and addressing various challenges head-on with confidence, thereby instilling trust among investors, both domestic and international, about the future prospects of the Indian economy. 
 
Mr. Nageswaran also underscored how banking services need to be more pervasive across all regions in order to financially empower every citizen, irrespective of their geographical location or socio-economic standing, thus ensuring inclusive growth. 
 
Sanjiv Bajaj, CMD, Bajaj Finserv Ltd., Past President CII, who was also present at the summit, echoed similar sentiments, expressing the need channelizing funds towards green financing, promoting innovation, embracing technological digital changes, reducing risk-associated investments, and providing impetus to overall economic progress. 
 
"Banking services should not just be concentrated in urban areas but must reach out extensively into rural parts too," said Mr. Bajay, adding, "Moreover, there is a dire need to divert more funds towards green financing and encourage technological innovation to meet the challenges of a rapidly changing global economic landscape." 
 
The summit brought together industry leaders, financial experts, policymakers, and regulators with an aim to discuss strategies for building a resilient financial sector that can effectively support India's growth trajectory. 
 
Both Mr. Nageswaran and Mr. Bajaj emphasized the need for greater harmony among regulators in order to create a conducive environment for growth within this crucial sector. 
 
In conclusion, it was evidently clear from Mr. Nageswaran’s insightful keynote address as well as views expressed by other eminent speakers at the summit that while there are certainly several challenges confronting our nation's financial sector, they also present opportunities for innovative solutions that, if effectively implemented, hold great promise, propelling the Indian economy to new heights in the in the future