RBI Governor says global trade rebounding; pitches for policy support for exports sector

By: |
June 04, 2021 4:38 PM

Further, the governor said that India's exports in March, April and May this year have seen an upswing, which is evident of the sector's potential.

According to him, the conducive external conditions are forming for a durable recovery beyond pre-pandemic levels.

Reserve Bank Governor Shaktikanta Das on Friday pitched for enhanced policy support for the exports sector, given a rebound in global trade.

The external demand is strengthening and the global demand conditions are set to improve further on fiscal stimulus packages and fast progress of vaccination in advanced economies, Das said while announcing the Monetary Policy Committee’s (MPC) decision to go for status quo in rates.

“The need of the hour is for enhanced and targeted policy support for exports. It is opportune now to give further policy push by focusing on quality and scalability,” he said.

According to him, the conducive external conditions are forming for a durable recovery beyond pre-pandemic levels.

Further, the governor said that India’s exports in March, April and May this year have seen an upswing, which is evident of the sector’s potential.

It can be noted that Indian exports fell by 7.2 per cent in value terms in FY21, as the world wrestled with the COVID pandemic which had a severe impact to consumption because of the lockdowns and consequently to global trade. The exports had surged by more than 60 per cent in March to USD 34.45 billion as against USD 21.49 billion in the year-ago period.

Do you know What is Cash Reserve Ratio (CRR), Finance Bill, Fiscal Policy in India, Expenditure Budget, Customs Duty? FE Knowledge Desk explains each of these and more in detail at Financial Express Explained. Also get Live BSE/NSE Stock Prices, latest NAV of Mutual Funds, Best equity funds, Top Gainers, Top Losers on Financial Express. Don’t forget to try our free Income Tax Calculator tool.

Financial Express is now on Telegram. Click here to join our channel and stay updated with the latest Biz news and updates.

Next Stories
1Export orientation of steel reaping benefits of a globalised economy
2Govt has room for fiscal stimulus, says CII president Narendran
3Iron ore exports: India puts an end to decades-old pacts with Japan, Korea