India is witnessing a surge in inflows into financial savings, which have reached nearly Rs 28 lakh crore in the past 18 months — an amount equivalent to the gross domestic product (GDP) of countries like Thailand, said banker Chanda Kochhar, who added that the flow into financial savings jumped significantly post the demonetisation exercise, executed in November 2016.
Kochhar, who was in the Swiss resort town to participate in the World Economic Forum (WEF) annual meeting, told the PTI in an interview that the formalisation of the economy and digitisation of banking transactions have proved to be among the most significant benefits of the demonetisation exercise. On the GST and other reforms undertaken in India, she said since 2014, the government has focused on several structural reforms which are strengthening the economy. “The government has focussed on creating a sound policy framework, prudent fiscal management, strengthening the monetary policy framework, mitigating inflation risks, improving ease of doing business, encouraging adoption of digital technology.
