Balanced approach a must for fiscal reforms in India

Advisor of Stock Holding Corporation of India S. Ramnathan said here on Friday that a balanced approach was required towards financial sector reforms in India. He was delivering the inaugural address at a national seminar on ?Financial Sector Reforms in India? at the Commerce Faculty in BHU on Friday.

Advisor of Stock Holding Corporation of India S. Ramnathan said here on Friday that a balanced approach was required towards financial sector reforms in India.

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He was delivering the inaugural address at a national seminar on ‘Financial Sector Reforms in India’ at the Commerce Faculty in BHU on Friday.

He said, “India has still not reached a stage where the laissez faire policy can succeed. I am not against reforms but I reiterate there should be proper checks and balances in the financial reform policies”, he said and added that the last 15 years had seen major improvement in the working of various financial market constituents.

“Opening up of banking, insurance and mutual funds sectors to private sector institutions, deregulation of interest rates, introduction of capital adequacy norms for brokers, asset clarification etc. are just a few reforms introduced in the last 15 years”, he said, adding, “But what is relevant is that reforms in the financial sector were never introduced in one stroke.”

“The government and regulators introduced the reforms step by step enabling the public to understand them and the government/regulators to draw lessons from the experience before injecting the second dose, ” he said.

Purvanchal University V-C Prof KP Singh presided over the function.