Archive · 3 Oct 2026
RBI Governor Urges Vigilance to Keep Financial System Resilient
RBI Governor Sanjay Malhotra said the financial system is resilient today, but that does not mean it will always be safe.
He said unexpected shocks can happen, so the system should be able to keep providing financial services during difficult times.
A crisis might begin outside a bank, for example with a geopolitical event, a cyberattack or a technology failure.
Risks such as rising debt, high borrowing and problems linked to AI could also affect financial stability.
Malhotra said these problems can spread through connections between banks, other financial firms and technology providers.
He called for better information and planning to help officials spot and manage risks.
He said all parts of the financial system need to be resilient, not just banks.
New technologies can make finance more efficient, but should not weaken trust or important safeguards.
RBI Governor Sanjay Malhotra said current financial resilience does not guarantee protection from future vulnerabilities.
He said policymakers should prepare the financial system to keep providing services during severe shocks, rather than assume shocks can be prevented.
Potential threats include geopolitical events, cyberattacks, technology failures, rising debt, leverage, private credit and AI-linked risks.
Malhotra called for better, more granular data, stronger scenario analysis and monitoring of interconnected financial institutions and networks.
He said resilience must extend beyond banks, while innovation should preserve trust and core safeguards such as settlement finality and financial integrity.
- Who
- RBI Governor Sanjay Malhotra.
- What
- He called for continued vigilance and a financial system able to withstand and contain shocks.
- When
- October 3, 2026.
- Where
- The Kautilya Economic Conclave in New Delhi.
- Why
- Because future vulnerabilities and shocks may arise outside finance and spread through interconnected systems.
- Speaker
- RBI Governor Sanjay Malhotra
- Event
- Kautilya Economic Conclave
- Date
- October 3, 2026
- Location
- New Delhi
- Risks cited
- Geopolitical events, cyber risks, technology failures, rising debt, leverage, private credit and AI-linked risks
- Resilience priorities
- Better data, scenario analysis, resilient institutions, deeper markets, safety nets and effective resolution mechanisms
- Innovation safeguards
- Preserve trust, settlement finality, singleness of money and financial integrity
