AI, Trade Wars & Supply Shocks: RBI Guv Malhotra Warns Against Complacency Amid Rising Global Risks
RBI Governor Sanjay Malhotra has warned against complacency despite India’s prolonged period of financial stability and stronger bank balance sheets. Speaking at the Kautilya Economic Conclave 2026, Malhotra highlighted lessons from the past NPA and excessive lending crisis, saying India cannot afford to repeat those mistakes. He also flagged growing risks from geopolitical fragmentation, trade restrictions, supply shocks and the rapid rise of artificial intelligence. AI, he said, is creating new cyber, model and third-party risks while raising questions around human oversight and accountability in interconnected financial systems.
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