fact, if we look at the other major segments of the financial markets regulated by the reserve bank – money market and government securities market – they have also remained stable despite large swings and spillovers from global markets. the weighted average call money rate has remained rangebound within the liquidity adjustment facility ( laf ) corridor and closely aligned to the policy repo rate. the 10 - year g - sec yield has also moved in a narrow range of 6. 72 to 7. 61 per cent 9 during the tightening cycle amidst global policy pivot, fluctuations in us treasury yields and global crude prices. the reserve bank has undertaken several regulatory measures in recent years to ensure resilience and stability of the financial markets. these include : putting in place regulatory frameworks for benchmark administrators and electronic trading platforms ; robust governance requirements for market makers in otc derivative markets ; and margin requirements for non - centrally cleared derivative reforms. 9 as on june 16, 2022, the 10 - year g - sec yield touched 7. 61 per cent. the 10 - year g - sec yield softened to a minimum of 6. 72 per cent as on september 26, 2024. 25. as i proceed to conclude, let me add that the reserve bank has played a crucial role in creating an enabling ecosystem for innovations in the payment systems. this has enhanced the efficiency and stability of the indian financial system. introduction of 24x7 neft and rtgs ; 10 the success of the unified payments interface ( upi ) ; and implementation of the central bank digital currency ( cbdc ) pilot project ( e₹ ) are transforming the wider financial system. digitalisation of banking services has received a further boost from reserve bank ’ s pilot, the unified lending interface ( uli ), which has been designed and developed by the reserve bank innovation hub ( rbih ), bengaluru. a few other initiatives of rbih are also in the pipeline. concluding observations 26. the reserve bank ’ s mandate spans multiple dimensions. our consistent effort is to take a holistic view of stability which national electronic funds transfer ( neft ) was made round the clock 24 / 7 including weekends and holidays from december 16, 2019. the real time gross settlement ( rtgs ) was made round the clock 24 / 7 including weekends and holidays from december 14, 2020. encompasses price stability, financial stability and sustained growth. we deploy multiple policy instruments to serve these multiple objectives. 27. today, india ’ s economic growth remains resilient

: why the indian financial sector has weathered the storm? as the preceding discussion shows, it is apparent that the indian banks and financial system had only negligible direct exposure to the type of toxic assets that have contaminated the western countries ’ banking system. bank ’ s credit quality remains of high quality. although bank credit growth was quite high at around 30 per cent per annum during 2004 - 07, it would appear that there was no significant relaxation of lending standards. bank ’ s loans to individuals for housing have been backed by prudent loan - to - value ratios. however, in view of the rapid credit growth to certain sectors, the reserve bank had pre - emptively tightened prudential norms ( provisioning requirements and risk weights ) for these sectors in order to safeguard financial stability ; provisioning norms for standard assets were also raised across the board except for agriculture and smes. these tightened provisioning norms and risk weights have now been rolled back in the wake of slowdown in order to ensure flow of credit to the productive sectors of the economy. this “ dynamic provisioning ” approach has facilitated adequate buffers within the banking system. such “ dynamic provisioning ” is now being advocated as general practice internationally. therefore, unlike the banking system in the western world, domestic banks have not recorded losses so far and there has been no need for any government bailout. bank balance sheets remain healthy and adequately capitalised. the crar of all scheduled commercial banks ( scbs ) taken together was 13. 0 per cent at end - march 2008, well - above the regulatory requirement of 9 per cent. no scb has crar below 9 per cent. of the 79 scbs, 77 banks had crar above 10 per cent, while 2 banks had crar between 9 and 10 per cent. asset quality of the domestic banks also remains satisfactory with net npas being only 1. 0 per cent of net advances and 0. 6 per cent of assets at end - march 2008 ( table 6 ). a more rigorous assessment of the health of commercial banks, recently undertaken by the committee on financial sector assessment ( cfsa ) ( chairman : dr. rakesh mohan ) ( rbi, 2009 ), also shows that the commercial banks are robust and resilient. the single - factor stress tests undertaken by the cfsa reveal that the banking system can withstand significant shocks arising from large potential changes in credit quality, interest rate and liquidity conditions. these stress tests for credit, market and liquid