posting of collateral abroad – are all under examination to enable participants to move to global margining standards. 5. irda, sebi and pfrda too could help development of interest rate markets. for instance, short selling activity could benefit if a wider pool of securities lenders can be developed. insurance and pension funds, mutual funds have significant holdings of government securities that could be used to lent to short sellers. this would avoid short - squeeze incident we saw a couple of years back, apart from generating income for these entities. we are working with regulators to develop a securities lending product that could enable these entities to participate in securities lending. 6. on a more general note, one of fimmda ’ s important function has been to organize market feedback on policy initiatives. this is a great help for regulators to assess the impact of regulations, especially at the proposal stage. while this should continue, i would be really happy if fimmda and its members make efforts to identify market development initiatives and bring it to the notice of the regulators. on a lighter vein, market is known to run ahead of regulators while the latter try to catch up. while this is not what i can encourage you to do, i do appreciate that market alone can foster innovative ideas and shall expect you to engage with regulators in regard to the steps that we can jointly take. 7. ordinarily, in so far as the trades are between informed participants who are capable of comprehending and defending their interests, the regulator should not be concerned about the fairness of pricing. nevertheless, fair pricing is a sound principle in any market, often threatened by the fact that there are few sellers. i expect fimmda, with its expertise in valuation and role as a market developer will keep a close eye on this. 8. there have been discussions about market timings of various segments of financial markets. taking into account the representations received from the market, we are examining current market timings with respect to trading, clearing and settlement cycles of financial markets regulated by the reserve bank to improve market efficiency. 9. financial market infrastructures play a critical role in the financial system and the broader economy. these infrastructures facilitate the clearing and settlement of monetary and other financial transactions, such as payments, securities, and derivative contracts ( including derivatives contracts for commodities ). the central bank of any country is usually the driving force in the development of national payment systems. the reserve bank of india has been playing this developmental role and has taken several initiatives

shaktikanta das : south asia's current macroeconomic challenges and policy priorities keynote address by mr shaktikanta das, governor of the reserve bank of india, at the high - level conference co - organised by the international monetary fund ( imf ) asia and pacific department ( apd ) and the imf south asia regional training and technical assistance centre ( sarttac ), new delhi, 6 january 2023. * * * i am delighted to have been invited by the imf to join this distinguished gathering here today to discuss pathways to resilient, sustainable and inclusive growth in south asia. i am happy to note that the conference proceedings will be anchored by the research findings and policy recommendations of the book titled " south asia's path to resilient growth ". in the current international setting, global trade and growth outlook appear uninspiring, and policies have to be conducted amid a whirlwind of uncertainty. at such critical times, conferences of this nature can help us better understand the evolving scenarios and policy trade - offs. in my address today, i shall briefly cover some of my thoughts on south asia's current macroeconomic challenges and policy priorities. 2. looking back into history, the south asian region has been a key hub of ideas, commerce, art and culture, etc. the indus valley civilisation was among the three earliest civilisations on earth and was the most extensive. in the so called middle ages, trade and commerce flourished in a variety of commodities such as spices, precious metals and other minerals, handicrafts and food items. overall, the south asian region has had an outsized influence on the progress of civilisation and trade in the world. currently, the region accounts for about 25 per cent of world population. with a median age of 27 years, it is one of the youngest regions in the world. the average growth rate of the region has accelerated from 3 per cent in the 1970s to about 7 per cent in the latest decade ( pre - pandemic ). consequently, per - capita income levels have risen alongside notable progress on key development parameters. as per the imf estimates, south asia contributes nearly 15 per cent to global growth, led by india and bangladesh. the region also receives one - fifth of total remittance flows in the world. 3. the south asian region has grown, responding to formidable global challenges in the past. following the food crisis of the 1960s, the region successfully