##oquence in several fora – including the g30 conclaves. in my brief address today, i will make a few observations on india ’ s prospects for growth with stability in both short and medium terms, by highlighting a few important aspects. during the discussion that follows, we could interact on the major focus, as well as specifics, that is of interest to the gathering today. short - term prospects for policy purposes, real gdp growth has been estimated to be in the range of 8 to 8. 5 % for the year 2008 - 2009 ( year ending march 2009 ). there are several reasons why this expectation is realistic. over the last five years, the indian economy has expanded on an average at 8. 7 percent per annum. in fact, gdp growth was 9. 6 percent in 2006 - 2007 and has moderated to an estimated 8. 7 percent in 2007 - 2008. this moderation is partly attributable to preemptive monetary policy actions that sought to dampen excessive demand pressures, while continuing with enabling environment to enhance supply - side responses in terms of investments. while there is a growing importance of global factors, india ’ s growth is mainly driven by domestic demand and supply factors. gross domestic savings continue to be around 35 % of gdp and available evidence points to continued increases in productivity. the realisation of the expected growth in the current year assumes normal monsoons and a slow - down in global growth by not more than what is currently assessed. monetary policy in india accords appropriate priority for price stability in recognition of its significance for the large segment of the poor who have no hedge. further, the policy recognizes that high growth benefits the poor with a lag, while inflation adversely affects them instantly. hence the current high - level of inflation is totally unacceptable, especially in terms of impact on inflation expectations. the monetary policy, however, reckons the complexities of the current bout of inflation. accordingly, the recent emphasis is on liquidity management with option to take recourse to all other measures, as necessary, so that demand pressures are contained consistent with supply - side responses from the markets and from the central and the state governments. the annual policy plans for a reduced rate of money supply in the range of 16. 5 to 17 % in 2008 - 2009, while correspondingly placing growth of non - food credit at around 20 %. as per indications, the currently elevated level of the wholesale price index may start moderating noticeably as monetary

issuance and external review cost of green bonds and loans, and concessionary tax treatment on the interest income and trading profits derived from eligible debt instruments. finally, a vibrant and competitive climate finance ecosystem needs to be supported by data, talent, and awareness. we are working with other regulators and the industry to improve data accessibility and analytics capability, and nurturing talent through a green finance training scheme and regulator - approved knowledge framework. as a responsible investor and major global asset owner, the hong kong monetary authority ( hkma )'s exchange fund has been leading by example by integrating sustainability into our investment strategy and prioritising green investments over others with a similar long - term risk - return profile. we have been investing in green, social, and sustainability bonds since 2015 and increased the number of esg - themed mandates in our externally managed portfolios. additionally, we seek to collaborate with like - minded 2 / 3 bis - central bankers'speeches investors and international organisations to promote esg standards in the investment process. in closing, given the limited amount of time today, i could only briefly touch on two key themes in the broader opening up of china's capital markets. at the hkma, we are continuously working with mainland authorities and the industry towards new policy breakthroughs to better serve global investors and support the development of onshore markets. i warmly welcome your views and ideas on ways to further strengthen the connectivity between china's and hong kong's financial markets. thank you, and i wish today's conference a great success. 3 / 3 bis - central bankers'speeches