cannot be taken for granted. for instance, regulations that have the appearance of shoring up safety and soundness of the industrial country financial system may have the collateral effect of discouraging investment in emerging market assets. we have to recognize that slow growth may direct industrial economy policymakers ’ attention inwards, even while politics turns protectionist. the multilateral governance system, still dominated by industrial countries, may not provide a sufficient defence of openness. emerging markets may therefore have the responsibility of keeping the global economy open. for this, not only do emerging markets have to work on quota and management reforms in the multilateral institutions, but they also have to work on injecting new agendas, new ideas, and new thinking into the global arena. no longer will it suffice for india to simply object to industrial country proposals, it will have to put some of its own on the table. and this bis central bankers ’ speeches means that our research departments, universities, and think tanks have to develop ideas that they can feed to india ’ s representatives in international meetings. conclusion let me conclude. we are more dependent on the global economy than we think. that it is growing more slowly, and is more inward looking, than in the past means that we have to look to regional and domestic demand for our growth – to make in india primarily for india. domestic - demand - led growth is notoriously difficult to manage, and typically leads to excess. this is why we need to strengthen domestic macroeconomic institutions, so that we can foster sustainable and stable growth. at the same time, we cannot let foreign markets shrink further, and we have to take up the fight for an open global system. rather than being reactive, we have to be active in setting the agenda. that requires investment in our ideaproducing institutions – research departments of official bodies, think tanks, as well as universities. in sum, the diminished expectations in the world at large should not be a reason for us to lower our sights. bis central bankers ’ speeches

2001 – 2011, was below the national level. this is a policy challenge in the context of development with increasing emphasis on financial inclusion. bis central bankers ’ speeches table 2 standards of life indicators : mizoram and india state finances mizoram is one of the 11 special category states which are characterised by low resource base and the cost disabilities due to their geography, sparse terrain and remoteness. in order to overcome these inadequacies, the centre accords special consideration in devolving resources from the central pool. the revenue account of mizoram showed significant improvement following a rule - based fiscal policy under mizoram frbm act 2006. however, the correction in revenue account was largely on account of higher transfers from the centre, since own tax revenue continued to remain around 2. 3 per cent of gsdp. from the perspective of growth and employment, a key concern is the decline in capital outlay in terms of gsdp ( table 3 ). bis central bankers ’ speeches table 3 fiscal position of mizoram banking developments the banking sector penetration in mizoram may be seen in the context of its special characteristics of difficult terrain and economic structure. agriculture is characterised by hill and mountain cultivation and industry is dominated by micro and small units. the population per bank branch in mizoram declined from 11, 400 in june 2001 to 9, 100 by june 2013 and thus was much lower than the all - india average of 11, 800 ( chart 7 ) reflecting better coverage of banking services. bis central bankers ’ speeches however, credit - deposit ( c - d ) ratio remained significantly lower than the all - india average ( chart 8 ). moreover, c - d ratio in mizoram has declined in the more recent years. it could partly be that deposits have grown faster. the annual deposit growth rate of mizoram was significantly higher than the national average. however, the credit growth rate has fallen short of the national average after 2007 – 08 ( chart 9 ). this underscores the need for a deeper analysis of credit information : is it lack of demand or lack of supply which is constraining credit flow? bis central bankers ’ speeches the lower credit flow is also mirrored by credit to gdp ratio which is another measure of financial deepening. the credit - gsdp ratio in mizoram has improved more modestly from 13. 7 per cent in 2004 – 05 to 18. 7 per cent in 2011 – 12, as compared to the increase from 39.