This is attributed to the wider dispersion of risk by some, whereas others point to the overall benign macroeconomic and healthy global growth conditions that have prevailed over this period. What is my take on these international developments and their implications for India? I don't have a clear answer.
We need to embrace these financial developments in such a way that we continue to ensure financial stability, and that we enable domestic market participants, both financial and nonfinancial, to increasingly deal with the kind of risks that are emerging with greater market liberalization both at home and abroad.