Ours is a small middle-income economy, with a population of only 1.2 million, but we have an economy which is fully monetised. Financial intermediation, overwhelmingly banks and NBFIs’, will make up nearly 11 percent of GDP this year. Let us pause a moment to reflect on this percentage contribution. It is higher than almost all the real sectors.
At the same time the public finances will have to support some of the liquidity reduction in the medium-term through direct slowdown and eventual reduction in the debt burden.7  Aside from exchange control, liberalisation also has to be considered in the context of the national investment policy.