Global Economy Faces Rising Uncertainty and Risk, Says : CEA Nageswaran.
India’s Chief Economic Advisor, V Anantha Nageswaran, said global geopolitical tensions are inevitable and uncertainty has increased since the start of the new millennium. He noted that safe-haven assets like gold are responding to new global factors.
“Geopolitical tensions are inevitable. Uncertainty is higher now than at the start of the millennium. Gold prices are not only reacting to global uncertainty, but also to the value of fiat currencies,” he said during an Economic Survey press briefing.
In his concluding remarks, the CEA said India has “done well,” especially in the period after Covid. However, he pointed out that the world has become more unpredictable and dangerous in recent years. “We have promises to keep and miles to go before we can sleep,” he said.
Nageswaran also said that unconditional fiscal transfers demanded by several states can be useful in the short term. He explained that putting cash directly in the hands of people has clear benefits. At the same time, he stressed that such policies should be followed with caution.
