The Reserve Bank of India (RBI) has expressed support for countries prioritizing the development of central bank digital currencies (CBDCs) to uphold financial stability. In its latest Financial Stability Report, the RBI highlighted concerns over stablecoins, citing their potential threat to macroeconomic stability.
The report also noted a projected decline in the non-performing loan ratio within India's banking sector, expected to fall to 1.9% by fiscal year 2026-27 from 2.1% in September 2025. Conversely, the non-performing loan ratio for non-bank financial institutions (NBFCs) is anticipated to rise from 2.3% to 2.9%, indicating growing risks in this sector.
RBI Advocates CBDC Development Amid Rising NBFC Risks
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