Financial Scenario in the 1990s-Agenda for Reform

Agenda for Reform N A Mujumdar The financial system in India is at the end of its first phase of development characterised by active state intervention to build up the institutional infrastructure and is now poised to enter the second phase of deregulation and rationalisation and simplification of controls. However, to think in terms of total financial liberalisation at this stage would be premature, current fashions notwithstanding. Sketching the broad contours of the financial scenario likely to emerge in the 1990s, the author proposes an agenda for financial with a view to ensuring that the financial system plays its supportive role in sustaining economic growth.