During a speech at Princeton University on April 18, 2026, Reserve Bank of India Governor Sanjay Malhotra discussed the significant impact of the West Asia crisis on India's economy, which relies heavily on the region for exports and imports. He noted that West Asia contributes approximately one-sixth of India's exports and half of its crude oil imports. In response to the crisis, India is ramping up its domestic production of oil and gas while diversifying its sources of imports. Malhotra highlighted that the Indian economy has demonstrated resilience, achieving an average growth rate of 6.1% over the past decade, compared to the global average of 3.2%. He also pointed out the importance of a flexible monetary policy to address potential long-term price pressures resulting from supply chain disruptions. Fiscal consolidation efforts and improved tax collection have further bolstered India's economic stability, allowing the government to complement monetary policy actions with supply-side measures to mitigate price pressures.