RBI hosts State Finance Secretaries conference in Mumbai to strengthen fiscal stability

The Reserve Bank of India hosted the 36th Conference of State Finance Secretaries in Mumbai on 27 October 2026, bringing central and state financial administrators together to align borrowing strategies and bolster long-term fiscal sustainability across the country.

Opening the high-level meeting, the RBI Governor urged state governments to prioritise the quality of their spending while adopting disciplined cash management and debt strategies. The annual gathering underlines the growing operational coordination between central institutions and state finance departments to maintain national economic momentum.

Who attended the Mumbai conference

The conference brought together top administrative leaders handling public finances across India:

Digital platforms and prudent borrowing

To modernize public finance delivery, the Governor encouraged states to integrate with the RBI's Unified Lending Interface (ULI) and leverage Programmable Central Bank Digital Currency (P-CBDC) for Direct Benefit Transfers (DBT). These digital mechanisms aim to improve target efficiency, lower administrative costs, and streamline financial transfers directly to beneficiaries.

States were also advised to maximize the utility of the State Level Bankers' Committee (SLBC) forum to deepen institutional credit delivery and align regional development targets with state budgets.

Key focus areas for state finances

During the working sessions, officials reviewed market borrowing frameworks, short-term liquidity assistance provided by the central bank, and the rollout of the Benchmark Issuance Strategy to bring standardisation and efficiency to state government bond markets.

To assist finance departments in building operational capability, the Governor released a booklet titled Compendium on Cash and Debt Management for State Governments, outlining standard practices, market mechanisms, and liquidity management guidelines.